Regional Contribution Agreements New Jersey

From a municipal point of view, the benefits of the OCHA administrative procedure included the use of a formula to calculate a fair share, which could result in a lower obligation than the court would impose, the availability of the regional contribution contract to reduce the number of units and the ability to determine where to develop this affordable housing in the commune instead of being forced to allow a change in reward for a contractor-plaintiff. Municipalities that have decided not to participate in the OAHC administrative process have remained vulnerable to exclusion zone remedies and the prospect of a solution from the contractor. The downside would be that a participating municipality might be forced to occupy certain lands in order to create additional housing. Some municipalities, who felt that the likelihood of actual exclusion action was sufficiently low, took advantage of their chances of not participating. The Court concluded that «every… The municipality must, through its land use planning, make the diversity and choice of housing realistic. Specifically, it cannot exclude the possibility of the categories of persons designated for low- and middle-income housing and must answer in the affirmative this possibility in its regulations, at least to the extent that the municipality has a fair share in the current and future regional situation. The U.S. Supreme Court rejected a request by Mount Laurel Township to hear the case and overturn the New Jersey Supreme Court`s decision. The new law attempts to address the integration and development of inclusion challenges caused by the June rules, but does not change significantly. It completely repeals regional contribution agreements. It aims to finance the only remaining option – municipal construction – with the 2.5% «tax». The COAH has developed rules to determine the specific number of affordable units that each municipality should make available (its «pre-prepared needs»).

Participating municipalities have developed compliance plans to address these needs through appropriations (e.g. B filtering, spontaneous rehabilitation, additional credits for rental units), the use of regional contribution agreements (transfer of part of the obligation to a agreeing municipality, usually an urban centre, in the same region with payment of an amount agreed by the municipalities) and shingles for affordable housing (usually with a density and compulsory occupancy of the land)