Pompton Lakes hears briefing on new state affordable-housing law, looming deadlines

Darlene Green, a planner with Colliers Engineering/Design, told the Pompton Lakes Borough Council on May 8 that a newly adopted 75-page state law will change how municipalities demonstrate they provide a realistic opportunity for affordable housing and imposes near-term reporting deadlines the borough must meet.

"Every town in the state has a constitutional obligation to provide affordable housing," Green said. She summarized several major changes: a midpoint "reopener" that allows challenges to sites lacking preliminary site-plan approval, an increase in the senior-unit credit from 25% to 30%, elimination of certain rental bonus credits and replacement with smaller bonuses, and stricter reporting and accounting requirements for municipal trust funds.

Green warned of several deadlines that require prompt municipal action. By June 18, towns with affordable-housing trust funds must provide detailed accounting of nonresidential fees and related expenditures; by Sept. 16 they must submit information on construction starts; on Jan. 31 governing bodies must adopt a binding resolution setting rehabilitation and round obligations (failing to do so risks loss of immunity); if no challenge is filed, numbers become final on March 1; and by June 30 municipalities must adopt a new housing plan and all implementing ordinances. She said the Department of Community Affairs (DCA) is supposed to publish obligation numbers by Oct. 20, but the statute does not pause other deadlines if DCA misses that date.

Council members pressed Green about wastewater capacity and the borough’s vacant-land adjustment. A municipal utilities authority (MUA) preliminary capacity review was cited at about 85% of current flow capacity; Green said a durational adjustment is an available option if sewer capacity would prevent meeting obligations and recommended the borough work with the MUA to confirm which planned projects were included in the capacity calculation.

Green also cautioned that the new statute treats a town’s certificate differently than the prior judgment-of-repose process and said towns that are effectively at the finish line should pursue judicial orders to preserve protection previously afforded by a judgment of repose.

The presentation closed with Green offering to answer further questions and advising borough staff to begin work now to meet the compressed calendar and to consult with counsel on whether previously negotiated settlement documents require follow-up filings.

The council did not take formal action on the presentation itself; the discussion will inform upcoming staff and council work on revisions to the borough’s housing plan and related ordinances.