On Monday, June 16, the full Assembly is expected to vote on a revised version of A-500, a wide-ranging affordable housing reform bill, which eliminates widespread use of regional contribution agreements (RCAs). The Assembly Appropriations Committee passed the bill, with amendments, on Thursday. Also on Monday, the Senate Budget and Appropriations Committee will take up similar legislation which is the result of a compromise between Assembly Speaker Joseph Roberts and State Senator Ray Lesniak (D-Union). Click here for Assembly Affordable Housing Bill - Revised

According to Saturday’s Star Ledger:

The Roberts-Lesniak legislation is designed to reshape New Jersey’s 20-year affordable housing effort. It would use $20 million of the $80 million to $120 million the state and municipalities hope to raise through a fee on the new commercial development for affordable housing in urban areas, Lesniak said.

The bills would create five zones: the Meadowlands, Fort Monmouth, the Highlands, the Pinelands and Atlantic City. Towns within four of the zones could transfer no more than 50 percent of the housing they are required to provide to a neighboring town. Only the Atlantic City zone would be permitted to exceed the 50 percent cap because of a large demand for affordable housing in the area.

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The Home News Tribune also reported on the legislation, calling the bill “a sweeping overhall to the state’s affordable housing policy.” The Home News article also highlighted other proposed changes:

The bill would also levy a new fee — 2.5 percent — on all nonresidential development to finance housing construction or rehabilitation.

If passed, all state-assisted development projects would have to set aside 20 percent of units for affordable housing; 25 percent of affordable housing units would be set aside as “very low income” for families earning 30 percent of the state’s median household income; and developers including affordable housing in their projects would receive density bonuses, meaning they could construct more units than currently allowed.

For the full article, click here.