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Tuesday
Feb 07th

Bill to abolish N.J. Council on Affordable Housing (COAH) approved by Senate committee

houses030410_optHousing advocates, environmentalists oppose measure

BY TOM HESTER SR.
NEWJERSEYNEWSROOM.COM
UPDATED

The state Senate Economic Growth Committee Monday unanimously approved legislation that would abolish the state Council on Affordable Housing and replace it with what its sponsor argue would be a fairer, market-driven approach to providing affordable housing.

The bill (S-1) is strongly opposed by affordable housing activists and environmentalists.

The committee heard testimony from only two people. The housing advocates, environmentalists and religious leaders were not given an opportunity to testify, despite amendments to the bill.

The measure is expected to receive a vote by the full Senate on March 22.

"It's impossible to support consolidation of government services and also support COAH,'' Sen. Raymond J. Lesniak (D-Union), a co-sponsor of the proposal, said before the committee he chairs voted 6-0 in favor. "S-1 paints with a broad brush and thus will miss some fine points. COAH paints with a fine brush and sets up 566 different schemes so as not to miss anything. As a result, it misses the forest for the trees.

Lesniak said, "Anyway you slice it, even if you add to COAH's numbers the affordable units that would be produced by a build out of the fees collected under its regulations but not spent, S-1 would have produced more affordable housing over the past 25 years, without the excessive compliance costs, without the onerous development fees that stifle job production, and with one-fifth the bureaucracy, by working in conjunction with market forces rather than struggling to get the free market to see things COAH's way. More affordable housing, less bureaucracy. It doesn't get any better than that."

Prior to the hearing at the Statehouse, affordable housing advocates charged that cash-strapped towns have been forced to give up over $200 million since July 2008 as a result of what they describe as last year's developer-friendly moratorium on development fees. They said that while the state government is forcing school districts to spend surpluses and promising layoffs and cuts to municipal aid, commercial developers have been allowed to forego millions in payments to scores of towns.

The measure repeals the statewide commercial developer fee created, which is used by municipalities to create homes.

The Housing & Community Development Network of New Jersey, the Fair Share Housing Center and others opposed to the bill, charge it will destroy New Jersey's ability to provide affordable housing.

"Senator Lesniak's proposal, S.1, seeks to abolish one of the most successful housing systems in the country," said Staci Berger, the Network's director of policy and advocacy. "The bill will also permanently end the commercial developer fee that communities have depended on to help solve the housing problems developers have mostly refused to address. It just seems ineffective to end this fee while the state is struggling to balance its budget, and considering significant cuts to public services."

Adam Gordon, Fair Share's counsel, said, "Providing jobs without opportunities for nearby homes creates headaches for businesses and congestion on the highways. Senator Lesniak's giveaways to office park developers will foster a job imbalance in New Jersey and drive both our jobs and workers to other states."

Jeff Tittel, New Jersey Sierra Club director, said the bill gives power to developers to determine how towns will meet their affordable housing obligations. He said it will encourage sprawl and overdevelopment and put natural resources.

"In the name of reform, this bill could actually make matters worse,'' Tittel said. "The Sierra Club is opposed to this bill because it lacks environmental oversight and does not include the necessary scrutiny that should be required for affordable housing development projects. We're putting a bulls-eye on more than half of New Jersey's municipalities, where builders remedy suits determine how towns deal with affordable housing. This legislation may end up being worse than the current situation."

 

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