Source: https://www.ecode360.com/12543179
Timestamp: 2018-12-17 07:46:15
Document Index: 291138704

Matched Legal Cases: ['§ 94', '§ 94', '§ 94', '§ 94', '§ 94', '§ 94', '§ 94', '§ 94', '§ 94', '§ 94', '§ 94', '§ 94']

Borough of Washington, NJ Development Fees
Ch 94 Art X Development Fees
§ 94-91 Purpose.
§ 94-92 Basic requirements.
§ 94-93 Definitions.
§ 94-94 Residential development fees.
§ 94-95 Nonresidential development fees.
§ 94-96 Eligible exactions, ineligible exactions and exemptions.
§ 94-97 Collection of fees.
§ 94-98 Contested fees.
§ 94-99 Affordable housing trust fund.
§ 94-100 Use of funds.
§ 94-101 Monitoring.
§ 94-102 Ongoing collection of fees.
Article X Development Fees
[Added 12-5-2006 by Ord. No. 19-2006]
Chapter 94 Zoning and Land Development Article X Development Fees
In Holmdel Builder's Association v. Holmdel Township, 121 N.J. 550 (1990), the New Jersey Supreme Court determined that mandatory development fees are authorized by the Fair Housing Act of 1985, N.J.S.A. 52:27d-301 et seq., and the State Constitution, subject to the Council on Affordable Housing's (COAH's) adoption of rules. This article establishes standards for the collection, maintenance, and expenditure of development fees pursuant to COAH's rules. Fees collected pursuant to this article shall be used for the sole purpose of providing low- and moderate-income housing. This article shall be interpreted within the framework of COAH's rules on development fees.
The Borough of Washington shall not spend development fees until COAH has approved a plan for spending such fees and Borough of Washington has received third round substantive certification from COAH or a judgment of compliance.
Residential developers shall pay a fee of 1% of the equalized assessed value for residential development, provided no increased density is permitted.
When an increase in residential density pursuant to N.J.S.A. 40:55D-70d(5) (known as a "d" variance) has been permitted, developers will incur to pay a development fee of 6% of the equalized assessed value for each additional unit that may be realized.
Example: If an approval allows four units to be constructed on a site that was zoned for two units, the fees could equal 1% of either the equalized assessed value on the first two units and 6% of either the equalized assessed value for the two additional units. However, if the zoning on a site has changed during the two-year period preceding the filing of such a variance application, the density for the purposes of calculating the bonus development fee shall be the highest density permitted by right during the two-year period preceding the filing of the variance application.
Affordable housing developments and developments subject to the Growth Share Ordinance, as per Ordinance No. 21-2005, shall be exempt from development fees. All other forms of new construction shall be subject to development fees.
Development fees shall be imposed and collected when an existing structure is expanded or undergoes a change to a more intense use. The development fee shall be calculated on the increase in the equalized assessed value of the improved structure.
Developers of educational facilities shall be exempt from paying a development fee.
Imposed and collected development fees that are challenged shall be placed in an interest-bearing escrow account by the Borough of Washington. If all or a portion of the contested fee is returned to the developer, the accrued interest on the returned amount shall also be returned.
There is hereby created a separate, interest-bearing housing trust fund in PNC Bank for the purpose of depositing development fees collected from residential and nonresidential developers and proceeds from the sale of units with extinguished controls. All development fees paid by developers pursuant to this article shall be deposited into this fund.
Within seven days from the opening of the trust fund account, the Borough of Washington shall provide COAH with written authorization, in the form of a three-party escrow agreement between the municipality, PNC Bank and COAH, to permit COAH to direct the disbursement of the funds as provided for in N.J.A.C. 5:94-6.16(b).
Funds deposited in the housing trust fund may be used for any activity approved by COAH to address the municipal fair share. Such activities include, but are not limited to, rehabilitation, new construction, RCAs subject to the provisions of N.J.A.C. 5:94-4.4(d), ECHO housing, purchase of land for affordable housing, improvement of land to be used for affordable housing, purchase of housing, extensions or improvements of roads and infrastructure to affordable housing sites, financial assistance designed to increase affordability, or administration necessary for implementation of the housing element and fair share plan. The expenditure of all funds shall conform to a spending plan approved by COAH.
Funds shall not be expended to reimburse the Borough of Washington for past housing activities.
After subtracting development fees collected to finance an RCA, a rehabilitation program or a new construction project that are necessary to address the Borough of Washington affordable housing obligation, at least 30% of the balance remaining shall be used to provide affordability assistance to low- and moderate-income households in affordable units included in the municipal fair share plan. One-third of the affordability assistance portion of development fees collected shall be used to provide affordability assistance to those households earning 30% or less of median income by region.
Affordability assistance to households earning 30% or less of median income may include buying down the cost of low- or moderate-income units in the third-round municipal fair share plan to make them affordable to households earning 30% or less of median income. The use of development fees in this manner shall entitle the Borough of Washington to bonus credits pursuant to N.J.A.C. 5:94-4.22.
The Borough of Washington may contract with a private or public entity to administer any part of its housing element and fair share plan, including the requirement for affordability assistance, in accordance with N.J.A.C. 5:94-7.
The Borough of Washington shall complete and return to COAH all monitoring forms included in the annual monitoring report related to the collection of development fees from residential and nonresidential developers, payments in lieu of constructing affordable units on site, and funds from the sale of units with extinguished controls, and the expenditure of revenues and implementation of the plan certified by COAH. All monitoring reports shall be completed on forms designed by COAH.
The ability for the Borough of Washington to impose, collect and expend development fees shall expire with its substantive certification in December 2015 unless the Borough of Washington has filed an adopted housing element and fair share plan with COAH, has petitioned for substantive certification, and has received COAH's approval of its Development Fee Ordinance. If the Borough of Washington fails to renew its ability to impose and collect development fees prior to December 2015, it may resume the imposition and collection of development fees only by complying with the requirements of N.J.A.C. 5:94-6. The Borough of Washington shall not impose a development fee on a development that receives preliminary or final approval after the expiration of its substantive certification or judgment of compliance on December 2015, nor will the Borough of Washington retroactively impose a development fee on such a development. The Borough of Washington will not expend development fees after the expiration of its substantive certification or judgment of compliance on December 2015.