Of the 187 new units it must effectively provide, nearly half will be transferred out of the municipality
By: Jake Uitti
MONTGOMERY Addressing its obligation for affordable housing as prescribed by the New Jersey Council on Affordable Housing, Montgomery Township has incorporated a new Housing Plan Element and Fair Share Plan into its Master Plan.
The plan effectively requires the establishment of 187 new units of low- and moderate-income housing. Under the Montgomery plan, however, nearly half that obligation will be transferred out of the municipality through regional contribution agreements.
Under rules set by COAH, the state administrative agency vested with primary jurisdiction for the administration of affordable-housing obligations, all municipalities in the state are required to adopt the new plan.
Recently, new COAH rules require municipalities to establish housing based on the number of new jobs created one unit of affordable housing per 25 new jobs created. This new rule is not retroactive. But along with other rules already in effect that require municipalities to create one affordable unit of housing for every eight market-rate units constructed, the state regulations require Montgomery to provide more affordable units.
In the third round of the COAH plan, Montgomery has been told by COAH that the township must create 250 new units of affordable housing. Because of 63 credits the township has earned by providing more units than required under its prior fair-share plans, the township must in effect provide 187 new units of affordable housing, Planning Board Chairman Steven Sacks-Wilner explained. The township’s credits come from housing constructed in the Pike Run development.
According to township attorney Kristina Hadinger, Montgomery was the first municipality in the state to voluntarily comply with the mandates from COAH.
For the first time in the township’s history, it will use a regional contribution agreement to transfer 91 units of affordable housing to another municipality in effect paying for the construction of those affordable units perhaps in Trenton, Somerville or Plainfield, according to Mr. Sacks-Wilner. A receiving community is not identified in the draft plan.
The Township Committee voted Thursday to adopt a regional contribution agreement in its Master Plan, which would transfer the 91 units to a receiving community.
Along with those 91 units, the township is proposing to address its obligation through the provision of 18 new affordable rental units; 52 alternative living units, 27 of which currently exist; 19 existing for-sale units; and seven credits for surplus rental units.
The plan still requires COAH approval, but "we don’t anticipate any significant issues with COAH," Ms. Hadinger said. Montgomery expects to hear from COAH within several months.

