Settlement sets housing limits, zones in Monroe

By KATHY CHANG
Staff Writer

MONROE — With the Township Council’s approval of the Housing Element and Fair Share Plan of the Monroe Township Master Plan, the town is one step closer to preventing the threat of a builder’s remedy lawsuit.

On Aug. 15, Middlesex County Superior Court Judge Douglas K. Wolfson, at a compliance hearing, will decide if Monroe’s Housing Element and Fair Share Plan meets a substantive certification.

“[The plan] needs to be approved by the court to insulate us from a builder’s remedy,” Planning Board Attorney Jerome Convery said. “The substantive certification from the court would say [the township] has done everything reasonable to ensure that it has a good fair share plan to assist low- and moderate-income families to getting decent housing.”

He said of the 11 resolutions and two ordinances for introduction on the council’s agenda on July 6, the approval of the Housing Element and Fair Share Plan was the most important.

“This plan was prepared by [Planning Board Planner Mark Remsan] and has been before the Planning Board and accepted and referred for approval by the Township Council,” Convery said.

The approval by the council allows Convery and Remsan to submit the approvals to Wolfson during the compliance hearing.

Convery said the court’s certification would prevent anyone from suing the township for a 10-year period.

Remsan said the certification would allow the township to decide where development would go.

“A builder’s remedy would allow builders to decide, and most of the time, they are favored in the courts,” he said.

One of the pieces that will be submitted to the court is the ordinance creating four new zones for affordable housing, which was the outcome of a lawsuit by Monroe 33 developers.

Convery said through the township’s settlement agreement previously passed by the council, the maximum market dwelling units allowed to be developed by Monroe 33 developers will be 120, and of that number, the maximum number of affordable housing units would be 30.

Two other developers — JSM at Applegarth, LLC and Countryside Developers — were not part of the litigation, but their age-restricted, market rate and affordable housing units were included in the settlement, Convery said.

The four new zones include Planning Office Age-Restricted, which would allow JSM at Applegarth, LLC to develop a maximum of 109 age-restricted market units and a maximum of 33 affordable dwelling units.

“This was the zone created in order for JSM at Applegarth to provide numbers in the settlement agreement,” Convery said.

The Residential Age-Restricted Affordable Housing District is a new zone prompted by litigation intervener Countryside Developers to build 53 age-restricted affordable dwelling units and market rate units not to exceed 213 units.

“The notable factor of the 213 units is they will be limited to two bedrooms per unit with the prohibition to converting basements, dens, offices, lofts and other non-bedroom space into a new bedroom,” said Convery, adding that the limitations should not create an increased number of children in the community.

The Mixed-Use Highway Development Residential Affordable Housing District creates mixed highway-commercial market-priced housing and affordable housing under the property of JSM at Route 33 south.

“Although they are not a party to the litigation, their numbers, their build-out, was incorporated into our settlement agreement,” Convery said. “The inclusionary housing in this zone should consist of 113 affordable dwelling units, which would be deed restricted to prohibit conversions of basements, dens, lofts and other non-bedroom space into a new bedroom.”

Along with their market units, JSM will build affordable housing in the same complex along with commercial development.

“The maximum amount of market units for this zone should not exceed 1,273 units,” Convery said.

Convery said the 200 affordable housing projects by JSM development on Route 33 would be built through phasing in a timely fashion.

He said the approval of the four new zones meet their obligation through the litigation for Countryside Developers, Monroe Developers and JSM as part of the Housing Development and Fair Share Plan.

One of the resolutions approved was the affordable housing trust fund spending plan, which allows the administration to use affordable trust fund money to supplement rents, rehabilitation and more.

“We have approximately $13 million in our affordable housing trust fund,” Convery said.

Remsan said with the spending plan, the township is able to provide a 100-percent affordable housing project that includes 37 units for veterans and their families.

“We will be able to fund the construction in its entirety,” he said.

Part of the settlement agreement with Monroe 33 is the bonus credit of 25 percent of the overall number of units, which equate to 283 credits.

“We will not have to build those 283 units,” Convery said. “Only 850 affordable units will be built — 283 age-restricted — which will lessen the impact on the school system.”

When the dust settles with the issues with the Council on Affordable Housing (COAH), Monroe’s commitment to affordable housing units is no more than 1,133 units, officials said.

“If, in the future, the amount of required affordable units is reduced, then the units can be reduced,” Convery said.

Also, the settlement includes the obligation for 399 affordable housing units during COAH’s 16-year gap period that municipalities were not required to construct.

Convery said Wolfson’s opinion said the gap period has to be recognized and another judge in Ocean County agreed. He said ultimately the Supreme Court will also recognize the gap period.

He said initial negotiations were 600 affordable housing units required during the gap period; however, through further negotiations, Monroe reached a good settlement of 399 units.

These units would be built over time with 133 units built from 2015 to 2025, another 133 units built from 2025 to 2035 and the rest of the units built from 2035 to 2045, Convery said.

“We worked with the demographer for the school board providing best estimates, trends and market forces for some of the larger projects that have yet to be before the Planning Board,” he said, adding that developments often takes years with the permit process.

The council approved the resolutions and ordinances for introduction on affordable housing at the meeting.

Contact Kathy Chang at [email protected].