The Hopewell Township Committee unanimously voted to approve a settlement agreement with the Fair Share Housing Center on a fourth-round affordable housing obligation of 399 units.
Township Committee members authorized the settlement agreement through a resolution on March 24.
The new fourth-round obligation of 399 units is the (future need) of affordable housing units for the next 10 years from 2025 to 2035.
Prior to the settlement agreement with Fair Share Housing, which is a nonprofit advocacy organization with a focus on affordable housing, the Township Committee had certified 348 units for the township’s fair share of affordable housing units in the fourth round on Jan. 27 for its future need.
The previously certified 348 units were a significant reduction from the 543 units estimated by the New Jersey Department of Community Affairs (NJDCA).
The newly revised number of 399 units still represents a decrease of 144 units from NJDCA’s estimate.
In 2024, amendments for a new framework of the Fair Housing Act of New Jersey were signed into law by Gov. Phil Murphy for municipalities to meet their affordable housing obligations by streamlining compliance and reducing litigation-related delays to construction of new affordable housing.
NJDCA had estimated the township’s present fair share housing obligation or current need to be eight affordable units, and the prospective (future) need to be 543 units over the next 10 years.
The estimates from NJDCA were non-binding and the township said they found inaccuracies in the data.
The township had to demonstrate that a lower number for their affordable housing fair share was justified under the Fair Housing Act.
In the township professional’s parcel review, they identified 287.5 acres of available land compared to the NJDCA estimate of 781.2 acres that could be developed. The land capacity factor was a key part used in NJDCA calculations, which measures available land for development, according to the township.
The township earlier this year, when it certified its previous fourth-round obligation of 348 affordable units, they had to do so by a deadline of Jan. 31 under the amended law signed by Gov. Phil Murphy in 2024.
Across the state, municipalities had the same deadline this year to certify the number of affordable units.
Additionally, there is a June 30 deadline this summer to certify a housing element and fair share plan to provide a realistic opportunity to satisfying the obligations and allows the control over the planning and zoning on affordable housing to remain with the township.
When township certified its affordable housing numbers in January those numbers could have been challenged by an interested party. The interested party or parties had two weeks to file a challenge to the numbers.
Any challenges have to be resolved by March 31.
Township Attorney Steve Goodell, from the firm Parker McCay, noted that the township had received challenges from two different groups – the New Jersey Builders Association and Fair Share Housing Center.
“The Builders Association filed against any municipality that reduced their number from the number that NJDCA had originally suggested would be appropriate when NJDCA did their analysis,” he said.
“Fair Share selected various municipalities who had large cuts from the DCA number. Because we had a very large cut from the DCA number we were on their hit list.”
Both the New Jersey Builders Association and Fair Share Housing Center each issued lengthy expert reports.
“The expert report from the builders said our requirement should be 543 like DCA had and Fair Share said actually it should be 544 when they looked at our land capacity,” he added. “The builders indicated they were not interested in settling with anyone, but Fair Share said they would consider our lot-by-lot analysis.”
The township decided that instead of litigation the better course was to settle with Fair Share Housing and take a deal that was favorable to the township.
“This was a far better deal than what Fair Share was offering other municipalities,” Goodell said.
Mayor Courtney Peters-Manning explained since they were able to reduce from 543 to 399 units that she and township officials are confident for the fourth round can be done either without building market-rate units or building very few market-rate units.
“That is the next step,” she said. “We are not at that next step of developing (a housing element and fair share plan) but because we were able to reduce this number by so much there is path forward to get to 100 percent affordable developments or one or two perhaps extending affordability controls, we have the group home projects with Arc Mercer.
“I think with this number we can achieve it.”
Committeeman Kevin Kuchinski added that he thinks the fourth round is going to look different from the third round.
“Step one I think is around affordability controls,” he said. “We know exactly how many units in Brandon Farms currently qualify and we are working to get those owners to sign off.”
Kuchinski said there are other units that are capable as well.
Resident John Hart, a former Township Committee member and owner of Hart Farms, and resident Jim Burd voiced concerns and raised issues with settlement.
“Putting more of these homes in, you are just killing agriculture in Central New Jersey,” he said. “These towns are fighting it like crazy and your planner is supposed to be one that is fighting. …I’m just letting you know I wouldn’t vote on this because I would get into that litigation because we don’t have room for 400 houses.”
Peters-Manning responded noting they would be extending affordability controls including the group homes (Arc Mercer).
“There are no plans to build lots of inclusionary development again,” she said.
