On December 19, 2013, the New Jersey General Assembly passed a bill approving the moratorium on the 2.5 percent statewide non-residential development fee on assessed value of most improvements charged to developers of nonresidential construction projects. The fee was originally designed to fund affordable housing opportunities in the State. Since 2008, lawmakers halted the collection of fees for nonresidential development in an effort to encourage economic growth. This statutory moratorium, however, expired on July 1, 2013.
Yesterday, Fair Share Housing Center (FSHC) filed a motion to enforce the New Jersey Appellate Division’s court order requiring the Council on Affordable Housing (COAH) to adopt Third Round rules within 5 months. This order, originally issued in October 2010, was affirmed by New Jersey's Supreme Court in its September 26, 2013 decision. In its decision, the Supreme Court gave COAH until February 26th to adopt regulations that comply with the Appellate Division’s rulings.
Legislation requiring the construction of all new single or two family homes be equipped with a fire suppression system cleared a major hurdle on December 12, 2013.
Last Friday, Judge Patrick DeAlmeida, presiding judge of the New Jersey Tax Court, ruled that the owner of a partially contaminated property was entitled to an adjustment to the assessed value for remediation costs.
The current Act extends some approvals to December 31, 2014 with a tail to June 30, 2015. It is unknown whether the Permit Extension Act will be extended a third time.
The U.S. Department of Housing and Urban Development (HUD) recently released its notice for states affected by Superstorm Sandy to apply for the next round of Community Development Block Grant Disaster Recovery funds. New Jersey is eligible for 1.4 billion of the more than 5.1 billion being made available. The use of these funds is earmarked to “address disaster relief, long-term recovery, restoration of infrastructure and housing and economic revitalization in the most impacted and distressed areas.”
Update - New Jersey Economic Development Authority Now Accepting Applications for Incentive Programs
The New Jersey Economic Development Authority is now accepting applications for the two incentive programs that were created by the New Jersey Economic Opportunity Act of 2013.
A New Jersey appeals court recently ruled that property owners who lose ocean views when the government builds protective sand dunes are entitled to compensation regardless of whether eminent domain has been used.
The Real Estate Settlement Procedures Act (RESPA), which governs the procedures for land closings, does not have any specific requirement limiting a seller’s concession in real estate transactions, such as for repairs to a home, as a credit against the purchase price or to absorb mortgage points.
A bipartisan coalition of more than 55 members of the United States House of Representatives, including local representative Frank LoBiondo (R-NJ), have introduced legislation addressing the National Flood Insurance Program ("Program") and the affordability issues that are certain to arise with increases to the flood insurance premiums many homeowners are expected to receive under the Program.