Borough Happenings

Affordable Housing Update

Mayor and Council Adopt Resolution Committing to Fourth Round Affordable Housing Obligation

At its meeting on January 21, the Mayor and Council adopted a resolution committing to a “present and prospective need” for affordable housing of 463 units to meet its “fourth round obligation” in accordance with the new affordable housing law (P.L.2024, C.2). Importantly, this obligation will be adjusted based on lack of developable land.

The New Jersey Department of Community Affairs (DCA) had recently posted calculations of each municipalities’ “present and prospective need” for affordable housing using the required methods under the new affordable housing law. This fourth round obligation for Franklin Lakes was calculated at 497 units. The Mayor and Council, based on a report prepared by the Borough Planner, determined that there were errors in the DCA’s calculation of developable land. As a result, the fourth round obligation should be adjusted from 497 units to 463 units.

Under the new law, municipalities have until January 31, 2025 to adopt a resolution accepting the DCA calculation or to commit to a number of units based on its own analysis. If a municipality fails to adopt a resolution by January 31, 2025, and subsequently file an action with “the Program” (a group of current or retired judges), then the municipality may forfeit immunity from exclusionary zoning lawsuits. Exclusionary zoning lawsuits are lawsuits brought by developers that seek to develop property at a higher density than is permitted in the zone where their property is located. 

For more information on the new affordable housing law and the process for accepting the DCA’s fourth round calculation or to modify those numbers, see the links below:

www.njlm.org/CivicAlerts.aspx?AID=3230

www.njcourts.gov/sites/default/files/administrative-directives/2024/12/dir_14_24.pdf

www.njlm.org/CivicAlerts.aspx?AID=3174

www.njlm.org/civicalerts.aspx?aid=2924

Borough Challenges to New Affordable Housing Law

The Mayor and Council had decided to pursue two challenges to the new affordable housing law. The following is a status update on those challenges:

1. Local Leaders for Responsible Planning (LLRP) Challenge – The Borough has joined 25 other towns as a plaintiff in a lawsuit in the Superior Court challenging the validity of the new law on several grounds. The Borough of Montvale is the lead agency in this challenge. Franklin Lakes has contributed towards the legal expenses to be incurred in this litigation. Following the filing of the complaint, LLRP sought a stay of the January 31 deadline for municipalities to file resolutions committing to a fourth round affordable housing obligation. If successful in obtaining a stay, the January 31 deadline would be delayed until the underlying challenges to the law are adjudicated. Thusfar, LLRP has been unsuccessful in obtaining a stay. View LLRP’s recent press release.
2. Council On Local Mandates Complaint – This initiative, which sought to challenge the new law as an unconstitutional unfunded mandate, is not moving forward. The Borough of Madison, which had spearheaded this initiative and committed to acting as the lead agency in the action before the Council On Local Mandates decided against pursuing a claim. The other dozen or so towns that had initially expressed an interest in pursuing this challenge have decided not to move forward. On advice of counsel, Franklin Lakes has also elected not to move forward with the filing of a complaint at this time.

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