In his recent State of the State address, Governor Phil Murphy emphasized the need to reform zoning and permitting rules to advance affordable housing in New Jersey. However, Ray Cantor, Deputy Chief Government Affairs Officer at NJBIA, argues that proposed land use regulations by the Department of Environmental Protection (DEP) could hinder these efforts.
Cantor expressed appreciation for Governor Murphy's call for local government reform but urged him to reconsider DEP's proposed rules. "We would ask the governor, however, to also look at his own house because the DEP’s proposed land use rules will take the wind out of any efforts to build affordable housing in New Jersey," Cantor stated. He described these rules as "extreme" and suggested they should be revised to align with affordable housing priorities.
The DEP's Resilient Environments and Landscapes (REAL) rules introduce expanded "inundation risk zones (IRZs)" based on what Cantor describes as outdated science. These zones require structures to be built 5.1 feet higher than current flood elevation standards, complicating affordable housing development near tidal waters.
Cantor criticized the rules for effectively creating "no build" areas by extending flood mapping into regions unlikely to flood. He argued that this makes development more complex and costly, contradicting state affordable housing policies. "We cannot have a prosperous society and a robust economy if the residents of the state cannot afford to live here," he said.
Additional rule conditions include limiting impervious cover on new construction in IRZs to 3%. Changes in stormwater regulations could further impede urban redevelopment projects by imposing rural area requirements on them.
Governor Murphy signed legislation last year standardizing municipal affordable housing obligations statewide. The Department of Community Affairs released calculations indicating how many low- and moderate-income units municipalities must plan or construct by 2035. Urban areas like Jersey City, Asbury Park, Atlantic City, and Camden are among those significantly affected by IRZs.
Cantor acknowledged that building affordable housing in frequently flooded areas might not be ideal but criticized the DEP's approach as overly restrictive. The REAL rules' flood elevation standard is based on a Rutgers University study predicting a five-foot sea-level rise by 2100—a data point Cantor claims lacks confidence for policy-making purposes.
The DEP plans to finalize its REAL rules this spring.
