Developers have not had it easy in the four years since the Supreme Court’s 2015 Mount Laurel IV decision. When the Supreme Court transferred jurisdiction of municipal affordable housing obligations for the Third Round (1999–2015 and 2015–2025) to the trial courts, the controversy continued while novel issues arose immediately. Two were the subject of trials, conducted in Middlesex and Mercer Counties, to determine the appropriate methodology for calculating a municipality’s obligation. In addition, a Morris County judge ruled that the Fair Housing Act would supersede the Highlands Act in the event of a conflict between the two statutes. Across the state, judges also considered the effect a shortage of sewer, water or land would have on a town’s obligation. Several courts grappled with and issued decisions on how the Fair Housing Act’s and COAH’s 20% cap and the 1,000-unit cap, both meant to apply to a 10-year period, would operate during the Third Round, which encompassed more than 25 years due to COAH’s extensive delay in adopting valid rules.
Despite the road bumps and several trips up and back down the appellate ladder, many towns finally are poised to proceed with construction of affordable housing in accordance with the nearly 300 court-approved housing plans and settlements reached to resolve the declaratory judgment compliance actions authorized by the 2015 Mount Laurel IV decision.
