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Egg Harbor Township
City Zoning Code

ARTICLE IV

General Regulations

§ 225-7.1 Certificates and permits.

[Added 8-26-1998 by Ord. No. 29-1998]
A. 
Certification of foundation. Upon completion of the foundation of any building authorized by any permit and prior to approval of said foundation, the holder of such permit shall provide the Construction Official with a survey prepared by a New Jersey licensed surveyor which shows the top of block elevation and the distance of the foundation from each property line. No further construction of the structure is to commence until such time as the elevation and location of the foundation have been approved by the Construction Official, or his designee.
B. 
As-built certification. Upon completion of the erection or alteration of any building authorized by any permit and prior to occupancy or use, the holder of such permit shall notify the Construction Official of such completion. Permit holders completing new construction shall submit to the Zoning Officer certification from a licensed New Jersey licensed surveyor demonstrating compliance with approved finished floor and site grading, height limitations, front, side and rear yard setbacks and building coverage as set forth by this chapter, or any modification of these limitations by variance granted by the Planning Board or Zoning Board of Adjustment.

§ 225-8 Continuation of existing uses.

If at the time of the enactment of this chapter any building is being used or any building is being constructed or altered and is completed within three months thereafter, in a manner or for a purpose which does not conform to the requirements of this chapter, but which is not prohibited by any other existing ordinance of the Township, such use, manner or purpose may be continued, nor shall any change of the title or of right to possession affect such continuation of an existing use.

§ 225-9 Compliance required.

No lot hereafter may be used and no building or part thereof hereafter may be erected, constructed, reconstructed, moved, extended, converted, altered, maintained or used except in conformity with the provisions of this chapter.

§ 225-10 Restoration of unsafe structures.

[Amended 12-8-1982 by Ord. No. 71-1982]
Nothing in this chapter shall prevent the strengthening or restoring to a safe or lawful condition any part of any building declared unsafe or unlawful by the Zoning Officer or other duly authorized Township officials.

§ 225-11 Yards and lot width.

A. 
No yard or other open space provided about any building for the purpose of complying with the provisions of this chapter shall be considered as providing a yard or open space for any other building.
B. 
All yard areas facing on a public street shall be considered as front yards and shall conform to the minimum front yard requirements for the particular zone.
C. 
Where a building lot has frontage upon a street, which on the Master Plan or Official Map of the Township of Egg Harbor or in the official plans of Atlantic County or of the State of New Jersey is contemplated for right-of-way widening, the required front yard shall be measured from such proposed future right-of-way.
D. 
The width of any lot measured at the front property line coexistent with a street line shall be no less than 2/3 of the minimum required lot width as set forth in the schedule.
E. 
Every part of a required yard shall be open and unobstructed from its lowest level to the sky, except for the ordinary projections allowed by the State Uniform Construction Code, including but not limited to sills, belt courses, chimneys, flues, buttresses, ornamental features and eaves; provided, however, that none of the aforesaid projections shall project into the minimum required yards more than 24 inches, unless otherwise permitted by this chapter. Unroofed entrance porches or terraces, which do not rise above the height of the floor level of the ground floor, may extend into any yard, provided that the total area of all such porches, which extend into such yards, does not exceed 1,000 square feet.
[Added 6-8-1994 by Ord. No. 25-1994]

§ 225-12 Accessory buildings.

A. 
An accessory building attached to the principal building shall comply in all respects with the yard requirements of this chapter in respect to the principal building. Detached accessory buildings shall be located to the rear of the front building line of the principal building and shall conform to the yard requirements in respect to accessory buildings as set forth in the schedule.
B. 
No garage that is an accessory use to a residential building in any zone shall be used for living quarters wherein said garage is detached from the main living quarters of the main house.[1]
[1]
Editor's Note: Former Subsection C, which pertained to the keeping of horses, cows and sheep and which immediately followed this subsection, was redesignated 2-24-1993 by Ord. No. 9-1993 as § 225-17C.

§ 225-13 Lot development.

A. 
No lot shall have erected upon it more than one principal single-family residential building. Within the Pinelands Area, no more than one principal use shall be located on any one lot, except for forestry, agriculture, fish and wildlife management, wetlands management, and recreational development on agricultural lands. Outside the Pinelands Area, multiple permitted principal uses are permitted in the commercial and industrial zoning districts as long as approval is granted in accordance with Article XI of this chapter.
[Amended 7-14-1993 by Ord. No. 30-1993; 6-20-2012 by Ord. No. 27-2012; 12-18-2013 by Ord. No. 44-2013]
B. 
(Reserved)[1]
[1]
Editor's Note: Former Subsection B, concerning exemption from area and lot dimension requirements for preexisting, undersize lots, was repealed 4-24-2002 by Ord. No. 20-2002.
C. 
The area of a lot shall include only land areas above mean high tide sea level. Further, no land area within a public right-of-way, regardless of deed description, shall be included as part of the lot area.
D. 
All land classified as floodplain and/or tidelands as shown on United States Department of Agriculture Soils Surveys of Egg Harbor and/or Department of Environmental Protection Water Policy Maps shall require Environmental Protection Agency development approval prior to issuance of a building permit for affected lands.
E. 
All private schools, as defined herein by § 225-3, shall be located on a lot of no less than five acres and shall have direct access to a street classified as other than a local street in the adopted Master Plan of Egg Harbor Township. Further, all private schools shall comply, where applicable, to the New Jersey Department of Education standards for public schools.
[Added 5-23-1984 by Ord. No. 17-1984]
F. 
Prior to the issuance of a permit for the erection of any building or structure, the permit applicant must demonstrate to the satisfaction of the Construction Official that the lot abuts a public street which meets the requirements of N.J.S.A. 40:55D-35. In addition, such street shall have been certified to be suitably improved in accordance with § 94-46 of the Egg Harbor Township Code for a distance which corresponds to the required minimum lot width for the zone in which the lot is located, or to the driveway for the proposed structure, whichever is greater. In lieu of the street improvement, the applicant may post a performance guaranty in accordance with N.J.S.A. 40:55D-35 to ensure the required road improvements.
[Added 5-10-2000 by Ord. No. 16-2000]

§ 225-14 Signs.

A. 
The limitations on signs as set forth for the various zones by this chapter shall not apply to any sign or directional device erected by the federal, state, county or Township government, or agency thereof, nor to any "no trespassing" sign erected in accordance with the applicable statutes of the State of New Jersey.
B. 
The limitations on sign location and area as set forth by this chapter for the business and light industry zones shall not apply to parking lot markers, directional signs and entrance and exit signs which are erected on the premises, provided that each such sign does not exceed two square feet in area and does not contain any advertising of the use on the premises, and further provided that the number and location of said signs are approved by the Planning Board.

§ 225-14.1 Fences.

[Added 10-11-2006 by Ord. No. 51-2006]
The following provisions shall not apply to the required screening of storage or similar areas for business or industrial uses:
A. 
The installation of any fence, except for a living hedge, shall require the submission of an application and procurement of a permit from the Zoning Officer in accordance with the requirements of this section.
B. 
All applications for a fence permit shall be accompanied by a drawing of the proposed fence design which meets the following standards and provides the following information:
(1) 
The drawing shall be neatly and accurately drawn at an appropriate scale of not more than 20 feet to the inch.
(2) 
The drawing shall show all dimensions and shall be clearly labeled.
(3) 
The drawing shall include the location of any and all underground utilities on the affected property.
C. 
Fences may be erected, altered or reconstructed to a height not to exceed four feet above ground level when located within 25 feet of a right-of-way. When located more than 25 feet from a right-of-way, fences shall not exceed a height of six feet.
D. 
Fences located within 25 feet of a right-of-way shall be constructed in such a manner as to provide at least fifty-percent open space.
E. 
Fences on lagoon properties shall be constructed with fifty-percent open space for a minimum distance of at least 15 feet from any bulkhead or rear property line along the side line or side yard of any residential lot so as not to obstruct the view of the lagoon. The entire rear line or rear yard fence shall also be fifty-percent open. All living fences and hedges shall adhere to the above-stated fifteen-foot side line regulations and shall not be constructed (planted) in a continuous manner.
F. 
The foregoing restrictions shall not be applied so as to prevent the erection of an open wire fence not exceeding eight feet above ground level anywhere within a public park, public playground, school premises or commercial zone.
G. 
All fences must be erected within the property lines, and no fences shall be erected so as to encroach upon adjacent properties or public rights-of-way. Fence gates shall be designed to prevent the open swing of the gate from encroaching upon adjacent properties or public rights-of-way.
H. 
All fences must be constructed with the face, or finished side, away from the property and the structural side toward the interior of the lot(s) on which it is erected.
I. 
All fencing shall be in conformance with the requirements for visibility at intersections listed in § 225-15 of this chapter.
J. 
Living fences, hedges or screen plantings shall be planted no closer than three feet to a property line and shall be maintained in a neatly trimmed condition on the property so planted.
K. 
All fences and walls shall be maintained in a safe, sound and upright condition.
L. 
If the Zoning Officer, upon inspection, determines that any fence or portion thereof is not being maintained in a safe, sound or upright condition, he shall notify the owner of such fence, in writing, of his findings and state briefly the reasons for such findings and order such fence repaired or removed within 30 days of the date of the written notice.
M. 
Fencing may not be erected in any yard if it acts to inhibit access to Township fire, police and emergency medical services.
N. 
These restrictions shall not be applied so as to restrict the erection of a wall for the purpose of retaining earth.
O. 
These restrictions shall not be applied so as to restrict the erection, alteration or reconstruction of fences used in connection with farms and farm operations except insofar as such fences might affect the public safety.
P. 
Temporary fences such as snow fences, expandable fences, collapsible fences, canvas and cloth fences may be permitted upon a determination by the Zoning Officer that such fencing is necessary to inhibit the dispersal of airborne material during construction activity.
Q. 
The following fences are prohibited in all residential districts except when constructed as per Subsection O above:
(1) 
Barbed wire.
(2) 
Razor wire.
(3) 
Electric.
(4) 
Other similar type fences.
R. 
Adequate fences and other safety devices must be provided as may be required. Fences, when used to enclose public utility facilities, shall be built in accordance with the applicable requirements of the New Jersey Board of Public Utilities Commissioners and the National Electrical Code in effect at the time of construction, and such fences may not exceed a maximum height of 15 feet above grade.
[Added 7-21-2021 by Ord. No. 28-2021]

§ 225-15 Sight triangles.

At the intersection or interception of two or more streets, no new hedge, fence or wall, other than a single post or tree not exceeding one square foot in cross-section area, which is higher than three feet above curb level, nor any obstruction to vision, shall be permitted in the triangular area formed by the intersecting street lines and a line joining points each 25 feet distant from said intersection along said street lines.

§ 225-16 Outdoor selling or storage.

Commercial uses in the business zones may display goods for sales purposes or store goods for sale on the premises outside of the principal structure in which such use is carried on, provided that such outdoor selling or storage areas shall not encroach upon any of the required yard areas or the required off-street parking areas for the zone in which located, and further provided that the area set aside for such outdoor selling or storage shall not exceed an area equal to the gross area of the ground floor of the principal building. In calculation of the percentage area, the area of such outdoor selling or storage areas shall be included in the same manner as the area of the principal building. The area to be used for any such outdoor selling or storage areas shall be appropriately set forth at the time of application for a zoning permit. Any subsequent establishment or relocation of such areas shall be subject to the issuance of a supplementary zoning permit.

§ 225-17 Keeping of horses.

A. 
No horse training corral or barnyard for the keeping or training of riding horses for hire shall be permitted to be located or established within 250 feet of any existing private dwelling not located on the lot used for the aforesaid purposes, the further provided that no more than two horses per acre shall be pastured or stabled at the premises.
B. 
Keeping of horses shall be permitted as an accessory use in the RA, R-1, R-1 (PUD) and R-2 Residential Districts. No more than two horses per acre shall be permitted on such parcel of land, and further provided that no horses shall be permitted on a lot of less than 20,000 square feet.
C. 
The keeping of horses, cows and sheep on a lot whose principal use is a single-family dwelling shall be permitted in any zone, provided that the lot area is 40,000 square feet or more, except as permitted in § 225-17B, and that no more than two such animals are kept at the premises and that a barn or shed to house such animals is not less than 50 feet from any lot line.
[Added 2-24-1993 by Ord. No. 9-1993]

§ 225-18 Prohibited uses.

The following uses and activities are specifically prohibited in all zones of Egg Harbor Township:
A. 
The use of a lot in any zone primarily for the storage of bulk oil or gasoline above the ground.
B. 
The business of selling used lumber, building materials and defunct motor vehicles or parts thereof; the storage of used lumber and building materials.
[Amended 12-23-1996 by Ord. No. 42-1996]
C. 
Junkyards, automobile wrecking yards or disassembly yards or the sorting or baling of scrap metal, paper, rags or other scrap material.
D. 
Any use which emits excessive or objectionable amounts of dust, fumes, noise, odor, smoke, vibration or waste products.
E. 
Gravel pits or sand mines.
F. 
Dismantling of motor vehicles and/or machinery by burning.
G. 
Piggeries or the business of raising pigs.
H. 
The manufacture of explosives, volatile chemicals or any uses which would produce similar hazard or nuisance, such as but not limited to the following industrial uses:
Abattoir
Acetylene gas manufacture and/or storage
Acid manufacture (hydrochloric, nitric, acrid, sulfuric, sulfonic, carbolic)
Ammonia, bleaching powder or chlorine manufacture
Arsenal
Asphalt manufacture or refining
Blast furnace
Blooming mill
Celluloid manufacture
Coal distillation
Coke ovens
Creosote treatment or manufacture
Dead animal and offal reduction
Distillation of bones, coal, petroleum, refuse grain or wood
Distillation of tar
Explosives, fireworks and gun powder manufacture or storage
Fat rendering
Fertilizer manufacture
Forge plant
Incineration, reduction, storage or dumping of slaughterhouse refuse, rancid fats, garbage, dead animals or offal
Lime, gypsum, plaster of paris manufacture
Oil cloth or linoleum manufacture
Ore reduction
Petroleum or kerosene refining, distillation or derivation of by products and/or storage
Potash works
Rolling mill
Rubber treatment or reclaiming plant
Signs or similar devices which move or have moving parts or moving lights or any light or part simulating movement
Steel furnace
Stockyards
Use of any premises or building in such a manner that the health, morals, safety or welfare of the community may be endangered

§ 225-19 Topsoil.

No persons, firm or corporation shall strip, excavate or otherwise remove topsoil for sale or for use other than on the premises from which the same shall be taken except in connection with the construction or alteration of a building on such premises and excavating or grading incidental thereto.

§ 225-20 Temporary structures.

[Amended 11-2-2022 by Ord. No. 40-2022]
A. 
No motor vehicle truck bodies, bus bodies or other temporary structures shall be placed on any lot or lots in any zone for any purpose whatsoever except during the period of construction of a principal building on the same lot or lots.
B. 
All basketball hoops and backboards in front yard areas shall be permitted on the front of the building or on a pole on the driveway only. Permanent basketball poles shall be located no closer than 10 feet to any property line.
C. 
No sporting equipment of any type is permitted to be within the public streets, highways and/or rights-of-way within the Township.

§ 225-21 Expiration of variances. [1]

[Added 5-28-2008 by Ord. No. 18-2008]
Any variance from the terms of this chapter hereafter granted permitting the erection or alteration of any structure or structures, or permitting a specified use of any premises, shall expire by limitation unless such construction or alteration shall have been actually commenced on each and every structure permitted by said variance, or unless such permitted use has actually been commenced, within 18 months from the date of entry of the judgment or determination of the Board; except, however, that the running of the period of limitation herein provided shall be tolled from the date of filing an appeal from the decision of the Board to a court of competent jurisdiction, until the termination in any manner of such appeal or proceeding.
[1]
Editor's Note: Former § 225-21, Letters of interpretation and zoning fees, added 8-13-1997 by Ord. No. 32-1997, as amended 10-22-1997 by Ord. No. 47-1997, was repealed 11-23-1999 by Ord. No. 46-1999.

§ 225-22 Public utility installations.

[Amended 2-24-1993 by Ord. No. 9-1993; 7-14-1993 by Ord. No. 30-1993]
Public utility installations, public services, distribution lines and mains, and substations less than 400 square feet in floor area, but not including equipment material storage yards and maintenance facilities, shall be permitted uses in all zoning districts, subject to applicable state and federal regulations.

§ 225-23 Applicability to Township.

Regardless of whether the Township or any duly constituted board, agency or department thereof is acting in or pursuant to the performance of a governmental function carrying out a legislative mandate or in the exercise of its private right as a corporate body, any municipally owned, operated or controlled building, structure, facility or use, either existing or proposed, shall be permitted in any class of zone, it being the intention that whatever the Township may be authorized to do shall constitute a function of government and that whenever the Township shall act pursuant to granted authority, it acts as government and not as a private entrepreneur.

§ 225-24 Performance standards.

[Amended 2-24-1993 by Ord. No. 9-1993]
Uses shall comply with performance standards set forth in Article X of this chapter and all relevant design and performance standards set forth in Chapter 94 of the Township Code.

§ 225-25 Site plan requirements.

[Amended 12-8-1982 by Ord. No. 71-1982; 2-23-1983 by Ord. No. 5-1983; 10-8-1986 by Ord. No. 39-1986; 2-24-1993 by Ord. No. 9-1993]
A. 
A site plan shall be required in accordance with the procedures, conditions and regulations as set forth in Article XI of this chapter for all buildings except single-family dwellings, two-family dwellings, farm buildings or for such accessory uses as a private garage, private swimming pool or toolhouse. A site plan shall be required for the land disturbance of any area in excess of 5,000 square feet for the purpose of excavation, soil removal, site clearing or filling of land contemplated for development, excluding agricultural purposes. Additions to residential uses for professional home offices shall require site plan approval. All volunteer fire companies, ambulance and rescue squads of the Township of Egg Harbor shall not have to satisfy site plan requirements.
B. 
No development involving the use of Pinelands development credits shall be approved until the developer has provided the Commission and the approving authority with evidence of his ownership and redemption of the requisite Pinelands development credits; provided, however, that the approving authority may grant general development plan, preliminary subdivision or site plan approval conditioned upon such evidence being presented as a prerequisite to final subdivision or site plan approval. For such a final subdivision or site plan, the developer shall provide evidence of Pinelands development credit ownership and redemption to secure the same proportion of lots or residential units as was approved for Pinelands development credit use in the preliminary approval or, as appropriate, the general development plan. Notification of any such development approval shall be made to the Pinelands Commission pursuant to § 225-53.4 and to the New Jersey Pinelands Development Credit Bank in accordance with N.J.A.C. 3:42-3. Redemption of the requisite Pinelands development credits shall occur in accordance with N.J.A.C. 3:42-3.6, prior to the memorialization of the resolution granting final subdivision or site plan approval or, if no such approval is required, prior to the issuance of any construction permits.
[Amended 5-23-2001 by Ord. No. 17-2001]

§ 225-25.1 Affordable housing development fees.

[Added 3-14-2007 by Ord. No. 11-2007; amended 12-22-2008 by Ord. No. 61-2008; 3-4-2026 by Ord. No. 7-2026]
A. 
Purpose. This section establishes standards for the collection, maintenance, and expenditure of development fees that are consistent with the amended Fair Housing Act (P.L. 2024, c. 2), N.J.A.C. 5:99, and the Statewide Non-Residential Development Fee Act N.J.S.A. 40:55D-8.1 through 40:55D-8.7. Fees collected pursuant to this section shall be used for the sole purpose of providing very-low-, low- and moderate-income housing in accordance with a Court-approved Spending Plan.
B. 
Basic requirements.
(1) 
The municipality previously adopted a Development Fee Ordinance, which established the municipal Affordable Housing Trust Fund.
(2) 
The municipality shall not spend development fees until the court has approved a Spending Plan for spending such fees.
C. 
Definitions. As used herein the following terms shall have the following meanings:
ACT
Means the New Jersey Fair Housing Act, N.J.S.A. 52:27D-301 et seq.
ADAPTABLE
Means constructed in compliance with the technical design standards of the Barrier Free Subcode adopted by the Commissioner of Community Affairs pursuant to the "State Uniform Construction Code Act," P.L. 1975, c. 217 (N.J.S.A. 52:27D-119 et seq.) and in accordance with the provisions of section 5 of P.L. 2005, c. 350 (N.J.S.A. 52:27D-123.15).
ADMINISTRATIVE AGENT
Means the entity approved by the Division responsible for the administration of affordable units, in accordance with N.J.A.C. 5:99-7, and UHAC at N.J.A.C. 5:80-26.15.
AFFORDABILITY ASSISTANCE
Means the use of funds to render housing units more affordable to low- and moderate-income households and includes, but is not limited to, down payment assistance, security deposit assistance, low-interest loans, rental assistance, assistance with homeowner's association or condominium fees and special assessments, common maintenance expenses, and assistance with emergency repairs and rehabilitation to bring deed-restricted units up to code, pursuant to N.J.A.C. 5:99-2.5.
AFFORDABLE HOUSING DEVELOPMENT
Means a development included in a municipality's housing element and fair share plan, and includes, but is not limited to, an inclusionary development, a municipally sponsored affordable housing project, or a 100% affordable development. This includes developments with affordable units on-site, off-site, or provided as a payment in-lieu of construction only if such a payment-in-lieu option has been previously approved by the Program or Superior Court as part of the HEFSP. Payments in lieu of construction were invalidated per P.L. 2024, c. 2.
AFFORDABLE HOUSING MONITORING SYSTEM or AHMS
Means the Department's cloud-based software application, which shall be the central repository for municipalities to use for reporting detailed information regarding affordable housing developments, affordable housing unit completions, and the collection and expenditures of funds deposited into the municipal Affordable Housing Trust Fund.
AFFORDABLE HOUSING TRUST FUND or AHTF
Means that non-lapsing, revolving trust fund established in DCA pursuant to N.J.S.A. 52:27D-320 and N.J.A.C. 5:43 to be the repository of all State funds appropriated for affordable housing purposes. All references to the "Neighborhood Preservation Nonlapsing Revolving Fund" and "Balanced Housing" mean the AHTF.
BARRIER-FREE ESCROW
Means the holding of funds collected to adapt affordable unit entrances to be accessible in accordance with N.J.S.A. 52:27D-311a et seq. Such funds shall be held in a municipal affordable housing trust fund pursuant to N.J.A.C. 5:99-2.6.
CONSTRUCTION
Means new construction and additions, but does not include alterations, reconstruction, renovations, conversion, relocation, or repairs, as those terms are defined in the State Uniform Construction Code promulgated pursuant to the State Uniform Construction Code Act, P.L. 1975, c. 217 (N.J.S.A. 52:27D-119 et seq.).
DEVELOPER
Means the legal or beneficial owner or owners of a lot or of any land proposed to be included in a proposed development, including the holder of an option or contract to purchase, or other person having an enforceable proprietary interest in such land.
DEVELOPMENT
Means the division of a parcel of land into two or more parcels, the construction, reconstruction, conversion, structural alteration, relocation, or enlargement of any building or other structure, or of any mining, excavation, or landfill, and any use or change in the use of any building or other structure, or land or extension of use of land, for which permission may be required pursuant to the Municipal Land Use Law, N.J.S.A. 40:55D-1 et seq.
DEVELOPMENT FEE
Means money paid by a developer for the improvement of residential and non-residential property as permitted pursuant to N.J.S.A. 52:27D-329.2 and 40:55D-8.1 through 40:55D-8.7 and N.J.A.C. 5:99-3.
DIVISION
Means the Division of Local Planning Services within the Department of Community Affairs.
EMERGENT OPPORTUNITY
Means a circumstance that has arisen whereby affordable housing will be able to be produced through a delivery mechanism not originally contemplated by or included in a fair share plan that has been the subject of a compliance certification.
EQUALIZED ASSESSED VALUE or EAV
Means the assessed value of a property divided by the current average ratio of assessed to true value for the municipality in which the property is situated, as determined in accordance with Sections 1, 5, and 6 at P.L. 1973, c. 123 (N.J.S.A. 54:1-35a, 54:1-35b, and 54:1-35c). Estimates at the time of building permit may be obtained by the tax assessor using construction cost estimates. Final EAV shall be determined at project completion by the municipal assessor.
FHA
Means the New Jersey Fair Housing Act, N.J.S.A. 52:27D-301 et seq.
INCLUSIONARY DEVELOPMENT
Means a residential housing development in which a substantial percentage of the housing units are provided for a reasonable income range of low- and moderate-income households.
LOW-INCOME HOUSEHOLD
Means a household with a household income equal to 50% or less of the regional median income.
LOW-INCOME UNIT
Means a restricted unit that is affordable to a low-income household.
MIXED USE DEVELOPMENT
Means any development that includes both a non-residential development component and a residential development component, and shall include developments for which: (1) there is a common developer for both the residential development component and the non-residential development component, provided that for purposes of this definition, multiple persons and entities maybe considered a common developer if there is a contractual relationship among them obligating each entity to develop at least a portion of the residential or non-residential development, or both, or otherwise to contribute resources to the development; and (2) the residential and non-residential developments are located on the same lot or adjoining lots, including, but not limited to, lots separated by a street, a river, or another geographical feature.
MODERATE-INCOME HOUSEHOLD
Means a household with a household income in excess of 50% but less than 80% of the regional median income.
MODERATE-INCOME UNIT
Means a restricted unit that is affordable to a moderate-income household.
MUNICIPAL AFFORDABLE HOUSING TRUST FUND
Means a separate, interest-bearing account held by a municipality for the deposit of development fees, payments in lieu of constructing affordable units on sites zoned for affordable housing previously approved prior to March 20, 2024 (per P.L. 2024, c. 2), barrier-free escrow funds, recapture funds, proceeds from the sale of affordable units, rental income, repayments from affordable housing program loans, enforcement fines, unexpended RCA funds remaining from a completed RCA project, application fees, and any other funds collected by the municipality in connection with its affordable housing programs, which shall be used to address municipal low- and moderate-income housing obligations within the time frames established by the Legislature and this chapter.
MUNICIPAL DEVELOPMENT FEE ORDINANCE
Means an ordinance adopted by the governing body of a municipality that authorizes the collection of development fees.
MUNICIPAL HOUSING LIAISON or MHL
Means an appointed municipal employee who is, pursuant to N.J.A.C. 5:99-6, responsible for oversight and/or administration of the affordable units created within the municipality.
NEW CONSTRUCTION
Means the creation of a new housing unit under regulation by a code enforcement official regardless of the means by which the unit is created. Newly constructed units are evidenced by the issuance of a certificate of occupancy and may include new residences created through additions and alterations, adaptive reuse, subdivision, or conversion of existing space, and moving a structure from one location to another.
NEW JERSEY AFFORDABLE HOUSING TRUST FUND
Means an account established pursuant to N.J.S.A. 52:27D-320.
NON-RESIDENTIAL DEVELOPMENT
Means:
(1) 
Any building or structure, or portion thereof, including, but not limited to, any appurtenant improvements, which is designated to a use group other than a residential use group according to the State Uniform Construction Code, N.J.A.C. 5:23, promulgated to effectuate the State Uniform Construction Code Act, N.J.S.A. 52:27D-119 et seq., including any subsequent amendments or revisions thereto;
(2) 
Hotels, motels, vacation timeshares, and child-care facilities; and
(3) 
The entirety of all continuing care facilities within a continuing care retirement community which is subject to the Continuing Care Retirement Community Regulation and Financial Disclosure Act, N.J.S.A. 52:27D-330 et seq.
NON-RESIDENTIAL DEVELOPMENT FEE
Means the fee authorized to be imposed pursuant to N.J.S.A. 40:55D-8.1 through 40:55D-8.7.
PAYMENT IN LIEU OF CONSTRUCTING AFFORDABLE UNITS
Means the prior approval of the payment of funds to the municipality by a developer when affordable units are were not produced on a site zoned for an inclusionary development. The statutory permission for payments in lieu of constructing affordable units was eliminated per P.L. 2024, c. 2.
RECREATIONAL FACILITIES AND COMMUNITY CENTERS
Mean any indoor or outdoor buildings, spaces, structures, or improvements intended for active or passive recreation, including, but not limited to, ballfields, meeting halls, and classrooms, accommodating either organized or informal activity.
RESIDENTIAL DEVELOPMENT FEE
Means money paid by a developer for the improvement of residential property as permitted pursuant to N.J.S.A. 52:27D-329.2 and N.J.A.C. 5:99-3.2.
SPENDING PLAN
Means a method of allocating funds contained in an affordable housing trust fund account, which includes, but is not limited to, development fees collected and to be collected pursuant to an approved municipal development fee ordinance, or pursuant to N.J.S.A. 52:27D-329.1 et seq., for the purpose of meeting the housing needs of low- and moderate-income individuals.
UHAC
Means the Uniform Housing Affordability Controls set forth at N.J.A.C. 5:80-26.
VERY-LOW-INCOME HOUSEHOLD
Means a household with a household income less than or equal to 30% of the regional median income.
VERY-LOW-INCOME UNIT
Means a restricted unit that is affordable to a very-low-income household.
D. 
Residential development fees.
(1) 
Imposed fees.
(a) 
Residential developers, except for developers of the types of development specifically exempted below, shall pay a fee of 1.5% of the equalized assessed value for residential development, provided no increased density is permitted. Development fees shall also be imposed and collected when an additional dwelling unit is added to an existing residential structure; in such cases, the fee shall be calculated based on the increase in the equalized assessed value of the property due to the additional dwelling unit.
(b) 
When an increase in residential density is permitted pursuant to a "d" variance granted under N.J.S.A. 40:55D-70d(5), developers shall be required to pay a "bonus" development fee of 6.0% of the equalized assessed value for each additional unit that may be realized, except that this provision shall not be applicable to a development that will include affordable housing. If the zoning on a site has changed during the two-year period preceding the filing of such a variance application, the base density for the purposes of calculating the bonus development fee shall be the highest density permitted by right during the two-year period preceding the filing of the variance application.
Example: If an approval allows four units to be constructed on a site that was zoned for two units, the fees could equal 1.5% of the equalized assessed value on the first two units; and the specified higher percentage of 6% of the equalized assessed value for the two additional units, provided zoning on the site has not changed during the two-year period preceding the filing of such a variance application.
(2) 
Eligible exactions, ineligible exactions and exemptions for residential development.
(a) 
Affordable housing developments, developments where the developer is providing for the construction of affordable units elsewhere in the municipality, and developments where the developer has made an eligible payment in lieu of on-site construction of affordable units, if permitted by ordinance, or by agreement with the municipality and if approved by a municipality prior to the statutory elimination of payments in-lieu on March 20, 2024, per P.L. 2024, c. 2, shall be exempt from development fees.
(b) 
Developments that have received preliminary or final site plan approval prior to the adoption of this ordinance and any preceding ordinance permitting the collection of development fees shall be exempt from the payment of development fees, unless the developer seeks a substantial change in the original approval. Where a site plan approval does not apply, the issuance of a zoning and/or building permit shall be synonymous with preliminary or final site plan approval for the purpose of determining the right to an exemption. In all cases, the applicable fee percentage shall be determined based upon the development fee ordinance in effect on the date that the building permit is issued.
(c) 
The expansion or improvement of an existing residential structure shall be exempt from any development fee requirement.
(d) 
Other development shall be exempt from any development fee required to the extent provided by the terms of any order entered by the Superior Court of New Jersey.
(e) 
No development fee shall be collected for the demolition and replacement of a residential building resulting from a fire, flood, or a natural disaster.
E. 
Non-residential development fees.
(1) 
Imposition of fees.
(a) 
Within all zoning districts, non-residential developers, except for developers of the types of development specifically exempted, shall pay a fee equal to 2.5% of the equalized assessed value of the land and improvements, for all new non-residential construction on an unimproved lot or lots.
(b) 
Within all zoning districts, non-residential developers, except for developers of the types of development specifically exempted, shall also pay a fee equal to 2.5% of the increase in equalized assessed value resulting from any additions to existing structures to be used for non-residential purposes.
(c) 
Development fees shall be imposed and collected when an existing structure is demolished and replaced. The development fee of 2.5% shall be calculated on the difference between the equalized assessed value of the pre-existing land and improvements and the equalized assessed value of the newly improved structure; i.e., land and improvements; and such calculation shall be made at the time a final certificate of occupancy is issued. If the calculation required under this section results in a negative number, the non-residential development fee shall be zero.
(2) 
Eligible exactions, ineligible exactions and exemptions for non-residential development.
(a) 
The non-residential portion of a mixed-use inclusionary or market-rate development shall be subject to a 2.5% development fee, unless otherwise exempted below.
(b) 
The 2.5% fee shall not apply to an increase in equalized assessed value resulting from alterations, change in use within existing footprint, reconstruction, renovations and repairs.
(c) 
Non-residential developments shall be exempt from the payment of non-residential development fees in accordance with the exemptions required pursuant to the Statewide Non-Residential Development Fee Act (N.J.S.A. 40:55D-8.1 through 40:55D-8.7), as specified in Form N-RDF "State of New Jersey Non-Residential Development Certification/Exemption." Any exemption claimed by a developer shall be substantiated by that developer.
(d) 
A developer of a non-residential development exempted from the non-residential development fee pursuant to the Statewide Non-Residential Development Fee Act shall be subject to the fee at such time as the basis for the exemption no longer applies, and shall make the payment of the non-residential development fee, in that event, within three years after that event or after the issuance of the final certificate of occupancy of the non-residential development, whichever is later.
(e) 
If a property that was exempted from the collection of a non-residential development fee thereafter ceases to be exempt from property taxation, the owner of the property shall remit the fees required pursuant to this section within 45 days of the termination of the property tax exemption. Unpaid non-residential development fees under these circumstances may be enforceable by the municipality as a lien against the real property of the owner.
(f) 
Other development shall be exempt from any development fee required to the extent provided by the terms of any order entered by the Superior Court of New Jersey.
F. 
Collection procedures.
(1) 
Upon the granting of a preliminary, final or other applicable approval for a development, the applicable approving authority shall direct its staff to notify the construction official responsible for the issuance of a building permit.
(2) 
For non-residential developments only, the developer shall also be provided with a copy of Form N-RDF, "State of New Jersey Non-Residential Development Certification/Exemption," to be completed by the developer as per the instructions provided in the Form N-RDF. The construction official shall verify the information submitted by the non-residential developer as per the instructions provided on Form N-RDF. The tax assessor shall verify exemptions and prepare estimated and final assessments as per the instructions provided in Form N-RDF.
(3) 
The construction official responsible for the issuance of a building permit shall notify the tax assessor of the issuance of the first construction permit for a development that is subject to a development fee.
(4) 
Within 90 days of receipt of that notice, the tax assessor shall provide an estimate, based on the plans filed, of the equalized assessed value of the development.
(5) 
The construction official responsible for the issuance of a final certificate of occupancy shall notify the tax assessor of any and all requests for the scheduling of a final inspection on property that is subject to a development fee.
(6) 
Within 10 business days of a request for the scheduling of a final inspection, the tax assessor shall confirm or modify the previously estimated equalized assessed value of the improvements associated with the development; calculate the development fee; and thereafter notify the developer of the amount of the fee.
(7) 
Should the municipality fail to determine or notify the developer of the amount of the development fee within 10 business days of the request for final inspection, the developer may estimate the amount due and pay that estimated amount consistent with the dispute process set forth in Subsection b. of Section 37 of P.L. 2008, c. 46 (N.J.S.A. 40:55D-8.6).
(8) 
Fifty percent of the development fee shall be collected at the time of issuance of the construction permit. The remaining portion shall be collected at the time of issuance of the certificate of occupancy. The developer shall be responsible for paying the difference between the fee calculated at the time of issuance of the construction permit and that determined at the time of issuance of certificate of occupancy.
G. 
Appeal of development fees.
(1) 
A developer may challenge residential development fees imposed by filing a challenge with the County Board of Taxation. Pending a review and determination by that board, collected fees shall be placed in an interest-bearing escrow account by the municipality. Appeals from a determination of the board may be made to the Tax Court in accordance with the provisions of the State Tax Uniform Procedure Law, N.J.S.A. 54:48-1 et seq., within 90 days after the date of such determination. Interest earned on amounts escrowed shall be credited to the prevailing party.
(2) 
A developer may challenge non-residential development fees imposed by filing a challenge with the director of the Division of Taxation. Pending a review and determination by the director, which shall be made within 45 days of receipt of the challenge, collected fees shall be placed in an interest-bearing escrow account by the municipality. Appeals from a determination of the director may be made to the Tax Court in accordance with the provisions of the State Tax Uniform Procedure Law, N.J.S.A. 54:48-1 et seq., within 90 days after the date of such determination. Interest earned on amounts escrowed shall be credited to the prevailing party.
H. 
Affordable Housing Trust Fund.
(1) 
A separate, interest-bearing Municipal Affordable Housing Trust Fund shall be maintained by the chief financial officer of the municipality for the purpose of depositing development fees collected from residential and non-residential developers and proceeds from the sale of units with extinguished controls.
(2) 
The following additional funds shall be deposited in the Municipal Affordable Housing Trust Fund and shall at all times be identifiable by source and amount:
(a) 
Payments in lieu of on-site construction of an affordable unit, where previously permitted by ordinance or by agreement with the municipality and if approved by a municipality prior to the statutory elimination of payments in-lieu on March 20, 2024, per P.L. 2024, c. 2;
(b) 
Funds contributed by developers to make 10% of the adaptable entrances in a townhouse or other multistory attached dwelling unit development accessible;
(c) 
Rental income from municipally operated units;
(d) 
Repayments from affordable housing program loans;
(e) 
Recapture funds;
(f) 
Proceeds from the sale of affordable units; and
(g) 
Any other funds collected in connection with the municipal affordable housing program including but not limited to interest earned on fund deposits.
(3) 
The municipality shall provide the Division with written authorization, in the form of a tri-party escrow agreement(s) between the municipality, the Division and the financial institution in which the municipal Affordable Housing Trust Fund has been established to permit the Division to direct the disbursement of the funds as provided for in N.J.A.C. 5:99-2.1 et seq.
(4) 
Occurrence of any of the following deficiencies may result in the Division requiring the forfeiture of all or a portion of the funds in the municipal Affordable Housing Trust Fund:
(a) 
Failure to meet deadlines for information required by the Division in its review of a development fee ordinance;
(b) 
Failure to commit or expend development fees within four years of the date of collection in accordance with N.J.A.C. 5:99-5.5;
(c) 
Failure to comply with the requirements of the Non-Residential Development Fee Act and N.J.A.C. 5:99-3;
(d) 
Failure to submit accurate monitoring reports pursuant to this subchapter within the time limits imposed by the Act, this chapter, and/or the Division;
(e) 
Expenditure of funds on activities not approved by the Superior Court or otherwise permitted by law;
(f) 
Revocation of compliance certification or a judgment of compliance and repose;
(g) 
Failure of a municipal housing liaison or administrative agent to comply with the requirements set forth at N.J.A.C. 5:99-6, 5:99-7, and 5:99-8;
(h) 
Other good cause demonstrating that municipal affordable housing funds are not being used for an approved purpose.
(5) 
All interest accrued in the Housing Trust Fund shall only be used on eligible affordable housing purposes approved by the Court.
I. 
Use of funds.
(1) 
The expenditure of all funds shall conform to a Spending Plan approved by Superior Court. Funds deposited in the municipal Affordable Housing Trust Fund may be used for any activity approved by the Court to address the fair share obligation and may be set up as a grant or revolving loan program. Such activities include, but are not limited to: preservation or purchase of housing for the purpose of maintaining or implementing affordability controls; housing rehabilitation; new construction of affordable housing units and related costs; accessory apartments; a market-to-affordable program; conversion of existing non-residential buildings to create new affordable units; green building strategies designed to be cost-saving and in accordance with accepted national or state standards; purchase of land for affordable housing; improvement of land to be used for affordable housing; extensions or improvements of roads and infrastructure to affordable housing sites; financial assistance designed to increase affordability; administration necessary for implementation of the Housing Element and Fair Share Plan; and/or any other activity permitted by Superior Court and specified in the approved Spending Plan.
(2) 
Funds shall not be expended to reimburse the municipality or activities that occurred prior to the authorization of a municipality to collect development fees.
(3) 
At least a portion of all development fees collected and interest earned shall be used to provide affordability assistance to very-low-, low- and moderate-income households in affordable units included in the municipal Fair Share Plan. A portion of the development fees which provide affordability assistance shall be used to provide affordability assistance to very-low-income households.
(a) 
Affordability assistance programs may include down payment assistance, security deposit assistance, low-interest loans, rental assistance, assistance with homeowners' association or condominium fees and special assessments, infrastructure assistance, and assistance with emergency repairs. The specific programs to be used for affordability assistance shall be identified and described within the Spending Plan.
(b) 
Affordability assistance for very-low-income households may include producing very-low-income units or buying down the cost of low- or moderate-income units in the municipal Fair Share Plan to make them affordable to households earning 30% or less of median income.
(4) 
No more than 20% of all affordable housing trust funds, exclusive of those collected to fund an RCA prior to July 17, 2008, shall be expended on administration, including, but not limited to, salaries and benefits for municipal employees or consultants' fees necessary to develop or implement a new construction program, prepare and implement a Housing Element and Fair Share Plan, administer an Affirmative Marketing Program and for compliance with the Superior Court and the Program including the costs to the municipality of resolving a challenge.
J. 
Monitoring. On or before February 15 of each year, the municipality shall provide annual electronic data reporting of trust fund activity for the previous year from January 1 to December 31 through the AHMS Reporting System. This reporting shall include an accounting of all municipal Affordable Housing Trust Fund activity, including the sources and amounts of all funds collected and the amounts and purposes for which any funds have been expended. Such reporting shall include an accounting of development fees collected from residential and non-residential developers, previously eligible payments in lieu of constructing affordable units on site (if permitted by ordinance or by agreement with the municipality prior to the March 20, 2024, statutory elimination per P.L. 2024, c. 2), funds from the sale of units with extinguished controls, barrier-free escrow funds, rental income from municipally-owned affordable housing units, repayments from affordable housing program loans, interest and any other funds collected in connection with municipal housing programs, as well as an accounting of the expenditures of revenues and implementation of the Spending Plan approved by the Court.
K. 
Ongoing collection of fees.
(1) 
The ability to impose, collect and expend development fees shall continue so long as the municipality retains authorization from the Court in the form of Compliance Certification, or a Judgment of Compliance and Repose, or the good faith effort to obtain either one.
(2) 
If the municipality fails to renew its ability to impose and collect development fees prior to the expiration of its Compliance Certification or its Judgment of Compliance and Repose, it may be subject to forfeiture of any or all funds remaining within its Affordable Housing Trust Fund. Any funds so forfeited shall be deposited into the New Jersey Affordable Housing Trust Fund established pursuant to Section 20 of P.L. 1985, c. 222 (N.J.S.A. 52:27D-320).
L. 
Emergent affordable housing opportunities. Requests to expend affordable housing trust funds on emergent affordable housing opportunities not included in the municipal fair share plan shall be made to the Division and shall be in the form of a governing body resolution. Any request shall be consistent with N.J.A.C. 5:99-4.1.