West Amwell Township
City Zoning Code
City Zoning Code
PART 2
Fees, Inspections, Guarantees and Off-Tract Improvements
§ 109-5 Obligation to pay fees incurred during review.
A.
Applicants submitting the applications set forth herein shall pay such application fees as are due at the time of filing a submission, including all reasonable costs for professional services, including engineering, legal, planning, and other, incurred by the Township in connection with the review and approval by the Planning Board of the application set forth herein. Such professional services may be by Township consultants retained by the Township on a general basis or retained specially for an application by the board of jurisdiction or the Township. In conjunction with payment of such professional fees, the applicant shall make an escrow deposit in the amount and manner set forth herein and shall execute an escrow agreement in a form provided by the Township obligating the applicant to cover all necessary and reasonable costs incurred by the approving authority for technical and professional review of the application. The application fee is a flat fee to cover direct administrative expenses and is nonrefundable.
[Amended 12-27-2023 by Ord. No. 13-2023]
B.
When an applicant submits an application for informal review, it shall be the applicant's option to request professional review of the proposed development by executing an escrow agreement to cover the necessary and reasonable costs incurred by the approving authority for such a review.
C.
All escrow fees shall be maintained by the Township of West Amwell in a separate escrow account with all interest thereon to accrue to the Township.
D.
The amounts specified for the escrow fee are estimates, which shall be paid prior to certification of a complete application. In the event that an amount higher than that specified for escrow is required to pay the reasonable costs incurred, the applicant shall, prior to being permitted to take the next step in the approval procedure or, in any event, prior to obtaining occupancy permits for any element of the project, pay all additional sums required. In addition to these terms, the escrow agreement may include any additional terms which are agreed to by the applicant and the approving authority.
§ 109-6 Amount of fees and escrow deposits due.
A.
Each applicant shall, at the time of filing a submission with the Planning Board, submit to the Township Treasurer by certified check or money order the following sums as application fees and escrow deposits. Where one application for development includes more than one approval request, the sum of the individual required fees shall be paid. Upon presentation of payment as set forth above, the applicant/owner/agent will execute an escrow agreement (see Appendix A of this Part 2) as well as a memorandum of understanding (see Appendix B of this Part 2).[1]
[Amended by Ord. No. 92-05; Ord. No. 93-11; Ord. No. 98-11; Ord. No. 99-21; Ord. No. 01-10; 11-28-2012 by Ord. No. 19-2012; 11-20-2019 by Ord. No. 13-2019; 12-27-2023 by Ord. No. 13-2023]
Note: If an escrow account falls below 30% of the original amount, a request for additional funds will be made to bring the escrow account up to 50% of the original amount. |
Application | Fee | Escrow to be Deposited | |||
|---|---|---|---|---|---|
1. | Subdivision reviews | ||||
a. | Informal review | $500* | $1,500 | ||
*Will be credited towards fees for review if the applicant proceeds within 1 year of informal review | |||||
b. | Sketch plat or concept plan | $500 + $150 per lot | $1,500 + $250 per lot | ||
c. | Preliminary plat, major | $1,500 + $150 per lot or new dwelling unit | With previous sketch approval: $4,000 + $250 per lot Without previous sketch approval: $5,000 + $300 per lot | ||
d. | Final plat, major | $750 + $100 per lot or new dwelling unit | Final subdivision: $1,500 + $250 per lot With developer's agreement: additional $1,500 | ||
e. | Resubmittal of an application for preliminary or final major subdivision approval when applicant has submitted an incomplete application as deemed by the Planning Board | No further application fees required as applicant will be billed out of escrow account for any further review of an incomplete application | |||
f. | Minor subdivision | $750 + $150 per lot | $1,500 + $1,500 per lot | ||
g. | Extension of preliminary or final approval | — | $500 | ||
Tax Map maintenance fees. The following fees shall be paid by the applicant at the time of filing of the deeds of subdivision approval by the Planning Board of the Township of West Amwell for the cost of making updates and modifications to the Tax Maps of the Township of West Amwell relating to said applications: | |||||
Boundary line adjustment | $150 | $2,000 | |||
2-3 lots, including remaining land | $450 | $3,000 | |||
4-7 lots, including remaining land | $750 | $3,000 | |||
8-12 lots, including remaining land | $1,000 | $3,000 | |||
13-19 lots, including remaining land | $1,250 | $3,000 | |||
20 lots or more | $1,500 + $50 per lot in excess of 20 | $5,000 | |||
i. | Agricultural division of land | $100 | $2,000 + $250 per lot | ||
2. | Site plan reviews | ||||
a. | Informal review | $500* | $2,500 | ||
Informal review (100% agricultural use) | $100* | $2,500 | |||
* Will be credited towards fees for review if the applicant proceeds within 1 year of informal review | |||||
b. | Minor site plan | $500 | $3,000 | ||
Minor site plan (100% agricultural use) | $100 | $3,000 | |||
c. | Major site plans: | ||||
Preliminary plan | $1,500 + $150 per dwelling unit, or if nonresidential, $0.10 per square foot of new construction + $25 per acre of lot area | $3,000 + $250 per dwelling unit, or if nonresidential, the larger of $0.30 per square foot of building area or $250 per acre of lot area | |||
Preliminary plan (100% agricultural use) | $100 | $2,000 + $0.30 per square foot of agricultural building area | |||
Final plan | $750 | $2,000 + $100 per dwelling unit, or if nonresidential, the larger of $0.10 per square foot of building area or $100 per acre of lot area | |||
Final plan (100% agricultural use) | $100 | $1,500 + $0.10 per square foot of agricultural building area | |||
d. | Resubmittal of application for preliminary or final major subdivision approval where the applicant has submitted an application deemed incomplete by the Planning Board | No further application fees required as applicant will be billed out of escrow account for any review of an incomplete application | |||
e. | Extension of preliminary or final approval | — | $1,000 | ||
f. | Telecommunications installations: | ||||
If no new tower is proposed | $1,000 | $4,000 | |||
If a new tower is proposed | $2,000 | $10,000 | |||
3. | General development plan review | $2,500 + $150 per dwelling unit + $150 per nonresidential acre | $5,000 + $250 per dwelling unit + $250 per nonresidential acre | ||
4. | Conditional use | $500 plus applicable subdivision or site plan application fees | $2,000 plus applicable subdivision or site plan escrow deposit | ||
5. | Appeals or interpretations under N.J.S.A. 40:55D-70a and b | $250 | $1,500 | ||
6. | Request for rezoning | $500 | Initial escrow of $2,000 required; additional escrow to be established on a case-by-case basis with each individual request being reviewed by the Township professionals as to approximate cost prior to any action being taken | ||
7. | Variances* | ||||
*Add subdivision and site plan fees if applicable | |||||
a. | N.J.S.A. 40:55D-70c single- or two-family | $250 | $1,500 + $250 per variance | ||
All others | $500 | $1,500 + $250 per variance | |||
b. | N.J.S.A. 40:55D-70d | $1,000 | $2,500 per variance: commercial | ||
c. | N.J.S.A. 40:55D-70d | $200 | $1,500 per variance: residential | ||
8. | Permits under N.J.S.A. 40:55D-34 and 40:55D-36 | $250 | $1,500 | ||
9. | Boundary line agreement | $250 | $1,500 | ||
10. | List of persons within 200 feet of subject lots | $10 or $0.25 per name, whichever is greater | Not required | ||
11. | Special meetings | $750* | Each applicant who requests and obtains a special meeting in connection with any application for development or appeal shall post an additional escrow as required and determined by the administrative officer of the board upon consultation with board professionals | ||
* If requested by the applicant and approved by the board | |||||
[1]
Editor's Note: Appendixes A and B are included as attachments to this chapter.
B.
The per-lot fees and escrow deposits include newly created lots as well as the lots remaining.
[Amended 5-25-2011 by Ord. No. 9-2011]
C.
If final total square footage is unknown, fees and escrows shall be based upon the maximum floor area permitted under Part 4, Zoning, of this chapter.
D.
Development review fees for either subdivision or site plan applications may be proportioned to stages of submittals as approved by the Planning Board.
E.
If an applicant desires a certified court reporter, the cost of taking testimony and transcribing it and providing a copy of the transcript to the Township shall be at the expense of the applicant, who shall also arrange for the reporter's attendance.
F.
Any fees required by the Township for the witnessing of percolation tests and soil logs shall be in addition to the fees required herein.
§ 109-7 Waiver for lower-income housing.
Notwithstanding any other provision of this chapter, a waiver of all Township subdivision and site plan application fees and building permit and certificate of occupancy fees shall be granted by the approving Township agency for all housing units to be provided by the applicant for low- and moderate-income families.
§ 109-8 Accounting of escrow fees.
[Amended 12-27-2023 by Ord. No. 13-2023]
The Secretary of the Planning Board shall maintain an itemized account for each application and shall, upon request by the applicant, supply a copy of said accounting. All charges against any escrow account shall be made by voucher and shall be approved of by the Township Committee.
§ 109-9 Additional escrow deposits.
[Amended by Ord. No. 93-11; 12-27-2023 by Ord. No. 13-2023]
A.
The Township Treasurer shall periodically advise the Secretary of the Planning Board of the balance of all escrow accounts and when additional funds are required. It shall be the obligation of the Secretary of the Planning Board to notify the applicant of the amounts needed and to notify the approving authority of any refusal or failure to properly make the payments required.
B.
The escrow assessed with each application shall be replenished whenever the original escrow is reduced by charges against the account to 35% or less of the original amount. The Secretary of the Planning Board shall notify the applicant of the requirement to replenish the escrow and the applicant shall be requested to deposit up to 35% of the original escrow account. No further consideration, review, processing or inspection shall be performed by or on behalf of the Board until the additional escrow has been paid.
§ 109-10 Refund of escrow fees.
In the event that the amounts posted are more than those required, the excess funds shall be returned to the applicant within 60 days after the filing of the deed in the case of the minor subdivision; upon the completion and acceptance of any required improvements in the case of a major subdivision; upon the issuance of a certificate of occupancy in the case of a site plan; or effecting of the approval granted. In no event, however, shall the required application fees be refunded.
§ 109-11 Obligation to pay fees incurred.
Each applicant shall pay all reasonable costs for the municipal inspection of the constructed site and off-site improvements and shall execute an agreement in a form provided by the Township obligating itself to do so. An escrow fund will be established with the Township before construction begins, and such funds shall be used to pay the fee and costs of professional services employed by the Township to inspect the construction.
§ 109-12 Basis for fees.
An initial fee as given in the schedule below shall be deposited with the Township prior to the issuance of any construction permit. The basis for fees to be charged by the Township for inspection services shall be the same fee basis the Township uses to pay for Township-related projects. The estimated cost of improvements shall be calculated by the Township Engineer based on current competitive prices for similar work in the area.
§ 109-13 Fee schedule.
A.
Subdivisions.
Value of Improvements | Fee |
|---|---|
Under $10,000 | $100 plus 7% of value over $1,000 |
$10,000 to $50,000 | $700 plus 5% of value over $10,000 |
$50,000 to $100,000 | $3,100 plus 5% of value over $50,000 |
$100,000 to $200,000 | $5,600 plus 4 1/2% of value over $100,000 |
Over $200,000 | $10,000 plus 4% of value over $200,000 |
B.
Site plans, nonresidential: 2 1/2% of the total site improvements, excluding structures requiring building permits; minimum fee $100.
C.
Site plans, mixed residential and nonresidential: 4% of total site improvements, excluding structures requiring building permits.
D.
A monthly itemized bill for fees not paid from escrowed funds will be forwarded to the applicant when the escrow amount has been reduced to less than 30% of the amount initially deposited, it being the intent of this chapter that 30% of such amount be retained in the escrow account until the inspections are completed. Payment is due within 10 days of receipt of such bill. If the applicant has failed to pay inspection fees due, the Township may stop construction until such fees and penalties equal to an interest payment on unpaid bills of 1 1/2% per month plus Township legal fees and collection charges necessary to collect unpaid bills are paid. All unexpended escrow funds shall be returned to the applicant within a reasonable time after the Township Engineer certifies that the inspections have been completed.
E.
To escrow the initial cost of reviewing the grading plan, cost of inspection of stormwater management facilities during construction and final inspection prior to the issuance of a CO:
[Added 11-28-2012 by Ord. No. 17-2012[1]]
F.
Zoning fees.
[Added 11-18-2009 by Ord. No. 17-2009; amended 11-18-2009 by Ord. No. 27-2009; 12-30-2009 by Ord. No. 32-2009; 12-6-2017 by Ord. No. 9-2017]
(2)
Residential.
(a)
New single-family structure: $150.
(b)
COAH apartments (includes deed restriction recording fee): $400.
(c)
Multifamily attached dwelling (per unit): $125.
(d)
Mother-daughter dwellings (includes deed restriction recording fee): $400.
(e)
ECHO (Elder Cottage Housing Opportunity) unit (includes deed restriction recording fee): $400.
(f)
Additions, pole barns, garages, and patios: $75.
(g)
Home occupations: $75.
(h)
Barns (agricultural use): $50.
(i)
Decks, driveways, fences, finished basements, flag poles, fuel tanks, gazebos, generators, hot tubs, interior alterations, pools and pool houses, retaining walls, sheds, signs, solar panels, etc.: $50.
[Amended 3-6-2019 by Ord. No. 01-2019]
(j)
Clothing bins (\annually): $50.
[Added 3-6-2019 by Ord. No. 01-2019]
(k)
Accessory dwelling units (includes deed restriction recording fee): $400.
[Added 3-6-2019 by Ord. No. 01-2019]
§ 109-14 Purpose.
Improvement guarantees shall be provided to ensure the proper installation and maintenance of an on-site and on-tract improvement in accordance with the Township's development regulations and design standards.
§ 109-15 Application.
A.
Before recording of final subdivision plats or as a condition of final site plan approval, the approving authority may require and shall accept in accordance with the standards adopted by this chapter for the purpose of assuring the installation and maintenance of on-tract improvements:
(1)
The furnishing of a performance guarantee in favor of the municipality in an amount not to exceed 120% of the cost of installation, which cost shall be determined by the Municipal Engineer according to the method of calculations set forth in Section 15 of P.L. 1991, c. 256 (N.J.S.A. 40:55D-53.4), for improvements which the approving authority may deem necessary or appropriate, including: street, grading, pavement, gutters, curbs, sidewalks, street lighting, shade trees, surveyor's monuments, as shown on the final map and required by the Law, P.L. 1960, c. 141 (N.J.S.A. 46:23-9.9 et seq.),[1] water mains culverts, storm sewers, sanitary sewers or other means of sewage disposal, drainage structures, erosion control and sedimentation control devices, public improvements of open space and, in the case of site plans only, other on-site improvements and landscaping. The Municipal Engineer shall prepare an itemized cost estimate of the improvements covered by the performance guarantee, which itemized cost estimates shall be appended to each performance guarantee posted by the obligor.
[1]
Editor's Note: N.J.S.A. 46:23-9.7 to 46:23-9.16 were repealed by L. 2011, c. 217, § 2, effective 5-1-2012. See now N.J.S.A. 46:26B-1 et seq.
(2)
Provision for a maintenance guarantee to be posted with the governing body for a period not to exceed two years after final acceptance of the improvement, in an amount not to exceed 15% of the cost of the improvement, which costs shall be determined by the Municipal Engineer according to the method of calculation set forth in Section 15 of P.L. 1991, c. 258 (N.J.S.A. 40:55D-53.4). In the event that other governmental agencies or public utilities automatically will own the utilities to be installed or the improvements are covered by a performance or maintenance guarantee to another governmental agency, no performance or maintenance guarantee, as the case may be, shall be required by the municipality for such utilities or improvements.
B.
The time allowed for installation of the improvements for which the performance guarantee has been provided may be extended by the governing body by resolution. As a condition or as part of any such extension, the amount of any performance guarantee shall be increased or reduced, as the case may be, to an amount not to exceed 120% of the cost of the installation, which cost shall be determined by the Municipal Engineer according to the method of calculation set forth in Section 15 of P.L. 1991, c. 256 (N.J.S.A. 40:55D-53.4) as of the time of the passage of the resolution.
C.
If the required improvements are not completed or corrected in accordance with the performance guarantee, the obligor and surety, if any, shall be liable thereon to the municipality for the reasonable cost of the improvements not completed or corrected and the municipality may either prior to or after the receipt of the proceeds thereof complete such improvements. Such completion or correction of improvements shall be subject to the public bidding requirements of the Local Public Contract Law, P.L. 1971, c. 198 (N.J.S.A. 40A:11-1 et seq.).
D.
Upon substantial completion of all required street improvements (except for the top course) and appurtenant utility improvements, and the connection of same to the public system, the obligor may request of the governing body in writing, by certified mail addressed in care of the Municipal Clerk, that the Municipal Engineer prepare, in accordance with the itemized cost estimate prepared by the Municipal Engineer and appended to the performance guarantee pursuant to Subsection A hereof, a list of all uncompleted or unsatisfactory completed improvements. If such a request is made, the obligor shall send a copy of the request to the Municipal Engineer. The request shall indicate which improvements have been completed and which improvements remain uncompleted in the judgment of the obligor. Thereupon, the Municipal Engineer shall inspect all improvements covered by the obligor's request and shall file a detailed list and report, in writing, with the governing body, and shall simultaneously send a copy thereof to the obligor not later than 45 days after receipt of the obligor's request.[2]
E.
The list prepared by the Municipal Engineer shall state, in detail, with respect to each improvement determined to be incomplete or unsatisfactory, the nature and extent of the incompleteness of each incomplete improvement or the nature and extent of, and remedy for, the unsatisfactory state of each completed improvement determined to be unsatisfactory. The report prepared by the Municipal Engineer shall identify each improvement determined to be complete and satisfactory together with a recommendation as to the amount of reduction to be made in the performance guarantee relating to the completed and satisfactory improvement, in accordance with the itemized cost estimate prepared by the Municipal Engineer and appended to the performance guarantee pursuant to Subsection A(1) of this section.
F.
The governing body, by resolution, shall either approve the improvements determined to be complete and satisfactory by the Municipal Engineer, or reject any or all of these improvements upon the establishment in the resolution of cause for rejection, and shall approve and authorize the amount of reduction to be made in the performance guarantee relating to the improvements accepted, in accordance with the itemized cost estimate prepared by the Municipal Engineer and appended to the performance guarantee pursuant to Subsection A(1) of this section. This resolution shall be adopted not later than 45 days after receipt of the list and report prepared by the Municipal Engineer. Upon adoption of the resolution by the governing body, the obligor shall be released from all liability pursuant to its performance guarantee, with respect to those approved improvements, except for that portion adequately sufficient to secure completion or correction of the improvements not yet approved; provided that 30% of the amount of the total performance guarantee posted may be retained to ensure completion and acceptability of all improvement. For the purpose of releasing the obligor from liability pursuant to its performance guarantee, the amount of the performance guarantee attributable to each approved improvement shall be reduced by the total amount for each such improvement, in accordance with the itemized cost estimate prepared by the Municipal Engineer and appended to the performance guarantee pursuant to Subsection A(1) of this section, including any contingency factor applied to the cost of installation. If the sum of the approved improvements would exceed 70% of the total amount of the performance guarantee, then the municipality may retain 30% of the amount of the total performance guarantee to ensure completion and acceptability of all improvement, as provided above.
G.
If the Municipal Engineer fails to send or provide the list and report as requested by the obligor pursuant to Subsection D of this section within 45 days from receipt of the request, the obligor may apply to the court in a summary manner for an order compelling the Municipal Engineer to provide the list and report within a stated time and the cost of applying to the court, including reasonable attorney's fees, may be awarded to the prevailing party. If the governing body fails to approve or reject the improvements determined by the Municipal Engineer to be complete and satisfactory or reduce the performance guarantee for the complete and satisfactory improvements within 45 days from the receipt of the Municipal Engineer's list and report, the obligor may apply to the court in a summary manner for an order compelling, within a stated time, approval of the complete and satisfactory improvements and approval of a reduction in the performance guarantee for the approvable complete and satisfactory improvements in accordance with the itemized cost estimate prepared by the Municipal Engineer and appended to the performance guarantee pursuant to Subsection A(1) of this section; and the cost of applying to the court, including reasonable attorney's fees, may be awarded to the prevailing party.
H.
In the event that the obligor has made a cash deposit with the municipality or approving authority as part of the performance guarantee, then any partial reduction granted in the performance guarantee pursuant to this subsection shall be applied to the cash deposit in the same proportion as the original cash deposit bears to the full amount of the performance guarantee.[3]
I.
If any portion of the required improvements is rejected, the approving authority may require the obligor to complete or correct such improvements and, upon completion or correction, the same procedure of notification, as set forth in this section, shall be followed.
(1)
Nothing herein, however, shall be construed to the limit of the right of the obligor to contest by legal proceedings any determination of the governing body or the Municipal Engineer.
(2)
The obligor shall reimburse the municipality for all reasonable inspection fees paid to the Municipal Engineer for the foregoing inspection of improvements; provided that the municipality may require of the developer a deposit for the inspection fees in an amount not to exceed, except for extraordinary circumstances, the greater of $500 or 5% of the cost of improvements, which cost shall be determined pursuant to Section 15 of P.L. 1991, c. 256 (N.J.S.A. 40:55D-53.4). For those developments for which the inspection fees are less than $10,000, fees may, at the option of the developer, be paid in two installments. The initial amount deposited by a developer shall be 50% of the inspection fees. When the balance on deposit drops to 10% of the inspection fees because the amount deposited by the developer has been reduced by the amount paid to the Municipal Engineer for inspection, the developer shall deposit the remaining 50% of the inspection fees. For those developments for which the inspection fees are $10,000 or greater, fees may, at the option of the developer, be paid in four installments. The initial amount deposited by a developer shall be 25% of the inspection fees. When the balance on deposit drops to 10% of the inspection fees because the amount deposited by the developer has been reduced by the amount paid to the Municipal Engineer for inspection, the developer shall make additional deposits of 25% of the inspection fees. The Municipal Engineer shall not perform any inspection if sufficient funds to pay for those inspections are not on deposit.
(3)
In the event that final approval is by stages or sections of development pursuant to Subsection a of Section 29 of P.L. 1975, c. 291 (N.J.S.A. 40:55D-38), the provisions of this section shall be applied by stage or section.
(4)
To the extent that any of the improvements have been dedicated to the municipality on the subdivision plat or site plan, the municipal governing body shall be deemed, upon the release of any performance guarantee required pursuant to Subsection A(1) of this section, to accept dedication for public use of streets or roads and any other improvements made thereon according to site plans and subdivision plats approved by the approving authority, provided that such improvements have been inspected and have received final approval by the Municipal Engineer.
§ 109-16 Performance and maintenance guarantee mechanisms.
Performance and maintenance guarantees shall be provided by a variety of means including, but not limited to, those described below:
A.
Security bond. The applicant shall obtain a surety bond from a bonding company authorized to do business in the state in a form that is acceptable to the Municipal Attorney. The amount and duration of the bond shall be as described in this chapter. A cash deposit of 10% of the total bond estimate, as determined by the Municipal Engineer, shall accompany all surety bonds posted, with the bond constituting the remaining 90%.
B.
Letter of credit. The applicant shall provide an irrevocable letter of credit from a bank or other reputable institution in a form that is acceptable to the Municipal Attorney. The amount and duration of the letter of credit shall be as previously described. The letter of credit may not be withdrawn or reduced in amount until released by the municipality. A cash deposit of 10% of the total bond estimate, as determined by the Municipal Engineer, shall accompany all letters of credit, with the letter of credit constituting the remaining 90%.
C.
Escrow account. The applicant shall deposit cash, or other instruments readily convertible into cash at face value, in accordance with N.J.S.A. 40:55D-53, either with the municipality, or in escrow with a bank in a form that is acceptable to the Municipal Attorney. The amount of the deposit and the duration of its use as a performance and/or maintenance guarantee shall be as previously described.
D.
In all cases cash deposits for maintenance guarantees shall not be less than 15% of the total maintenance guarantee required.
§ 109-17 Disposition of required deposits.
Whenever an amount of money in excess of $5,000 shall be deposited by an applicant with a municipality for professional services employed by the municipality to review applications for development for municipal inspection fees, or to satisfy any guarantee requirements, the money, until repaid or applied to the purposes for which it is deposited, including the applicant's portion of the interest earned thereon, except as otherwise provided in this section, shall continue to be the property of the applicant and shall be held in trust by the municipality. Money deposited shall be held in escrow. The municipality receiving the money shall deposit it in a banking institution or savings and loan association in this state insured by an agency of the federal government, or in any other fund or depository approved for such deposits by the state, in an account bearing interest at the minimum rate currently paid by the institution or depository on time or savings deposit. The municipality shall notify the applicant in writing of the name and address of the institution or depository in which the deposit is made and the amount of the deposit. The municipality shall not be required to refund an amount of interest paid on a deposit which does not exceed $100 for the year. If the amount of interest exceeds $100, that entire amount shall belong to the applicant and shall be refunded to him by the municipality annually or at the time the deposit is repaid or applied to the purposes for which it was deposited, as the case may be; except that the municipality may retain for administrative expenses a sum equivalent to no more than 33 1/3% of that entire amount, which shall be in lieu of all other administrative and custodial expenses. The provisions of this act shall apply only to that interest earned and paid on a deposit after the effective date of this act.
§ 109-18 Purpose.
This article is intended to ensure a pro rata share allocation of the costs for off-tract improvements necessitated by new development.
§ 109-19 Definition and principles.
As a condition of final subdivision or site plan approval, the Planning Board may require an applicant to pay his/her pro rata share of the cost of providing reasonable and necessary circulation improvements, and water, sewerage, and drainage facilities, including land and easements, located off-tract of the property limits of the subdivision or development but necessitated or required by the development. "Necessary" improvements are those clearly, directly, and substantially related to the development in question. The Planning Board shall provide in its resolution of approval the basis of the required improvements. The capacity and design of proposed improvements shall be based upon the circulation plan element and utility service plan element of the adopted Master Plan. The proportionate or pro rata amount of the cost of such facilities within a related or common area shall be based on the following criteria.
§ 109-20 Cost allocation.
A.
Full allocation. In cases where off-tract improvements are necessitated by the proposed development, and where no other property owner(s) receive(s) a special benefit thereby, the applicant may be required at his sole expense and as a condition of approval, to provide and install such improvements.
B.
Proportionate allocation.
(1)
Where it is determined that properties outside the development will also be benefitted by the off-tract improvement, the following criteria shall be utilized in determining the proportionate share of the cost of such improvements to the developer.
(2)
Allocation formula.
(a)
Sanitary sewers. The applicant's proportionate share of distribution facilities including the installation, relocation or replacement of collector, trunk and interceptor sewers, and appurtenances associated therewith, shall be computed as follows:
[1]
The capacity and the design of the sanitary sewer system shall be based on the standards specified in this ordinance;
[Amended by Ord. No. 98-11]
[2]
The Municipal Engineer or planner shall provide the applicant with the existing and reasonably anticipated peak hour flows as well as capacity limits of the affected sewer system;
[3]
If the existing system does not have adequate capacity to accommodate the applicant's flow given existing and reasonably anticipated peak hour flows, the pro rata share shall be computed as follows:
Developer's cost | = | Development-generated gallons per day to be accommodated by the enlargement or improvement | |
|---|---|---|---|
Total cost of enlargement or improvement | Capacity of enlargement or improvement (gallons per day--gpd) |
(b)
Water supply. The applicant's proportionate share of water distribution facilities, including the installation, relocation, or replacement of water mains, hydrants, valves, and appurtenances associated therewith, shall be computed as follows:
[1]
The capacity and the design of the water supply system shall be based on the standards specified in this chapter;
[Amended by Ord. No. 98-11]
[2]
The Municipal Engineer or planner shall provide the applicant with the existing and reasonably anticipated capacity limits of the affected water supply system in terms of average demand, peak demand, and fire demand;
[3]
If the existing system does not have adequate capacity as defined above to accommodate the applicant's needs, the pro rata share shall be computed as follows:
Developer's cost | = | Development-generated gallons per day to be accommodated by the enlargement or improvement | |
|---|---|---|---|
Total cost of enlargement or improvement | Capacity of enlargement or improvement (gallons per day--gpd) |
(c)
Roadways. The applicant's proportionate share of street improvements, alignment, channelization, barriers, new or improved traffic signalization, signs, curbs, sidewalks, trees, utility improvements uncovered elsewhere, the construction or reconstruction of new or existing streets, and other associated street or traffic improvements shall be as follows:
[1]
The Municipal Engineer or planner shall provide the applicant with the existing and reasonable anticipated future peak-hour flows for the off-tract improvement;
[2]
The applicant shall furnish a plan for the proposed off-tract improvement which shall include the estimated peak-hour traffic generated by the proposed development and the proportion thereof which is to be accommodated by the proposed off-tract improvement. The ratio of the peak hour traffic generated by the proposed development which is to be accommodated by the off-tract improvement to the future additional peak-hour traffic anticipated to impact the proposed off-tract improvement shall form the basis of the proportionate share. The proportionate share shall be computed as follows:
Developer's cost | = | Development peak-hour traffic to be accommodated by the enlargement or improvement | |
|---|---|---|---|
Total cost of enlargement or improvement | Capacity of enlargement or improvement (peak-hour traffic) |
(d)
Drainage improvements. The applicant's proportionate share of stormwater and drainage improvements including the installation, relocation or replacement of storm drains, culverts, catch basins, manholes, rip-rap, improved drainage ditches and appurtenances thereto, and relocation or replacement of other storm drainage facilities or appurtenances associated therewith, shall be determined as follows:
[1]
The capacity and the design of the drainage system to accommodate stormwater runoff shall be based on the standards specified in this chapter, computed by the developer's engineer and approved by the Municipal Engineer.
[Amended by Ord. No. 98-11]
[2]
The capacity of the enlarged, extended, or improved system required for the subdivision and areas outside of the developer's tributary to the drainage system shall be determined by the developer's engineer subject to approval of the Municipal Engineer. The plans for the improved system shall be prepared by the developer's engineer and the estimated cost of the enlarged system calculated by the Municipal Engineer. The prorated share for the proposed improvement shall be computed as follows:
Developer's cost | = | Development-generated peak rate of runoff expressed in cubic feet per second to be accommodated by the enlargement or improvement | |
|---|---|---|---|
Total cost of enlargement or improvement | Capacity of enlargement or improvement (total capacity expressed in cubic feet per second) |
§ 109-21 Escrow accounts.
Where the proposed off-tract improvement is to be undertaken at some future date, the monies required for the improvement shall be deposited in an interest-bearing account to the credit of the municipality in a separate account until such time as the improvement is constructed. If the off-tract improvement is not begun within 10 years of deposit, or within a longer time period agreed to by both the applicant and municipality, all monies and interest shall be returned to the applicant.
§ 109-22 Authority; purpose.
A.
In Holmdel Builder's Association V. Holmdel Township, 121 N.J. 550 (1990), the New Jersey Supreme Court determined that mandatory development fees are authorized by the Fair Housing Act of 1985 (the Act), N.J.S.A. 52:27d-301 et seq., and the State Constitution, subject to the Council on Affordable Housing's (COAH's) adoption of rules.
B.
Pursuant to P.L. 2008, c. 46, Section 8 (N.J.S.A. 52:27D-329.2) and the Statewide Nonresidential Development Fee Act (N.J.S.A. 40:55D-8.1 through 55D-8.7), COAH is authorized to adopt and promulgate regulations necessary for the establishment, implementation, review, monitoring and enforcement of municipal affordable housing trust funds and corresponding spending plans. Municipalities that are under the jurisdiction of the Council or court of competent jurisdiction and have a COAH-approved spending plan may retain fees collected from nonresidential development.
C.
This article establishes standards for the collection, maintenance, and expenditure of development fees pursuant to COAH's regulations and in accordance P.L. 2008, c. 46, Sections 8 and 32 through 38. Fees collected pursuant to this article shall be used for the sole purpose of providing low- and moderate-income housing. This article shall be interpreted within the framework of COAH's rules on development fees, codified at N.J.A.C. 5:97-8.
§ 109-23 COAH approval required.
§ 109-24 Definitions.
The following terms, as used in this article, shall have the following meanings:
A development included in the Housing Element and Fair Share Plan, and includes, but is not limited to, an inclusionary development, a municipal construction project or a one-hundred-percent affordable development.
The New Jersey Council on Affordable Housing established under the Act which has primary jurisdiction for the administration of housing obligations in accordance with sound regional planning consideration in the state.
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.
Money paid by a developer for the improvement of property as permitted in N.J.A.C. 5:97-8.3.
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 of P.L. 1973, c. 123 (N.J.S.A. 54:1-35a through 54:1-35c).
Those strategies that minimize the impact of development on the environment, and enhance the health, safety and well-being of residents by producing durable, low-maintenance, resource-efficient housing while making optimum use of existing infrastructure and community services.
§ 109-25 Residential development fees.
A.
Imposed fees.
(1)
Within all residential zoning districts, residential developers, except for developers of the types of development specifically exempted below, shall pay a fee of 1 1/2% of the equalized assessed value for residential development, provided no increased density is permitted.
(2)
When an increase in residential density pursuant to N.J.S.A. 40:55D-70d(5) (known as a "d variance") has been permitted, developers may be required to pay a development fee of 6% of the equalized assessed value for each additional unit that may be realized. However, 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 1/2% of the equalized assessed value on the first two units; and 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. |
B.
Eligible exactions, ineligible exactions and exemptions for residential development.
(1)
Affordable housing developments and developments where the developer has made a payment in lieu of on-site construction of affordable units shall be exempt from development fees.
(2)
Developments that have received preliminary or final site plan approval prior to the adoption of a municipal development fee ordinance shall be exempt from development fees, unless the developer seeks a substantial change in the approval. Where a site plan approval does not apply, a zoning and/or building permit shall be synonymous with preliminary or final site plan approval for this purpose. The fee percentage shall be vested on the date that the building permit is issued.
(3)
Development fees shall be imposed and collected when an existing structure undergoes an expansion or a change to a more intense use resulting in an increase of 50% in the equalized assessed value of the structure, is demolished and replaced, or is expanded, if the expansion is not otherwise exempt from the development fee requirement. The development fee shall be calculated on the increase in the equalized assessed value of the improved structure.
(4)
Developers of residential structures demolished and replaced as a result of fire, flood and natural disaster shall be exempt from paying a development fee.
§ 109-26 Nonresidential development fees.
A.
Imposed fees.
(1)
Within all zoning districts, nonresidential 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 nonresidential construction on an unimproved lot or lots.
(2)
Nonresidential 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 nonresidential purposes.
(3)
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 preexisting land and improvement and the equalized assessed value of the newly improved structure, i.e., land and improvement, at the time final certificate of occupancy is issued. If the calculation required under this section results in a negative number, the nonresidential development fee shall be zero.
B.
Eligible exactions, ineligible exactions and exemptions for nonresidential development.
(1)
The nonresidential portion of a mixed-use inclusionary or market rate development shall be subject to the 2.5% development fee, unless otherwise exempted below.
(2)
The fee of 2.5% shall not apply to an increase in equalized assessed value resulting from alterations, change in use within existing footprint, reconstruction, renovations and repairs.
(3)
Nonresidential developments shall be exempt from the payment of nonresidential development fees in accordance with the exemptions required pursuant to P.L. 2008, c. 46, as specified in the Form N-RDF State of New Jersey Nonresidential Development Certification/Exemption Form. Any exemption claimed by a developer shall be substantiated by that developer.
(4)
A developer of a nonresidential development exempted from the nonresidential development fee pursuant to P.L. 2008, c. 46 shall be subject to it at such time as the basis for the exemption no longer applies, and shall make the payment of the nonresidential development fee, in that event, within three years after that event or after the issuance of the final certificate of occupancy of the nonresidential development, whichever is later.
(5)
If a property which was exempted from the collection of a nonresidential 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 nonresidential development fees under these circumstances may be enforceable by West Amwell Township as a lien against the real property of the owner.
§ 109-27 Collection procedures.
A.
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.
B.
For nonresidential developments only, the developer shall also be provided with a copy of Form N-RDF, State of New Jersey Nonresidential Development Certification/Exemption, to be completed as per the instructions provided. The developer of a nonresidential development shall complete Form N-RDF as per the instructions provided. The construction official shall verify the information submitted by the nonresidential developer as per the instructions provided in the Form N-RDF. The Tax Assessor shall verify exemptions and prepare estimated and final assessments as per the instructions provided in Form N-RDF.
C.
The construction official responsible for the issuance of a building permit shall notify the local Tax Assessor of the issuance of the first building permit for a development which is subject to a development fee.
D.
Within 90 days of receipt of that notice, the municipal Tax Assessor, based on the plans filed, shall provide an estimate of the equalized assessed value of the development.
E.
The construction official responsible for the issuance of a final certificate of occupancy notifies the local Assessor of any and all requests for the scheduling of a final inspection on property which is subject to a development fee.
F.
Within 10 business days of a request for the scheduling of a final inspection, the municipal Assessor shall confirm or modify the previously estimated equalized assessed value of the improvements of the development; calculate the development fee; and thereafter notify the developer of the amount of the fee.
G.
Should West Amwell Township 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).
H.
Fifty percent of the development fee shall be collected at the time of issuance of the building permit. The remaining portion shall be collected at the issuance of the certificate of occupancy. The developer shall be responsible for paying the difference between the fee calculated at building permit and that determined at issuance of certificate of occupancy.
I.
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 the Board, collected fees shall be placed in an interest-bearing escrow account by West Amwell Township. 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 nonresidential 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 West Amwell Township. 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.
§ 109-28 Affordable Housing Trust Fund.
A.
There is hereby created a separate, interest-bearing housing trust fund to be maintained by the chief financial officer for the purpose of depositing development fees collected from residential and nonresidential developers and proceeds from the sale of units with extinguished controls.
B.
The following additional funds shall be deposited in the Affordable Housing Trust Fund and shall at all times be identifiable by source and amount:
(1)
Payments in lieu of on-site construction of affordable units;
(2)
Developer contributed funds to make 10% of the adaptable entrances in a townhouse or other multistory attached development accessible;
(3)
Rental income from municipally operated units;
(4)
Repayments from affordable housing program loans;
(5)
Recapture funds;
(6)
Proceeds from the sale of affordable units; and
(7)
Any other funds collected in connection with West Amwell Township's Affordable Housing Program.
C.
Within seven days from the opening of the trust fund account, West Amwell Township shall provide COAH with written authorization, in the form of a three-party escrow agreement between the municipality, the bank and COAH to permit COAH to direct the disbursement of the funds as provided for in N.J.A.C. 5:97-8.13(b).
D.
All interest accrued in the housing trust fund shall only be used on eligible affordable housing activities approved by COAH.
§ 109-29 Use of funds.
A.
The expenditure of all funds shall conform to a spending plan approved by COAH. Funds deposited in the housing trust fund may be used for any activity approved by COAH to address the West Amwell Township 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, rehabilitation, new construction of affordable housing units and related costs, accessory apartment, market to affordable, or regional housing partnership programs, conversion of existing nonresidential 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, or any other activity as permitted pursuant to N.J.A.C. 5:97-8.7 through 97-8.9 and specified in the approved spending plan.
B.
Funds shall not be expended to reimburse West Amwell Township for past housing activities.
C.
At least 30% of all development fees collected and interest earned shall be used to provide affordability assistance to low- and moderate-income households in affordable units included in the municipal fair share plan. One-third of the affordability assistance portion of development fees collected may shall be used to provide affordability assistance to those households earning 30 percent or less of median income by region.
(1)
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, and assistance with emergency repairs.
(2)
Affordability assistance to households earning 30% or less of median income may include 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. The use of development fees in this manner shall entitle West Amwell Township to bonus credits pursuant to N.J.A.C. 5:97-3.7.
(3)
Payments in lieu of constructing affordable units on site and funds from the sale of units with extinguished controls shall be exempt from the affordability assistance requirement.
D.
West Amwell Township may contract with a private or public entity to administer any part of its housing element and fair share plan, including the requirement for affordability assistance, in accordance with N.J.A.C. 5:96-18.
E.
No more than 20% of all revenues collected from development fees may be expended on administration, including, but not limited to, salaries and benefits for municipal employees or consultant fees necessary to develop or implement a new construction program, a housing element and fair share plan, and/or an affirmative marketing program. In the case of a rehabilitation program, no more than 20% of the revenues collected from development fees shall be expended for such administrative expenses. Administrative funds may be used for income qualification of households, monitoring the turnover of sale and rental units, and compliance with COAH's monitoring requirements. Legal or other fees related to litigation opposing affordable housing sites or objecting to the Council's regulations and/or action are not eligible uses of the Affordable Housing Trust Fund.
§ 109-30 Monitoring.
West Amwell Township shall complete and return to COAH all monitoring forms included in monitoring requirements related to the collection of development fees from residential and nonresidential developers, payments in lieu of constructing affordable units on site, funds from the sale of units with extinguished controls, barrier free escrow funds, rental income, repayments from affordable housing program loans, and any other funds collected in connection with West Amwell Township's housing program, as well as to the expenditure of revenues and implementation of the plan certified by COAH. All monitoring reports shall be completed on forms designed by COAH.
§ 109-30.1 Ongoing collection of fees.
The ability for West Amwell Township to impose, collect and expend development fees shall expire with its substantive certification unless West Amwell Township has filed an adopted housing element and fair share plan with COAH, has petitioned for substantive certification, and has received COAH's approval of its Development Fee Ordinance. If West Amwell Township fails to renew its ability to impose and collect development fees prior to the expiration of substantive certification, it may be subject to forfeiture of any or all funds remaining within its municipal 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). West Amwell Township shall not impose a residential development fee on a development that receives preliminary or final site plan approval after the expiration of its substantive certification, nor shall West Amwell Township retroactively impose a development fee on such a development. West Amwell Township shall not expend development fees after the expiration of its substantive certification.