prwqcoah8-23-06

COAH plan called into question
Boro's affordable housing plan faces state's scrutiny

By Carol Fletcher
Staff Writer
Suburban Trends
Wednesday, August 23, 2006

WANAQUE - The borough is on the state's radar to fulfill state mandates on providing housing opportunities for those with low to moderate incomes.

Wanaque was put on the radar from a developer's lawsuit and was called to report its status before the state's Council on Affordable Housing on Aug. 9.

As a result, the Council will be further reviewing how it is fulfilling its obligations, said COAH spokesperson Chris Donnelly. The borough has till May 15 to present a plan to comply with the state's newest round of obligations.

"They put it off to a task force that they have within COAH and I haven't heard from them since the meeting," said Borough Administrator Tom Carroll.

To meet the obligations, Carroll said Pulte Homes, Inc., which is building 755 units of senior housing in town, may have to pay Jersey City to build 30 affordable housing units at $35,000 each.

In a July letter to the borough, COAH charges Wanaque with violating its rules by substituting rehabilitation units for new construction units without changing its Housing Element and Fair Share Plan, which explains how a town will fulfill its obligations.

Carroll said the borough wants rehabilitation because lower income residents would benefit.

"Our preference is to do rehabilitation because it keeps the money in town and helps the residents," said Carroll.

If COAH allows that, the borough would set up a grant based on $15,000 to $20,000 per unit for 20 units, said Carroll. The borough hired an administrator last month to oversee the program, which is required by the state. Eligible individuals would then apply for grants after it's advertised.

Wanaque is required to provide for 275 total units to be built, the amount set by the council in January 2001 based on Wanaque's population, wealth and available land.

The state began reviewing Wanaque's status after a developer sued the borough alleging its delays caused him to miss a deadline for state approval to build on protected land.

If built, his complex would include four affordable housing units. The Council also charged the borough with violating its orders to work with him to see that his site is developed. However, another state agency denied the application because it would be on preserved land and the developer missed a deadline that would have grandfathered his plan. Municipalities meet obligations by zoning for some of that housing in town. The housing can be new or the borough can provide funding assisstance to rehabilitate properties.

A third option for towns is to pay another town to build them. New construction developers have to pay or provide some of those obligations because they can increase a town's growth and wealth, two factors that determine the number of required units.

Wanaque replied to COAH and reported paying Hoboken for housing, and it upped how many units could be built in one area zoned for affordable housing to attract developers.

That development is on the environmentally sensitive Federal Hill tract bordering Bloomingdale on Union Avenue behind the Burger King. Carroll said he couldn't confirm if the area was in the sewer service area.

The council directed Wanaque to work cooperatively with the developer.

COAH also determined that another parcel set aside for affordable housing was unlikely to be built on because the borough sold it to a garden center that will still be operating.