Stockton council approves first readings of development-fee and fourth-round affordable-housing ordinances

Stockton Borough Council on Jan. 26 approved on first reading two ordinances the borough says are needed to meet its Fourth Round affordable-housing obligations under the New Jersey Fair Housing Act and a court-directed settlement.

Borough Attorney Lisa Maddox explained the ordinances implement the borough’s Housing Element and Fair Share Plan and the December 17, 2025 Settlement Agreement with Fair Share Housing Center arising from docket HUN-L-58-25. "This ordinance will need to be sent to Land Use Board," Maddox said at the meeting.

Ordinance 2026-01, titled the Development Fee Ordinance, prescribes development-fee rules and procedures to fund affordable housing. Key provisions recorded in the ordinance text include a residential development fee set at 1.5 percent of equalized assessed value for most projects and a 6 percent fee for bonus units created by density increases; a non-residential fee of 2.5 percent of equalized assessed value for new non-residential construction; exemptions for affordable developments, previously-approved site plans, and certain owner-occupied replacements; collection procedures tied to building permits and certificates of occupancy; and an Affordable Housing Trust Fund to hold fees and other affordable-housing revenues. The ordinance cites the borough’s June 3, 2025 Housing Element and Fair Share Plan (endorsed June 19, 2025 by Resolution No. 2025-51) and requires compliance steps by March 15, 2026.

Ordinance 2026-02, labeled the Stockton Borough Fourth Round Affordable Housing Ordinance, provides detailed definitions and program rules consistent with the Uniform Housing Affordability Controls and related state regulations. It establishes a mandatory set-aside requiring at least a 20 percent affordable set-aside for future developments of five or more units at designated densities, distribution rules for bedroom counts, affordability averages and income-targeting (including very-low-income, low-income and moderate-income thresholds), affirmative marketing and random-selection procedures, accessibility standards, monitoring through AHMS, and an appointed municipal housing liaison to oversee administration and State reporting.

Both ordinances were approved on first reading without roll-call opposition. For Ordinance 2026-01, Councilperson Brown moved and Council President Mann seconded approval; roll call recorded six ayes, zero nays. For Ordinance 2026-02, Council President Mann moved and Councilperson Brown seconded approval; roll call recorded six ayes, zero nays.

The ordinances reference state statutes and regulations cited in the text, including the New Jersey Fair Housing Act (N.J.S.A. 52:27D-301 et seq.), the Statewide Non-Residential Development Fee Act (P.L. 2008, c.46), and implementing rules at N.J.A.C. 5:99 and N.J.A.C. 5:80-26. The council’s action at first reading starts the municipal process; Attorney Maddox indicated the ordinances must be transmitted to the Land Use Board and administered in coordination with the borough’s Housing Element and Fair Share Plan. Final adoption will require subsequent procedural steps and publication as provided by law.