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Green Township adopts new development fees for affordable housing
Summary
At its March 2, 2026 meeting, the Green Township Committee adopted Ordinance 2026-02, which replaces Section 30-5.12 and sets new residential and non-residential development fees (1.5% residential; 6% bonus for added density; 2.5% non-residential), establishes collection procedures, appeals, and a Municipal Affordable Housing Trust Fund governed by a court-approved spending plan.
The Green Township Committee adopted Ordinance 2026-02 on March 2, 2026, revising the township code’s framework for development fees to fund affordable housing. The three members present—Mayor Virginia Raffay, Margaret “Peg” Phillips and Bader Qarmout—voted to close the public hearing and adopt the ordinance unanimously.
The ordinance sets a baseline residential development fee of 1.5% of equalized assessed value, and a 6% "bonus" fee on the assessed value of each added unit when density is increased by variance. For non-residential construction, the ordinance imposes a 2.5% fee on the equalized assessed value of land and improvements for new non-residential construction and on increases in assessed value from additions or replacement improvements. Certain developments are exempt as specified by the Statewide Non-Residential Development Fee Act and the ordinance itself (for example, previously permitted affordable developments and certain exempted uses). The text explicitly cites P.L.2024, c.2; N.J.A.C. 5:99; and the Statewide Non-Residential Development Fee Act (C.40:55D-8.1–8.7).
The ordinance requires a court-approved Spending Plan before funds may be spent and creates a separate Municipal Affordable Housing Trust Fund to hold development fees and related receipts. The fund must be interest-bearing and kept identifiable by source; allowable expenditures include new construction and preservation of affordable units, rehabilitation, accessory apartments, infrastructure improvements tied to affordable housing, and affordability assistance such as down-payment or rental assistance. A portion of fees must be directed to very low-income households, and no more than 20% of trust-fund dollars may be used for administration (with exceptions noted for pre-July 17, 2008 RCA funds).
Collection procedures are detailed: the tax assessor estimates equalized assessed value after permit issuance, half of the fee is due at building-permit issuance and the remainder at certificate-of-occupancy, and appeal routes are specified (residential appeals to the County Board of Taxation; non-residential appeals to the Director of the Division of Taxation) with escrow procedures while challenges are adjudicated. The ordinance also sets monitoring and reporting requirements (annual AHMS reporting by February 15) and conditions under which the Division may require forfeiture of trust-fund balances.
Mayor Raffay opened the public hearing and, with no public comment, the Committee moved to adopt the ordinance (motion to close and adopt made from the dais; second by Phillips). The ordinance text is included in the minutes as Ordinance No. 2026-02 and is recorded as introduced Feb. 17, 2026 and adopted March 2, 2026.
Why it matters: the ordinance creates a clearer, court-aligned mechanism for collecting and tracking funds intended to produce and preserve affordable housing in Green Township, and it establishes specific timelines and appeal rights for developers and the township.
Next steps: the Township Clerk will publish and file the ordinance in accordance with state law and the township’s procedures for implementation of the Municipal Affordable Housing Trust Fund.
