Town planner, consultant recommend accepting DCA'assigned 46-unit affordable-housing obligation; DJ filing required within 48 hours of adoption

Jessica Colas, Lebanon Township's planner, told the township committee the Department of Community Affairs'( DCA) has assigned the municipality a prospective need of 46 affordable units for the fourth round of fair-share obligations and a present (rehabilitation) need of zero, and reminded members that the municipality must accept and report that number by the Jan. 31 deadline. Colas said the calculation combines three factors: equalized nonresidential value, a land-capacity factor (set to zero for Lebanon because most land is in the Highlands Preservation Area) and an income factor, producing the town's allocation of 46 units.

Consultant Tara St. Angelo recommended the governing body accept the obligation as presented and then pursue statutorily allowed technical adjustments during the housing-element process, including a Highlands build-out analysis, a vacant-land adjustment and a durational adjustment. "My recommendation," St. Angelo said, "is that you accept the obligation as presented primarily because the nonresidential and income factors are based on census data and there's no way to really dispute that," while adding the Highlands or vacant-land exercises may allow legitimate downward adjustments.

St. Angelo and Colas explained the mechanics of potential credits and incentives: rehabilitations and accessory dwelling units can produce credits but are constrained in Lebanon by Highlands preservation, limited developable land and lack of public utilities. St. Angelo described deed restrictions used in prior rounds'typically 30-year restrictions with an affirmative-marketing requirement for qualified households'and said property owners have often declined offers that would place restrictive covenants on their property.

The consultants warned of legal risks if the township lacked an approved plan. St. Angelo told the committee the primary exposure is builder's-remedy litigation: without an approved housing plan a developer can sue and seek permission to build under theories that can include fee-shifting to the municipality. She also described a recent procedural change following litigation: towns adopting a resolution accepting a DCA number now also must file a declaratory-judgment action within 48 hours to secure a court-based administrative record and access a dispute-resolution pathway.

Committee members pressed staff on options to lower the obligation, including counting existing group homes, encouraging accessory units, or seeking redevelopment of non-Highlands parcels. Members and staff agreed those options have limited potential in Lebanon because 99% of the township is in the Highlands Preservation Area and because infrastructure (sewer, septic capacity) constrains density. Several members urged pursuing a Highlands build-out analysis and a vacant-land adjustment as the most defensible routes to reduce the obligation.

The committee agreed to schedule a special follow-up meeting for Jan. 22 at 6:00 p.m. to consider adopting the required filings and any accompanying resolution; staff said a DJ template exists and would be customized for Lebanon.

The planner said the housing element and associated compliance work will proceed through the planning board and then return to the governing body for final adoption by the statutory deadlines. No final adoption of the obligation or DJ filing occurred at the Jan. 15 meeting; members scheduled the Jan. 22 meeting to take those actions if ready.