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New Jersey Supreme Court to Hear Appeal of COAH's Third Round Rules

By: Henry T. Chou, Esq.

The New Jersey Supreme Court has granted the petitions for certification filed by the New Jersey State League of Muncipalities (NJSLOM) and thirteen municipalities seeking review of the Appellate Division's invalidation of portions of COAH's "third round" regulations concerning municipal affordable housing obligations.

On October 8, 2010, the Appellate Division issued an opinion invalidating substantial portions of COAH's third round regulations on the basis of arguments presented by the New Jersey Builders Association (represented by Hill Wallack LLP), the National Association of Industrial and Office Properties, the Fair Share Housing Center and other litigants. Among other things, the court invalidated COAH regulations that required developers to provide affordable housing without any compensating benefits and that implemented a "growth share" methodology for determining municipal affordable housing obligations for the third round (1999-2018) compliance period.

By granting certification, the Supreme Court will review the Appellate Division's decision and determine whether COAH's third round regulations are constitutional under the long-standing Mount Laurel doctrine. It is anticipated that the Supreme Court will hear the matter in the fall of 2011.

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