PLANNING BOARD MEETING

BOROUGH OF WANAQUE

 

MINUTES

 

January 30, 2007

PUBLIC HEARING

WANAQUE HOUSING ELEMENT AND FAIR SHARE PLAN

 

Salute to the Flag:

 

ROLL CALL:

 

Chairman Gilbert Foulon                   William Rucci

John Di Meglio                                  David Slater

Mayor Dan Mahler                           Eugene Verba

Joseph Graceffo                                 Ed O’Connell

Kevin Platt                                         John Shutte

 

PRESENT:  Attorney Steven Veltri

 

READING: Open Public Meeting Announcement

Adequate notice of this meeting has been provided by the Planning Board by E-Mailing Notice of this meeting to the Suburban Trends and the Herald News Newspapers on January 12, 2007 stating therein that this meeting would be held on Tuesday, January 30, 2007 at the time of 8:00 P.M. in the Wanaque Municipal Building, 579 Ringwood Avenue, Wanaque, New Jersey and a copy of this notice was posted on the Bulletin Board in the Wanaque Municipal Building on January 12, 2007 and a copy is on file in the office of the Municipal Clerk.

 

The purpose of this meeting is to pass the new COAH Fair Housing Element for this Borough. All members received a copy of this element and certain members have met previously with the planner.

 

MOTION TO OPEN PUBLIC HEARING TO ANSWER QUESTIONS ON THE FAIR HOUSING ACT: made by Member Slater, seconded by Member Di Meglio, voting yes were Chairman Foulon, Members Di Meglio, Mayor Mahler, Graceffo, Platt, Rucci, Slater, Verba, O’Connell and Shutte.

 

Sandy Lawson, 28 Haskell Avenue came forward: Ms. Lawson wanted to comment that she is very disappointed to see that the “Water’s Edge” Project is still included in the COAH calculations. Ms Lawson said, until its determine that its even a buildable site, which is questionable, this project is not in the sewer service area. Ms. Lawson doesn’t think it should be included and she is personally going to be on a letter writing campaign to see if it can’t be removed, because she thinks its an inappropriate site to be included in the COAH.

 

David Da Silva, 108 Monroe Street, came forward: Mr. Da Silva said he and his wife moved here in 2005 and the Powder Hollow Project was already completed. He sees that there are many references in the plan to the fact that the Powder Hollow use is what caused the additional requirements for COAH. Mr. Da Silva said he is confused about why the Borough did not require the developer of that property to acquire all of the COAH units that are created.

Tom Carroll, Borough Administrator came forward to answer Mr. Da Silva’s question. Mr. Carroll went on to say that the plan that was approved by COAH or Round II initially had the 60 units that Pulte is to build or to do an RCA. That was the number that COAH initially had put on the property that the Borough had agreed to and at the last minute after all the approvals were made for Pulte, all the Developer’s Agreements were in place, COAH turned around and said no your number has changed. The 60 units was the initial number that COAH had put on the property based on 50 acres of developable property at 6 units an acre.

Mr. Da Silva asked if anyone consulted with COAH prior to changing the zoning and approving the Pulte Plan to see if this would happen? Mr. Carroll said the Borough’s Planner did both the Housing Element and did all the zoning and there was never any indication from the planner that the Borough had to do anything with COAH. COAH was aware of it and it was just that certain people wanted to kill the Pulte Project and were going to do anything in their power to kill it and hence the Borough got stuck with the higher number.

Mr. Da Silva asked if the town was certified for the first or second round at that point and Mr. Carroll said it took six years to get certified for Round II and the petition had been filed and not certified at that time. Atty. Veltri said we were certified as of October 2001. Mr. Da Silva asked if COAH certified the numbers that they were provided before the Pulte approval. Atty. Veltri said the Housing Element that Mr. Carroll is referring to was done some time in 1996 and the Governing Body is the body that petitions COAH for certification and not this Board; this Board just does the Housing Element and the Fair Share Plan.

Mr. Da Silva said he saw a reference of possibly asking the Pulte Organization to assume some additional responsibility as part of the plan and can you describe how you’re going about doing that? Atty. Veltri said he doesn’t know if Mr. Da Silva is reading that right, but Art Bernard, P.P. is here tonight who did the plan and he will testify in terms of what he knows and what the current plan calls for.

 

Art Bernard, P.P. came forward: Mr. Bernard started off by saying the discussions, as he understands them between the Borough and Pulte involve providing more money for Regional Contribution Agreements. The plan that COAH actually approved included money for a certain number of units to be transferred out and they were only going to build about ten units on site and give some money to rehabilitation. Mr. Bernard wasn’t involved at the time, but in reading all the documents, COAH decided that it wasn’t acceptable for the Borough to get money

for rehabilitation and if they were going to get money it had to be for another RCA, which means more money. Right now, they’re in the middle of negotiations for money that would pay for another 25 units RCA.

Mr. Da Silva asked if the Planning Board doesn’t approve the “Water’s Edge” Project and the DEP does not certify the property as being proper to build on, what’s the back up plan? Mr. Bernard said that the “Water’s Edge” site is one that’s been in the Borough’s plan for a long time. It was examined by COAH and COAH determined that it was suitable. The site is suppose to be in a sewer service area and its not and COAH is going to mandate that the Board cooperate with the developer to get it in a sewer service area. In terms of the review itself that the Board is going through, once a site is in a plan and approved by COAH, under the Mt. Laurel decision, the municipality has a responsibility to cooperate with the developer in expediting the review and cooperate in granting reasonable variances and eliminating unnecessary costs. Mr. Bernard added, that they’re very much aware that “Water’s Edge” is a difficult site, but the Board has an affirmative obligation to work with that developer and cooperate and hopefully granting an approval and there should be a very good reason if the Board finds it can’t grant an approval. The site has been zoned and it was steep when it was zoned and is no steeper now than when COAH approved it; therefore, there would have to be a really good reason not to approve it.

Mr. Da Silva said the property north of the Haskell Town Centre he sees has a development of rental units and would like Mr. Bernard to describe what it’s going to be. Mr. Bernard said there will be 50 rentals family units and the parking will be worked out at the site plan stage. Mr. Bernard passed pictures around so the members could see a rendering of this project. The plan is to work with a tax credit specialist and all 50 units would be affordable units. This site had been approved for 34 townhouse units with parking. Although there are more units, they occupy less space and would be smaller and there is no reason for Mr. Bernard to think that the site couldn’t accommodate all the parking on site. Mr. Bernard added that there is no guarantee that this town is going to get the entire subsidy necessary to build. In all good conscience, Mr. Bernard has to tell the Board that he thinks that based on his experience that its very likely that they will get 9% tax credits to build the housing and probably will cost them next to nothing to have it built. If they can’t get the 9% tax credits which is a really good bet, 4% tax credits are given which would really minimize how much subsidy if any were put into it. A few tax credit specialists where brought up to meet with the Borough to examine both approaches; one is the 9% approach and the other is the 4% approach. The worse case scenario is that COAH is going to look at this and say well look “ you said you were going to get this built, your responsible for getting it built”. Mr. Da Silva ask if COAH disagrees and says the Borough is responsible for the original 275 units, what happens? Mr. Bernard said what the Borough has offered them is a very strong argument and that they should treat the Borough just like everybody else in the state and when they issued the order that the Borough’s realistic development number would increase from 98 to 275 they hadn’t even thought of growths here and how that was going to play out. Mr. Bernard said there is no more land than there was five or six years ago and as a matter of fact there’s less land because of the “Highlands”and sewers is a scare resource. Mr. Bernard is hoping is the fact that the Borough is willing to take a permanent measure of building the rental housing in the community and that’s a housing obligation that perhaps otherwise couldn’t be addressed and would help them move off their position an accept what Mr. Bernard thinks is more practical and more equitable solution to the problem.

Mr. Da Silva asked Mr. Bernard if he thought in his professional opinion that it’s a good idea to go forward now with these numbers today knowing full well they might change in six months? Mr. Bernard said that’s something we didn’t discuss in the beginning and it’s a very good question. Mr. Bernard went on to say that the Mayor asked that question last week. COAH’S Round III rules were overturned on Thursday and they haven’t been able to come in terms on how they’re going to handle this. Mr. Bernard and Attorney Jeffrey Kantowitz the Borough’s special counsel has had numerous conversations with COAH’S Acting Director, Melissa Orson. Mr. Bernard and Attorney Kantowitz asked if these rules don’t mean anything anymore why are we doing this? The best Mr. Bernard can offer today is that COAH wants the Borough to adopt a plan right now because they can’t give the Borough any authorization to not adopt it. The Borough is under a timeframe from COAH to adopt a plan and the Borough got a one-month extension to get the plan in, in the middle of February. The court decision that has been referenced, at the end of the decision, it says that communities that are under COAH’S jurisdiction will continue to get a protection from exclusionary zoning law suits and from builders remedies. Mr. Bernard’s advice is that the Board should continue to act in good faith to meet COAH’S deadline, stay under COAH’S jurisdiction and get the protection through builder’s remedy lawsuits. In the resolution that Attorney Kantowitz has prepared for the Board tonight, the Resolution says that we’ve adopted this Housing Element but we don’t know what the rules are going to be and as the rules change we reserve the right to take another look at this plan.

Member Graceffo asked Mr. Bernard, in reference to the state’s being requested to revise its rules, what does he anticipate that impact to be, less favorable or more  favorable? Mr. Bernard said he doesn’t know what it means; it means for the State more units; does it mean more units for Wanaque? Mr. Bernard said he couldn’t answer that question. Mr. Bernard said all he tell the Board, is if they adopt this plan and get it into COAH, we’ll stay under their jurisdiction and Mr. Bernard feels confident that when the rules change the Borough will be able to change the plan as the Borough sees fit.

Mr. Da Silva also said that the plan describes the fact that Pulte had given the Borough a payment in lieu of building the affordable housing and wanted to know what that payment was and whether its being used RCA or something else.

 

Borough Administrator Tom Carroll came forward and said the payment was based on 30 units RCA at that time it was $25,000 per unit with the caveat in there that whatever was negotiated and has gone to a minimum of $35,000. It was 20 units of rehab at $15,000 and that’s the number that’s being negotiated because the 15 is a firm number that was in there. The desire was to keep the money in town and if the town did rehab they would be able to do it for homes in town like what was done in the late 90’s; but COAH changed the numbers and the town can no longer do that.

Mr. Da Silva wanted to know if the funds were used to do any exchanges for other towns? Mr. Carroll said not with Pulte and did it with the Hovnanian Project. Mr. Da Silva wanted to know if COAH requires the Borough to do it within a certain amount of time.  Mr. Carroll said no, the Borough will have to move forward with it when the process of talking to several towns, but until he knows where we’re going with this whole process and until he can get a firm commitment from Pulte that they’re going to fund all 50 units, he doesn’t want to be in a position where we make a commitment to a town and the Borough of Wanaque has to put money to that.

Mr. Da Silva told the Board he wanted to express his concern that if the Board  decides to go forward with this plan with “Water’s Edge” in there, he thinks there are major concerns with that project that haven’t been resolved yet. He also thinks there should be a plan “B” if this Board decides not to approve the site plan and also if the DEP decides not to approve the plan.

 

Sandy Lawson, 28 Haskell Ave. came forward: Ms. Lawson wanted to comment on a couple of things that she liked in the report. The mentioning of the sewers being a scare resource and that will determine the number of units. The 50 unit project in the center of town, she doesn’t know if 50 units can go in that property but she doesn’t think it would be so bad as long as it does not require waivers and variances from the environmental ordinances which seem to be granted often. The property south of Doty Road on Ringwood Avenue that’s going to create two units are they going to be built within the building of the Town Centre or where? Mr. Carroll said they are not built within that building and are part of the Round III numbers. Mr. Carroll said he thinks the Developer’s Agreement called for the developer to pay for two units RCA. Ms. Lawson also said she noticed that there is still Block 307 Lot 2 & 5 which is Sierra Landscaping, and if she remembers correctly that was one of the properties that COAH had an issue with because its being used for a Business Use and they didn’t view it as being buildable for housing. Ms. Lawson said the Board should take a hard look at “Water’s Edge” because she doesn’t think that COAH requires an approval on a property that’s going to be inappropriate for let alone affordable housing/regular housing and she doesn’t think it’s a mandate that this project has to be approved.

 

MOTION TO CLOSE PUBLIC HEARING: made by Member Rucci, seconded by Member Di Meglio, voting yes were Chairman Foulon, Members Di Meglio, Mayor

Mahler, Graceffo, Platt, Rucci, Slater, Verba, O’Connell and Shutte.

 

Member Di Meglio wanted to know about the 50 rental units if you have to find a developer that’s willing to come in and build those 50 units? Mr. Bernard said the pictures that were passed out earlier in the evening, were submitted by a poor profit developer who’s specializing in getting pieces of land and building tax credit projects and they work with a municipality to get it done. Mr. Bernard said he brought two up who have outlined different approaches to Mr. Carroll and there are others that can do the job to and he and Mr. Carroll know who they are.

Member Di Meglio asked if Mr. Bernard thought the developers can make a profit on building 50 units? Mr. Bernard said absolutely because they get the money from Federal and State subsidies.

 

Member Rucci said to Mr. Bernard he doesn’t like sending a plan down to COAH  on a property that the Borough doesn’t own. As far as “Water’s Edge” it’s no where near approval and we’re sending something down that’s almost saying that we will approve this and it’s not something that we have come to a decision on. Chairman Foulon added, the Board isn’t saying we will approve it, we’re saying that we’re zoning it for that and at the last meeting we told the developer for “Water’s Edge” we didn’t like the plan and to start over again.

 

Mr. Carroll said the zoning on “Water’s Edge” has been there since the plan was approved in 2001. COAH told the Borough when they were going through the process, how to go in and its not something new, it’s a plan. Zoning is a plan for the town and even though we don’t control the property and we don’t own the property, we do that throughout the town. This now becomes a process that the property owners are made aware of the fact that we’re considering this and we will move forward in going through the process. Unless the Supreme Court agrees with COAH’S rules and overturns the appellate division, then more than likely we’re going to be back here with the revised plans, but right now there is something on record and that’s the important thing that we get the protection from COAH so that somebody can’t come in with a plan for 70 units and file a builder’s remedy suit against the Borough.

 

Member Graceffo said when he reviews the plan he’s looking at Wanaque as a community and in his mind for the most part Wanaque has more than 50% of its stock in affordable housing and yet we’re still being required and demanded to put in more. Member Graceffo finds that to be somewhat of a conflict in terms of we have a significant stock of medium cost of housing and here we are trying to justify to the state a plan that is going to require us to provide additional housing that’s affordable to the community. Member Graceffo finds that in conflict in terms of balancing a community. Their goal is to provide affordable housing within communities that have higher priced housing and instead what we’re doing is we have a community that is basically affordable housing and we’re being asked to put in more affordable housing. Therefore, for Member Graceffo that is a conflict even though it’s a plan basically being required by State rules and Supreme Court Decisions.

 

Mr. Bernard responded to Member Graceffo by saying, the fact of the matter is that in this state the Supreme Court and their Housing Act and COAH’S rules has defined Affordable Housing in a certain way. Affordable Housing is housing that’s actually for the most part deed restricted for people who earn less than 80% of medium income.  Mr. Bernard added, all we can do frankly is to deal with COAH’S rules and if we deal with them in good faith then we’re protected from builder’s remedies and when the rules change we’ll get another shot at it.

 

Attorney Jeff Kantowitz came forward and said that municipalities that have acted in good faith in devising fair share plans to comply with the existing third Round Rules should not be subjected to an exclusionary zoning law suit. Atty. Kantowitz’s suggestion is, because COAH has told you to submit a plan and given you a deadline, has extended the deadline, submit with the reservation that things are going to change and that we reserve the right to revisit what we’re going to do. To revisit means maybe you’ll change it and maybe you won’t and you’ll have the latitude to do those kinds of things. Atty. Kantowitz is suggesting because of his experience and what he’s practiced, at least at this juncture the Borough has more latitude and existing protection at COAH than you do at a court. Atty. Kantowitz said he doesn’t know what a court would do, but the general thinking is you don’t want to have to be defending on the back end of the builder’s remedy because you didn’t follow through with what COAH asked you to do. It’s the Borough’s decision, but what he proposes, is at least submit the plan and reserve the right to react to the new rules if they require you to change anything and move forward.

Member Graceffo said to Atty. Kantowitz, he thinks in this particular area North Jersey between Passaic and Bergen County, there are some well to do communities that don’t seem to have the stress on their development in terms of bringing in the so called affordable housing. What they’re doing in most cases is the regional contribution to it and sending it out of their community. Member Graceffo added, his point is where does that in a sense show and demonstrate fair housing from a state view when a community who has maybe developers who have a deeper  pocketbook because of their return, can say alright we’ll put more money out and take our shares and put them someplace else. Atty. Kantowitz said he thinks last month there was a bill introduced to the legislature to eliminate the concept of RCA’S so called selling half of the requirement out.

Atty. Kantowitz summed up by saying, towns such as Wanaque that are limited in land that are impacted by various physical constraints, now the “Highlands” legislation are placed in a difficult posture.

 

MOTION TO APPROVE THE HOUSING ELEMENT AND FAIR SHARE PLAN RESERVING THE RIGHT AND THE OPPORTUNITY TO REVISIT THE ISSUES AND MECHANISMS SET FORTH IN THE PLAN AFTER THE MOST RECENT RULILNGS ARE SENT TO US: made by Member Graceffo, seconded by Member Verba, voting yes were Chairman Foulon, Members Di Meglio, Mayor Mahler, Graceffo, Platt, Slater, Verba and O’Connell. Members Rucci and Shutte voted no.

 

MOTION TO ADJOURN AT 8:55 P.M.: made by Member Di Meglio, seconded by Member Graceffo, carried by a voice vote.

 

 

____________________________________

Gerri Marotta

Planning Board Secretary