The Spending Plan (COAH) has been posted.

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The Spending Plan (COAH) has been posted.

Excerpt:

"Introduction
...
As of July 17, 2008, Cranbury Township has collected $3,417,468 expended $3,197,784, resulting in a balance of $219,684. All development fees, payments in lieu of constructing affordable units on site, funds from the sale of units with extinguished controls, and interest generated by the fees are deposited in a separate interest-bearing affordable housing trust fund in PNC Bank for the purposes of affordable housing. These funds shall be spent in accordance with N.J.A.C. 5:97-8.7-8.9 as described in the sections that follow.

Cranbury Township received first round substantive certification on April 24, 1989 and received prior approval to maintain an affordable housing trust fund on May 6, 1992. As of December 31, 2004, the prior round balance remaining in the affordable housing trust fund was $479,245. From January 1, 2005 through July 17, 2008, Cranbury Township collected an additional $820,659 in development fees, payments in lieu of construction, other funds, and/or interest. From January 1, 2005 through July 17, 2008, Cranbury Township expended funds on the affordable housing activities detailed in the expenditures chart on page 9 of this spending plan.
...
Description of Anticipated Use of Affordable Housing Funds

(a) Rehabilitation and new construction programs and projects (N.J.A.C. 5:97-8.7)

Cranbury Township will dedicate up to $23,025,670 to rehabilitation and new construction programs (see detailed descriptions in Fair Share Plan) as follows:
Rehabilitation program: The Township will fund the program with an average hard cost of $10,000 per unit, pursuant to N.J.A.C. 5:97-6.3(b)2. As such the total cost of the program will be $60,000 (6 units x $10,000).

Municipally-Sponsored New Construction(100% Affordable Housing Sites):

1. Route 130 D site (29 to 48 units) = $4,231,187 to $7,003,344
2. Future 100% Senior Rentals (67 units) = $9,775,501
3. Future 100% Family Rentals (35 to 54 units) = $5,106,605 to $7,878,762

(b) Affordability Assistance (N.J.A.C. 5:97-8.8)

Cranbury Township is required to spend a minimum of 30 percent of development fee revenue to render existing affordable units more affordable and one-third of that amount must be dedicated to very low-income households (i.e. households earning less than 30 percent of the regional median income). The actual affordability assistance minimums are calculated on an ongoing basis in the CTM system based on actual revenues.
...

Cranbury Township will dedicate $2,032,269 from the affordable housing trust fund to render units more affordable, including $677,423 to render units more affordable to households earning 30 percent or less of median income by region, as follows:

* Down-payment assistance;

* Rental assistance;

* Security deposit assistance

* Low interest loans

* Assistance with homeowners association or condominium fees and special assessments; and/or

* Converting low-income units to very-low-income units, etc.
...
Summary

Cranbury Township intends to spend affordable housing trust fund revenues pursuant to N.J.A.C. 5:97-8.7 through 8.9 and consistent with the housing programs outlined in the housing element and fair share plan dated November 2008.

Cranbury Township has a balance of $219,684 as of July 17, 2008 and anticipates an additional $6,189,000 in revenues before the expiration of substantive certification for a total of $6,408,684. The municipality will dedicate all available funds towards rehabilitation and new construction. Any shortfall of funds will be addressed through the use of outside funding sources as set forth in "A Guide to Affordable Housing Funding Sources," dated October 2008, posted on COAH's website, or through bonding and/or appropriations as may be allowed by law.
..."

http://www.cranburytownship.org/2008_Cranbury_Spending_Plan_11_14_08.pdf

[from Bateman site]

http://www.senatenj.com/index.php/bateman/bateman-the-numbers-are-in-corzines-coah-plan-is-a-2-billion-burden-on-towns/1539

Bateman: The Numbers Are In. Corzine’s COAH Plan Is a Crushing $2 Billion Burden On Towns

Senator Christopher “Kip” Bateman, sponsor of Senate Bill 2292 to reform unworkable “affordable” housing regulations, announced that the non-partisan Office of Legislative Services estimates the annual unfunded cost to communities of complying with these rules will be as much as a $2 billion.

“Republicans have said repeatedly that the COAH rules are a burden that our property taxpayers will find impossible to bear. We just didn’t know how much that burden would be,” Senator Bateman said. “The incredible estimate from OLS is that communities will be forced to come up with another $2 billion every year for the next 10 years. This is a crushing burden on towns already reeling from the economic downturn. The costs could be somewhat lower or even much higher than the estimate. Clearly, to towns now facing likely cuts in municipal aid, it doesn’t matter. They simply can’t afford this unfunded mandate.”

Senator Bateman asked for bipartisan support of following steps:
Urge Governor Corzine to issue an executive order imposing a six-month delay in the implementation of the new rules. That will give legislators time to craft a realistic plan for affordable housing, and find a responsible way to fund it in a state that has a weak economy and the highest property taxes in the nation.

Ask the Council on Local Mandates to declare that the new COAH rules are an unconstitutional unfunded mandate on our counties, school systems and communities.

Support immediate passage of S-2292, a bill that would create a common-sense affordable housing program that will improve the lives of everyone in the state, not make New Jersey a less affordable and more difficult place to live.

A copy of the OLS memo estimating COAH costs is attached.