Middletown Withdraws From NJ's Affordable Housing Mandate

MIDDLETOWN, NJ — Middletown Township has taken the extremely unusual step of withdrawing from its state-mandated affordable housing obligation. It's a move that leaves the town open to lawsuits; however, other towns in New Jersey may soon follow in Middletown's footsteps.

On July 17, attorneys for Middletown Township submitted a request to withdraw from its affordable housing obligation. On July 19, that request was approved by New Jersey Superior Court Judge Jamie Perri, who has since retired.

Middletown may be the only town in the state to formally request it no longer participate in the so-called "Mount Laurel mandate."

"Yes, it was somewhat of a bold move. I really don't know offhand of any other towns that have done this," Middletown Administrator Tony Mercantante told Patch Wednesday. "We basically think the process is unfair. We've built more than our fair share of affordable housing so far. So we said, 'Let us out.' And a judge OK'd it."

In 1975, the New Jersey Supreme Court issued a landmark ruling called the Mount Laurel decision, which required a certain amount of affordable housing as part of the state constitution. How much affordable housing each town was required to build was enforced by a state board called the Council on Affordable Housing (COAH). COAH was dissolved under the administration of Gov. Chris Christie, who despised the agency and refused to appoint positions to it. Today, a Cherry Hill-based advocacy group called Fair Share Housing Center works with towns to determine how many affordable units they should build.

However, both Mercantante and Middletown Mayor Tony Perry said they were unable to reach an agreement with Fair Share.

"Since July of 2015, before I even got on the Township Committee, we've been operating in what we thought was good faith with Fair Share," said Perry, who called the entire process "egregiously unfair." "It seemed like we were moving in a positive direction. But unfortunately, it became apparent Fair Share was not going to accept the Township's requests. Whatever we do never seems to be enough."

"We've built hundreds and hundreds of affordable housing units," said Mercantante. He pointed to new developments such as Regency Park, Wedgewood and Cottage Gate on Hwy. 36, plus the Village at Chapel Hill on Hwy. 35 and Harmony Glen off Harmony Road. That's in addition to senior affordable housing such as Bayshore Village in Port Monmouth and Conifer Village on Hwy. 36.

"In fact, other towns in New Jersey should catch up to Middletown," he continued. "Yet Fair Share wants us to build over a thousand more units. We have virtually no land left. If you took all the affordable housing they want the state to build, there wouldn't even be enough people to live in it all. It's ridiculous."

So Middletown pulled out of negotiations, and submitted the request to withdraw.

"We just decided we're not going to play this anymore," said Mercantante.

A spokesman for Fair Share called the move "highly unusual."

"Middletown has been one of the worst actors in the state when it comes to working-class families and seniors," said Anthony Campisi, a Fair Share spokesman. "Middletown has approved major new developments with no affordable units. And then they turn around and say it's too difficult for them. This is a constitutional obligation they are not fulfilling."

Campisi was referring to 180 units at the former Bamm Hollow Country Club and a 228-unit development at Four Ponds. Both were recently approved without any affordable housing, he said.

Middletown is leaving itself vulnerable to expensive lawsuits from developers, Campisi warned.

Many developers in New Jersey use the state's affordable housing mandate as a chance to force towns to increase the density and zoning of properties. Working with Fair Share to reach an agreed-upon number of affordable units was meant to insulate towns from those lawsuits.

Mercantante did not disagree.

"There is a risk we'll get sued. But we'll take those on a case-by-case basis," he said. "But if we didn't withdraw, we'd have to go ahead and rezone multiple properties around town for affordable housing. And you know every single one of those would be controversial."

"It's time legislators step up to the plate and take us out of these unfair, court-mandated housing regulations," said Perry.