New Bill Speeds Up Construction Permitting, Funds 79 Affordable Housing Units

Governor Phil Murphy today signed A573, which makes several changes to the Uniform Construction Code (UCC) Act designed to speed up the construction permitting process.

The bill codifies a three-day construction inspection turnaround from the date of the requested inspection and allows developers to contract with private on-site inspection agencies if local construction officials cannot complete the inspection within three days of the requested date.

“By codifying the required three-day inspection turnaround, we ensure things can move along expeditiously,” said Assemblyman Rob Karabinchak. “Right now three days is the standard but because it’s not set in stone it’s often ignored and at the expense of a business or contractor experiencing costly delays.”

The bill brings New Jersey in line with several other states where private sector inspections supplement government inspections. The ultimate approval and sign-off on a certificate of occupancy will still come from local construction officials.

The bill also provides local governments with a more streamlined bidding process to contract with private inspection agencies to conduct inspections or enter into shared services agreements to consolidate work among multiple municipalities.

“This common-sense legislation will help ordinary citizens cut through bureaucratic red tape and expedite important inspections which will help spur the economy,” said Senate President Nick Scutari.

In addition to the bill signing, Governor Murphy, along with Lt. Governor Sheila Oliver, announced the award of more than $19 million to organizations across the state through the Affordable Housing Trust Fund (AHTF), National Housing Trust Fund (NHTF), and the HOME Community Housing Development Organizations (CHDO) Production Program.

“Today’s bill signing will speed up the construction permitting process, making sure that developers are able to complete their projects without delay. The over $19 million investment will aid in the completion of 79 affordable housing units across our state. These steps will bring us closer to providing quality and affordable homes to our residents,” said Governor Murphy.

All the awards were given to smaller rental and homeownership housing projects sized at 25 or fewer units, which often have difficulty obtaining financing. These projects will fill the gaps within the existing affordable housing framework, build on current assets and investments, and add value to neighborhoods.

“Construction inspections are an important part of the process of building a small business, ensuring both customers and staff are safe. Yet too often the process is cumbersome and lengthy, adding unnecessary costs for small business owners,” said Assemblyman Louis D. Greenwald. “This legislation will make the current construction inspection process more efficient and timely for small businesses, allowing them to realize their dreams and get to work.”

The projects are also being developed by community-based organizations that have a strong connection to the housing equity issues in their communities. A total of 17 developers were awarded these funds totaling a $19,082,545 investment toward 79 units.

The award recipients include: Affordable Housing Trust Fund Awards

• SJCS Rehab, LLC - $1,552,731 for 10 units in Camden City
• Garden State Episcopal CDC - $1,454,911 for 6 units in East Orange City
• Magill Real Estate Holdings, LLC -$3,813,526 for 20 units in the City of Elizabeth

HOME Community Housing Development Organizations (CHDO) Program

• Saint Joseph's Carpenter Society - $270,600 for 1 unit in Woodbury City

National Housing Trust Fund (HTF)

• GFM Properties, Inc - $1,000,000 for 4 units in Midland park Borough
• Nouvelle Housing Solutions, Inc. - $1,000,000 for 4 units in Franklin Lakes Borough
• The Salt & Light Company, Inc. - $651,900 for 4 units in Pemberton Borough
• LUA Homes LLP - $1,000,000 for 2 units in the City of Newark
• BES Homes LLC - $1,000,000 for 2 units in the City of Newark
• Homes By TLC, Inc. - $866,000 for 2 units in Ewing Township
• Reformed Church of Highland Park - $1,000,000 for 4 units in Highland Park
• Perth Amboy YMCA - $1,000,000 for 7 units in Perth Amboy
• Triple C Housing, Inc. - $1,000,000 for 2 units in North Brunswick Township
• Affordable Housing Alliance, Inc. - $1,000,000 for 3 units in Millstone Township
• HABcore, Inc. - $805,120 for 2 units in the City of Asbury Park
• Triple C Housing, Inc. - $667,757 for 2 units in Berkeley Township
• Nouvelle Housing Solutions, Inc. - $1,000,000 for 4 units in Wayne Township

“In New Jersey, applying for and receiving a building permit can be a lengthy and costly process. This law will establish a means to simplify and expedite the process to shorten the time it takes to get a new construction permit,” said Senator Patrick J. Diegnan.

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