A2017

An Act concerning notice requirements when declaring an area in need of redevelopment and amending and supplementing P.L.1992, c.79.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. Section 6 of P.L.1992, c.79 (C.40A:12A-6) is amended to read as follows:

6. a. No area of a municipality shall be determined a redevelopment area unless the governing body of the municipality shall, by [resolution] ordinance, authorize the planning board to undertake a preliminary investigation to determine whether the proposed area is a redevelopment area according to the criteria set forth in section 5 of P.L.1992, c.79 (C.40A:12A‑5). Such determination shall be made after public notice and public hearing as provided in subsection b. of this section. The governing body of a municipality shall assign the conduct of the investigation and hearing to the planning board of the municipality.

b. (1) Before proceeding to a public hearing on the matter, the planning board shall prepare a map showing the boundaries of the proposed redevelopment area and the location of the various parcels of property included therein. There shall be appended to the map a statement setting forth the basis for the investigation.

(2) The planning board shall specify a date for and give notice of a hearing for the purpose of hearing persons who are interested in or would be affected by a determination that the delineated area is a redevelopment area.

(3) The hearing notice shall set forth the general boundaries of the area to be investigated and state that a map has been prepared and can be inspected at the office of the municipal clerk. A copy of the notice shall be published in a newspaper of general circulation in the municipality once each week for two consecutive weeks, and the last publication shall be not less than ten days prior to the date set for the hearing. A copy of the notice shall be [mailed] sent by certified mail, at least [ten] 14 days prior to the date set for the hearing to the last owner, [if any,] of each parcel of property within the area according to the assessment records of the municipality. A notice shall also be sent by certified mail to all persons at their last known address, [if any,] whose names are noted on the assessment records as claimants of an interest in any such parcel. The assessor of the municipality shall make a notation upon the records when requested to do so by any person claiming to have an interest in any parcel of property in the municipality. The notice shall be published and mailed by the municipal clerk by certified mail, or by such clerk or official as the planning board shall otherwise designate. [Failure to mail any such notice shall not invalidate the investigation or determination thereon.]

(4) At the hearing, which may be adjourned from time to time, the planning board shall hear all persons who are interested in or would be affected by a determination that the delineated area is a redevelopment area. All objections to such a determination and evidence in support of those objections, given orally or in writing, shall be received and considered and made part of the public record.

(5) After completing its hearing on this matter, the planning board shall recommend that the delineated area, or any part thereof, be determined, or not be determined, by the municipal governing body to be a redevelopment area. After receiving the recommendation of the planning board, the municipal governing body may adopt [a resolution] an ordinance determining that the delineated area, or any part thereof, is a redevelopment area. Upon the adoption of [a resolution] an ordinance, the clerk of the municipality shall, forthwith, transmit a copy of the [resolution] ordinance to the Commissioner of Community Affairs for review. If the area in need of redevelopment is not situated in an area in which development or redevelopment is to be encouraged pursuant to any State law or regulation promulgated pursuant thereto, the determination shall not take effect without first receiving the review and the approval of the commissioner. If the commissioner does not issue an approval or disapproval within 30 calendar days of transmittal by the clerk, the determination shall be deemed to be approved. If the area in need of redevelopment is situated in an area in which development or redevelopment is to be encouraged pursuant to any State law or regulation promulgated pursuant thereto, then the determination shall take effect after the clerk has transmitted a copy of the [resolution] ordinance to the commissioner. The determination, if supported by substantial evidence and, if required, approved by the commissioner, shall be binding and conclusive upon all persons affected by the determination. Notice of the determination shall be served, within 10 days after the determination, upon each person who filed a written objection thereto and stated, in or upon the written submission, an address to which notice of determination may be sent.

(6) [If written objections were filed in connection with the hearing, the municipality shall, for 45 days next following its determination to which the objections were filed, take no further action to acquire any property by condemnation within the redevelopment area.] (Deleted by amendment, P.L. , c. .) (pending before the Legislature as this bill)

(7) If a person who filed a written objection to a determination by the municipality pursuant to this subsection shall, within 45 days after the adoption by the municipality of the determination to which the person objected, apply to the Superior Court, the court may grant further review of the determination by procedure in lieu of prerogative writ; and in any such action the court may make any incidental order that it deems proper.

c. An area determined to be in need of redevelopment pursuant to this section shall be deemed to be a "blighted area" for the purposes of Article VIII, Section III, paragraph 1 of the Constitution. If an area is determined to be a redevelopment area and a redevelopment plan is adopted for that area in accordance with the provisions of this act, the municipality is authorized to utilize all those powers provided in section 8 of P.L.1992, c.79 (C.40A:12A‑8).

(cf: P.L.2003, c.125, s.4)

2. Section 14 of P.L.1992, c.79 (C.40A:12A-14) is amended to read as follows:

14. a. A delineated area may be determined to be in need of rehabilitation if the governing body of the municipality determines by [resolution] ordinance that there exist in that area conditions such that (1) a significant portion of structures therein are in a deteriorated or substandard condition and there is a continuing pattern of vacancy, abandonment or underutilization of properties in the area, with a persistent arrearage of property tax payments thereon or (2) more than half of the housing stock in the delineated area is at least 50 years old, or a majority of the water and sewer infrastructure in the delineated area is at least 50 years old and is in need of repair or substantial maintenance; and (3) a program of rehabilitation, as defined in section 3 of P.L.1992, c.79 (C.40A:12A‑3), may be expected to prevent further deterioration and promote the overall development of the community. Where warranted by consideration of the overall conditions and requirements of the community, a finding of need for rehabilitation may extend to the entire area of a municipality. Prior to adoption of the [resolution] ordinance, the governing body shall submit it to the municipal planning board for its review. Within 45 days of its receipt of the proposed [resolution] ordinance, the municipal planning board shall submit its recommendations regarding the proposed [resolution] ordinance, including any modifications which it may recommend, to the governing body for its consideration. Thereafter, or after the expiration of the 45 days if the municipal planning board does not submit recommendations, the governing body may adopt the [resolution] ordinance, with or without modification. The [resolution] ordinance shall not become effective without the approval of the commissioner pursuant to section 6 of P.L.1992, c.79 (C.40A:12A‑6), if otherwise required pursuant to that section.

b. A delineated area shall be deemed to have been determined to be an area in need of rehabilitation in accordance with the provisions of this act if it has heretofore been determined to be an area in need of rehabilitation pursuant to P.L.1975, c.104 (C.54:4‑3.72 et seq.), P.L.1977, c.12 (C.54:4‑3.95 et seq.) or P.L.1979, c.233 (C.54:4‑3.121 et seq.).

(cf: P.L.2003, c.125, s.5)

3. (New section) a. Prior to undertaking any action to acquire any property by condemnation within an area in need of redevelopment or an area in need of rehabilitation, the redevelopment entity shall make a declaration of public purpose, which shall be by ordinance if the redevelopment entity is a municipality, or by resolution if the redevelopment entity is an entity authorized by the governing body of the municipality pursuant to subsection c. of section 4 of P.L.1992, c.79 (C.40A:12A-4).

b. Regardless of whether the redevelopment entity is the municipality or another entity designated by the municipality, the declaration of public purpose shall occur only upon proper notification having been provided not less than 14 days prior to the first reading of the ordinance or introduction of the resolution, as the case may be. If the municipality is the redevelopment entity, publication shall occur pursuant to R.S.40:49-2. If the municipality has designated another entity as the redevelopment entity, a copy of the intent to adopt a declaration of public purpose shall be published in a newspaper of general circulation in the municipality.

c. In addition to the publication requirements in subsection b. of this section, a copy of the notice shall be sent by certified mail at least 14 days prior to the date set for the hearing to the last owner of each parcel of property subject to the declaration of public purpose according to the assessment records of the municipality. A notice shall also be sent to all persons, at their last known address, whose names are noted on the assessment records as claimants of an interest in any such parcel. The assessor of the municipality shall make a notation upon the records when requested to do so by any person claiming to have an interest in any parcel of property in the municipality.

d. A declaration of public purpose shall set forth, in detail, the public purposes for which the condemnation action is being undertaken by the redevelopment entity.

4. This act shall take effect immediately.

STATEMENT

This bill is intended to increase the notice requirements to people owning property and residents living within a proposed area in need of redevelopment or rehabilitation. Notice would be increased under the bill by requiring that mailings be done by certified mail and by requiring a municipality to adopt ordinances at various points along the area designation process where it now merely adopts a resolution. The increased notice is intended to allow affected property owners to appreciate the eminent domain implications of being located within a redevelopment area at a meaningful time when they can participate in the initial decision making process.