This is a special joint meeting of the Township Committee and Planning Board.

Page 1 Mayor Susan D. Lockwood called a special meeting of the Delaware Township Committee to order on December 2, 2008 at 7:00 p.m. at Township Hall, 570 Rosemont Ringoes Rd. (County Rt. 604) in Sergeantsville, New Jersey. PLEDGE OF ALLEGIANCE All present recited the Pledge of Allegiance. NOTICE REQUIREMENTS Ms. Lockwood read a statement noting that the Notice Requirements provided for in the Open Public Meetings Act have been satisfied. Notice of this meeting was properly given by transmission to the Hunterdon County Democrat, Lambertville Beacon, Trenton Times, Courier News, and Star Ledger, by posting at the Delaware Township Municipal Building, and by filing with the Township Clerk all on November 17, 2008. This is a special joint meeting of the Township Committee and Planning Board. ROLL CALL TOWNSHIP COMMITTEE Present: Susan Lockwood, Kristin McCarthy, Alan Johnson Absent: Richard Madden, Jim McCue Also Present: Shirley Bishop, P.P. ROLL CALL PLANNING BOARD Present: Class I Kristin McCarthy Class II Tony Szwed Class III Susan Lockwood Class IV Ken Hyman, Alex Pichacz, Ron Bond Alternate Jim Dowd Advisory Roger Harris Attorney Steven Goodell, Esq. Administrator Judith A. Allen, RMC Absent: Class IV Advisory Larry Coffey, Christine Frenchu, Kathy Katz Liz Gilbreath, Gary Hinesley, John Kellogg, Leslie Sauer, Chuck Taylor, Don Hart Ms. Lockwood said that Planner Shirley Bishop will explain the Township s draft Fair Share Plan and Housing Element designed to meet the Township s low and moderate income housing obligation as determined by the New Jersey Council on Affordable Housing (COAH). Ms. Bishop said that the proposed Housing Element and Fair Share Plan are due to COAH by 12/31/08, the deadline set by COAH to remain under COAH s jurisdiction to prevent any exclusionary zoning challenge and to retain authority to collect development fees. Ms. Bishop said that the submission to COAH will include several documents in addition to the Housing Element and Fair Share Plan. Ms. Bishop reviewed the proposed Plan intended to satisfy the Third Round obligation. The Township has obligations from the first and second rounds. The rehabilitation requirement is now for eight units. The Township has satisfied that requirement. The Prior Round obligation is 23 units. To satisfy that obligation, the Township entered into a Regional Contribution Agreement (RCA) with Lambertville for five units resulting in five credits. The existing ARC home in Sergeantsville provided six credits. NORWESCAP proposed to build ten senior citizen apartments on Higgins Farm Road. The Township would have had bonus credits from the rentals. Due to a lack of funding, NORWESCAP never built the project as proposed, and the Township cancelled the agreement. Instead, ARC now proposes to build eight shared living apartments (two four-bedroom units) for medically frail senior citizens. That will yield eight credits. One will address the Prior Round obligation. Seven will address the current Growth Share round. Hunterdon County owns a house on Raven Rock Road for which it has an agreement with Delaware Township to rent the house to a low/moderate income tenant. That provides one credit and one bonus rental credit. The Township helped Allies, Inc. to purchase a three bedroom home for use as a group home. It provided three credits plus three rental bonus

Page 2 credits. The Township proposes ten accessory apartments. Three will be used to satisfy the Prior Round obligation, and seven will address the growth share obligation. Summary: Prior Round: Rehabilitation eight units satisfied. RCA five units (transfer) ARC Group Home (1982) six units (bedrooms) New ARC Home one unit (bedroom) Raven Rock Rental one unit (family rental) one rental bonus Allies Group Home three units (bedrooms) three rental bonuses Accessory Apartments three (family rental) TOTAL 23 Ms. Bishop next addressed the Township s Growth Share obligation. The Township was required to look to 2014 and project a number of units of new residential and non-residential construction. Growth Share required one affordable unit for every eight new market-rate residential Certificates of Occupancy and one affordable unit for every twenty-five newly created jobs. The Court invalidated those rules. Ms. Bishop said that now municipalities are expected to plan for COAH s targeted number, even if no growth materializes, projected to 2018. However, it only has to phase the units as the Township grows. COAH assigned 54 units of growth share. It later reduced the number to 53 based on exclusions. Fourteen units must be rental units. The Township proposes to satisfy those units through six apartments at the Perimeter Properties development. The new ARC home will provide eight units one for the Prior Round and seven for the Growth Share round. Skylands Estates, owner of Block 15, Lot 1, proposes to construct fifteen family rental units. It will generate an additional thirteen units as rental bonuses. Of the ten proposed accessory apartments, three will meet the prior round obligation, and seven will address Growth Share. The affordability controls on the existing ARC home will be extended for an additional thirty years, yielding six units. Summary: Growth Share Perimeter six units (family rentals) New ARC home seven units (age restricted) Skylands fifteen units (family rentals) Skylands thirteen rental bonuses Accessory Apts. seven units (family rentals) Existing ARC Home six units (controls extended thirty years) TOTAL: 54 Ms. Bishop said that the plan satisfies the rental component of fourteen units. The new ARC home on Higgins Farm Road will be occupied mostly by very low income occupants. Fifty percent of all affordable housing in the Township must be affordable to families. This plan meets that requirement. Ms. Bishop reviewed the Township s waiver request. The Township will submit a waiver request for the proposed Skylands Estate project. The Township does not have center designation. It is not in Planning Area 1 or 2. This waiver is similar to the one previously requested for the Perimeter Properties site. The request cites the NJDEP s determination that the infrastructure can be handled on site with the type of development being proposed. Ms. Bishop said that the growth share units will be phased as market rate residences and nonresidential units come on line. Submissions to COAH will also include the petition application, checklist requirements, and a workbook chart of household and employment projections. The checklists set forth implementation schedules. The ARC senior citizens shared living home implementation is expected in 2009 or 2010. The accessory apartments will be funded by the Township at $20,000

Page 3 per unit. A new Allies group home will hopefully come on line in 2009. Skylands will probably come on line in 2011-2012. Ms. Bishop said that nothing is in concrete. Everything can change. There are 24 lawsuits pending against COAH. There is concern with the implementation of the Roberts Bill (A500). The Legislature may revisit the Fair Housing Act. However, the constitutional obligation to provide low and moderate income housing will never go away. COAH used faulty GIS data from 2003. It ignored more up-to- date information from municipalities. Ms. Bishop reviewed the proposed Spending Plan. The development fee ordinance is in place. The Township anticipates receiving $640,000 in development fees between 2004 and 2018. Thirty percent of development fee money must be used for affordability assistance. That includes rental assistance and/or down payments for units in the Fair Share Plan. The Township may expend up to twenty percent of fees on administration. That is a maximum of $191,831. She said that the numbers are only as realistic as the housing units that come into Delaware Township. Ms. Bishop said that there is a funding shortfall in the Spending Plan. If the Township funds the accessory apartments and the group home, there will be a shortfall of $ 199,000. Delaware Township is not the only municipality with a shortfall. Some municipalities have millions of dollars in shortfalls. COAH requires a resolution from the Township stating its intent to bond for the shortfall. The Township Committee approved this resolution years ago, and it remains in place. Ms. Bishop said that the appendices include a draft development fee ordinance, an accessory building ordinance, a draft ordinance for the Skylands Estates development, and an agreement between Allies, Inc. and the Township to purchase and rehabilitate a group home in the Township. Also included is a letter from the Township Engineer that the accessory buildings will meet NJDEP and health department codes for septics. ARC is moving forward on its new project. It also provided a letter extending the affordability controls on the existing group home in Sergeantsville. Responding to questions from the audience, Ms. McCarthy said that the Allies, Inc. home is at 85 Locktown Sergeantsville Road. The Skylands Estate project is on Old Croton Road by Rt. 12. Jocelyn Mullen asked about the proposed ARC home on Higgins Farm Road. Ms. McCarthy said that it will house developmentally disabled senior women who are medically frail. There will be support staff on duty 24/7, but it will not be an assisted living residence. The staff does not live in the house. The NORWESCAP project proposed two buildings with five apartments in each. The ARC project proposes two buildings with four units in each. She said that ARC is committed to making the housing blend into the neighborhood. The driveway will access on Higgins Farm Road. Lorraine Cagliostro said that the Planning Board approved an incomplete plan for NORWESCAP. It was missing information. At that time she questioned NORWESCAP about its financial backing and was told by NORWESCAP that funding was not a problem. She said that the design needed changes in the stormwater management plan. She asked how confident the Committee is that this proposal has adequate funding and financing. She asked when the Committee will accept input from residents about the project. This project is changed from the project described to residents when they bought their houses on Higgins Farm Road. Ms. McCarthy said that she was not sure about the Planning Board approval, but the NORWESCAP funding fell apart for external reasons. (Mr. Johnson left the meeting at 7:20 p.m.) Ms. Bishop said that the Township had many assurances that NORWESCAP was progressing, but the plan just fell apart. Ms. McCarthy said that the funding for ARC comes from different sources and is directed toward a different clientele. ARC is discussing financing with the State. If it can not get funding, it will not be built. The Township will have to look for another developer of senior citizen housing.

Page 4 Ms. McCarthy said that it is difficult financially for any group to secure funding. The Township spoke with another firm about possible senior housing. Because the project is small, it is very difficult to build it, manage it, and make it financially feasible. Finding funding in the past was hard. Now it is even harder. The grant money is gone. Municipalities have to put in lots of taxpayer money. Ms. Cagliostro asked whether the ARC home will have to go back to the Planning Board for review. Ms. McCarthy said that this project has a smaller footprint. John Stark said that residents on Higgins Farm Road do not want anything built on the site, but they knew that it would happen eventually. They would prefer that the project access on Rt. 604 or Rt. 523 instead of Higgins Farm Road. The right buffer or landscaping is needed. Ms. McCarthy said that the Township would have to get an easement across a neighboring property or purchase an access from an abutting property owner. She did not know if that is possible. The access can not go through the open space lot. The county would have to approve an access to a county road. Mr. Stark asked the Committee to get some of the neighbors involved in what is being planned. There are children in the neighborhood. The project will result in more traffic. It is important to have the right buffer and lighting that do not affect the existing houses. Ms. McCarthy said that it is everyone s objective to make the project blend into the neighborhood. Mark Finkelstein asked who will qualify to live in the units. Ms. Lockwood said that the residents will be developmentally disabled and over the age of 62. Ms. Bishop said that the New Jersey Department of the Developmentally Disabled now realizes that older disabled residents do not want to live with younger disabled residents. They want to live with people their own ages. Mr. Finkelstein asked whether they have drivers licenses. Ms. Bishop said that a van drives the residents. Ms. McCarthy said that there is currently an ARC home in Sergeantsville. Six women live there. It is communal living. The LINK picks them up. Brownies and other service groups visit there. Ms. Bishop said that the new ARC home will provide private bedrooms and bathrooms, a shared kitchen, and a shared living room. There will be two separate buildings. Ms. McCarthy said that the new design will not include garages as were previously proposed. Greg Seidel asked whether there can be a more widespread notice to neighbors. They would like to know what is going on. He said that the COAH plan calls for occupancy of this building in 2010. He thought that is a short timeframe for construction and funding. Ms. McCarthy said that this plan is fluid. The Township must wait for approvals by COAH. ARC is hoping to hear about funding in the spring of 2009. During the intervening period, the plan will be tweaked. Ms. Bishop said that COAH has 45 days from 12/31/08 to deem the Township s application complete. There will be 250 plans submitted to COAH. The implementation schedule for each municipality will be negotiated with COAH. If the recession continues and there is no money, the schedule will be pushed into the future. Mr. Seidel said that last time the NORWESCAP plan was rammed down the neighbors throats. They do not want that to happen again. Ms. McCarthy said that if ARC gets its funding in the spring of 2009, occupancy in 2010 is not unrealistic. It will be modular construction. There is already an approved stormwater management plan. Mr. Goodell said that the Township can not promise notice to residents if they are not within two hundred feet of the project area in the event that ARC has to return to the Planning Board.

Page 5 Ms. Cagliostro said that the Planning Board rushed through its approval of the NORWESCAP project on 3/15/05. Ms. McCarthy said that the Township has done a lot of work to prove that it is committed to funding affordable housing. It has generated nine units in the last 1.5 years. Prior to that, the Township was under the gun because there was no movement on affordable housing. She did not anticipate such pressure now by COAH. Mr. Seidel said that he did not receive notice for the Planning Board meeting at which NORWESCAP was approved. It is only fair for residents to be kept informed. Ms. McCarthy said that the Committee will do its best to be sure that any bad experience is not repeated. The Committee can look into moving the driveway now. The Committee s biggest goal is to make the project look as much a part of the neighborhood as possible. The Township obtained a grant to landscape the site. Carman Davis said that he has no children, but he has seen the increase in the number of small children in the neighborhood. He was concerned with the on-site staffing. He said that this will be two or three times larger than the current ARC home. Ms. McCarthy said there are six bedrooms in the current ARC home. There will be eight bedrooms in this project. She recalled that there will be one staff person in each building working a twelve hour shift. Staff members are at the existing ARC home as well. She said that if the project comes to fruition, ARC will attend a meeting to explain its proposal. Mr. Harris asked whether the Township has a written agreement with ARC. Ms. McCarthy said that there is a letter of intent. Mr. Harris asked whether an appearance before the Planning Board was suggested. Ms. McCarthy replied no. Ms. Bishop thought that the Committee could ask ARC to come to a meeting of residents and answer questions. Mr. Harris suggested holding this meeting sooner rather than later. ARC may resist if the Township asks for more landscaping, etc. Ms. McCarthy said that the Township is paying for the site work. ARC said that it is willing to work with neighbors. Ms. Lockwood said that moving the access will negatively affect the stormwater management plan for the project. Ms. McCarthy said that if the buildings are smaller and there is less parking, ARC may be able to accommodate other site changes. Two big issues are access and stormwater. There is currently no alternate access. Hunterdon County would have to approve access to a county road. Ms. Mullen asked the Committee to try for another approach. Ms. Lockwood said that it is reasonable to ask the county to review the access. It is not as easy to change it as people may think. The plan is designed and approved. The costs are set. She said the Committee can try, but she said that residents have to be realistic. Mr. Davis asked the Committee to try for the sake of the children in the neighborhood. A resident asked why the home will house developmentally disabled senior citizens. Ms. Lockwood said that the site is deed restricted to use for senior citizen housing. The original plan called for ten age-restricted units. The tenants would have been driving. Garages were part of the design. There will be a lower traffic impact with this population than in the previous plan. Mr. Harris was concerned about putting fifteen apartments on the Skylands Estate property where there are Croton soils. Ms. Bishop said that the plan calls for up to fifteen units. There may be fewer units. By the time this plan is implemented, it will be 2009 at the earliest. Ms. Lockwood said that the Township must meet the 12/31/08 deadline, but it has months of time after submission to work further on the plan. Mr. Harris asked whether there is a letter of intent from Skylands Estate. Ms. Bishop said that the submission will include a draft overlay zoning ordinance. The Township does not have to adopt it until after COAH certifies Delaware Township. Ms. McCarthy said that NJDEP is reviewing the Skylands proposal.

Page 6 Mr. Goodell said that submission of the plan by 12/31/08 is critical, whether it is complete or not. The Township must have immunity from a builder s remedy. Without certification, the ability to zone is removed from the Township and put into the hands of a builder or the courts. The plan proposes affordable housing that the Township has a realistic opportunity to provide. Mr. Hyman said that there are 24 actions pending in court. Anyone can try to negate this plan. Ms. McCarthy reminded everyone that the Township is constitutionally obligated to provide affordable housing. That will not change. Mr. Goodell said that Delaware Township s number is onerous to the Township, but it is reasonable when compared to other municipalities. The statewide cost implication is in the billion of dollars, yet municipalities are not legally required to fund affordable housing programs themselves. Mr. Goodell said that it is the role of the Planning Board to vote to adopt the Housing Element and Fair Share Plan as an amendment to the Master Plan at a public hearing. That hearing will take place at 8:00 p.m. tonight. Then the Township Committee will endorse them and also the Spending Plan on 12/8/08. The Plan will be submitted on 12/29/08. Mr. Seidel said that he would like to be a part of the approval process. Mr. Goodell said that he did not know what legal approvals ARC may need. It may not need anything. There may simply be a give and take good-will approach to development of the site. Ms. Lockwood said that the Committee will try to pursue an alternate access, but she was not sure of the Township s obligation for further site review. Ms. McCarthy said that the Committee can ask ARC to meet with the neighborhood. There is no plan yet for the project. There were no further comments or questions. ADJOURNMENT Members moved, seconded and unanimously approved a motion to adjourn the meeting at 8:07 p.m. Respectfully submitted, jaa Judith A. Allen, RMC Township Clerk