Lawmakers Rebuke NJDEP’s Pact That Will Sink Shore Economy

NJ GOP Assembly

Proposed environmental regulations threaten to sink shore town economies and dreams of home ownership for middle- and working-class New Jersey families, Republican lawmakers said in a letter to NJ Department of Environmental Protection Commissioner Shawn LaTourette Thursday.

The department released its draft New Jersey Protecting Against Climate Threats regulations Aug. 5, an initiative launched through executive order by Gov. Phil Murphy back in 2020. The pact includes two key elements, the Resilient Environments and Landscapes rule and the Climate Pollutant Reduction, which seek to modernize environmental land use rules and reduce greenhouse gas emissions respectively.

However, the proposals were seemingly drafted without the input of residents and local elected officials, Republican lawmakers charge. The letter—signed by shore Assembly members Antwan McClellan, Erik Simonsen, Don Guardian, Claire Swift, Gregory Myhre, Brian Rumpf, Paul Kanitra, Gregory McGuckin, Vicky Flynn, Gerry Scharfenberger and Sean Kean—calls on LaTourette to bring all stakeholders to the table to make adjustments before adoption.

“While we fully support efforts to protect our environment, we are deeply troubled by the potential economic repercussions of the proposed rules. Our review indicates that the department’s approach could inadvertently undermine the economic vitality of our local communities, particularly by driving up costs, delaying community improvements, and further perpetuating New Jersey’s reputation as one of the most unaffordable states in the nation,” the letter states.

Republican lawmakers cited the department’s own findings, which concede that construction and housing costs will rise because of the environmental rules. In some cases, fees for land surveying will immediately double or triple. Further, the NJDEP’s findings failed to consider impacts on land values and tax ratables, infrastructure funding, building code requirements, renovation costs and accessibility considerations. The rules, if adopted, would make home ownership impossible for all but the wealthiest buyers and drive vacationers and investors to more affordable locations outside the state.

Shore communities have finally bounced back or even exceeded pre-pandemic visitor spending, according to Tourism Economics. The latest confirmed figures from 2022 show that Atlantic, Cape May, Ocean and Monmouth counties saw $23.4 billion in tourism revenue in 2022. Republicans argued the proposed NJDEP rules will devastate those gains.  

“The cascading effect from the prohibitively high cost of development, and the consequent reduction in building activity, will have a profoundly negative effect on our shore economies. Homeowners and vacationers will seek more affordable alternative locations than the Jersey shore, which will increase property taxes on current residents and decrease revenue for local business. Without adjustments to these regulations, there is a significant economic risk that would undermine our communities’ diverse and inclusive character,” the letter concludes.

The NJDEP has one year to formally adopt NJ PACT.

A copy of the letter can be found here.