Authorizes municipal challenge to non-redevelopment housing projects ordered by COAH unless order is based on exclusionary zoning; excludes flood-prone land from affordable housing vacant land analysis; provides housing obligation cap.

This New Jersey bill (A968) allows municipalities to challenge COAH (Council on Affordable Housing) orders requiring non-redevelopment housing projects on undeveloped land, unless the order addresses exclusionary zoning practices in that municipality. It excludes flood-prone land from affordable housing vacant land analysis, meaning land below flood elevation standards or within 100 feet of certain water bodies cannot be counted toward housing requirements. The bill caps a municipality's affordable housing obligation at a 5% population increase over a 10-year period, replacing the previous 1,000-unit limit. These provisions aim to balance housing needs with municipal planning considerations and environmental protections. The Department of Environmental Protection must develop rules for identifying flood-prone lands within seven months of enactment.