Regulations in Warehouse Development

E-commerce was a business that boomed during the COVID pandemic so much so that businesses struggled to keep up with the demand. To be able to meet the demand of the consumer public, many e-commerce companies have started to look to warehousing to increase their ability to produce and distribute their products.

However, this may become more difficult for these companies looking to expand in New Jersey. On April 27, New Jersey State Senator Stephen Sweeney introduced a bill to allow municipalities to better analyze the land use, traffic, environmental, economic, and social equity effects of a warehousing project.

Under this bill, a municipality receiving an application for a warehouse development project will have to notify all surrounding municipalities. After being notified, the surrounding municipalities have the opportunity to communicate their concerns to the municipality by reviewing the application. This is to try to ensure that all municipalities that would be affected by the project are comfortable with the development of the warehouse.

In the case that a surrounding municipality is unhappy with a decision of the municipality reviewing an application, an appeal can be submitted to the Intermunicipal Impact Advisory Board. The Intermunicipal Impact Advisory Board, created under this bill, will consist of 15 members, all of whom are stakeholders in the review process and are appointed by the Governor. The purpose of this board will be to promote the general welfare of surrounding municipalities and to hear appeals and render decisions regarding municipality approvals.

By having this bill in place, Senator Sweeney is hoping for municipalities to have a greater voice in the process and to have the ability to reject proposals that may cause them harm. Here at WJH, we are focused on ensuring that our projects won’t have any negative effects to their surrounding community.

Please let us know your thoughts or opinions on how this bill may affect warehouse development in New Jersey. Contact us today to further discuss and as always, if you need assistance in planning your next project.