In the final hours of Governor Phil Murphy’s administration, New Jersey adopted new regulations that will require buildings in coastal and flood-prone areas to be constructed four feet higher than previously mandated. The Department of Environmental Protection (DEP) finalized the NJ Protection Against Climate Threats Resilient Environments and Landscape (NJPACT REAL) Rules on Tuesday, which was Murphy’s last day in office.
The DEP had initially proposed a five-foot increase in elevation standards in 2024 but reduced it to four feet after feedback from organizations including the New Jersey Business & Industry Association (NJBIA). Critics argued that the original proposal did not consider recent climate change science.
Ray Cantor, Deputy Chief Government Affairs Officer at NJBIA, said that despite amendments made last year, the rules will still disrupt economic development by causing permitting delays and increasing both time and costs for construction projects. He noted these impacts would extend to new housing developments, urban revitalization efforts, and energy generation facility construction.
“Our new governor Mikie Sherrill, by her executive orders, has made it clear that permitting reform and government efficiency are priorities, but these DEP rules implemented by the prior administration are going to undermine her efforts,” Cantor said.
“You can’t move New Jersey forward with a regulatory framework that holds the state back,” Cantor continued. “Beginning this summer, obtaining permits for construction projects affected by these new rules will be even more difficult and expensive, which will hurt New Jersey’s economy and exacerbate the state’s affordability issues.”
“We look forward to working with the new Sherrill administration to change this rule,” Cantor added.
The NJPACT REAL rules raise elevation requirements in designated areas of New Jersey, expand flood maps, introduce new wetland protection and stormwater management measures, and place additional limits on building in flood-prone zones. These changes apply to both new constructions and existing buildings undergoing significant renovations. The regulations take effect July 20; until then developers may submit permit applications under previous standards.
The New Jersey Business & Industry Association is recognized as the largest statewide employer organization in the United States. It represents employers across various sectors such as manufacturing, retail, wholesale, contracting, services, and more throughout New Jersey. The association offers advocacy services as well as practical information and cost-saving benefits aimed at supporting business prosperity. Headquartered in Trenton since its founding in 1910 as the New Jersey Manufacturers Association—later renamed—the NJBIA works closely with businesses, government entities, and academic institutions across the state.
