NJ S3227

Authorizes New Jersey municipalities to assess development impact fees on major subdivisions and site plans to fund infrastructure improvements necessitated by new development, including transportation, water/wastewater systems, flood control, parks, public safety facilities, and educational facilities

Requires municipalities to first adopt a master plan and capital improvement program, with impact fee ordinances subject to certification by the newly established Development Impact Fee Review and Advisory Commission before taking effect

Exempts low-income and moderate-income housing from impact fees, and prohibits passing those exempted fees onto market-rate unit purchasers in inclusionary developments

Mandates that collected impact fees be deposited in segregated special infrastructure trust funds and expended within eight years, with unexpended fees plus interest returned to the original payer upon request

Requires municipalities with certified impact fee ordinances to submit annual reports to the commission detailing assessed developments, fee amounts, and financing methods, with failure to report resulting in automatic decertification of the ordinance