CSG Law Alert: DEP Proposes Delaying REAL Rule Implementation Until July 2027
On June 1, 2026, the New Jersey Department of Environmental Protection (“DEP”), announced a rule proposal amending the Resilient Environment and Landscape Rule (“REAL Rule”), effectively providing a one-year extension of the effective date of the REAL Rule to July 20, 2027. Pursuant to the existing REAL Rule adopted on January 20, 2026, the new standards were scheduled to become effective July 20, 2026. NJDEP is proposing a targeted amendment that amends what is referred to as the “legacy provision,” which essentially stated that an applicant that submitted a permit application that was deemed administratively and technically complete prior to July 20, 2026, would not be subject to the standards adopted in the REAL Rules governing coastal flooding intended to address future climate change.
DEP’s announced delay in implementation allows DEP to reconsider the current rules and to conduct a new, formal, stakeholder process in light of Governor Sherrill’s Executive Order No. 5 (2026), which seeks to streamline and simplify the permitting process in New Jersey. DEP has indicated that it is going to engage with interested parties, including residents, municipalities, counties, regional planning entities, real estate developers, and members of the environmental, business, insurance, and real estate communities. Additional stakeholders will provide the Sherrill Administration with data and information, allowing it to better evaluate its flood mitigation environmental policies. In conducting this analysis, the administration can more closely align the rules to its policy vision.
DEP will be conducting a virtual public hearing on July 7, 2026, at 6:00 p.m. Those interested in providing oral testimony or submitting written comments at the public hearing should register with DEP prior to 5:00 p.m. on July 5, 2026, at https://dep.nj.gov/njreal. Written comments may also be submitted electronically by July 31, 2026, at https://dep.nj.gov/rules/rule-comment-form, or a hard copy to:
Chris Segal
ATTN: 02-26-05
New Jersey Department of Environmental Protection
Office of Legal Affairs
Mail Code 401-04L
P.O. Box 402
401 East State Street, 7th Floor
Trenton, NJ 08625-0402
By way of background, the REAL Rules were proposed on August 5, 2024, as the culmination of the Murphy Administration’s New Jersey Protection Against Climate Threats (“NJ PACT”) initiative addressing climate change. The proposal changed almost a dozen DEP rules, but primarily amended DEP’s rules governing construction and disturbance in coastal areas, including: (i) the Coastal Zone Management rules governing permits required under the (A) Coastal Area Facilities Review Act (also known as CAFRA), (B) permits for the disturbance of Coastal Wetlands, and (C) Waterfront Development Permits; (ii) the New Jersey Freshwater Wetlands Protection Act rules; and (iii) the Flood Hazard Area Control Act (“FHA”) rules. The REAL Rules also amend other rules involving water discharge and site remediation/solid waste to the extent impacts of climate change impact those programs.
The REAL Rule utilizes a projected impact of climate change in 2100, designated as Climate Adjusted Flood Elevation (“CAFÉ”) adding, among other things, four feet of elevation to the tidal flood areas regulated under the FHA. The REAL Rule requires “flood proofing” up to a higher level and, in some cases, may require elevation of new construction. The impact of the requirements imposed by REAL becomes more stringent depending on the type of structure, particularly if the structure is a building that has “human occupancy” or is deemed “critical infrastructure.”
Developers of projects should be mindful of the extended “legacy provision” when proposing new coastal projects as the possibility of DEP reverting to the January 2026 rules remains viable, at least until a new set of rules is adopted. It is important to consult with professionals, including counsel and environmental consultants when planning a coastal development strategy in light of today’s announcement.
If you have any questions, please do not hesitate to reach out to one of the authors of this alert or the CSG Law Environmental Group.