On August 10, 2004, the Highlands Water Protection and Planning Act (HWPPA) was signed into law. This legislation institutes protective environmental standards on a 1,250-square-mile area in northern New Jersey, covering portions of seven counties and 88 municipalities, known as the Highlands region.
 
In general, the Warren County Planning Department finds the Act, Rules and draft Regional Master Plan to be the justification for prohibiting new development in the non-urbanized areas of the Highlands Region, leaving limited opportunity for meaningful economic growth that would be needed to maintain an equitable property tax base and quality of life for Highlands residents.