Township of Franklin, NJ Article I Affordable Housing

[Adopted 10-9-1989 by Ord. No. 89-9]

§ 85-1 Purpose; title.

A. The purpose of this article is to create the administrative mechanisms to carry out the Township's responsibility to assist in making available the affordable housing program called for in the Development Regulations Ordinance.[1]

[1] Editor's Note: See Ch. 90, Land Use and Development.

B. The short title of this article will be "Franklin Township Affordable Housing Ordinance."

§ 85-2 Definitions.

For purposes of this article, certain terms are used as defined in Chapter 90 of the Township Code. Where applicable, words and phrases used in this article shall have the same meaning as such words and phrases have in the Fair Housing Act, N.J.S.A. 52:27D-301 et seq., or in regulations established by the Council on Affordable Housing ("COAH"). In addition, the following terms are defined as follows:

ACCESSORY APARTMENT

A dwelling unit authorized under this chapter and Chapter 90, Land Use and Development, for the sole purpose of fulfilling the Township's obligation for its fair share of the regional low- and moderate-income housing need under rules and regulations established by COAH. Units are limited in number and are authorized for the special case for periods of time identified in this chapter.

[Added 4-14-1997 by Ord. No. 97-7]

AGENCY

The New Jersey Housing and Mortgage Finance Agency.

COAH

The New Jersey Council on Affordable Housing.

HOUSING CONSULTANT

The consultant firm engaged by the Township to administer the housing rehabilitation program and program of the Township relating to lower income housing. At present the Township has engaged Planners Diversified, of Summit, New Jersey, as Housing Consultant.

HOUSING OFFICER

The employee, consultant (which may be the Housing Consultant) or authority or government or other agency charged with the responsibility of administering the affordable housing program of the Township.

§ 85-3 Affordable Housing Board.

A. Establishment of Affordable Housing Board. There is hereby established in the Township an Affordable Housing Board which shall consist of five members appointed by the Township Committee. The members shall serve without compensation.

B. Membership of Board and term of office. The Board shall be composed of two members of the governing body and a member of the Township Local Assistance Board,[1] whose appointments shall each be for one year, and two additional residents of the Township whose terms shall be for two years each, except that, when the Board is initially appointed, one resident member shall be appointed for one year and one member for two years. Appointments to fill vacancies resulting from resignations or removal from office shall be for the departing member's unexpired term.

[1] Editor's Note: See Ch. 24, Local Assistance Board.

C. Powers of Affordable Housing Board. The powers of the Affordable Housing Board shall be as follows:

(1) To recommend to the Township Committee the person or organization to be appointed the Housing Officer for the Township, and the amount of compensation, if any, to be paid to that person or organization.

(2) To recommend to the Township Committee the adoption of any rules and regulations, amending or supplementing those adopted by this article, necessary and appropriate to supplement applicable state law, which state law includes but is not limited to the provisions of said Fair Housing Act and regulations promulgated by COAH, provided that such rules and regulations shall be in furtherance of and not inconsistent with applicable state law:

(a) To govern the sale or rental of affordable housing units to lower income persons, pursuant to this article and the laws of the State of New Jersey.

(b) To assure that the housing units built or rehabilitated for lower income housing pursuant to this article will remain available to lower income persons for the appropriate period of time as required in this article and by law.

(c) To establish eligibility criteria for persons wishing to purchase or rent lower income housing in the Township in accordance with this article and with state law, provided that no eligibility priorities shall be established other than those specifically set for in this article and state law.

(d) To establish screening mechanisms to ensure that all lower income housing units are occupied only by lower income households.

(e) To administer all funds made available to the Township for lower income housing from any donations or developer contributions arising from the provisions of Chapter 90 of the Township Code, from variances or from public or other sources, pursuant to § 85-4 of this article.

(f) To regulate the resale of lower income units, consistent with COAH regulations and any other state law, so as to allow lower income households to recoup the value of any improvements to the units while, if required by ordinance or state law, providing for the recapture by the Township of any windfall profits from the resale of the units, all in accordance with state law.

(g) To regulate the calculation of rents and other charges for lower income rental units for the purposes of ensuring that lower income rental units are rented to and remain occupied by lower income households, in accordance with state law.

(h) To provide for a fair and equitable disbursal of funds from the Housing Rehabilitation and Assistance Fund, to the extent such funds are available, to be used for rehabilitation of substandard housing occupied by lower income households, and for such other projects or assistance, including new construction, consistent with the provision of affordable housing in the Township and as are authorized by law, and in so doing to provide that at least 1/2 of newly constructed units and, insofar as is practicable, 1/2 of rehabilitated units, are affordable to low-income households.

(i) To foster the production of rehabilitated lower income housing units at a rate which is consistent with the housing element of the Township's Master Plan.

(j) To carry out such additional responsibilities as are necessary to fulfill the Township's affordable housing program in accordance with this article, Chapter 90 of the Township Code, the terms of the Township's substantive certification from COAH and state law.

(k) To govern the administration of the Township's Accessory Apartment Program for low- and moderate-income senior citizen households.

[Added 4-14-1997 by Ord. No. 97-7]

(3) To recommend to the Township Committee the methods to be used, consistent with COAH regulations, for housing surveys to be conducted to ascertain the extent and location of substandard housing in the Township and, upon authorization by the Township Committee, to conduct such surveys or to arrange to have such surveys conducted.

(4) To seek out sources of government funding that will assist the Township in meeting its goals of supplying affordable housing and, upon authorization by the Township Committee, to prepare and submit applications to secure such funding.

(5) To prepare an annual budget for the Affordable Housing Board, including salaries and expenditures incurred in administering this article, exclusive of expenditures for rehabilitation or other lower income housing assistance. The budget shall be prepared in accordance with proper municipal accounting procedures and submitted to the Township Committee for approval as part of the municipal budget.

(6) To recommend to the Township Committee, in conjunction with the Housing Consultant as to rehabilitation, the disbursement of funds from the Housing Rehabilitation and Assistance Fund, if such funds are available, for rehabilitation, and for other projects and assistance, including new construction, in accordance with § 85-4 herein.

(7) To undertake such other activities as may be authorized by law to carry out the obligations of the Township to assist in providing affordable housing in accordance with this article and state law, including providing information for reports to COAH as required by law or the provisions of the Township's substantive certification.

D. In the absence of the appointment of an Affordable Housing Board, the Township Committee shall act in its stead.

§ 85-4 Housing Rehabilitation and Assistance Fund.

A. Creation of Housing Rehabilitation and Assistance Fund.

(1) There is hereby created a Housing Rehabilitation and Assistance Fund of the Township.

(2) Funds collected from any donations or from developer contributions arising from the provisions of Chapter 90 of the Township Code, from variances and from any moneys paid over to the Township out of market value sales proceeds after the expiration of affordability controls shall be paid to and deposited by the Township Treasurer in an interest-bearing account designated as the "Franklin Township Housing Rehabilitation and Assistance Fund."

(3) Funds which may be received from government sources, including Township appropriations to that fund, shall be paid to and deposited by the Township Treasurer in the Housing Rehabilitation and Assistance Fund, except that where, as required by the funding source, such funds shall be held in a separate account and administered as required by the funding source, and except that, as required by law, moneys to fund any regional contribution agreement may be paid from the Township to the receiving municipality.

B. Disbursements from the Housing Rehabilitation and Assistance Fund. The Affordable Housing Board, subject to the approval of the Township Committee, shall authorize disbursements from the Housing Rehabilitation and Assistance Fund in accordance with the following procedures:

(1) Rehabilitation. In the case of funds sought for rehabilitation purposes, the Housing Consultant certifies that:

(a) It has examined the application and determined that the intended recipient either is a qualified low- or moderate-income household according to income limits established by the Affordable Housing Board pursuant to state law or is a non-occupant owner willing to rent or sell the unit only to a qualified low- or moderate-income household for the requisite time period following the receipt of funds.

(b) The housing unit has been inspected and the existence of the qualifying code violations which the applicant seeks to remedy through the use of proceeds from the fund has been verified.

(c) The rehabilitation activity will result in the dwelling unit being free of code violations and meeting COAH requirements and the applicable requirements of the Policy and Procedure Manual for the Housing Rehabilitation Program.

(d) The applicant has executed an agreement:

[1] To use the funds only for the approved purposes and to complete the required rehabilitation work within the appropriate period of time.

[2] To rent or sell the unit to a qualified low- or moderate-income household as required by said Policy and Procedure Manual.

[3] Upon the entering of the contract for rehabilitation, to record a mortgage, or, if applicable, a declaration of covenants and restrictions establishing those affordability controls on the unit and other provisions described in § 85-6 of this article.

[4] To otherwise comply with the rules and regulations of the Affordable Housing Board and applicable state law.

(2) Administration. Funds may be used to reimburse the Township for salaries and other expenditures connected with the execution of the Township's responsibilities to assist in providing affordable housing in accordance with this article and Chapter 90 of the Township Code; provided, however, that no greater percent of the funds collected shall be used for such purposes than is permitted by COAH regulations or other applicable law.

(3) Accessory Apartment Program. In the case of funds sought for the creation of an accessory apartment, disbursement shall be made in accordance with § 85-8.

[Added 4-14-1997 by Ord. No. 97-7]

§ 85-5 Housing Officer.

A. Establishment of position of Housing Officer and Housing Consultant. There is hereby established the position of Housing Officer for the Township. The Housing Officer shall be appointed by the Township Committee and may be a full or part-time municipal employee, a consultant, an authority or a government agency contracted by the Township to perform the duties and functions of the Housing Officer. The Township has also elected to have certain of the duties and functions relating to the administration of the rehabilitation component of its affordable housing program performed by the Housing Consultant, engaged by the Township, which shall have general charge of the administration of this component.

B. Compensation. Compensation of the Housing Officer, if any, shall be initially fixed by the Township Committee at the time of the appointment of the Housing Officer, upon the recommendation of the Affordable Housing Board. The compensation of the Housing Consultant shall be in accordance with the Township's contract with that consultant.

C. Powers and duties. It shall be the responsibility of the Housing Officer:

(1) To assist the Housing Consultant in administering the rehabilitation component of the Township's affordable housing program, and to administer the lower income housing in the inclusionary development component of the Township's affordable housing program in accordance with this article, Chapter 90 of the Township Code, the rules and regulations of the Affordable Housing Board and other applicable law.

(2) To maintain waiting lists of households which may be eligible to rent or purchase lower income dwelling units or to obtain funding from the Housing Rehabilitation and Assistance Fund of the Township, or from such other government-funded program as may be available to qualified applicants in the Township.

(3) To advertise the initial availability of lower income housing units, when they become available, which advertising shall be in addition to any advertising done by a unit owner. Such advertising shall comply with any applicable requirements of state law, as to affirmative marketing programs, or otherwise, and to the affirmative marketing program requirements adopted by this article or the Affordable Housing Board.

(4) To advertise the availability of funds for housing rehabilitation, when such funds are available.

(5) To maintain an up-to-date record of all deed-restricted lower income housing units in the Township.

(6) To monitor the occupancy, resale and rental restrictions of low- and moderate-income housing units, and in connection therewith to oversee all transfers of ownership and changes of occupancy of all deed-restricted lower income housing units, to oversee the placement of qualified households in lower income housing units, to enforce the provisions of this article and state law relative to lower income housing, and to perform all of the administrative duties and functions outlined herein.

(7) To advise the Township Planning Board and Board of Adjustment with respect to any developer contributions to the Housing Rehabilitation and Assistance Fund, or lower income housing, proposed with regard to Code provisions or variances.

(8) To maintain detailed records of the income to and expenditure from the Housing Rehabilitation and Assistance Fund of the Township and account for any Township or other governmental grant moneys received.

(9) To perform the administrative functions associated with any government funded housing rehabilitation, once such program has been funded.

(10) To the extent not undertaken as the responsibility of the Housing Consultant, to arrange for such inspections of any lower income housing units, and the issuance of certificates of affordable occupancy, necessary to carry out the requirements of this article, Chapter 90 of the Township Code or any rules and regulations adopted herewith or promulgated by the Affordable Housing Board or state law.

(11) To carry out such additional duties as may be required of the Housing Officer by the rules and regulations promulgated by the Affordable Housing Board.

(12) To assist Township officials in administering the Accessory Apartment Program as part of the Township's Affordable Housing Program.

[Added 4-14-1997 by Ord. No. 97-7]

§ 85-6 Controls on affordability.

A. Applicability. Provisions pursuant to this § 85-6 shall apply to housing units in the Township to which funds are committed from the Franklin Township Housing Rehabilitation and Assistance Fund and to lower income housing units created without such funds, in the PD Zoning District, or pursuant to a variance granted. In the event that regulations established by COAH or other provisions of applicable state law shall be or become inconsistent with the provisions of this § 85-6, in particular with reference to the nature and extent of controls on affordability applicable to lower income housing designed to achieve substantive certification for a municipality such as this Township, then, subject to the proviso contained below in this Subsection A as to outstanding mortgages, the provisions of this § 85-6 shall be deemed to be amended to be consistent with, or to be automatically amended to be consistent with, such regulations established by COAH or otherwise contained in applicable state law. Such provisions shall be incorporated in any contract, mortgage or declaration of covenants and restrictions, relating to housing receiving assistance under the rehabilitation component of the Township's affordable housing program approved by COAH, and relating to newly constructed housing as part of the Township's affordable housing program. In the event that particular forms of mortgages, notes, affordable housing agreements, restrictions or other documents relating to low- or moderate-income housing are adopted by COAH regulations, these will be utilized. All documents establishing controls in the nature of mortgage liens, restrictive covenants or similar deed restrictions shall be duly recorded in the Warren County Clerk's office. The Township and the Affordable Housing Board and/or other entities required by COAH regulation shall be beneficiaries of and entitled to enforce the provisions incorporated in such documents. Such documents shall be approved by the Township Attorney and shall amend the provisions of this article and the controls of affordability affecting the housing units benefitting from said funds and affected by such documents; provided, however, that no such amendment shall alter the provisions of the Subsection G of this section entitled "Impact of foreclosure on resale," or the regulations mentioned in such subsection, as to any outstanding mortgages covering any housing unit, without the consent of the mortgage holder unless such right to amend was reserved in the mortgage.

B. Length and nature of controls.

(1) Lower income housing units shall be subject to the affordability controls of this section for 20 years, with the following exceptions:

(a) Rehabilitated owner-occupied single-family housing units that are improved to code standard shall be subject to the affordability controls of this section for six years.

(b) Rehabilitated renter-occupied housing units that are improved to code standard shall be subject to the affordability controls of this section for 10 years.

(c) Accessory apartments created for lower-income households shall be subject to the affordability controls of this section for 30 or 10 years, as provided in § 85-8.

[Added 4-14-1997 by Ord. No. 97-7]

(2) Required controls shall refer to procedures on resale or rerental and options, and other appropriate provisions, described in this § 85-6. A required restrictive covenant establishing controls, including a required repayment clause, and mortgage lien shall have priority over all mortgages on the property except for a first mortgage placed on the property by the mortgagee prior to the expiration of resale controls.

(3) When a housing unit has been maintained as a low- or moderate-income unit after controls have been in effect for the period specified in N.J.A.C. 5:92-12.1, the restrictive covenant governing the housing units shall allow the Township, the state, nonprofit agencies and sellers of low- and moderate-income units to again exercise all the same options as provided in N.J.A.C. 5:92-12.1, et seq.

C. Initial pricing.

(1) The initial price of a low- and moderate-income owner-occupied single-family housing unit shall, for an initial sale, upon the applicability of these controls, be established so that after a down payment of 10% the monthly principal, interest, taxes, insurance and condominium fees do not exceed 28% of an eligible gross monthly income. Master deeds of residential development in the PD Zoning District shall regulate condominium or homeowners' association fees or special assessments of low- and moderate-income purchasers at a specific percentage of those paid by market purchasers. Once established within the master deed, the percentage shall not be changed without prior COAH approval (and the master deed shall so provide). Rents for such units, including an allowance for utilities as defined by the United States Department of Housing and Urban Development or similar allowance approved by COAH, shall be set so as not to exceed 30% of the gross monthly income of the appropriate household size. Maximum rent shall be calculated as a percentage of the uncapped Section 8 income limit then pertaining for the area containing this Township as established by the United States Department of Housing and Urban Development or other recognized standard adopted by COAH that applies to the rental housing unit. The following criteria shall apply in determining rents and sale prices:

(a) Efficiency units shall be affordable to one-person households.

(b) One-bedroom units shall be affordable to two-person households.

(c) Two-bedroom units shall be affordable to three-person households.

(d) Three-bedroom units shall be affordable to five-person households.

(e) Four-bedroom units shall be affordable to seven-person households.

(2) Housing units that satisfy the criteria in Subsection C(1)(a) through (e) above and the regulations adopted as set forth in § 85-7 of this article or subsequently adopted pursuant to this article shall be considered affordable.

D. Annual indexed increases. The price of an owner-occupied housing unit and the rents of such units may increase annually based on the percentage increase in income for each housing region as determined from said uncapped Section 8 income limits or other recognized standard adopted by COAH that applies to the rental housing unit.

E. Procedures of resale or rerental.

(1) Persons wishing to sell units subject to these controls shall notify the Housing Officer of the intent to sell, and shall comply with the requirements of this article, of COAH and the regulations adopted as set forth in § 85-7 of this article, or subsequently adopted pursuant to this article.

(2) Persons wishing to rent units subject to these controls shall comply with the regulations of COAH, the regulations adopted as set forth in § 85-7 of this article or those subsequently adopted pursuant to this article.

(3) All requests for certification from the Housing Officer or Housing Consultant or Affordable Housing Board shall be made by the seller or owner in writing, and the Housing Officer or Consultant or such Board shall grant or deny such certification within 30 days of the receipt of the request, except where a shorter period is required by COAH regulation or other law, in which case the shorter period shall apply.

F. Eligible capital improvements. Property owners of single-family, owner-occupied housing may apply to the Housing Board for permission to increase the maximum price for eligible capital improvements. Eligible capital improvements shall be those that render the unit suitable for a larger household. In no event shall the maximum price of an improved housing unit exceed the limits of affordability for the larger household. Property owners shall apply to the Affordable Housing Board if an increase in the maximum sales price is sought.

G. Impact of foreclosure on resale. A judgment of foreclosure or a deed in lieu of foreclosure by a financial institution regulated by state and/or federal law or by a lender on the secondary mortgage market, including but not limited to the Federal National Mortgage Association, the Home Loan Mortgage Association, the Government National Mortgage Association or an entity acting on their behalf, shall extinguish controls on affordable housing units, provided that there is compliance with N.J.A.C. 5:92-12.10. Notice of foreclosure shall allow the Affordable Housing Board to purchase the affordable housing unit at the maximum permitted sales price. Failure of the Affordable Housing Board to purchase the affordable housing unit shall result in adding that unit to the municipal present and prospective fair share obligation. Failure of the financial institution to provide notice of a foreclosure action to the Affordable Housing Board shall not impair any of the financial institution's rights to recoup loan proceeds; shall not negate the extinguishment of controls or the validity of foreclosure, and shall create no cause of action against the financial institution.

H. Excess proceeds upon foreclosure. In the event of a foreclosure sale, the owner of the controlled housing unit shall be personally obligated to pay to the Affordable Housing Board any surplus funds, but only to the extent that such surplus funds exceed the difference between the maximum price permitted at the time of foreclosure and the amount necessary to redeem the debt to the financial institution including costs of foreclosure. Any such moneys paid to the Housing Board shall be deposited in the Housing Rehabilitation and Assistance Fund.

I. Option to buy sales units.

(1) The restrictive covenant governing the deeds of low- and moderate-income units shall include an option permitting purchase of the affordable housing unit at the maximum allowable restricted sales price at the time of the first nonexempt sale after controls on affordability have been in effect on the unit for the period specified in N.J.A.C. 5:92-12.1. The option to buy shall be available to the Township, the Department of Community Affairs, the Agency or a qualified nonprofit agency as determined by COAH.

(2) All restrictive covenants governing low- and moderate-income units shall require the owner to notify the Housing Officer and COAH by certified mail, of any intent to sell the unit 90 days prior to entering into an agreement for the first nonexempt sale after controls have been in effect on the housing unit for the period specified in N.J.A.C. 5:92-12.1. Upon receipt of such notice, the option to buy the unit at the maximum allowable restricted sales price shall be available for 90 days. The Housing Officer shall notify the Township, the Department of Community Affairs, the Agency and COAH that the unit is for sale. If the Township exercises this option, it may enter into a contract of sale. If the Township fails to exercise this option within 90 days, the first of the other entities giving notice to the seller of its intent to purchase during the ninety-day period, shall be entitled to purchase the unit. If the option to purchase the unit at the maximum allowable restricted sales price is not exercised by a written offer to purchase the housing unit within 90 days of receipt of the intent to sell, the owner may proceed to sell the housing unit. If the owner does not sell the unit within one year of the date of the delivery of notice of intent to sell, the option to buy the unit shall be restored and the owner shall be required to submit a new notice of intent to sell 90 days prior to any future proposed date of sale. Any option to buy a housing unit at the maximum allowable restricted sales price shall be exercised by certified mail and shall be deemed exercised upon mailing.

J. Municipal option.

(1) If the Township elects to purchase a low- or moderate-income unit pursuant to N.J.A.C. 5:92-12.3, it may:

(a) Convey or rent the housing unit to a low- or moderate-income purchaser or tenant at a price or rent not to exceed the maximum allowable restricted sales price or rental for a period of up to 20 years.

(b) Convey the unit at fair market value subject to the provisions of Subsection J(3) below.

(2) If it purchases low-income housing units, it shall maintain them as low-income housing units.

(3) If It elects to purchase low- or moderate-income housing units and convey them at fair market value, it shall:

(a) Notify COAH of any proposed sale and sales price 90 days before closing.

(b) Notify COAH of the price differential as defined in N.J.A.C. 5:92-1.3.

(c) Deposit the price differential in a trust account devoted solely to the creation, rehabilitation or maintenance of low- and moderate-income housing.

(d) Notify COAH by February 1 of each calendar year of the balance within this trust account.

(4) Money deposited in trust accounts may not be expended until the Township submits and COAH approves a repayment housing plan. COAH may approve the repayment housing plan if it determines that it provides a realistic opportunity for the creation, rehabilitation or maintenance of low- and moderate-income housing.

K. State and nonprofit option. A low- and moderate-income sales unit shall also be subject to a state option and the possibility of a nonprofit option pursuant to N.J.A.C. 5:92-12.5 and 12.6.

L. Seller option.

(1) An eligible seller of a low- or moderate-income unit which has been controlled for the period established in N.J.A.C. 5:92-12.1, who has provided notice of an intent to sell, may proceed with the sale if no eligible entity as outlined in N.J.A.C. 5:92-12.3(c) and 5:92-12.6 exercises its option to purchase within 90 days.

(2) Subject to N.J.A.C. 5:92-12.8, the seller may elect to:

(a) Sell to a qualified low- and moderate-income household at the controlled unit sales price in accordance with existing COAH rules, provided that the unit is regulated by the restrictive covenant and lien adopted by COAH for a period of up to 20 years; or

(b) Exercise the repayment option and sell to any purchaser at market price, provided that 95% of the price differential is paid to the Affordable Housing Board as an instrument of the Township, at closing.

(3) If the sale will be to a qualified low- and moderate-income household, the Housing Officer shall certify the income qualifications of the purchaser and shall ensure the housing unit is regulated by the restrictive covenant and lien required by COAH.

(4) The Housing Officer shall examine any contract of sale containing a repayment option to determine if the proposed sales price bears a reasonable relationship to the housing unit's fair market value. In making this determination, the Housing Officer may rely on comparable sales data or an appraisal. The Housing Officer shall not approve any contract of sale where there is a determination that the sales price does not bear a reasonable relationship to fair market value. The Housing Officer shall make a determination within 20 days of receipt of the contract of sale and shall calculate the repayment option payment.

(5) The Affordable Housing Board, in consultation with the Housing Officer, shall adopt an appeal procedure by which a seller may submit written documentation requesting the Housing Officer to recompute the repayment obligation if the seller believes an error has been made, or to reconsider a determination made as a result of an owner's appeal shall be deemed a final administrative determination of the Housing Officer. Such appeal procedure shall at a minimum provide for a hearing by the Housing Officer and for an appellate hearing by the Affordable Housing Board.

(6) The repayment shall occur at the date of closing and transfer of title for the first nonexempt transaction after the expiration of controls on affordability.

(7) Repayment proceeds shall be deposited in the Housing Rehabilitation and Assistance Fund, which is a trust account devoted solely to the creation, rehabilitation or maintenance of low- and moderate-income housing. Money deposited in such fund may not be expended until the Township submits and COAH approves a repayment housing plan. COAH may approve the repayment housing plan if it determines that it provides a realistic opportunity for the creation, rehabilitation or maintenance of low- and moderate-income housing.

M. Township rejection of repayment option.

(1) The Township shall have the right to determine that the most desirable means of promoting an adequate supply of low- and moderate-income housing is to prohibit the exercise of the repayment option and maintain controls on lower income housing units sold within the Township beyond the period required by N.J.A.C. 5:92-12.1. Such determination shall be made by resolution of the Township Committee and shall be effective upon filing with COAH and the Affordable Housing Board and Housing Officer. The resolution shall specify the time period for which the repayment option shall not be applicable. During such period, no seller in the Township may utilize the repayment option permitted by N.J.A.C. 5:92-12.7.

(2) If the Township exercises the option outlined in Subsection M(l) above it shall:

(a) Provide public notice in a newspaper of general circulation; and

(b) Notify the Affordable Housing Board, Housing Officer and COAH of the Township Committee's action. The Affordable Housing Board and Housing Officer shall ensure that the deed restriction on all affected housing units reflect the extended period of controls.

§ 85-7 Initial regulations.

A. The following initial regulations are adopted by this article for the administration of the Township's affordable housing program:

(1) Affirmative Marketing Plan for Affordable Housing Program by Franklin Township, New Jersey, prepared by the Housing Consultant.

(2) Policy and Procedure Manual for the Housing Rehabilitation Program, prepared by the Housing Consultant.

(3) Franklin Township Affordable Housing Regulations, Sales Units Inclusionary Development.

(4) Franklin Township Affordable Housing Regulations, Rental Units Inclusionary Development.

B. The above regulations are on file with the Township Clerk and may be examined at her office, or copies obtained, during normal business hours. It is recognized that these regulations may need to be amended or supplemented from time to time in the future to meet COAH requirements or to promote development of affordable housing consistent with the housing element of the Township's Master Plan and to achieve the goal of having 1/2 of rehabilitated housing affordable to low-income households.