[HISTORY: Adopted by the City Council of
the City of Rahway as indicated in article histories. Amendments noted
where applicable.]
[Adopted 6-11-2008 by Ord. No. O-14-08]
The purpose of this article is to create the
administrative mechanisms needed for the execution of the City of
Rahway's responsibility to assist in the provision of affordable housing
pursuant to the Fair Housing Act of 1985.
As used in this article, the following terms
shall have the meanings indicated:
The individual or entity responsible for administering the
affordability controls of some or all units in the City's affordable
housing program to ensure that the restricted units under administration
are affirmatively marketed and sold or rented, as applicable, only
to low- and moderate-income households. This term shall have the current
meaning established by N.J.A.C. 5:80-26.14, as same shall be amended
from time to time.
The New Jersey Council on Affordable Housing.
The person appointed by the Mayor with responsibility for
the oversight and administration of the City's affordable housing
program.
The person appointed by the Mayor with responsibility for
the oversight and administration of the City's affordable housing
program and any regional contribution agreements entered into by the
City.
The transfer pursuant to N.J.S.A. 52:27D-312 of up to 50%
of a municipality's growth share obligation to another municipality
within its housing region by means of a contractual agreement into
which two municipalities voluntarily enter. This term shall have the
current meaning established by N.J.A.C. 5:94-1.4, as same shall be
amended from time to time.
The person appointed by the Mayor with responsibility for
the oversight and administration, any regional contribution agreements
entertained by the City and any RCA affordable housing programs established.
A.
There is hereby established the position of MHL/RCA
Administrator.
B.
In the event that the Mayor determines that the best
interests of the City would be served through the bifurcation of the
position of MHL/RCA Administrator into two separate positions of Municipal
Housing Liaison (MHL); and RCA Administrator then the duties of the
MHL shall be those enumerated below, insofar as those duties apply
to oversight and administration of the City's affordable housing program,
with the exception of those duties applicable to oversight and administration
of any RCAs, while the RCA Administrator shall only have oversight
and administration of those duties enumerated below, insofar as those
duties are applicable to any RCA entered into by the City.
C.
Subject to the approval of the COAH, the Mayor shall
appoint the MHL/RCA Administrator.
D.
The MHL/RCA Administrator shall be responsible for
oversight and administration of the City's affordable housing program
and the administration of any RCA entered into by the City, including
the following responsibilities which may not be contracted out:
(1)
Serving as the City's primary point of contact for
all inquiries from the state, administrative agents, developers, affordable
housing sponsors, owners, property managers, landlords and interested
households;
(2)
Establishing an escrow account for the RCA funds and
submitting to COAH a signed escrow agreement between the City, the
bank holding escrow funds and COAH for each RCA;
(3)
Monitoring the status of all restricted units in the
City's fair share plan and any project plan for any RCA, including
the establishment of a system for receiving notification from an administrative
agent about foreclosures, resales and any threats to the affordability
controls of affordable housing units in the City;
(4)
Compiling, verifying and submitting data received
from administrative agents into the semi-annual reports required by
COAH;
(5)
Coordinating the initial meetings between the administrative
agent and developers, affordable housing providers and owners, as
applicable;
(6)
Attending continuing education opportunities on affordability
controls, compliance monitoring and affirmative marketing as offered
or approved by COAH;
E.
If authorized by the City, the MHL/RCA Administrator
may serve as the administrative agent for some or all of the restricted
units in the City, performing all or a portion of the duties that
may be delegated to an administrative agent pursuant to N.J.A.C. 5:80-26.14
et seq., and may serve as the administrative agent for any RCAs entered
into by the City, provided that the RCA specifically enumerates the
duties that the MHL/RCA Administrator will be responsible for pursuant
to the RCA.
F.
Subject to approval by COAH and the City, the City may contract with or authorize a consultant, authority, government agency or other qualified entity, to serve as administrative agent. Any consultant, authority, government agency or qualified entity that the City contracts with shall have the responsibility of administering the affordable housing program of the City, except that the responsibilities of the MHL/RCA Administrator, as enumerated in Subsection D, may not be contracted out. If the City enters into a contract with an administrative agent to administer all or any part of the affordable housing program, including the affordability controls and affirmative marketing plan, the MHL/RCA Administrator shall supervise the administrative agent.
G.
In the event that the City does not enter into a contract
for an administrative agent that is approved by the City and COAH,
the following powers and duties are assigned to the MHL/RCA Administrator:
(1)
Affirmative marketing:
(a)
Conducting an outreach process to insure affirmative
marketing of affordable housing units in accordance with the affirmative
marketing plan of the City and the provisions of N.J.A.C. 5:80-26.15;
and
(b)
Providing counseling or contracting to provide
counseling services to low- and moderate-income applicants on subjects
such as budgeting, credit issues, mortgage qualification, rental lease
requirements and landlord/tenant law.
(2)
Household certification:
(a)
Soliciting, scheduling, conducting and following
up on interviews with interested households;
(b)
Conducting interviews and obtaining sufficient
documentation of gross income and assets upon which to base a determination
of income eligibility for a low- or moderate-income unit;
(c)
Providing written notification to each applicant
as to the determination of eligibility or noneligibility;
(d)
Requiring that all certified applicants for
restricted units execute a certificate substantially in the form,
as applicable, of either the ownership or rental certificates set
forth in Appendices J and K of N.J.A.C. 5:80-26.1 et seq.;
(e)
Creating and maintaining a referral list of
eligible applicant households living in the housing region and eligible
applicant households with members working in the housing region where
the units are located; and
(f)
Employing the random selection process as provided
in the affirmative marketing plan of the City when referring households
for certification to affordable units.
(3)
Affordability controls:
(a)
Furnishing to attorneys or closing agents forms
of deed restrictions and mortgages for recording at the time of conveyance
of title of each restricted unit;
(b)
Creating and maintaining a file on each restricted
unit for its control period, including the recorded deed with restrictions,
recorded mortgage and note, as appropriate;
(c)
Ensuring that the removal of the deed restrictions
and cancellation of the mortgage note are effectuated and properly
filed with the appropriate county's register of deeds or county clerk's
office after the termination of the affordability controls for each
restricted unit;
(d)
Communicating with lenders regarding foreclosures;
and
(e)
Ensuring the issuance of continuing certificates
of occupancy or certifications pursuant to N.J.A.C. 5:80-26.10.
(4)
Resale and rental:
(a)
Instituting and maintaining an effective means
of communicating information between owners and the administrative
agent regarding the availability of restricted units for resale or
rental; and
(b)
Instituting and maintaining an effective means
of communicating information to low- and moderate-income households
regarding the availability of restricted units for resale or rerental.
(5)
Processing requests from unit owners:
(a)
Reviewing and approving requests from owners
of restricted units who wish to take out home equity loans or refinance
during the term of their ownership;
(b)
Reviewing and approving requests to increase
sales prices from owners of restricted units who wish to make capital
improvements to the units that would affect the selling price, such
authorizations to be limited to those improvements resulting in additional
bedrooms or bathrooms and the cost of central air conditioning systems;
and
(c)
Processing requests and making determinations
on requests by owners of restricted units for hardship waivers.
(6)
Enforcement:
(a)
Securing annually lists of all affordable housing
units for which tax bills are mailed to absentee owners and notifying
all such owners that they must either move back to their unit or sell
it;
(b)
Securing from all developers and sponsors of
restricted units, at the earliest point of contact in the processing
of the project or development, written acknowledgement of the requirement
that no restricted unit can be offered, or in any other way committed,
to any person other than a household duly certified to the unit by
the administrative agent;
(c)
The posting annually in all rental properties,
including two-family homes, of a notice as to the maximum permitted
rent together with the telephone number of the administrative agent
where complaints of excess rent can be made;
(d)
Sending annual mailings to all owners of affordable
dwelling units, reminding them of the notices and requirements outlined
in N.J.A.C. 5:80-26.18(d)4;
(e)
Establishing a program for diverting unlawful
rent payments to the municipality's affordable housing trust fund
or other appropriate municipal fund approved by the DCA;
(f)
Creating and publishing a written operating
manual, as approved by COAH, setting forth procedures for administering
such affordability controls; and
(g)
Providing reports to COAH as required.
(7)
The MHL/RCA Administrator or the administrative agent,
if so contracted, shall have authority to take all actions necessary
and appropriate to carry out its responsibilities hereunder.
(8)
In the event that this list of powers and duties is
expanded or curtailed by law or regulation, the MHL/RCA Administrator
or administrative agent shall only have those powers and duties permitted
by current law.