Unsafe buildings — See Ch. 123.
Certificate of habitability; certificate of approval — See Ch. 129.
§ 4-3General provisions.
§ 4-4Affirmative marketing.
§ 4-5Development fees.
This chapter shall be known and may be cited as the "Affordable Housing Ordinance of the Township of Riverside."
This chapter of the Riverside Township Code sets forth regulations regarding low- and moderate-income housing units in Riverside Township that are consistent with the provisions of N.J.A.C. 5:93 et seq., as effective on June 6, 1994. These rules are pursuant to the Fair Housing Act of 1985 and Riverside Township's constitutional obligation to provide for its fair share of low- and moderate-income housing.
Unless otherwise permitted by court order or by COAH, Riverside Township's new construction or inclusionary component will be divided equally between low- and moderate-income households as per N.J.A.C. 5:93-2.20.
Except for inclusionary developments constructed pursuant to low-income tax credit regulations:
At least half of all units within each inclusionary development will "be affordable to low-income households;
At least half of all rental units will be affordable to low-income households; and
At least one-third of all units in each bedroom distribution, pursuant to N.J.A.C. 5:93-7.3, will be affordable to low-income households.
Inclusionary developments that are not restricted to senior citizens will be structured in conjunction with realistic market demands so that:
The combination of efficiency and one-bedroom units is at least 10% and no greater than 20% of the total low- and moderate-income units;
At least 30% of all low- and moderate-income units are two-bedroom units;
At least 20% of all low- and moderate-income units are three-bedroom units; and
Low- and moderate-income units restricted to senior citizens may utilize a modified bedroom distribution. At a minimum, the number of bedrooms will equal the number of senior citizen low- and moderate-income units within the inclusionary development.
In conjunction with realistic market information, the following criteria will be used in determining maximum rents and sale prices:
Efficiency units will be affordable to one-person households;
One-bedroom units will be affordable to 1.5-person households;
Two-bedroom units will be affordable to three-person households;
Three-bedroom units will be affordable to 4.5-person households;
Median income by household size will be established by a regional weighted average of the uncapped Section 8 income limits published by HUD as per N.J.A.C. 5:93-7.4(b);
The maximum average rent and price of low- and moderate-income units within each inclusionary development will be affordable to households earning 57.5% of median income;
Moderate-income sales units will be available for at least three different prices and low-income sales units will be available for at least two different prices;
For both owner-occupied and rental units, the low- and moderate-income units will utilize the same heating source as market units within an inclusionary development;
Low-income units will be reserved for households with a gross household income less than or equal to 50% of the median income approved by COAH; moderate-income units will be reserved for households with a gross household income less than 80% of the median income approved by COAH as per N.J.A.C. 5:93-9.16; and
The regulations outlined in N.J.A.C. 5:93-9.15 and 9.16 will be applicable for purchased and rental units.
For rental units, developers and/or municipal sponsors may:
Establish one rent for a low-income unit and one for a moderate-income unit for each bedroom distribution; and
Gross rents, including an allowance for tenant-paid utilities, will be established so as not to exceed 30% of the gross monthly income of the appropriate household size as per N.J.A.C. 5:93-7.4(a). The tenant-paid utility allowance will be consistent with the utility allowance approved by HUD for use in New Jersey.
For sale units:
The initial price of a low- and moderate-income owner-occupied single-family housing unit will be established so that after a downpayment of five percent, the monthly principal, interest, homeowner and private mortgage insurances, property taxes (based on the restricted value of the low- and moderate-income unit) and condominium or homeowner fees do not exceed 28% of the eligible gross monthly income;
Master deeds of inclusionary developments will regulate condominium or homeowner association fees or special assessments of low- and moderate-income purchasers at (state percent) percentage of those paid by market purchasers. This (state percent) percentage is consistent with the requirement of N.J.A.C. 5.93-7.4(e). Once established within the master deed, the percentage will not be amended without prior approval from COAH;
The Township of Riverside will follow the general provisions concerning uniform deed restriction liens and enforcement through certificates of occupancy or reoccupancy on sale units as per N.J.A.C. 5:93-9.3;
Riverside Township will require a certificate of reoccupancy for any occupancy of a low- or moderate-income sales unit resulting from a resale as per N.J.A.C. 5:93-9.3(c);
Municipal, state, nonprofit and seller options regarding sale units will be consistent with N.J.A.C. 5:93-9.5 - 9.8. Municipal rejection of repayment options for sale units will be consistent with N.J.A.C. 5:93-9.9;
The continued application of options to create, rehabilitate or maintain low- and moderate-income sale units will be consistent with N.J.A.C. 5:93-9.10;
Eligible capital improvements prior to the expiration of controls on sale units will be consistent with N.J.A.C. 5:93-9.11; and
The regulations detailed in N.J.A.C. 5.93-9.12 - 9.14 will be applicable to low- and moderate-income units that are for sale units.
In zoning for inclusionary developments, the following is required:
Low- and moderate-income units will be built in accordance with N.J.A.C. 5:93-5.6(d):
|Minimum Percentage of Low/Moderate Income Units Completed||Percentage of Market Housing Units Completed|
A design of inclusionary developments that integrates low- and moderate-income units with market units is encouraged as per N.J.A.C. 5:93-5.6(e).
To provide assurances that low- and moderate-income units are created with controls on affordability over time and that low- and moderate-income households occupy these units, Riverside Township will designate the Township Administrator or the Small Cities Coordinator with the responsibility of ensuring the affordability of sales and rental units over time. The Township Administrator or the Small Cities Coordinator will be responsible for those activities detailed in N.J.A.C. 5:93-9.1(a). In addition:
The Township Administrator or the Small Cities Coordinator will be responsible for utilizing the verification and certification procedures outlined in N.J.A.C. 5:93-9.1(b) in placing households in low- and moderate-income units;
Newly constructed low- and moderate-income sales units will remain affordable to low- and moderate-income households for at least 30 years. The Township Administrator or the Small Cities Coordinator will require all conveyances of newly constructed units to contain the deed restriction and mortgage lien adopted by COAH and referred to as "Technical Appendix E," as found in N.J.A.C. 5:93; and
Housing units created through the conversion of a nonresidential structure will be considered new housing units and will be subject to thirty-year controls on affordability. The Township Administrator or the Small Cities Coordinator will require COAH's appropriate deed restriction and mortgage lien.
Regarding rehabilitated units:
Rehabilitated owner-occupied single-family housing units that are improved to code standard will be subject to affordability controls for at least six years; and
Rehabilitated renter-occupied housing units that are improved to code standard will be subject to affordability controls for at least 10 years.
Regarding rental units:
Newly constructed low- and moderate-income rental units will remain affordable to low- and moderate-income households for at least 30 years. The Township Administrator or the Small Cities Coordinator will require the dead restriction and lien and deed of easement referred to as "Technical Appendix H," as found in N.J.A.C. 5:93;
Affordability controls in accessory apartments will be for a period of at least 10 years, except if the apartment is to receive a rental bonus credit pursuant to N.J.A,C. 5:93-5.13; then the controls on affordability will extend for 30 years; and
Alternative living arrangements will be controlled in a manner suitable to COAH that provides assurances that such a facility will house low- and moderate-income households for at least 10 years, except if the alternative living arrangement is to receive a rental bonus credit pursuant to N.J.A.C. 5:93-5.13; then the controls on affordability will extend for 30 years.
Section 14(b) of the Fair Housing Act, N.J.S.A. 52:27D-301 et seq., incorporates the need to eliminate unnecessary cost-generating features from Rivership Township's land use ordinances. Accordingly, Riverside Township will eliminate development standards that are not essential to protect the public welfare and to expedite or fast track municipal approvals/denials on inclusionary development applications. Riverside Township will adhere to the components of N.J.A.C. 5:93-10.1-10.3.
The Township of Riverside has a fair-share obligation of 51 units of which six are new construction (inclusionary). These affirmative marketing provisions shall apply to all developments that contain low- and moderate-income housing units.
The affirmative marketing plan is a regional marketing strategy designed to attract income-eligible households of all majority and minority groups, regardless of sex, age or number of children, for the purpose of buying or renting affordable housing units. The plan shall address the requirements of N.J.A.C. 5:93-11. In addition, the plan prohibits discrimination in the sale, rental, financing, etc., on the basis of race, color, sex, religion, handicap, age, familial status/size or national origin. The Township of Riverside is in the housing region consisting of Burlington, Camden and Gloucester Counties. The affirmative marketing plan is a continuing program and shall meet the requirements set forth below.
All newspaper articles, announcements and requests for applicants for low- and moderate-income housing shall appear in the following daily regional newspaper(s): The Burlington County Times, Camden Courier Post and Gloucester County Times.
The initial advertising of affordable housing must take the form of at least one press release and one paid display advertisement in each of the above newspapers(s). At a minimum, the paid display advertisement shall include the following:
Street address of units.
Directions to housing units.
Number of bedrooms per unit.
Size of units.
Prices or rents of units.
Income range for qualifying households.
Location of applications.
Telephone number and office hours for obtaining information and requesting applications.
Applications must be mailed to prospective applicants upon request.
Public service announcements shall be made through the use of the following radio and/or cable television stations broadcasting throughout the region: WWJZ (640.0) Mount Holly Radio Co., WGLS (89.7) Rowan College of New Jersey, and WDBK (91.5) Camden County College.
Announcements, requests for applicants and newspaper articles may be placed in the following neighborhood-oriented weekly newspapers, religious publications and organizational newsletters within Burlington, Camden and Gloucester counties as needed: Gazette (others), Catholic Star Herald, Gloucester County Times.
Affordable housing applications, brochures. signs and/or announcements regarding the availability of affordable housing units within the Township of Riverside shall be forwarded to and posted at the following three large-scale employers within the region: Wood River Industries, Hoeganaes Corporation, Riverside Industrial Park.
The following is a listing of community and regional organizations in Burlington, Camden and Gloucester Counties that will aid in the affirmative marketing program with particular emphasis on contacts that will reach out to groups that are least likely to apply for affordable housing within the region: Affordable Housing Coalition of Burlington County; Burlington County Community Action Program (BOCAP); Tri-County Community Action Agency; Camden County Council on Economic Opportunity.
Affordable housing applications, brochures, announcements and/or posters will be forwarded to and posted at the following locations: developer's sales office, municipal building and library, Burlington County Library, Camden County Library, Gloucester County Library.
Quarterly informational circulars and applications shall be sent to each of the following agencies for publication in their journals and for circulating among their members: Board of Realtors in Burlington County, Board of Realtors in Camden County, Board of Realtors in Gloucester County.
Additional quarterly informational circulars and applications shall be sent to the following nonprofit, religious, governmental, fraternal, civic and community action agencies in Burlington, Camden, and Gloucester Counties: Moorestown Ecumenical Neighborhood Development Inc. (MEND); Jersey Counseling and Housing Development, Inc.; Lutheran Social Ministries of New Jersey; Mount Holly 2000.
The following is a description of the random selection method that will be used to select occupants of low- and moderate-income housing:
Households that apply for low- and moderate-income housing shall be screened for preliminary income eligibility by comparing their total income to the low- and moderate-income limits adopted by COAH. Applicants shall be notified as to their eligibility status.
Having screened applicants for preliminary income eligibility, they will be analyzed as to the income and household sizes of applicants to determine which applicants have the assets and/or income necessary to purchase or rent each available low or moderate-income unit.
Each applicant shall be interviewed to verify the applicant's income and household size, determine the applicant's asset availability and review the applicant's credit history. Applicants shall be required to submit income verification for each household member 18 years or older. This process shall be utilized in establishing the final certified applicant group.
The process described in (a) through (c) above shall begin no sooner than one month after the initial advertisement outline in Subsection B(2) above. Households shall proceed through the process described in (a) through (c) based on their ability to provide the information required pursuant to (a) through (c) and pursuant to the occupancy selection procedures. The process described in (a) through (c) shall be continued until all the low- and moderate-income units are occupied.
The Township Administrator or the Small Cities Coordinator when appointed will be the person to administer the affordable housing units. He shall have the responsibility to advertise, income-qualify low- and moderate-income households; to place eligible households in low- and moderate-income units upon initial occupancy; to continue to qualify households for reoccupancy of units as they become vacant and to enforce the terms of the deed restriction. He will provide counseling services to low- and moderate-income applicants on subjects such as budgeting, credit issues, mortgage qualifications, rental lease requirements and landlord-tenant law. In addition, Riverside Township will designate a "housing officer" to act as liaison between COAH, the municipality and the Township Administrator or the Small Cities Coordinator. The municipal liaison will be responsible for tracking the progress of affordable housing, fielding inquiries regarding affordable housing from the public, and COAH, complying with COAH monitoring and reporting requirements as per N.J.A.C. 5:93-11.6 and 5:93-12.1.
Developers/builders/sponsors of low- and moderate-income housing units may be required by the Township to assist in the advertising of affordable units in their respective developments in accordance with the preceding paragraphs. Such advertising must be coordinated with the Administrator and is subject to the approval of the Township Committee.
Riverside Township, in conjunction with the Administrator, may delegate other specific tasks to a developer/builder/sponsor (such as interviewing applicants, prescreening households, etc.), provided that copies of all applications, income-verification documents, sales records, etc., of the low- and moderate-income units are returned to the Administrator for reporting purposes and to aid with future resales.
Households who live or work in the housing region of Burlington, Camden and Gloucester Counties may be given preference for the affordable housing units within the municipality. Applicants living outside the housing region shall have an equal opportunity for units after intraregional applicants have been processed. Riverside Township intends to comply with N.J.A.C. 5:93-11.7.
The affirmative marketing plan for new units shall commence 120 days before the issuance of either temporary or permanent certificates of occupancy. Affirmative marketing shall continue until all low- and moderate-income housing units are initially occupied. Affirmative marketing for existing units shall continue on an "as needed" basis for as long as affordable units are deed restricted.
Purpose. The purpose of this section is to establish standards for the collection, maintenance and expenditure of development fees in accordance with the Supreme Court decision in Holmdel Builder's Ass'n v. Holmdel Township, 121 NJ. 550 (1990), and pursuant to regulations adopted by the New Jersey Council on Affordable Housing (COAH). Fees collected pursuant to this. section shall be used for the sole purpose of providing low- and moderate-income housing.
Development fee assessment.
Unless otherwise excluded by Subsection E of this section, all residential and nonresidential development shall be assessed a development fee as a condition for securing preliminary subdivision or site plan approval.
Residential development fees.
Development fees for residential development shall be 0.005 of the equalized assessed value of the development.
Fees exceeding those permitted in this section may be collected where an agreement is entered into with the developer which offers a financial incentive for paying higher fees. All agreements are subject to approval by the court or COAH.
Nonresidential development fees.
Development fees shall be one percent of the equalized assessed value for nonresidential development.
Fees exceeding those permitted in this section may be collected where there is an agreement with the developer that offers a financial incentive for paying higher fees. Such agreements may include, but are not limited to, a tax abatement, increased commercial/industrial square footage, increased commercial/industrial lot coverage and/or increased commercial/industrial impervious coverage in return for an increased fee. The fee negotiated must bear a reasonable relationship to the additional commercial/industrial consideration to be received. All agreements are subject to approval by COAH.
Eligible exactions, ineligible exactions, and exemptions.
Inclusionary developments shall be exempt from paying development fees.
Developers that expand an existing nonresidential structure shall pay a development fee as required in other sections of this chapter. The development fee shall be calculated based on the increase in the equalized assessed value of the improved structure.
Improvements and expansions to existing residential structures shall be exempt from paying a development fee.
Developers that have received preliminary or final approval prior to the effective date of this section shall be exempt from paying a development fee unless the developer seeks a substantial change in the approval.
Developers of churches, synagogues, public nonprofit uses or hospitals shall be exempt from paying a development fee.
Collection of fees.
Developers shall pay 50% of the calculated development fee at the issuance of building permits. The development fee shall be estimated by the tax assessor prior to the issuance of building permits.
Developers shall pay the remaining fee upon the issuance of certificates of occupancy. Upon issuance of certificates of occupancy, the Tax Assessor shall calculate the equalized assessed value and the appropriate development fee. The developer shall be responsible for paying the difference between the fee calculated at certificate of occupancy and the amount paid at building permit.
Imposed and collected development fees that are challenged shall be placed in an interest-bearing escrow account by the municipality. If all or a portion of the contested fees are returned to the developer, the accrued interest on the returned amount shall also be returned.
Housing trust fund.
There is hereby created an interest-bearing housing trust fund in Farmers and Mechanics Bank for the purpose of receiving development fees from residential and nonresidential developers. All development fees paid pursuant to this chapter shall be deposited in this fund. No money shall be expended from the housing trust fund unless the expenditure conforms to the municipality's spending plan approved by COAH.
Should COAH determine that Riverside Township is in violation of any requirements as set forth at N.J.A.C. 5:93-8.17 and M.J.A.C. 5:93-8.18, the court or COAH, as applicable, is authorized to direct the manner in which all development fees collected pursuant to this chapter shall be expended, pursuant to written authorization from the governing body to the Farmers and Mechanics Bank, which shall be filed with the bank upon the establishment of the housing trust fund as provided in Subsection G(1) above.
Use of funds.
Money deposited in a housing trust fund may be used for any activity approved by COAH for addressing Riverside Township's low- and moderate-income housing obligation. Such activities may include, but are not necessarily limited to, housing rehabilitation; new construction; regional contribution agreements; the purchase of land for low- and moderate-income housing; extensions and/or improvements of roads and infrastructure to low- and moderate-income housing sites; assistance designed to render units to be more affordable to low- and moderate-income people; and administrative costs necessary to implement Riverside Township's housing element. The expenditure of all money shall conform to the spending plan approved by COAH.
At least 30% of the revenues collected, not targeted for housing rehabilitation, a regional contribution agreement or a municipal construction project, shall be devoted to render units more affordable. Examples of such activities include, but are not limited to, downpayment assistance; low interest loans; and rental assistance.
No more than 20% of the revenues shall be expended on administrative costs necessary to develop, revise or implement the housing element. Examples of eligible administrative activities include personnel; consultant services; space costs; consumable supplies; and rental or purchase of equipment directly related to the development, revision or implementation of the Township's housing element.
Development fees shall not be used to reimburse the Township for housing activities that preceded substantive certification.
Expiration. This section permitting the collection of development fees shall expire as a result of any of the following:
COAH's dismissal or denial of a petition for substantive certification.
COAH's revocation of either substantive certification or its certification of this ordinance.
The expiration of the time defined by substantive certification unless the Township has filed an adopted housing element with COAH, petitioned for substantive certification, and received COAH's approval of its development fee ordinance.