[Added 3-27-2006 by Ord. No. 2006-9]
This article of the City Code sets forth regulations regarding the low- and moderate-income housing units in the City consistent with the provisions known as the "Substantive Rules of the New Jersey Council on Affordable Housing for the period beginning December 20, 2004," N.J.A.C. 5:94 et seq., the Uniform Housing Affordability Controls, N.J.A.C. 5:80-26.1 et seq., and the City's constitutional obligation to provide a fair share of affordable housing for low- and moderate-income households. These regulations are also intended to provide assurances that low- and moderate-income units (the "affordable units") are created with controls on affordability over time and that low- and moderate-income people occupy these units. These regulations shall apply except where inconsistent with applicable law.
Except for affordable housing developments constructed pursuant to low-income tax credit regulations:
A. 
At least half of the for sale affordable units within each affordable housing development shall be affordable to low-income households.
B. 
At least half of the rental affordable units within each affordable housing development shall be affordable to low-income households.
C. 
At least half of the affordable units in each bedroom distribution within each affordable housing development shall be affordable to low-income households.
A. 
Affordable housing developments which are not limited to age-restricted households shall be structured in conjunction with realistic market demands so that:
(1) 
The combination of efficiency and one-bedroom units is no greater than 20% of the total number of affordable units.
(2) 
At least 30% of all affordable units shall be two-bedroom units.
(3) 
At least 20% of all affordable units shall be three-bedroom units.
B. 
Affordable housing developments that are limited to age-restricted households shall at a minimum have a total number of bedrooms equal to the number of age-restricted affordable units within the affordable housing development. The standard may be met by creating all one-bedroom units or by creating a two-bedroom unit for each efficiency unit.
A. 
In conjunction with realistic market information the following shall be used to determine maximum rents and sales prices of the affordable units:
(1) 
Efficiency units shall be affordable to one-person households.
(2) 
A one-bedroom unit shall be affordable to a 1 1/2 person household.
(3) 
A two-bedroom unit shall be affordable to a three-person household.
(4) 
A three-bedroom unit shall be affordable to a four-and-one-half person household.
(5) 
A four-bedroom unit shall be affordable to a six-person household.
B. 
For assisted-living facilities the following standards shall be used:
(1) 
A studio shall be affordable to a one-person household.
(2) 
A one-bedroom unit shall be affordable to a one-and-one-half person household.
(3) 
A two-bedroom unit shall be affordable to a two-person household or to two, one-person households.
C. 
In referring certified households to specific restricted units, to the extent feasible, and without causing an undue delay in occupying the unit, the administrative agent shall strive to:
(1) 
Provide an occupant for each unit bedroom;
(2) 
Provide children of different sex with separate bedrooms; and
(3) 
Prevent more than two persons from occupying a single bedroom.
Median income by household size shall be established using a regional weighted average of the uncapped Section 8 income limits published by HUD computed as set forth in N.J.A.C. 5:94-7.2.
A. 
The maximum rent of affordable units within each affordable housing development shall be affordable to households earning no more than 60% of median income. The average rent for low- and moderate-income units shall be affordable to households earning no more than 52% of median income. Restricted rental units shall establish at least one rent for each bedroom type for all low- and moderate-income units provided at least 10% of all low- and moderate-income units are affordable to households earning no more than 35% of median income.
B. 
Low- and moderate-income units shall utilize the same heating source as market units within an inclusionary development.
C. 
Gross rents including an allowance for utilities shall be established for the various size affordable units at a rate not to exceed 30% of the gross monthly income of the appropriate household size as set forth in § 300-147 above. The allowance for utilities shall be consistent with the utility allowance approved by NJDCA for use in its Section 8 Program.
D. 
No affordable rental units included in the COAH requirement shall be subject to a rent control ordinance which may be adopted or in place in the City of Bordentown during the time period in which affordable housing COAH controls are effective.
A. 
The maximum sales price of restricted ownership units within each affordable development shall be affordable to households earning no more than 70% of median income. Each affordable development must achieve an affordability average of 55% for restricted ownership units. Moderate-income ownership units must be available for at least three different prices for each bedroom type and low-income ownership units must be available for at least two different prices for each bedroom type.
B. 
Low- and moderate-income units shall utilize the same heating source as market units within an inclusionary development.
C. 
The initial purchase price for all restricted ownership units shall be calculated so that the monthly carrying costs of the unit, including principal and interest (based on a mortgage loan equal to 95% of the purchase price and the Federal Reserve H. 15 rate of interest), taxes, homeowner and private mortgage insurance and condominium or homeowner association fees do not exceed 28% of the eligible monthly income of an appropriate household size as determined under N.J.A.C. 5:80-26.4; provided, however, that the price shall be subject to the affordability average requirement of N.J.A.C. 5:80-26.3.
If an affordable housing unit is part of a condominium association or homeowners' association, the master deed shall reflect that the assessed affordable homeowners' fee be established at 100% of the market rate fee. This percentage assessment shall be recorded in the master deed.
A. 
Low-income housing units shall be reserved for households with a gross household income equal to or less than 50% of the median income approved by COAH.
B. 
Moderate-income housing units shall be reserved for households with a gross household income in excess of 50% but less than 80% of the median income approved by COAH.
Upon resale of an affordable unit, a certificate of reoccupancy shall be required in accordance with N.J.A.C. 5:80-26.10.
Final site plan or subdivision approval shall be contingent upon the affordable housing development meeting the following phasing schedule for low- and moderate-income units whether developed in one stage or in two or more stages.
Minimum Percentage of Low- and
Moderate-Income Units Completed
Percentage of Market
Housing Units Completed
0
25
10
25 + 1 unit
50
50
75
75
100
90
Any conveyance of a newly constructed low- or moderate-income sales unit shall contain the restrictive covenants and liens that are set forth in N.J.A.C. 5:80-26 et seq.
A. 
Bordentown City is ultimately responsible for administering the affordable housing program, including affordability controls and the affirmative marketing plan in accordance with the regulations of the Council on Affordable Housing pursuant to N.J.A.C. 5:94 et seq. and the New Jersey Uniform Housing Affordability Controls pursuant to N.J.A.C. 5:80-26 et seq.
B. 
Bordentown City has delegated to the Housing Officer this responsibility for administering the affordable housing program, including administering and enforcing the affordability controls and the affirmative marketing plan of Bordentown City in accordance with the provisions of this article, the regulations of the Council on Affordable Housing pursuant to N.J.A.C. 5:94 et seq. and the New Jersey Uniform Housing Affordability Controls pursuant to N.J.A.C. 5:80-26 et seq. Bordentown City shall by resolution appoint the City Clerk as the Housing Officer.
C. 
Subject to Court or COAH approval, Bordentown City may contract with one or more administrative agents to administer some or all of the affordability controls and/or the affirmative marketing plan in accordance with this article, the regulations of the Council on Affordable Housing pursuant to N.J.A.C. 5:94 et seq. and the New Jersey Uniform Housing Affordability Controls pursuant to N.J.A.C. 5:80-26 et seq. If Bordentown City enters into such a contract, the Housing Officer shall supervise the contracting administrative agent(s) and shall serve as liaison to the contracting administrative agent(s).
D. 
The City of Bordentown intends to contract with an experienced affordable housing administrator to be the administrator of the sale and rental of all new affordable housing. The experienced affordable housing administrator will also oversee and administer income qualification of low- and moderate-income households; place income-eligible households in low- and moderate-income units upon initial occupancy; place income-eligible households in low- and moderate-income units as they become available during the period of affordability controls and enforce the terms of the required deed restrictions and mortgage loans. The experienced affordable housing administrator will specifically administer and implement:
(1) 
An administrative plan and program, and related monitoring and reporting requirements as outlined in N.J.A.C. 5:80-26.15 et seq. and Chapter 300, Zoning, of the City of Bordentown.
(2) 
A plan for certifying and verifying the income of low- and moderate-income households as per N.J.A.C. 5:80-26.16.
(3) 
Procedures to assure that low- and moderate-income units are initially sold or rented to eligible households and are thereafter similarly resold and rerented during the period while there are affordability controls as per N.J.A.C. 5:80-26 et seq.
(4) 
The requirement that all newly constructed low- and moderate-income sales or rental units contain deed restrictions with appropriate mortgage liens as set forth in appendices in N.J.A.C. 5:80-26 et seq.
(5) 
The several sales/purchase options authorized under N.J.A.C. 5:80-26 et seq., except that the City retains the right to determine by resolution whether or not to prohibit, as authorized under N.J.A.C. 5:80-26 et seq., the exercise of the repayment option.
(6) 
The regulations determining whether installed capital improvements will authorize an increase in the maximum sales price; and which items of property may be included in the sales price as per N.J.A.C. 5:80-26.9.
E. 
The developers/owners of any inclusionary site shall be responsible for the experienced affordable housing administrator's administrative fee, affirmative marketing and advertising and such shall be a condition of Planning or Zoning Board approval.
F. 
Bordentown City reserves the right to replace the experienced affordable housing administrator with another municipal authority or other agency authorized by the court or COAH to carry out the administrative processes outlined above.
A. 
Newly constructed low- and moderate-income rental units shall remain affordable to low-and moderate-income households for a period of 30 years.
B. 
Newly constructed low- and moderate-income for sale units shall remain affordable to low- and moderate-income households for a period of 30 years.
C. 
Rehabilitated owner-occupied single-family housing units that are improved to code standard shall be subject to affordability controls for 10 years.
D. 
Rehabilitated renter-occupied housing units that are improved to code standard shall be subject to affordability controls for at least 10 years.
E. 
Housing units created through conversion of a nonresidential structure shall be considered a new housing unit and shall be subject to affordability controls for new housing units as designated in Subsections A and B above.
F. 
Affordability controls on accessory apartments shall be for a period of 30 years.
G. 
Affordability controls for units in alternative living arrangements shall be for a period of 30 years.
H. 
Affordability controls on buy-down units shall be for a period of 30 years.
A. 
The administrative agent shall use a random selection process to select occupants of low- and moderate-income housing.
B. 
A waiting list of all eligible candidates will be maintained in accordance with the provisions contained in N.J.A.C. 5:80-26 et seq.
A. 
In accordance with the regulations of COAH pursuant to N.J.A.C. 5:94 et seq. and the New Jersey Uniform Housing Affordability Controls pursuant to N.J.A.C. 5:80-26 et seq., Bordentown City adopted an affirmative marketing plan.
B. 
All affordable housing units shall be marketed in accordance with the provisions therein.
C. 
The City of Bordentown has a third round growth share obligation. This section shall apply to all developments that contain proposed low- and moderate-income units and any future developments that may occur.
D. 
In implementing the marketing program, the administrative agent shall undertake all of the following strategies:
(1) 
Publication of one advertisement in a newspaper of general circulation within the housing region.
(2) 
Broadcast of one advertisement by a radio or television station broadcasting throughout the housing region.
(3) 
At least one additional regional marketing strategy using one of the other sources listed below.
E. 
The affirmative marketing plan is a regional marketing strategy designed to attract buyers and/or renters of all majority and minority groups, regardless of race, creed, color, national origin, ancestry, marital or familial status, gender, affectional or sexual orientation, disability, age or number of children to housing units which are being marketed by a developer or sponsor of affordable housing. The affirmative marketing plan is also intended to target those potentially eligible persons who are least likely to apply for affordable units in that region. It is a continuing program that directs all marketing activities toward the COAH housing region in which the municipality is located and covers the period of deed restriction. The City of Bordentown is in the housing region consisting of Burlington, Camden and Gloucester Counties. The affirmative marketing program is a continuing program and shall meet the following requirements:
(1) 
All newspaper articles, announcements and requests for applications for low- and moderate-income units shall appear in the following daily regional newspapers:
(a) 
The Burlington County Times.
(b) 
The Camden Courier Post.
(c) 
The Gloucester County Times.
(2) 
The primary marketing shall take the form of at least one press release sent to the above publication and a paid display advertisement in the above newspaper. Additional advertising and publicity shall be on an as-needed basis. The advertisement shall include a description of the:
(a) 
Location of the units;
(b) 
Direction to the units;
(c) 
Range of prices for the units;
(d) 
Size, as measured in bedrooms, of units;
(e) 
Maximum income permitted to qualify for the units;
(f) 
Location of applications;
(g) 
Business hours when interested households may obtain an application; and
(h) 
Application fees, if any.
(3) 
All newspaper articles, announcements and requests for applications for low- and moderate-income housing shall appear in the following neighborhood-oriented weekly newspaper within the region: The Register News.
(4) 
The following regional cable television station shall be used: Educational Access Channel TV.
(5) 
The following is the location of applications, brochure(s), sign(s) and/or poster(s) used as part of the affirmative marketing program:
(a) 
Bordentown City Hall.
(b) 
Bordentown City Public Library.
(6) 
The following is a listing of community contact person(s) and/or organizations in Burlington, Camden and Gloucester Counties that will aid in the affirmative marketing program with particular emphasis on contracts that will reach out to groups that are least likely to apply for housing within the region:
(a) 
MEND.
(b) 
Habitat for Humanity.
(c) 
Burlington County Community Action Program.
(7) 
Quarterly flyers and applications.
(a) 
Quarterly flyers and applications shall be sent to each of the following agencies for publication in their journals and for circulation among their members:
[1] 
Burlington County Board of Realtors.
[2] 
Camden County Board of Realtors.
[3] 
Gloucester County Board of Realtors.
[4] 
Mercer County Board of Realtors.
(b) 
Applications shall be mailed to prospective applicants upon request.
(c) 
Additionally, quarterly informational circulars and applications shall be sent to the chief administrative employees of each of the following agencies in the counties of Burlington, Camden and Gloucester:
[1] 
Welfare or Social Service Board.
[2] 
Rental Assistance Office (local office of DCA).
[3] 
Office on Aging.
[4] 
Housing Agency or Authority.
[5] 
Library.
[6] 
Area Community Action Agencies.
(d) 
Also, quarterly informational circulars and applications shall be sent to the chief administrative employees of each of the following major employers:
[1] 
Ocean Spray.
[2] 
Bordentown Regional School District.
[3] 
Public Service Electric and Gas.
[4] 
The State of New Jersey.
(8) 
A random selection method to select occupants of low- and moderate-income housing will be used by the experienced affordable housing administrator in conformance with N.J.A.C. 5:80-26.16(1).
(a) 
An experienced affordable housing administrator will be selected to administer the program. The experienced affordable housing administrator has the responsibility to income qualify low- and moderate-income households; to place income-eligible households in low- and moderate-income units upon initial occupancy: to provide for the initial occupancy of low- and moderate-income units which income-qualified households; to continue to qualify households, for reoccupancy of units as they become vacant during the period of affordability controls: to assist with outreach to low- and moderate-income households; and to enforce the terms of the deed restriction and mortgage loan as per N.J.A.C. 5:80-26.
(b) 
The City Clerk within the City of Bordentown is the designated housing officer to act as liaison to the experienced affordable housing administrator. The experienced affordable housing administrator shall 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.
(c) 
All developers of low- and moderate-income housing units shall be required to assist in the marketing of the affordable units in their respective developments.
(d) 
The marketing program shall commence at least 120 days before the issuance of either temporary or permanent certificates of occupancy. The marketing program shall continue until all low-income housing units are initially occupied and for as long as affordable units are deed restricted and occupancy or reoccupancy of units continues to be necessary.
(e) 
The experienced affordable housing administrator will comply with monitoring and reporting requirements as per N.J.A.C. 5:80-26.