[Added by Ord. No. 2007-29]
[Added 3-30-2017 by Ord.
No. 2017-4[1]]
A.
Purpose and applicability.
(1)
Purpose. The purpose of these provisions is to provide a realistic
opportunity for the construction of Ocean Township's constitutional
obligation to provide for its fair share of affordable housing for
households with low and moderate incomes, as directed by the Superior
Court, and is consistent with N.J.A.C. 5:93-1 et seq., as amended
and supplemented by N.J.A.C. 5:80-26.1 et seq. and N.J.S.A. 52:27D-301
et seq.
(2)
Applicability. The provisions of this section shall apply:
(a)
To all affordable housing developments and affordable housing
units that currently exist within Ocean Township.
(b)
To all affordable housing developments and affordable housing
units that are proposed to be created pursuant to the Ocean Township
Housing Plan Element and Fair Share Plan.
(c)
To all unanticipated future developments that will provide affordable
housing for low- and moderate-income households.
B.
ACT
ADAPTABLE
ADMINISTRATIVE AGENT
AFFIRMATIVE MARKETING
AFFORDABILITY AVERAGE
AFFORDABLE
AFFORDABLE HOUSING DEVELOPMENT
AFFORDABLE HOUSING PROGRAM(S)
AFFORDABLE UNIT
AGE-RESTRICTED UNIT
(1)
(2)
(3)
AGENCY
ALTERNATIVE LIVING ARRANGEMENT
ASSISTED LIVING RESIDENCE
CERTIFIED HOUSEHOLD
COAH
DCA
DEFICIENT HOUSING UNIT
DEVELOPER
DEVELOPMENT
DEVELOPMENT FEE
EQUALIZED ASSESSED VALUE
INCLUSIONARY DEVELOPMENT
LOW-INCOME HOUSEHOLD
LOW-INCOME UNIT
MAJOR SYSTEM
MARKET-RATE UNITS
MEDIAN INCOME
MODERATE-INCOME HOUSEHOLD
MODERATE-INCOME UNIT
MULTIFAMILY RESIDENTIAL DEVELOPMENT
NONEXEMPT SALE
RANDOM SELECTION PROCESS
REGIONAL ASSET LIMIT
REHABILITATION
RENT
RESTRICTED UNIT
UHAC
VERY LOW-INCOME HOUSEHOLD
VERY LOW-INCOME UNIT
WEATHERIZATION
Definitions. The following terms, when used in this section, shall
have the following meanings:
The Fair Housing Act of 1985, P.L. 1985, c. 222 (N.J.S.A.
52:27D-301 et seq.).
Constructed in compliance with the technical design standards
of the Barrier Free Subcode, N.J.A.C. 5:23-7.
The entity designated by the Township to administer affordable
units in accordance with this section, N.J.A.C. 5:93, and UHAC (N.J.A.C.
5:80-26).
A regional marketing strategy designed to attract buyers
and/or renters of affordable units pursuant to N.J.A.C. 5:80-26.15.
The average percentage of median income at which new restricted
units in an affordable housing development are affordable to low-
and moderate-income households.
A sales price or rent level that is within the means of a
low- or moderate-income household as defined within N.J.A.C. 5:93-7.4,
and, in the case of an ownership unit, that the sales price for the
unit conforms to the standards set forth in N.J.A.C. 5:80-26.6, as
may be amended and supplemented, and, in the case of a rental unit,
that the rent for the unit conforms to the standards set forth in
N.J.A.C. 5:80-26.12, as may be amended and supplemented.
A development included in or approved pursuant to the Housing
Element and Fair Share Plan or otherwise intended to address the Township's
fair share obligation, and includes, but is not limited to, an inclusionary
development, a municipal construction project or a one-hundred-percent
affordable housing development.
Any mechanism in a municipal Fair Share Plan prepared or
implemented to address a municipality's fair share obligation.
A housing unit proposed or created pursuant to the Act and
approved for crediting by COAH, its successor entity, or the court
and/or funded through an affordable housing trust fund.
A housing unit designed to meet the needs of, and exclusively
for, the residents of an age-restricted segment of the population
such that:
All the residents of the development wherein the unit is situated
are 62 years of age or older; or
At least 80% of the units are occupied by one person who is
55 years of age or older; or
The development has been designated by the Secretary of the
United States Department of Housing and Urban Development as "housing
for older persons" as defined in Section 807(b)(2) of the Fair Housing
Act, 42 U.S.C. § 3607.
The New Jersey Housing and Mortgage Finance Agency established
by P.L. 1983, c. 530 (N.J.S.A. 55:14K-1 et seq.).
A structure in which households live in distinct bedrooms,
yet share kitchen and plumbing facilities, central heat and common
areas. Alternative living arrangements include but are not limited
to transitional facilities for the homeless; Class A, B, C, D and
E boarding homes as regulated by the DCA; residential health care
facilities as regulated by the New Jersey Department of Health; group
homes for the developmentally disabled and mentally ill as licensed
and/or regulated by the New Jersey Department of Human Services; and
congregate living arrangements.
A facility that is licensed by the New Jersey Department
of Health and Senior Services to provide apartment-style housing and
congregate dining and to assure that assisted living services are
available when needed for four or more adult persons unrelated to
the proprietor and that offers units containing, at a minimum, one
unfurnished room, a private bathroom, a kitchenette and a lockable
door on the unit entrance.
A household that has been certified by an administrative
agent as a low-income household or moderate-income household.
The Committee on Affordable Housing, as established by the
New Jersey Fair Housing Act (N.J.S.A. 52:27D-301 et seq.) or its successor
entity.
The State of New Jersey Department of Community Affairs.
A housing unit with health and safety code violations that
requires the repair or replacement of a major system. A major system
includes weatherization, roofing, plumbing (including wells), heating,
electricity, sanitary plumbing (including septic systems), lead paint
abatement and/or load-bearing structural systems.
Any person, partnership, association, company or corporation
that is the legal or beneficial owner or owners of a lot or any land
included in a proposed development including the holder of an option
to contract to purchase, or other person having an enforceable proprietary
interest in such land.
The division of a parcel of land into two or more parcels,
the construction, reconstruction, conversion, structural alteration,
relocation, or enlargement of any use or change in the use of any
building or other structure, or of any mining, excavation or landfill,
and any use or change in the use of any building or other structure,
or land or extension of use of land, for which permission may be required
pursuant to N.J.S.A. 40:55D-1 et seq.
Money paid by a developer for the improvement of property
as permitted in N.J.A.C. 5:97-8.3.
The assessed value of a property divided by the current average
ratio of assessed to true value for the municipality in which the
property is situated.
A development containing both affordable units and market
rate units. This term includes but is not limited to new construction,
the conversion of a nonresidential structure to residential use and
the creation of new affordable units through the gut rehabilitation
or reconstruction of a vacant residential structure.
A household with a total gross annual household income equal
to 50% or less of the median household income.
A restricted unit that is affordable to a low-income household.
The primary structural, mechanical, plumbing, electrical,
fire protection, or occupant service components of a building which
include but are not limited to weatherization, roofing, plumbing (including
wells), heating, electricity, sanitary plumbing (including septic
systems), lead paint abatement and load-bearing structural systems.
Housing not restricted to low- and moderate-income households
that may sell or rent at any price.
The median income by household size for the applicable housing
region, as adopted annually by COAH or a successor entity approved
by the court.
A household with a total gross annual household income in
excess of 50% but less than 80% of the median household income.
A restricted unit that is affordable to a moderate-income
household.
A residential development that is located in buildings that
contain five or more dwelling units, including, but not limited to,
dwelling units that are located one over another, garden apartments,
townhouse developments, multistory apartment or condominium buildings,
and mixed-use developments containing a combination of nonresidential
and residential uses.
Any sale or transfer of ownership other than the transfer
of ownership between husband and wife; the transfer of ownership between
former spouses ordered as a result of a judicial decree of divorce
or judicial separation, but not including sales to third parties;
the transfer of ownership between family members as a result of inheritance;
the transfer of ownership through an executor's deed to a class A
beneficiary and the transfer of ownership by court order.
A process by which currently income-eligible households are
selected for placement in affordable housing units such that no preference
is given to one applicant over another except for purposes of matching
household income and size with an appropriately priced and sized affordable
unit (e.g., by lottery).
The maximum housing value in each housing region affordable
to a four-person household with an income at 80% of the regional median
as defined by duly adopted regional income limits published annually
by COAH or a successor entity.
The repair, renovation, alteration or reconstruction of any
building or structure, pursuant to the Rehabilitation Subcode, N.J.A.C.
5:23-6.
The gross monthly cost of a rental unit to the tenant, including
the rent paid to the landlord, as well as an allowance for tenant-paid
utilities computed in accordance with allowances published by DCA
for its Section 8 program. In assisted living residences, rent does
not include charges for food and services.
A dwelling unit, whether a rental unit or an ownership unit,
that is subject to the affordability controls of N.J.A.C. 5:80-26.1,
as amended and supplemented, but does not include a market-rate unit
financed under UHORP or MONI.
The Uniform Housing Affordability Controls set forth in N.J.A.C.
5:80-26 et seq.
A household with a total gross annual household income equal
to 30% or less of the median household income for the applicable housing
region.
A restricted unit that is affordable to a very low-income
household.
Building insulation (for attic, exterior walls and crawl
space), siding to improve energy efficiency, replacement storm windows,
replacement storm doors, replacement windows and replacement doors,
and is considered a major system for purposes of a rehabilitation
program.
C.
Certificates of occupancy. Certificates of occupancy for developments
which include affordable housing units shall be subject to the following
additional provisions:
(1)
Phasing schedule for inclusionary development. Affordable housing
units shall be built, occupied and receive certificates of occupancy
in accordance with the following schedule:
Maximum Percentage of Market-Rate Units Completed
|
Minimum Percentage of Low- and Moderate-Income Units Completed
| |
---|---|---|
25
|
0
| |
25+1
|
10
| |
50
|
50
| |
75
|
75
| |
90
|
100
|
(2)
No initial occupancy of a low- or moderate-income housing sales
unit shall be permitted prior to issuance of a certificate of occupancy,
and no certificate of occupancy for initial occupancy of a low- or
moderate-income housing sales unit shall issue unless there is a written
determination by the administrative agent that the unit is to be controlled
by a deed restriction and mortgage lien as adopted by COAH or successor
entity.
(3)
A certificate of reoccupancy for any occupancy of a low- or
moderate-income housing sales unit resulting from a resale shall be
required, and the Township shall not issue such certificate unless
there is a written determination by the administrative agent that
the unit is to be controlled by the deed restriction and mortgage
lien required by COAH or successor entity.
(4)
The certificate of reoccupancy shall not be required where there
is a written determination by the administrative agent that controls
are allowed to expire or that the repayment option is being exercised
pursuant to N.J.A.C. 5:92-12.3.
D.
Administration.
(1)
Municipal housing liaison.
(a)
Ocean Township shall appoint a specific municipal employee to
serve as a municipal housing liaison responsible for administering
the affordable housing program, including affordability controls,
the Ocean Township Affirmative Marketing Plan, monitoring and reporting,
and, where applicable, supervising any contracted administrative agent.
Ocean Township shall adopt an ordinance creating the position of municipal
housing liaison. Ocean Township shall adopt a resolution appointing
a municipal housing liaison. The municipal housing liaison shall be
appointed by the governing body and may be a full- or part-time municipal
employee. The municipal housing liaison shall be approved by COAH,
its successor entity, or the court and shall be duly qualified through
a training program sponsored by Affordable Housing Professionals of
New Jersey before assuming the duties of municipal housing liaison.
(b)
The municipal housing liaison shall be responsible for oversight
and administration of the affordable housing program for Ocean Township,
including the following responsibilities which may not be contracted
out to the administrative agent:
[1]
Serving as Ocean Township's primary point of contact for all
inquiries from the state, affordable housing providers, administrative
agents and interested households;
[2]
Monitoring the status of all restricted units in Ocean Township's
Fair Share Plan;
[3]
Compiling, verifying and submitting annual monitoring reports
as may be required by COAH, its successor entity, or the court;
[4]
Coordinating meetings with affordable housing providers and
administrative agents, as needed; and
[5]
Attending continuing education opportunities on affordability
controls, compliance monitoring and affirmative marketing at least
annually and more often as needed.
(c)
Subject to the approval of COAH, its successor entity, or the
court, Ocean Township shall designate one or more administrative agent(s)
to administer newly constructed affordable units in accordance with
the UHAC. An operating manual for each affordable housing program
shall be provided by the administrative agent(s) to be adopted by
resolution of the governing body and subject to approval of COAH,
its successor entity, or the court. The operating manual(s) shall
be available for public inspection in the office of the Township Clerk,
in the office of the municipal housing liaison, and in the office(s)
of the administrative agent(s). The municipal housing liaison shall
supervise the contracting administrative agent(s).
(2)
Administrative agent.
(a)
The administrative agent shall be an independent entity serving
under contract and reporting to the municipality. The fees of the
administrative agent shall be paid by the owners of the affordable
units for which the services of the administrative agent are required.
The administrative agent shall perform the duties and responsibilities
of an administrative agent as set forth in the UHAC, including those
set forth in Sections 5:80-26.14, 16 and 18 thereof, which include:
[1]
Affirmative marketing:
[a]
Conducting an outreach process to affirmatively
market affordable housing units in accordance with the Ocean Township
Affirmative Marketing Plan 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 a random selection process as provided
in the Ocean Township Affirmative Marketing Plan 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 Ocean County Register of Deeds or Ocean 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]
Resales and Rerentals:
[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
rerental; 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 for determination
from owners of restricted units who wish to take out home equity loans
or refinance during the term of their ownership that the amount of
indebtedness to be incurred will not violate the terms of this section;
[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 depreciated cost of central air-conditioning
systems;
[c]
Notifying the municipality of an owner's intent
to sell a restricted unit; and
[d]
Making determinations on requests by owners of
restricted units for hardship waivers.
[6]
Enforcement:
[a]
Securing annually from the municipality a list
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 or other charges 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; and
[f]
Creating and publishing a written operating manual
for each affordable housing program administered by the administrative
agent, to be approved by the Township Committee and COAH, its successor
entity, or the court, setting forth procedures for administering the
affordability controls.
[7]
Additional responsibilities:
[a]
The administrative agent shall have the authority
to take all actions necessary and appropriate to carry out its responsibilities
hereunder;
[b]
The administrative agent shall prepare monitoring
reports for submission to the municipal housing liaison in time to
meet any monitoring requirements and deadlines imposed by COAH, its
successor entity, or the court; and
[c]
The administrative agent shall attend continuing
education sessions on affordability controls, compliance monitoring,
and affirmative marketing at least annually and more often as needed.
(3)
Affirmative marketing requirements.
(a)
Ocean Township shall adopt by resolution an Affirmative Marketing
Plan, subject to approval of COAH, its successor entity, or the court,
that is compliant with N.J.A.C. 5:80-26.15, as may be amended and
supplemented.
(b)
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 that are being
marketed by a developer, sponsor or owner of affordable housing. The
Affirmative Marketing Plan is 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 marketing
activities toward Housing Region 4 and is required to be followed
throughout the period of restriction.
(c)
The Affirmative Marketing Plan shall provide a regional preference
for all households that live and/or work in Housing Region 4.
(d)
The municipality has the ultimate responsibility for adopting
the Affirmative Marketing Plan and for the proper administration of
the Affirmative Marketing Program, including initial sales and rentals
and resales and rerentals. The administrative agent designated by
the Township shall implement the Affirmative Marketing Plan to assure
the affirmative marketing of all affordable units.
(e)
In implementing the Affirmative Marketing Plan, the administrative
agent shall provide a list of counseling services to low- and moderate-income
applicants on subjects such as budgeting, credit issues, mortgage
qualification, rental lease requirements, and landlord/tenant law.
(f)
The Affirmative Marketing Plan shall describe the media to be
used in advertising and publicizing the availability of housing. In
implementing the Affirmative Marketing Plan, the administrative agent
shall consider the use of language translations where appropriate.
(g)
The affirmative marketing process for available affordable units
shall begin at least four months (i.e., 120 days) prior to the expected
date of occupancy.
(h)
Applications for affordable housing shall be available in several
locations, including, at a minimum, the county administration building
and the county library for each county within the housing region;
the Ocean Township municipal building and the Ocean Public Library;
and the developer's rental office. Applications shall be mailed to
prospective applicants upon request.
(i)
The costs of advertising and affirmative marketing of the affordable
units shall be the responsibility of the developer, sponsor or owner.
(4)
Occupancy standards.
(a)
In referring certified households to specific restricted units,
the administrative agent shall, to the extent feasible and without
causing an undue delay in the occupancy of a unit, strive to:
(5)
Control periods for restricted ownership units and enforcement
mechanisms.
(a)
Control periods for restricted ownership units shall be in accordance
with N.J.A.C. 5:80-26.5, as may be amended and supplemented, and each
restricted ownership unit shall remain subject to the requirements
of this section for a period of at least 30 years, until Ocean Township
takes action to release the unit from such requirements; prior to
such action, a restricted ownership unit must remain subject to the
requirements of N.J.A.C. 5:80-26.1, as may be amended and supplemented.
(b)
The affordability control period for a restricted ownership
unit shall commence on the date the initial certified household takes
title to the unit.
(c)
Prior to the issuance of the initial certificate of occupancy
for a restricted ownership unit and upon each successive sale during
the period of restricted ownership, the administrative agent shall
determine the restricted price for the unit and shall also determine
the non-restricted, fair market value of the unit based on either
an appraisal or the unit's equalized assessed value without the restrictions
in place.
(d)
At the time of the initial sale of the unit, the initial purchaser
shall execute and deliver to the administrative agent a recapture
note obligating the purchaser (as well as the purchaser's heirs, successors
and assigns) to repay, upon the first nonexempt sale after the unit's
release from the restrictions set forth in this section, an amount
equal to the difference between the unit's nonrestricted fair market
value and its restricted price, and the recapture note shall be secured
by a recapture lien evidenced by a duly recorded mortgage on the unit.
(e)
The affordability controls set forth in this section shall remain
in effect despite the entry and enforcement of any judgment of foreclosure
with respect to restricted ownership units.
(f)
A restricted ownership unit shall be required to obtain a continuing
certificate of occupancy or a certified statement from the construction
official stating that the unit meets all code standards upon the first
transfer of title following the removal of the restrictions provided
under N.J.A.C. 5:80-26.5(a), as may be amended and supplemented.
(6)
Price restrictions for restricted ownership units, homeowner
association fees and resale prices.
(a)
Price restrictions for restricted ownership units shall be in
accordance with N.J.A.C. 5:80-26.1, as may be amended and supplemented,
including:
[1]
The initial purchase price for a restricted ownership unit shall
be approved by the administrative agent;
[2]
The administrative agent shall approve all resale prices, in
writing and in advance of the resale, to assure compliance with the
foregoing standards;
[3]
The master deeds of inclusionary developments shall provide
no distinction between the condominium or homeowner association fees
and special assessments paid by low- and moderate-income purchasers
and those paid by market purchasers; and
[4]
The owners of restricted ownership units may apply to the administrative
agent to increase the maximum sales price for the unit on the basis
of anticipated capital improvements. Eligible capital improvements
shall be those that render the unit suitable for a larger household
or the addition of a bathroom.
(7)
Buyer income eligibility.
(a)
Buyer income eligibility for restricted ownership units shall
be in accordance with N.J.A.C. 5:80-26.1, as may be amended and supplemented,
such that low-income ownership units shall be reserved for households
with a gross household income less than or equal to 50% of median
income and moderate-income ownership units shall be reserved for households
with a gross household income less than 80% of median income.
(b)
Notwithstanding the foregoing, however, the administrative agent
may, upon approval by the Township Committee, and subject to the court's
approval, permit moderate-income purchasers to buy low-income units
in housing markets if the administrative agent determines that there
is an insufficient number of eligible low-income purchasers to permit
prompt occupancy of the units. All such low-income units to be sold
to moderate-income households shall retain the required pricing and
pricing restrictions for low-income units.
(c)
A certified household that purchases a restricted ownership
unit must occupy it as the certified household's principal residence
and shall not lease the unit; provided, however, that the administrative
agent may permit the owner of a restricted ownership unit, upon application
and a showing of hardship, to lease the restricted unit to another
certified household for a period not to exceed one year.
(d)
The administrative agent shall certify a household as eligible
for a restricted ownership unit when the household is a low-income
household or a moderate-income household, as applicable to the unit,
and the estimated monthly housing cost for the particular unit (including
principal, interest, taxes, homeowner and private mortgage insurance
and condominium or homeowner association fees, as applicable) does
not exceed 33% of the household's eligible monthly income.
(8)
Limitations on indebtedness secured by ownership unit, subordination.
(a)
Prior to incurring any indebtedness to be secured by a restricted
ownership unit, the owner shall apply to the administrative agent
for a determination in writing that the proposed indebtedness complies
with the provisions of this section, and the administrative agent
shall issue such determination prior to the owner incurring such indebtedness.
(b)
With the exception of first purchase money mortgages, neither
an owner nor a lender shall at any time cause or permit the total
indebtedness secured by a restricted ownership unit to exceed 95%
of the maximum allowable resale price of the unit, as such price is
determined by the administrative agent in accordance with N.J.A.C.
5:80-26.6(b).
(9)
Capital improvements to ownership units.
(a)
The owners of restricted ownership units may apply to the administrative
agent to increase the maximum sales price for the unit on the basis
of capital improvements made since the purchase of the unit. Eligible
capital improvements shall be those that render the unit suitable
for a larger household or that add an additional bathroom. In no event
shall the maximum sales price of an improved housing unit exceed the
limits of affordability for the larger household.
(b)
Upon the resale of a restricted ownership unit, all items of
property that are permanently affixed to the unit or were included
when the unit was initially restricted (e.g., refrigerator, range,
washer, dryer, dishwasher, wall-to-wall carpeting) shall be included
in the maximum allowable resale price. Other items may be sold to
the purchaser at a reasonable price that has been approved by the
administrative agent at the time of the signing of the agreement to
purchase. The purchase of central air conditioning installed subsequent
to the initial sale of the unit and not included in the base price
may be made a condition of the unit resale, provided that the price,
which shall be subject to ten-year, straight-line depreciation, has
been approved by the administrative agent. Unless otherwise approved
by the administrative agent, the purchase of any property other than
central air conditioning shall not be made a condition of the unit
resale. The owner and the purchaser must personally certify at the
time of closing that no unapproved transfer of funds for the purpose
of selling and receiving property has taken place at the time of or
as a condition of resale.
(10)
Control periods for restricted rental units.
(a)
Control periods for restricted rental units shall be in accordance
with N.J.A.C. 5:80-26.11, as may be amended and supplemented, and
each restricted rental unit shall remain subject to the requirements
of this section for a period of at least 30 years, until Ocean Township
takes action to release the unit from such requirements. Prior to
such action, a restricted rental unit must remain subject to the requirements
of N.J.A.C. 5:80-26.1, as may be amended and supplemented.
(b)
Deeds of all real property that include restricted rental units
shall contain deed restriction language. The deed restriction shall
have priority over all mortgages on the property, and the deed restriction
shall be filed by the developer or seller with the records office
of Ocean County. A copy of the filed document shall be provided to
the administrative agent within 30 days of the receipt of a certificate
of occupancy.
(c)
A restricted rental unit shall remain subject to the affordability
controls of this section despite the occurrence of any of the following
events:
(11)
Rent restrictions for rental units, leases.
(a)
A written lease shall be required for all restricted rental
units and tenants shall be responsible for security deposits and the
full amount of the rent as stated on the lease. A copy of the current
lease for each restricted rental unit shall be provided to the administrative
agent.
(b)
No additional fees or charges shall be added to the approved
rent (except, in the case of units in an assisted living residence,
to cover the customary charges for food and services) without the
express written approval of the administrative agent.
(c)
Application fees (including the charge for any credit check)
shall not exceed 5% of the monthly rent of the applicable restricted
unit and shall be payable to the administrative agent to be applied
to the costs of administering the controls applicable to the unit
as set forth in this section.
(d)
No rent control ordinance or other pricing restriction shall
be applicable to either the market units or the affordable units in
any development in which at least 15% of the total number of dwelling
units are restricted rental units in compliance with this section.
(12)
Tenant income eligibility.
(a)
Tenant income eligibility shall be in accordance with N.J.A.C.
5:80-26.13, as may be amended and supplemented, and shall be determined,
as follows:
[1]
Very low-income rental units shall be reserved
for households with a gross household income less than or equal to
30% of median income;
[2]
Low-income rental units shall be reserved for households
with a gross household income less than or equal to 50% of median
income; and
[3]
Moderate-income rental units shall be reserved
for households with a gross household income less than 80% of median
income.
(b)
The administrative agent shall certify a household as eligible
for a restricted rental unit when the household is a very low-income
household, low-income household or a moderate-income household, as
applicable to the unit, and the rent proposed for the unit does not
exceed 35% (40% for age-restricted units) of the household's eligible
monthly income as determined pursuant to N.J.A.C. 5:80-26.16, as may
be amended and supplemented; provided, however, that this limit may
be exceeded if one or more of the following circumstances exists:
[1]
The household currently pays more than 35% (40%
for households eligible for age-restricted units) of its gross household
income for rent, and the proposed rent will reduce its housing costs;
[2]
The household has consistently paid more than 35%
(40% for households eligible for age-restricted units) of eligible
monthly income for rent in the past and has proven its ability to
pay;
[3]
The household is currently in substandard or overcrowded
living conditions;
[4]
The household documents the existence of assets
with which the household proposes to supplement the rent payments;
or
[5]
The household documents reliable anticipated third-party
assistance from an outside source such as a family member in a form
acceptable to the administrative agent and the owner of the unit.
(c)
The applicant shall file documentation sufficient to establish
the existence of the circumstances enumerated in this subsection with
the administrative agent, who shall counsel the household on budgeting.
(13)
Maximum rents and sales prices.
(a)
In establishing rents and sales prices of affordable housing
units, the administrative agent shall follow the procedures set forth
in UHAC, utilizing the regional income limits established by COAH
or a successor entity.
(b)
The maximum rent for restricted rental units within each affordable
development shall be affordable to households earning no more than
60% of median income, and the average rent for restricted rental units
shall be affordable to households earning no more than 52% of median
income.
(c)
The developers and/or municipal sponsors of restricted rental
units shall establish at least one rent for each bedroom type for
both low-income and moderate-income units, provided that at least
10% of all low- and moderate-income rental units shall be affordable
to very low-income households, earning 30% or less of the regional
median household income.
(d)
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, and each affordable development
must achieve an affordability average of 55% for restricted ownership
units; in achieving this affordability average, moderate-income ownership
units must be available for at least three different sales prices
for each bedroom type, and low-income ownership units must be available
for at least two different sales prices for each bedroom type.
(e)
In determining the initial sales prices and rent levels for
compliance with the affordability average requirements for restricted
units other than assisted living facilities and age-restricted developments,
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 three-person
household;
[4]
A three-bedroom unit shall be affordable to a four-and-one-half-person
household; and
[5]
A four-bedroom unit shall be affordable to a six-person
household.
(f)
In determining the initial sales prices and rents for compliance
with the affordability average requirements for restricted units in
assisted living facilities and age-restricted developments, the following
standards shall be used:
(g)
The initial purchase price for all restricted ownership units
shall be calculated so that the monthly carrying cost 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 the appropriate size household as determined under N.J.A.C.
5:80-26.4, as may be amended and supplemented; provided, however,
that the price shall be subject to the affordability average requirement
of N.J.A.C. 5:80-26.3, as may be amended and supplemented.
(h)
The initial rent for a restricted rental unit shall be calculated
so as not to exceed 30% of the eligible monthly income of the appropriate
size household, including an allowance for tenant-paid utilities,
as determined under N.J.A.C. 5:80-26.4, as may be amended and supplemented;
provided, however, that the rent shall be subject to the affordability
average requirement of N.J.A.C. 5:80-26.3, as may be amended and supplemented.
(i)
The price of owner-occupied low- and moderate-income units may
increase annually based on the percentage increase in the regional
median income limit for each housing region. In no event shall the
maximum resale price established by the administrative agent be lower
than the last recorded purchase price.
(j)
The rent of low- and moderate-income units may be increased
annually based on the permitted percentage increase in the Housing
Consumer Price Index for the United States. This increase shall not
exceed 9% in any one year. Rents for units constructed pursuant to
low-income housing tax credit regulations shall be indexed pursuant
to the regulations governing low-income housing tax credits.
E.
Requirements for affordable housing. Developments which include affordable
housing units shall be subject to the following provisions:
(1)
Low-income housing. Low-income housing shall be affordable,
according to Federal Department of Housing and Urban Development or
other recognized standards for home ownership and rental costs, and
occupied or reserved for occupancy by households with a gross household
income equal to 50% or less of the median gross household income for
households of the same size within the housing region in which the
housing is located, and subject to affordability controls.
(2)
Moderate-income housing. Moderate-income housing shall be affordable,
according to Federal Department of Housing and Urban Development or
other recognized standards for home ownership and rental costs, and
occupied or reserved for occupancy by households with a gross household
income equal to or more than 50% but less than 80% of the median gross
household income for households of the same size within the housing
region in which the housing is located, and subject to affordability
controls.
(3)
In accordance with N.J.S.A. 52:27D-329.1 (P.L. 2008, c. 46),
at least 13% of the affordable units provided within the Township
shall be reserved for very-low-income households, i.e., households
earning 30% or less of the median income and of that amount at least
50% shall be reserved for very-low-income families (i.e., non-age-restricted
and not reserved for special needs populations). For developments
with eight or more affordable housing units on site, at least 13%
of all low- and moderate-income units shall be affordable to households
earning no more than 30% of median income. A minimum of 50% of these
units shall be reserved for very-low-income families.
(4)
Age restriction. The sales and rentals of not more than 25%
of the affordable housing units constructed within the Township may
be age restricted to senior citizens as defined by and in accordance
with the Federal Fair Housing Act and as regulated by N.J.A.C. 5:92-14,
provided that no more than 25% of the total affordable housing units
constructed within the Township shall be age restricted. A request
to age restrict housing units may only be granted after the Planning
Board or Board of Adjustment has received the consent of the Township
Committee. In designing its project, the applicant may propose constructing
the senior-citizen-restricted affordable units in the same building
or buildings in order to maximize the potential of preserving a more
tranquil lifestyle for the senior citizen resident; and to the foregoing
extent, the requirement of integration of the affordable units with
conventional units is modified.
(5)
Low/moderate split and/bedroom distribution of affordable housing
units.
(a)
The fair share obligation shall be divided equally between low-
and moderate-income units, except that where there is an odd number
of affordable housing units, the extra unit shall be a low-income
unit.
(b)
In each affordable development, at least 50% of the restricted
units within each bedroom distribution shall be low-income units.
(c)
Affordable developments that are not age restricted shall be
structured in conjunction with realistic market demands such that:
[1]
The combined number of efficiency and one-bedroom units is no
greater than 20% of the total low- and moderate-income units;
[2]
At least 30% of all low- and moderate-income units are two-bedroom
units;
[3]
At least 20% of all low- and moderate-income units are three-bedroom
units; and
[4]
The remainder, if any, may be allocated at the discretion of
the developer.
(d)
Affordable developments that are age restricted shall be structured
such that the number of bedrooms shall equal the number of age-restricted
low- and moderate-income units within the inclusionary development.
The standard may be met by having all one-bedroom units or by having
a two-bedroom unit for each efficiency unit.
(6)
Location and design. Low- and moderate-income housing shall
be designed in accordance with the following provisions:
(a)
The low-and moderate-income housing units shall be sited on
the tract in locations at least as accessible to common open space
and community facilities as market-priced dwelling units. Rental units
may be concentrated for ownership and management unit reasons.
(b)
The exterior design of the low- and moderate-income housing
units shall be harmonious in scale, texture, and materials with the
market-priced units on the tract.
(c)
Deed restrictions. Developers of housing units for low- and
moderate-income households shall enter into a written agreement, binding
on all successors-in-interest, in accordance with current COAH regulations
or court requirements for resale/rental control, at the time of sale,
resale, rental or rerental regardless of the availability of federal,
state, county or Township subsidy programs.
(d)
In inclusionary developments, to the extent possible, low- and
moderate-income units shall be integrated with the market units.
(7)
Utilities.
(a)
Affordable units shall utilize the same type of heating source
as market units within an inclusionary development.
(b)
Tenant-paid utilities included in the utility allowance shall
be set forth in the lease and shall be consistent with the utility
allowance approved by the DCA for its Section 8 program.
(8)
Accessibility requirements.
(a)
The first floor of all restricted townhouse dwelling units and
all restricted units in all other multistory buildings shall be subject
to the technical design standards of the Barrier Free Subcode, N.J.A.C.
5:23-7, and the following:
[1]
All restricted townhouse dwelling units and all restricted units
in other multistory buildings in which a restricted dwelling unit
is attached to at least one other dwelling unit shall have the following
features:
[a]
An adaptable toilet and bathing facility on the
first floor;
[b]
An adaptable kitchen on the first floor;
[c]
An interior accessible route of travel on the first
floor;
[d]
An adaptable room that can be used as a bedroom,
with a door, or the casing for the installation of a door, on the
first floor;
[e]
If not all of the foregoing requirements in this
paragraph can be satisfied, then an interior accessible route of travel
must be provided between stories within an individual unit, but if
all of the foregoing requirements in this paragraph have been satisfied,
then an interior accessible route of travel shall not be required
between stories within an individual unit; and
[f]
An accessible entranceway as set forth at P.L.
2005, c. 350 (N.J.S.A. 52:27D-311a et seq.) and the Barrier Free Subcode,
N.J.A.C. 5:23-7, or evidence that Ocean Township has collected funds
from the developer sufficient to make 10% of the adaptable entrances
in the development accessible:
[i]
Where a unit has been constructed with an adaptable
entrance, upon the request of a disabled person who is purchasing
or will reside in the dwelling unit, an accessible entrance shall
be installed.
[ii]
To this end, the builder of restricted units shall
deposit funds within the Ocean Township Affordable Housing Trust Fund
sufficient to install accessible entrances in 10% of the affordable
units that have been constructed with adaptable entrances.
[iii]
The funds deposited under the terms of this paragraph
shall be used by Ocean Township for the sole purpose of making the
adaptable entrance of an affordable unit accessible when requested
to do so by a person with a disability who occupies or intends to
occupy the unit and requires an accessible entrance.
[iv]
The developer of the restricted units shall submit
a design plan and cost estimate to the Construction Official of Ocean
Township for the conversion of adaptable to accessible entrances.
[v]
Once the Construction Official has determined that
the design plan to convert the unit entrances from adaptable to accessible
meet the requirements of the Barrier Free Subcode, N.J.A.C. 5:23-7,
and that the cost estimate of such conversion is reasonable, payment
shall be made to the Ocean Township Affordable Housing Trust Fund.
[2]
Full compliance with the foregoing provisions shall not be required
where an entity can demonstrate that it is "site impracticable" to
meet the requirements. Determinations of site impracticability shall
be in compliance with the Barrier Free Subcode, N.J.A.C. 5:23-7.
F.
Alternative living arrangements.
(1)
The administration of an alternative living arrangement shall
be in compliance with N.J.A.C. 5:93-5.8 and the UHAC, with the following
exceptions.
(2)
With the exception of units established with capital funding
through a twenty-year operating contract with the Department of Human
Services, Division of Developmental Disabilities, alternative living
arrangements shall have at least thirty-year controls on affordability
in accordance with the UHAC, unless an alternative commitment is approved
by the court.
(3)
The service provider for the alternative living arrangement
shall act as the administrative agent for the purposes of administering
the affirmative marketing and affordability requirements for the alternative
living arrangement.
G.
Enforcement of affordable housing regulations.
(1)
Upon the occurrence of a breach of any of the regulations governing
the affordable unit by an owner, developer or tenant, the municipality
shall have all remedies provided at law or equity, including but not
limited to foreclosure, tenant eviction, a requirement for household
recertification, acceleration of all sums due under a mortgage, recuperation
of any funds from a sale in violation of the regulations, injunctive
relief to prevent further violation of the regulations, entry on the
premises, and specific performance.
(2)
After providing written notice of a violation to an owner, developer
or tenant of a low- or moderate-income unit and advising the owner,
developer or tenant of the penalties for such violations, the municipality
may take the following action(s) against the owner, developer or tenant
for any violation that remains uncured for a period of 60 days after
service of the written notice:
(a)
The municipality may file a court action pursuant to N.J.S.A.
2A:58-11 alleging a violation or violations of the regulations governing
the affordable housing unit. If the owner, developer or tenant is
adjudged by the court to have violated any provision of the regulations
governing affordable housing units, the owner, developer or tenant
shall be subject to one or more of the following penalties, at the
discretion of the court:
[1]
A fine of not more than $500 per day or imprisonment for a period
not to exceed 90 days, or both, provided that each and every day that
the violation continues or exists shall be considered a separate and
specific violation of these provisions and not a continuation of the
initial offense;
[2]
In the case of an owner who has rented a low- or moderate-income
unit in violation of the regulations governing affordable housing
units, payment into the Ocean Township Affordable Housing Trust Fund
of the gross amount of rent illegally collected;
[3]
In the case of an owner who has rented a low- or moderate-income
unit in violation of the regulations governing affordable housing
units, payment of an innocent tenant's reasonable relocation costs,
as determined by the court.
(b)
The municipality may file a court action in the Superior Court
seeking a judgment that would result in the termination of the owner's
equity or other interest in the unit, in the nature of a mortgage
foreclosure. Any such judgment shall be enforceable as if the same
were a judgment of default of the first purchase money mortgage and
shall constitute a lien against the low- or moderate-income unit.
[1]
The judgment shall be enforceable, at the option of the municipality,
by means of an execution sale by the Sheriff, at which time the low-
and moderate-income unit of the violating owner shall be sold at a
sale price which is not less than the amount necessary to fully satisfy
and pay off any first purchase money mortgage and prior liens and
the costs of the enforcement proceedings incurred by the municipality,
including attorney's fees. The violating owner shall have his right
to possession terminated as well as his title conveyed pursuant to
the Sheriff's sale.
[2]
The proceeds of the Sheriff's sale shall first be applied to
satisfy the first purchase money mortgage lien and any prior liens
upon the low- and moderate-income unit. The excess, if any, shall
be applied to reimburse the municipality for any and all costs and
expenses incurred in connection with either the court action resulting
in the judgment of violation or the Sheriff's sale. In the event that
the proceeds from the Sheriff's sale are insufficient to reimburse
the municipality in full as aforesaid, the violating owner shall be
personally responsible for the full extent of such deficiency, in
addition to any and all costs incurred by the municipality in connection
with collecting such deficiency. In the event that a surplus remains
after satisfying all of the above, such surplus, if any, shall be
placed in escrow by the municipality for the owner and shall be held
in such escrow for a maximum period of two years or until such earlier
time as the owner shall make a claim with the municipality for such.
Failure of the owner to claim such balance within the two-year period
shall automatically result in a forfeiture of such balance to the
municipality. Any interest accrued or earned on such balance while
being held in escrow shall belong to and shall be paid to the municipality,
whether such balance shall be paid to the owner or forfeited to the
municipality.
[3]
Foreclosure by the municipality due to violation of the regulations
governing affordable housing units shall not extinguish the restrictions
of the regulations governing affordable housing units as the same
apply to the low- and moderate-income unit. Title shall be conveyed
to the purchaser at the Sheriff's sale, subject to the restrictions
and provisions of the regulations governing the affordable housing
unit. The owner determined to be in violation of the provisions of
this plan and from whom title and possession were taken by means of
the Sheriff's sale shall not be entitled to any right of redemption.
[4]
If there are no bidders at the Sheriff's sale, or if insufficient
amounts are bid to satisfy the first purchase money mortgage and any
prior liens, the municipality may acquire title to the low- and moderate-income
unit by satisfying the first purchase money mortgage and any prior
liens and crediting the violating owner with an amount equal to the
difference between the first purchase money mortgage and any prior
liens and costs of the enforcement proceedings, including legal fees
and the maximum resale price for which the low- and moderate-income
unit could have been sold under the terms of the regulations governing
affordable housing units. This excess shall be treated in the same
manner as the excess which would have been realized from an actual
sale as previously described.
[5]
Failure of the low- and moderate-income unit to be either sold
at the Sheriff's sale or acquired by the municipality shall obligate
the owner to accept an offer to purchase from any qualified purchaser
which may be referred to the owner by the municipality, with such
offer to purchase being equal to the maximum resale price of the low-
and moderate-income unit as permitted by the regulations governing
affordable housing units.
[6]
The owner shall remain fully obligated, responsible and liable
for complying with the terms and restrictions of governing affordable
housing units until such time as title is conveyed from the owner.
H.
Appeals. Appeals from all decisions of an administrative agent appointed
pursuant to this section shall be filed in writing with the court.
[1]
Editor's Note: This section also repealed former § 410-182,
Affirmative marketing of affordable housing units added by Ord. No.
2007-30.
[Added 3-30-2017 by Ord.
No. 2017-3[1]]
A.
Purpose. The purpose of these provisions is to implement a mechanism
for determining the requirements for affordable housing in multifamily
development in accordance with the Ocean Township Housing Plan Element
and Fair Share Plan.[2]
[2]
Editor's Note: The Ocean Township Housing Plan Element and
Fair Share Plan is on file in the Township offices.
B.
Applicability. These requirements shall apply to all approvals for
multifamily residential development with a total of at least five
units and a density of at least six units per acre granted by the
Ocean Township Planning Board or Zoning Board of Adjustment, including
approvals of variances granted pursuant to N.J.S.A. 40:55D-70d, site
plans, or subdivisions; redevelopment or rehabilitation projects subject
to a redevelopment plan adopted by the Township Committee that governs
the development and redevelopment of designated areas in need of rehabilitation
or areas in need of redevelopment in the Township; rezoning approvals;
and substantial revisions to previously approved developments. A substantial
revision to a development approval shall, for the purposes of these
affordable housing regulations, be any revision that increases the
number of residential units by five or more units.
C.
Definition of multifamily. For the purposes of this section, "multifamily
residential development" shall mean residential development that is
located within buildings that contain five or more dwelling units,
including, but not limited to, dwelling units that are located one
over another, garden apartments, townhouse developments, multistory
apartment or condominium buildings, and mixed-use developments containing
a combination of nonresidential and residential uses.
D.
Set-aside requirements for multifamily development. All development
approvals for multifamily residential development shall provide an
affordable set-aside of 15% of the residential units in the development
when rental units are developed; and 20% of the residential units
in the development when for-sale units are developed.
(1)
When another provision of the Ocean Township Municipal Code
or a redevelopment plan adopted by the Ocean Township Committee requires
a higher set-aside than 15% for multifamily rental development and
20% for multifamily for-sale development, the higher provision shall
apply.
(2)
When the application of the set-aside requirement for rental
or for-sale units results in a set-aside requirement that is not a
whole number, the set-aside requirement shall be rounded up to the
next whole number.
(3)
At the developer's option, or per the terms of a developer or
redeveloper agreement with the Township, the developer may provide
an affordable housing set-aside of greater than 15% for rental units
and 20% when for-sale units are developed.
(4)
A developer of a multifamily residential development may provide
a payment-in-lieu-of-construction to fund the construction of affordable
housing on another site within the Township, in lieu of providing
those units on-site, up to a maximum of 2/3 of the required fifteen-percent
set-aside for rental units; and 1/2 of the required twenty-percent
set-aside when for-sale units are developed.
(a)
The ability to provide a payment-in-lieu-of-construction to
fund the construction of a portion of the required set-aside on another
site within the Township and the specific ratio of the units provided
on-site, or by a payment-in-lieu-of-construction, shall be determined
by the application of the point-based system for determining on-site
requirements, as detailed in this section.
(b)
Developers of sites listed in the Housing Plan Element and Fair
Share Plan shall provide the entirety of the required set-aside on
site, and shall not be eligible for a payment-in-lieu-of-construction,
except as may be specified in any developer or redeveloper agreement
executed prior to the adoption of this section.
(5)
Point-based system for determining on-site affordable housing
requirements and eligible payments-in-lieu-of-construction. A developer's
ability to provide a payment-in-lieu-of-construction to fund the construction
of affordable housing on another site within the Township, rather
than provide such units on site, shall be determined by means of the
point-based system for determining on-site requirements. The following
provisions shall regulate the point-based system for determining on-site
requirements:
(a)
Site-specific determination of accumulated point values. The
Township shall be responsible for determining the specific number
of points allocated to a site or development through the application
of the point-based system for determining on-site requirements according
to the methodology presented in this section. The Township may refer
the calculation of the allocated points to its professional staff
or to an outside consultant. The Township shall provide the site-specific
point total to the Ocean Township Planning Board or Ocean Township
Zoning Board, as applicable, as part of the relevant board's review
of an application for multifamily residential development. The Township
shall verify and approve all calculations of total points according
to the methodology presented in this section.
(b)
Methodology for calculating accumulated points. Accumulated
points shall be calculated in accordance with the following provisions:
[1]
Points shall be accumulated based on the proximity of a particular
development site to bus stops, schools, parks and open space, emergency
service stations (e.g., police, fire and EMS station), and the US
Route 9 and Ocean County Route 532 corridors; and the location of
a particular development site in relation to the Waretown Town Center
and the "Coastal A" flood hazard area. In every application of the
point-based system for determining on-site requirements, all of the
following point criteria shall be assessed:
[a]
Bus stop within 1/4 mile of development site: 1.0
point. For points to be awarded for more than one bus stop, service
on more than one route or in more than one direction must be provided.
[b]
Bus stop within 1/2 mile of development site: 0.5
point. For points to be awarded for more than one bus stop, service
on more than one route or in more than one direction must be provided.
[c]
Public park, open space area, or other recreational
facility within 1/2 mile of development site: 1.0 point.
[d]
Public school within 1/2 mile of development site:
1.0 point.
[e]
Public school within 1/4 mile of development site:
1.5 points.
[f]
Any portion of development site within 1/4 mile
from US Route 9: 1.0 point.
[g]
Any portion of development site within 1/2 mile
from Ocean County Route 532: 0.5 point.
[h]
Site located within Waretown Town Center: 4.0 points.
[i]
Site located within 1/2 mile of an emergency services
station (e.g., police, fire, EMS): 0.5 point.
[j]
Site located within "Coastal A" flood hazard area:
loss of 1.00 point (i.e., - 1.00 point).
[k]
Notwithstanding the above, sites that are situated
in one or more of the following areas shall have no (i.e., zero) accumulated
points: outside of a sewer service area; within a "Velocity Zone"
flood hazard area; any single-family residential district; any portion
of the Township located to the west of the Garden State Parkway that
is subject to the Pinelands Comprehensive Plan.
[2]
The proximity of a development site to a particular feature
shall be performed by means of geographic information systems (GIS)
software, computer-aided design (CAD) software, or similar tools.
[3]
The distances from bus stops, schools, parks, open space areas,
and recreational facilities that are provided in this section represent
distances from the development site, and must be safely walkable or
accessible by bicycle or another means of nonmotorized transportation.
As such, proximity analyses that simply measure the area within a
radius of the development site's boundary or center are unacceptable.
Proximity shall be measured along suitable transportation routes (e.g.,
sidewalks, bicycle-suitable roadways, multipurpose trails) that extend
in all directions from a site.
[4]
The distances from US Route 9, Ocean County Route 532, and emergency
service stations that are provided in this section represent distances
from the development site, and must be able to be driven on one or
more public improved roadways. As such, proximity analyses that simply
measure the area within a radius of the development site's boundary
or center are unacceptable. Proximity to US Route 9, Ocean County
Route 532, and emergency service stations shall be measured along
public improved roadways that extend in all directions from a site.
[5]
The sum of accumulated points shall be rounded to the nearest
half-point. The sum of accumulated points is used to determine set-aside
requirements in accordance with this section.
(c)
Accumulated points and set-aside requirements for multifamily
rental developments. The sum of accumulated points for a particular
development site is rounded to the nearest half-point and used to
determine the minimum on-site set-aside requirement and the maximum
permissible off-site set-aside, which shall be provided in the form
of payments-in-lieu-of-construction in accordance with this section.
The total of the on-site set-aside and off-site set-aside provided
by payments-in-lieu-of-construction shall equal 15% of the total number
of units in the development, rounded up to next whole number. Permissible
on-site and off-site set-asides are described below:
(d)
Accumulated points and set-aside requirements for multifamily
for sale developments. The sum of accumulated points for a particular
development site is rounded to the nearest half-point and used to
determine the minimum on-site set-aside requirement and the maximum
permissible off-site set-aside, which shall be provided in the form
of payments-in-lieu-of-construction in accordance with this section.
The total of the on-site set-aside and off-site set-aside provided
by payments-in-lieu-of-construction shall equal 20% of the total number
of units in the development, rounded up to next whole number. Permissible
on-site and off-site set-asides are described below:
(6)
Payment-in-lieu-of-construction.
(a)
It is the intention of the Township to recover payments-in-lieu-of-construction,
made in accordance with this section, in an amount which shall make
realistically possible the construction of an affordable housing unit.
Such payments shall be calculated by determining the incremental cost
of constructing affordable units in the development, if such units
were to be part of the multifamily development from which the payment-in-lieu-of-construction
is received. For the purposes of this section, the incremental cost
shall be the average cost of construction of one-bedroom, two-bedroom
and three-bedroom affordable units, less land costs and other fixed
costs such as site improvements, infrastructure costs including water
and sewer, "soft costs," and the like, which would otherwise be incurred
in the development.
(b)
The Township shall be responsible for determining the incremental
cost and resulting payment-in-lieu-of-construction. To facilitate
the calculation of the incremental cost, the developer shall submit
a pro forma for the development to the Township for review. The Township
may refer the review of the pro forma and calculation of the payment-in-lieu
amount to its professional staff or to an outside consultant.
(c)
The total amount of the payment shall be determined on the number
of one-bedroom, two-bedroom and three-bedroom affordable units, which
would otherwise be required to be constructed on site in accordance
with applicable law concerning bedroom distribution.
(d)
Collection of payments-in-lieu-of-construction shall be in accordance
with the following schedule:
[1]
First payment: 50% at the time of building permit.
[2]
Second payment: 50% at the time of the first certificate of
occupancy (CO).
[3]
Reconciliation payment: six months after the issuance of the
final CO.
[4]
The first payment and the second payment shall be calculated
on the estimated incremental cost of an affordable unit, as set forth
in a pro forma that shall be submitted by the developer to the CFO
and Construction Official with the application for a building permit
and certificate of occupancy, as the case may be.
[5]
The reconciliation payment shall be calculated on the basis
of the actual incremental cost of the construction of affordable units
as set forth in audited construction costs submitted by the developer
to the CFO. The developer shall submit the audited construction costs,
and any reconciliation payment due, to the CFO within six months of
the issuance of a final certificate of occupancy. The CFO will review
the developer's submission and either accept it, direct a further
submission, or direct payment of an additional amount within 30 days.
[6]
No building permit or certificate of occupancy shall be issued
unless the payments-in-lieu-of-construction provided in accordance
with this section shall have been made.
[7]
Any reconciliation payment not made to the CFO within six months
of the issuance of a final certificate of occupancy shall be subject
to a late fee of 15% on the overdue amount, compounded annually.
[1]
Editor's Note: This section, along with Ord. No. 2017-4, adopted
3-30-2017, repealed former § 410-183, Affordable housing
developments.