[HISTORY: Adopted by the Township Committee of the Township
of Barnegat 6-20-77 by Ord. No. 1977-19.[1] Amendments noted where applicable.]
[1]
Editor's Note: This ordinance repealed former Ch. 64,
Rent Control, adopted 9-9-76 as Ord. No. 1976-19A.
The following definitions shall apply to this chapter:
Fit for habitation, as defined by the statutes, codes and
ordinances in full force and effect in the State of New Jersey, County
of Ocean, and Township of Barnegat, and occupied or unoccupied and
offered for rent.
The consumer price index (all items) for the region of the
United States of which the Township of Barnegat, New Jersey, is a
part, published periodically by the Bureau of Labor Statistics, United
States Department of Labor.
A parcel of land which has been so designed and improved
that it contains two or more mobile home lots available to the general
public for the placement thereon of mobile homes for occupancy.
Includes that portion of a mobile home park rented or offered
for rent, for the purpose of parking or positioning a trailer or mobile
home for living and dwelling purposes, to one or more tenants or family
units together with all the privileges, services, equipment, facilities
and improvements connected with the use or occupancy of such portion
of the property. Mobile home spaces which are newly constructed and
rented for the first time are exempted, and the initial rent may be
determined by the owner. All subsequent rents will be subject to the
provisions of this chapter.
[Added 8-7-95
by Ord. No. 1995-36]
All expenses actually incurred and accrued by the landlord
for the operation of the mobile home park during a calendar year.
Reasonable and necessary operating expenses shall be computed in accordance
with the following limitations and requirements.
Taxes shall be limited to amounts actually paid solely on the
mobile home park less the amounts of any tax surcharges paid by the
tenants.
Repair and maintenance expenses shall not include expenditures
for major improvements or items which meet the definition of capital
improvements.
[Amended 5-1-00 by Ord. No. 2000-16]
Professional fees, including legal and accounting expenses,
shall be limited to actual costs for day to day operation of the park.
Legal and accounting expenses resulting solely from an application
made pursuant to this chapter or resulting in legal challenges on
this chapter shall not be considered "reasonable and necessary operating
expenses", as defined in this chapter.
[Amended 10-2-95 by Ord. No. 1995-44]
Management expenses shall be limited to the amounts paid for
actual services performed by a manager of management firm. In no event
shall a fee for management services exceed 7% of the gross income
inclusive of all on-site and off-site management.
The payable rent charged and received for the mobile home space over the previous twelve-month period exclusive of any of the following: all real property taxes, space fees or license fee charged by the Township of Barnegat pursuant to any duly adopted ordinance, any cost of utilities if the same are provided for by the landlord and any increase for major improvements as permitted by § 64-8B hereof.
[Amended 5-1-00 by Ord. No. 2000-16]
The minimum rate charged for sewerage, water service and
private trash collection. In areas where there are no public sewer
or water service utilities, it shall include private septic and private
well systems. Any single renovation of an existing utility system
which meets the definition of a major improvement under this chapter
is excepted from this definition.
[Amended 4-21-80 by Ord. No. 1980-13; 8-7-95 by Ord. No. 1995-36; 10-2-95 by Ord. No. 1995-44;
5-1-00 by Ord. No. 2000-16]
A.Â
The establishment of rents between a landlord and a tenant to whom
this chapter is applicable shall hereafter be determined by the following
provisions:
(1)Â
At the expiration of the tenancy for a mobile home space, no landlord
may request or receive any increase in the rental income or additional
charges for that mobile home space from any tenant, new or continuing,
which is greater than a combination of the following:
(a)Â
Any increased cost to the landlord for utilities.
(b)Â
Any increased cost to the landlord in mobile home space fees
or license fee charged by the Township of Barnegat pursuant to any
duly adopted ordinance.
(c)Â
[Amended 8-7-95 by Ord. No. 1995-36; 10-2-95 by Ord. No. 1995-44;
repealed 5-1-00 by Ord. No. 2000-16]
(2)Â
No new or continuing tenant, at the termination of a tenancy, shall
suffer or be caused to pay any rent increase for the mobile home space
in any twelve-month period which exceeds the above permitted increase
for the twelve-month period.
(3)Â
The landlord shall be entitled, without need for application or hearing,
to a yearly rent increase in an amount equal of 3.5% of the previous
twelve-month rental income for the mobile home space or the percentage
increase in the consumer price index, whichever is less. The percentage
increase of the consumer price index shall be effective as of January
1 of the following year. The consumer price index for the region including
the County of Ocean shall be the index utilized for this purpose.
The landlord must notify the Barnegat Township Rent Leveling Board
of any such rent increase. Said notification must be in writing and
received by the Administrator on or before November 1.
[Added 5-1-00 by Ord. No. 2000-16; amended 12-15-14 by Ord. No. 2014-27; 7-5-16 by Ord. No. 2016-19]
(4)Â
Increase by agreement. Where the landlord and the tenants effectuate
a rent increase by agreement, the agreement shall be in writing, signed
by the landlord and signed by the tenants representing 75% plus one
of the occupied rental units affected by the rent increase. Such rental
increases by agreement shall take effect in accordance with the terms
and conditions thereof, and a copy of such agreement shall be filed
with the Rent Leveling Board within 45 days of the execution of the
document.
[Added 3-5-2019 by Ord. No. 2019-6]
B.Â
No landlord may request or receive of the tenants any increase in
rental income or additional charges except as provided by this section,
and until such time as the landlord shall have obtained approval in
writing from the Rent Leveling Board, as hereinafter established,
for said increase. Furthermore, there shall be only one request per
landlord per mobile home park for any increase per calendar year,
for each of the increases permitted by this section, which request
and decision shall be binding upon all tenancies of that particular
mobile home park which expire during said calendar year. The landlord
shall notify the Rent Leveling Board in writing, at least 60 days
prior to the effective date of any increase proposed pursuant to the
provisions of this section. At the same time, a copy of said notice
shall be mailed by certified mail, return receipt requested, to any
tenant who may be affected by the increase applied for. In the event
that a landlord shall submit an application for increase or decrease
in rent based upon any of the criteria herein, the Rent Leveling Board
shall hold a hearing within 30 days of the submission of the completed
application.
[Amended 4-21-80 by Ord. No. 1980-13; 12-15-14 by Ord. No. 2014-27; 7-5-16 by Ord. No. 2016-19]
C.Â
A tenant may be notified by other than certified mail only if the landlord or his representative shall serve the tenant personally with the notice provided for herein and shall certify such service by affidavit and retain such affidavit in his records. Upon receipt of said notice and where the increase sought is based upon terms in Subsection A(1)(a) herein, the Rent Leveling Board shall schedule a hearing on said increase and the landlord shall post, in a conspicuous place in or about the park, a notice of said hearing date at least five days prior to the proposed date of hearing. Where the increase sought is based upon the terms in Subsection A(1)(b) herein, no hearing shall be scheduled, no written approval is required and the increase shall become effective on the date specified in said notice if all other applicable provisions of this chapter are complied with.
[Amended 12-15-14 by Ord. No. 2014-27; 7-5-16 by Ord. No. 2016-19]
D.Â
In the event that a landlord shall make application for any rent
increase hereunder or supply any notice to the Rent Leveling Board
or any tenant, said application shall include a certification by the
landlord that all information supplied in an application or notice
is true and accurate.
[Added 4-21-80 by Ord. No. 1980-13; amended 12-15-14 by Ord. No. 2014-27; 7-5-16 by Ord. No. 2016-19]
E.Â
Any and all bills submitted in connection with any application for
a rent increase, as set forth elsewhere herein, shall be for work
invoiced to the landlord within the 18 months next preceding the date
of the filing of the application. All bills must be presented with
proof of payment thereof. Any bill presented by the landlord which
was invoiced earlier than 18 months prior to the date of the application
shall be reviewed by the Barnegat Township Rent Leveling Board on
a case by case basis. The landlord shall have the burden of proof
as to why the bill was not submitted within the time restrictions
provided.
[Amended 12-15-14 by Ord. No. 2014-27; 7-5-16 by Ord. No. 2016-19]
[Amended 12-15-14 by Ord. No. 2014-27]
A.Â
Rent increases, as authorized by this chapter, may be allowed only
if the mobile home park substantially complies with all existing state,
county and local codes. As part of his application for any increase,
the landlord shall submit to the Rent Leveling Board such certification
of compliance with said codes as he is required by law to maintain.
[Amended 7-5-16 by Ord. No. 2016-19]
B.Â
Where the mobile home park fails to substantially comply with said
codes, any tenant may apply to the Rent Leveling Board for a reasonable
reduction in rent, commensurate with any such noncompliance by the
landlord, whereupon the Rent Leveling Board shall duly notify the
landlord and schedule the matter for a hearing. If, as a result of
such a hearing, a reasonable reduction in rent is granted, it shall
remain in effect until the landlord proves that the noncompliance
has been corrected.
[Amended 7-5-16 by Ord. No. 2016-19]
Any rental income or additional charge increase at a time other
than at the expiration of a tenancy or the termination of a periodic
tenancy shall be void, except as otherwise provided in this chapter.
Any rental income or additional charge increase in excess of that
authorized by the provisions of this chapter shall be void.
A tenant shall be entitled to a rent reduction from a landlord
because of a decrease in the municipal property taxes or utilities
or any decrease in space fees or license fee charged by the municipality.
The reduction shall not exceed that amount authorized by the following
provisions:
A.Â
Where the decrease consists of a decrease in the municipal property
tax due to aid received from the State Aid for Schools Fund and where
said decrease is subject to the provisions of c. 63, P.L. 1976 (N.J.R.S.
54:4-62 et seq.), as may be amended from time to time, the landlord
shall make such rebate and upon such terms as c. 63, P.L. 1976, provides.
B.Â
Where the decrease consists of a decrease in the municipal property tax other than that decrease provided for in Subsection A above, the landlord shall divide the decrease in the present tax over the tax for the previous year by the total number of occupied mobile home spaces in the mobile home park. The decrease each tenant is entitled to shall be a credit to rent in 12 monthly installments commencing from July 1 of each year. Any tenant entitled to a rent decrease hereunder shall be notified by the landlord, by certified mail, of the calculations involved in computing such reduction and the effective date of such reduction.
C.Â
Where the decrease consists of a decrease in utilities, space fees
or license fee, the landlord shall divide the decrease in the present
utilities, mobile home space fees or license fee over the utilities,
mobile home space fees or license fee of the previous year by the
total number of occupied mobile home spaces in the mobile home park
to obtain the decrease per space. The decrease each tenant is entitled
to shall be a credit to rent in 12 monthly installments commencing
from the effective date of said reduction. Any tenant entitled to
a rent decrease hereunder shall be notified by the landlord, by ordinary
mail, together with filing of an affidavit of mailing by the landlord,
of the calculations involved in computing such reduction and the effective
date of such reduction.
[Amended 4-21-80 by Ord. No. 1980-13]
[Amended 4-21-80 by Ord. No. 1980-13]
A landlord shall be entitled to a rent surcharge for any increase
in municipal property taxes. Any landlord seeking a surcharge for
property taxes shall notify the tenants, by certified mail at least
30 days prior to the date of which said increase is to be effective,
of the calculations involved, including the property tax for the mobile
home park for the previous year and the increase in the present tax
over the tax for the previous year divided by the total number of
mobile home spaces in the mobile home park. The tax surcharge each
tenant is liable for shall be paid in 12 monthly installments commencing
September 1 of each year.
A.Â
In the event that a municipal property tax appeal is taken by the
landlord and the landlord is successful in said appeal and the taxes
are reduced, the tenants involved shall receive 50% of said reduction
after the landlord's costs of securing said tax reduction have
been deducted. The landlord shall receive the remaining benefit of
the reduced taxes. Thereafter, in succeeding years, the benefit of
such successful tax appeal shall be divided evenly between the tenants
and the landlord.
B.Â
Any such successful landlord shall notify the tenants, by certified
mail within 30 days after the receipt of the judgment, of the calculations
involved, including an itemization of the costs of securing said reduction
and the reduction each tenant is entitled to, determined by dividing
1/2 the remainder of the amount of said tax reduction by the total
number of mobile home spaces in the mobile home park.
[Added 5-1-00 by Ord. No. 2000-16; 12-15-14 by Ord. No. 2014-27; 7-5-16 by Ord. No. 2016-19]
A.Â
Hardship. A landlord who finds that the present rental income and
additional charges from the mobile home park on which he seeks relief
thereunder are insufficient to cover the costs of payments on a first
mortgage and any subsequent mortgages directly used to improve and
upgrade the mobile home park and/or payments for maintenance and/or
all reasonable and necessary operating expenses, and at the same time
ensure the landlord a just and reasonable return, may appeal to the
Rent Leveling Board for an increase in rental income. The Rent Leveling
Board, after a hearing, may grant the landlord a hardship rents increase
to meet these requirements or needs after consideration of the proofs
presented by the landlord, the physical condition of the mobile home
park and the degree of hardship to the landlord. Prior to filing for
any such appeal to the Rent Leveling Board, the landlord must post
notice of said appeal setting forth the basis for the appeal in a
conspicuous place in and about the mobile home park. Each tenant must
be served with written notice either in person or by certified mail.
The landlord must thereafter notify each affected tenant in person
or by certified mail, of the hearing date for the appeal and post
a notice of the hearing in a conspicuous place at the mobile home
park for at least 10 days prior to the hearing date. If said increase
is granted, it shall not be considered rental income and shall not
be calculated in allowable increases as otherwise set forth in the
chapter.
[Amended 8-7-95 by Ord. No. 1995-36; 10-2-95 by Ord. No. 1995-44; 12-15-14 by Ord. No. 2014-27;
7-5-16 by Ord. No. 2016-19]
B.Â
Major improvements. A landlord may seek an additional charge for
major improvements. For the purposes set forth herein a major improvement
shall be defined as a major improvement to a park system or facility
extending the useful life of its streets, paving or curbing, water
system, sewer or septic system, clubhouse, tenant transportation vehicles,
or swimming pool, having a direct benefit to the tenants of the park.
Applications for major improvement surcharges may be granted upon
the demonstration by the landlord, to the satisfaction of the Rent
Leveling Board, that the improvement serves a direct benefit to the
tenants, and that it was more feasible to renovate or replace an existing
object than repair it.
Any single renovation or improvement to the sanitary sewer or
septic system or water system having a cost in excess of $5,000 shall
be deemed a major improvement for purposes of this regulation; and
such improvement having a cost of less than $5,000 shall be considered
a utilities expense.
Prior to filing an application with the Rent Leveling Board,
the landlord must notify each tenant by certified mail of the total
cost of the completed major improvement; the number of years of useful
life of the improvement for the purposes of depreciation based upon
the maximum term allowed under the Internal Revenue Code; the average
cost, including debt service, of the improvement (calculated by dividing
the cost of the major improvement the total number of mobile home
spaces in the mobile home park); and the major improvement surcharge
sought from each tenant. In no event however shall the debt service
used to calculate a major improvement surcharge exceed the prime rate
plus 1%. The landlord seeking a major improvement surcharge shall
apply for said surcharge to the Rent Leveling Board who shall determine,
after the landlord has provided notice of the hearing to the affected
tenants by certified mail, if said improvement is a major improvement
and, if so, if it shall permit such increase to take place and any
conditions thereof. If said increase is granted, it shall be considered
rental income and not calculated in allowable increases as otherwise
set forth in this chapter. In any event, no increase granted by authority
of this section shall exceed 10% of the tenant's rental income,
unless said increase or major improvement is mandated by law.
[Amended 8-7-95 by Ord. No. 1995-36; 5-1-00 by Ord. No. 2000-16; 12-15-14 by Ord. No. 2014-27;
7-5-16 by Ord. No. 2016-19]
C.Â
In the event that a landlord seeks an additional charge for any major
improvement, it shall be necessary for said landlord to produce actual
receipts and bills for the cost of said improvements, and testimony
as to those items will not be considered sufficient in and of itself
without the proper backup materials.
[Added 4-21-80 by Ord. No. 1980-13; Ord. No. 5-1-00 by Ord. No. 2000-16]
D.Â
In the event that a landlord is to seek an additional rent increase
based upon major improvements, the charge to be passed on to the tenant
shall be based upon the proportionate part of the useful life of said
major improvement rather than taking all of the improvement costs
in the year that the landlord seeks the rent increase.
[Added 4-21-80 by Ord. No. 1980-13; Ord. No. 5-1-00 by Ord. No. 2000-16]
E.Â
Loans. In the event that the financial information submitted by the
landlord reveals a loan made by the landlord or by someone having
an ownership interest in the landlord, if the landlord is a business
entity such as a partnership or a corporation, interest expense on
any such loan shall be computed based upon a rate not to exceed an
imputed rate equal to the prime lending rate charged by commercial
banks plus one percentage point.
[Added 8-7-95 by Ord. No. 1995-36]
F.Â
Related entity. In the event the landlord shall retain the services
of any related entity (meaning owned by the landlord or someone who
has an interest in the landlord as a partnership corporation) the
landlord shall provide proof that the cost of this service did not
exceed the fair market value of same by more than 5%. The proof requirement
established hereunder shall be satisfied by presenting three bids
from separate and unrelated vendors.
[Added 8-7-95 by Ord. No. 1995-36; 10-2-95 by Ord. No. 1995-44]
G.Â
Hearings. Any appeal or hardship rent increase application must be
filed 45 days prior to the proposed hearing date. Any data which the
landlord seeks to rely upon before the Board must be submitted with
the application in order to allow the Board adequate time to review
the data prior to the hearing. If the Board finds that it has been
given the proper and appropriate information prior to the hearing,
the Board may, in its discretion, agree to review additional data
at the time of the hearing not previously submitted. The Board would
make such determination based on the pertinence to the landlord's
appeal and the finding that the landlord was unable to submit the
information or material on a timely basis and was acting in good faith.
[Amended 12-15-14 by Ord. No. 2014-27; 7-5-16 by Ord. No. 2016-19; 10-2-2018 by Ord. No. 2018-30]
H.Â
(Reserved)
I.Â
The Rent Leveling Board must take action and render a decision on
all applications presented to it within the following time limitations:
(1)Â
Major improvement applications. The Rent Leveling Board must take
action and render a decision on all major improvement applications
within 90 days of the application date.
(2)Â
Utility increase applications. The Rent Leveling Board must take
action and render a decision on all utility increase applications
within 60 days of the application date.
(3)Â
Hardship applications. The Rent Leveling Board must take action and
render a decision on all hardship applications within 120 days of
the application date.
[Added 7-5-16 by Ord. No. 2016-19; amended 10-2-2018 by Ord. No. 2018-30]
A.Â
Board created. There is hereby created a Rent Leveling Board within
the Township of Barnegat. The Board shall consist of four regular
members and a Chairman. Each mobile home park in the Township shall
be represented on the Board by a landlord representative and a tenant
representative. A voting Chairman shall be chosen by the Barnegat
Township Mayor and Committee on an annual basis. The Chairman will
preside over each meeting of the Board. All members shall be appointed
by the Township Committee and shall serve one-year terms, commencing
the first day of January of the year of their appointments. There
shall be two alternates, appointed annually by the Township Committee,
to serve in the absence or disqualification of a corresponding regular
member, one of whom shall be a landlord representative and one of
whom shall be a tenant representative of a mobile home park. Vacancies
shall be filled for the balance of the term. No member shall vote
upon or enter into discussions as to any matter in which he has a
direct or indirect interest, financial or otherwise.
[1]
Editor's Note: Former § 64-9, Rent Leveling
Administrator, containing portions of Ord. No. 2014-27 was deleted
in its entirety by Ord. No. 2016-19.
[Amended 12-15-14 by Ord. No. 2014-27; 7-5-16 by Ord. No. 2016-19; 10-2-2018 by Ord. No. 2018-30]
A.Â
Both a landlord and tenant may appeal, in writing, the findings of
the Rent Leveling Board to a court of competent jurisdiction or any
other body agreed upon by the parties. The Township Committee shall
not hear any appeals. All expenses associated with the cost of an
appeal shall be the responsibility of the parties. The Township Committee
will have no authority to hear appeals of decisions made by the Board.
A.Â
During the term of this chapter, the landlord shall maintain the
same standards of service, maintenance and equipment in the mobile
home park or mobile home spaces as he provided or was required to
do by law or lease, written or unwritten, as of the date the tenancy
was entered into.
B.Â
Where the landlord fails to maintain such standards, any tenant may
appeal to the Rent Leveling Board for a reasonable reduction in rent,
commensurate with such failure by the landlord, whereupon the Rent
Leveling Board shall duly notify the landlord and schedule the matter
for investigation. If, as a result of such an investigation, a reasonable
reduction in rent is granted, it shall remain in effect until the
landlord proves the standards are being maintained.
[Amended 12-15-14 by Ord. No. 2014-27; 7-5-16 by Ord. No. 2016-19]
[Amended 12-15-14 by Ord. No. 2014-27]
A.Â
Willful violation of any provisions of this chapter, including but
not limited to the willful filing with the Administrator of any material
misstatement of fact, shall be punishable by a fine of not more than
$500 or imprisonment for not more than 90 days, or both, in the discretion
of the court. A violation affecting more than one leasehold shall
be considered a separate violation as to each leasehold.
[Added 7-5-16 by Ord. No. 2016-19]
All meetings of the Rent Leveling Board shall be held at the
Township Municipal Building, in the Township Municipal Court Room.
