[Amended 9-14-09 by Ord. No. 09-18; 11-28-16 by Ord. 16-21; 3-6-17 by Ord.
No. 17-12]
A.
This Ordinance is intended to assure that low- and moderate-income
units ("affordable units") are created with controls on affordability
over time and that low- and moderate-income households shall occupy
these units. This Ordinance shall apply except where inconsistent
with applicable law.
B.
The Township of East Brunswick Planning Board has adopted a Housing
Element and Fair Share Plan pursuant to the Municipal Land Use Law
at N.J.S.A. 40:55D-1, et seq. The Fair Share Plan has been endorsed
by the governing body. The Fair Share Plan describes the ways the
Township of East Brunswick shall address its fair share for low- and
moderate-income housing.
C.
This Ordinance implements and incorporates the Fair Share Plan and
addresses the requirements of N.J.A.C. 5:97, as may be amended and
supplemented.
[Amended 11-28-16 by Ord. 16-21; 3-6-17 by Ord. No. 17-12]
The following terms when used in Article VIII of this Ordinance shall have the meanings given in this Section:
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 responsible for the administration of affordable
units in accordance with this ordinance, N.J.A.C. 5:80-26.1 et seq.,
and the terms of the Settlement Agreement reached in the Township's
third round Declaratory Judgement Action.
[Amended 3-6-17 by Ord. No. 17-14]
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 restricted
units in an affordable housing development are affordable to low-
and moderate-income households.
A sales price or rent within the means of a low- or moderate-income
household as defined at N.J.A.C. 5:80-26.1, et seq.; 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.
[Amended 3-6-17 by Ord. No. 17-12]
A housing development in which all or a portion of the units
are restricted as to their affordability to and occupancy by low and
moderate income households.
[Amended 3-6-17 by Ord. No. 17-12]
A development included in the Housing Element and Fair Share
Plan, and includes, but is not limited to, an inclusionary development,
a municipal construction project or a 100 percent affordable 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, credited
pursuant to N.J.A.C. 5:97-4, and/or funded through an affordable housing
trust fund.
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 housing unit designed to meet the needs of, and exclusively
for, the residents of an older segment of the population such that:
1) all the residents of the development where the unit is situated
are 62 years or older; or 2) at least 80 percent of the units are
occupied by one person that is 55 years or older; or 3) the development
has been designated by the Secretary of the U.S. 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.
[Amended 3-6-17 by Ord. No. 17-12]
A facility 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 Council on Affordable Housing, which is in, but not of,
the Department of Community Affairs of the State of New Jersey, that
was established under the New Jersey Fair Housing Act (N.J.S.A. 52:27D-301
et seq.) or subsequent entity with similar jurisdiction.
[Amended 11-28-16 by Ord. 16-21]
The State of New Jersey Department of Community Affairs.
A housing unit with health and safety code violations that
require 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
proposed to be included in a proposed development including the holder
of an option to contract or 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.
A development containing both affordable units and market
rate units. This term includes, but is not necessarily limited to:
new construction, the conversion of a non-residential structure to
residential and the creation of new affordable units through the reconstruction
of a vacant residential structure.
A household with a total gross annual household income equal
to 50 percent 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 or 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 county,
as adopted annually by COAH.
A household with a total gross annual household income in
excess of 50 percent but less than 80 percent of the median household
income.
A restricted unit that is affordable to a moderate-income
household.
Any sale or transfer of ownership other than the following:
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 percent of the regional
median as defined by COAH's adopted Regional Income Limits published
annually by COAH.
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 ownership unit,
that is subject to the affordability controls of N.J.A.C. 5:80-26.1,
as may be amended and supplemented, but does not include a market-rate
unit financed under UHORP or MONI.
Means the Uniform Housing Affordability Controls set forth
in N.J.A.C. 5:80-26.1 et seq.
A household with a total gross annual household income equal
to 30 percent or less of the median household income.
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 rehabilitation.
[Amended 11-28-16 by Ord. 16-21; 3-6-17 by Ord. 17-12]
The Township of East Brunswick has determined that it will use
the following mechanisms to satisfy its affordable housing obligations:
A.
Rehabilitation program.
1.
The Township of East Brunswick's rehabilitation program shall be
designed to renovate deficient housing units occupied by low- and
moderate-income households such that, after rehabilitation, these
units will comply with the New Jersey State Housing Code pursuant
to N.J.A.C. 5:28.
2.
Both owner occupied and renter occupied units shall be eligible for
rehabilitation funds.
3.
The Township of East Brunswick will participate in the Middlesex
County Housing & Community Development (MCHCD) rehabilitation
program. The rehabilitation program will be consistent with N.J.A.C.
5:93-5.2 (b) through 5.2(1).
[Amended 11-28-16 by Ord. 16-21]
4.
All rehabilitated units shall remain affordable to low and moderate-income
households for a period of 10 years (the control period). For owner
occupied units the control period will be enforced with a lien and
for renter occupied units the control period will be enforced with
a deed restriction.
5.
The Township of East Brunswick shall designate, one or more Administrative
Agents to administer the rehabilitation program. The Administrative
Agent(s) shall prepare and the Township shall adopt a rehabilitation
manual for the owner occupancy rehabilitation program and a rehabilitation
manual for the rental occupancy rehabilitation program. Both rehabilitation
manuals shall be available for public inspection in the Office of
the Municipal Clerk and in the office(s) of the Administrative Agent(s).
[Amended 11-28-16 by Ord. 16-21; 3-6-17 by Ord. No. 17-12]
6.
Units in a rehabilitation program shall be exempt from the Uniform
Housing Affordability Controls (UHAC), but shall be administered in
accordance with the following:
a.
If a unit is vacant, upon initial rental subsequent to rehabilitation,
or if a renter-occupied unit is re-rented prior to the end of controls
on affordability, the deed restriction shall require the unit to be
rented to a low- or moderate-income household at an affordable rent
and affirmatively marketed pursuant to UHAC.
b.
If a unit is renter-occupied, upon completion of the rehabilitation,
the maximum rate of rent shall be the lesser of the current rent or
the maximum permitted rent pursuant to UHAC.
c.
Rents in rehabilitated units may increase annually based on the standards
approved by the Court as part of East Brunswick's third round Judgement
of Compliance and Repose.
7.
Applicant and/or tenant households shall be certified as income-eligible
in accordance with UHAC, except that households in owner occupied
units shall be exempt from the regional asset limit.
B.
Market to Affordable program.
1.
A market to affordable program is established to permit the purchase
or subsidization of units through a written agreement with the property
owner and sold or rented to low- and moderate-income households. The
market to affordable programs may produce both low- and moderate-income
units (the program may be limited to only low- or only moderate-income
units as per the Fair Share Plan).
2.
The following provisions shall apply to market to affordable programs:
3.
The units shall comply with UHAC with the following exceptions:
a.
Bedroom distribution (N.J.A.C. 5:80-26.3(b) and (c));
b.
Low/moderate income split (N.J.A.C. 5:80-26.3(a)); and
c.
Affordability average (N.J.A.C. 5:80-26.3(d) and (e)); however:
[Amended 11-28-16 by Ord. 16-21]
1)
The maximum rent for a moderate-income unit shall be affordable
to households earning no more than 60 percent of median income and
the maximum rent for a low-income unit shall be affordable to households
earning no more than 44 percent of median income; and
2)
The maximum sales price for a moderate-income unit shall be
affordable to households earning no more than 70 percent of median
income and the maximum sales price for a low-income unit shall be
affordable to households earning no more than 40 percent of median
income.
C.
Inclusionary Zoning.
[Amended 3-6-17 by Ord. No. 17-12]
1.
Phasing of the construction of affordable units and market units
in an Inclusionary development shall be as follows:
|
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.
Design. In inclusionary developments low- and moderate-income units
shall be integrated with the market units.
3.
Utilities. Affordable units shall utilize the same type of heating
source as market units within the inclusionary development.
The following general guidelines apply to all newly constructed
developments that contain low-and moderate-income housing units, including
any currently unanticipated future developments that will provide
low- and moderate-income housing units.
A.
Low/Moderate Split and Bedroom Distribution of Affordable Housing
Units:
1.
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.
2.
In each development containing affordable housing units, at least
50 percent of the restricted affordable units within each bedroom
distribution shall be low-income units.
3.
At least 13% of the affordable units in each development containing
affordable housing units shall be very low income units (affordable
to households earning 30 percent or less of the regional median household
income by household size), with such very low income units counted
as part of the low income housing requirement.
4.
Affordable units in developments containing affordable housing units
that are not age-restricted shall be structured in conjunction with
realistic market demands such that:
a.
The combined number of efficiency and one-bedroom units shall
be no greater than 20 percent of the total low- and moderate-income
units;
b.
At least 30 percent of all low- and moderate-income units shall
be two bedroom units;
c.
At least 20 percent of all low- and moderate-income units shall
be three bedroom units; and
d.
The remaining units may be allocated among two and three bedroom
units at the discretion of the developer.
5.
Affordable units in developments containing affordable housing units
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.
All Low Income Housing Tax Credit projects shall confirm to the income,
affordability average and bedroom distribution requirements set forth
in the UHAC at N.J.A.C. 5:80-26.3 with the exception that 13 percent
of affordable rental units in such developments shall be affordable
to households earning no more than 30 percent of median income instead
of the UHAC requirement for 10 percent of affordable rental units
being affordable to households earning no more than 35 percent of
median income.
B.
Accessibility Requirements:
1.
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 N.J.A.C. 5:97-3.14.
2.
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 interior accessible route of travel shall not be required
between stories within an individual unit;
e.
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;
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 and N.J.A.C. 5:97-3.14.
C.
Maximum Rents and Sales Prices:
1.
In establishing rents and sales prices of affordable housing units,
the administrative agent shall follow the procedures set forth in
UHAC and in COAH, utilizing the regional income limits established
by COAH.
2.
The maximum rent for restricted rental units within each affordable
development shall be affordable to households earning no more than
60 percent of median income, and the average rent for restricted low-
and moderate-income units shall be affordable to households earning
no more than 52 percent of median income.
3.
The developers and/or sponsors of restricted rental units shall establish
at least one rent for each bedroom type for both low-income and moderate-income
units, except that:
a.
At least 13 percent of all low- and moderate-income rental units
shall be affordable to very low income households earning no more
than 30 percent of median income with such very low income units counted
as part of the low income housing obligation.
4.
The maximum sales price of restricted ownership units within each
affordable development shall be affordable to households earning no
more than 70 percent of median income, and each affordable development
must achieve an affordability average of 55 percent for restricted
ownership units; in achieving this affordability average, moderate-income
ownership units must be available for at least three different prices
for each bedroom type, and low-income ownership units must be available
for at least two different prices for each bedroom type.
5.
In determining the initial sales prices and rents for compliance
with the affordability average requirements for restricted units other
than assisted living facilities, the following standards shall be
used:
a.
A studio shall be affordable to a one-person household;
b.
A one-bedroom unit shall be affordable to a one and one-half
person household;
c.
A two-bedroom unit shall be affordable to a three-person household;
d.
A three-bedroom unit shall be affordable to a four and one-half
person household; and
e.
A four-bedroom unit shall be affordable to a six-person household.
6.
In determining the initial rents for compliance with the affordability
average requirements for restricted units in assisted living facilities,
the following standards shall be used:
7.
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 percent
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 percent 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.
[Amended 11-28-16 by Ord. 16-21; 3-6-17 by Ord. No. 17-12]
8.
The initial rent for a restricted rental unit shall be calculated
so as not to exceed 30 percent of the eligible monthly income of the
appropriate household size 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.
[Amended 11-28-16 by Ord. 16-21; 3-6-17 by Ord. No. 17-12]
9.
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.
10.
The rent of low- and moderate-income units may be increased annually
based on the percentage increase in the Housing Consumer Price Index
for the United States. This increase shall not exceed nine percent
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.
11.
Tenant-paid utilities that are included in the utility allowance
shall be so stated in the lease and shall be consistent with the annual
tenant paid utility allowances approved by HUD.
[Amended 3-6-17 by Ord. No. 17-12]
12.
The developer shall submit the name and qualifications of a proposed
administrator for the affordable housing units in its development
to the Municipal Housing Liaison for review and approval by the Township
Council. Submission of an administrator for approval shall occur 150
days prior to the commencement of the administration of the affordable
units. Any administrator selected by the developer must be authorized
by Resolution of the Township council to act as the Administrative
Agent for that particular project and shall report to the Municipal
Housing Liaison.
[Added 3-6-17 by Ord. No. 17-12]
13.
Increases in sales prices and annual rent increases and the determination
of median household income by household size shall utilize methodology
approved by the Court as part of East Brunswick's Judgement of Compliance
and Repose.
[Added 3-6-17 by Ord. No. 17-12]
[Amended 30-6-17 by Ord. 17-12]
A.
The following general guidelines apply to all developments that contain
low-and moderate-income housing units, including any currently unanticipated
future developments that will provide low- and moderate-income housing
units.
B.
East Brunswick Township's Affirmative Marketing Plan shall be subject
to approval of the Court and shall be compliant with N.J.A.C. 5:80-26.15,
as may be amended and supplemented.
C.
The affirmative marketing plan is a regional marketing strategy designed
to attract buyers and/or renters of all majority and minority groups,
regardless of race, creed, color, national origin, ancestry, marital
or familial status, gender, affectional or sexual orientation, disability,
age or number of children to housing units which are being marketed
by a developer, sponsor or owner of affordable housing. The affirmative
marketing plan is also intended to target those potentially eligible
persons who are least likely to apply for affordable units in that
region. It is a continuing program that directs all marketing activities
toward COAH Housing Region Three and covers the period of deed restriction.
D.
The Administrative Agent designated by the Township of East Brunswick
shall assure the affirmative marketing of all affordable units consistent
with the Affirmative Marketing Plan for the municipality and the Settlement
Agreement reached with the parties to the Township's Declaratory Judgement
action.
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 process for available affordable units
shall begin at least four months prior to the expected date of occupancy.
G.
The costs of advertising and affirmative marketing of the affordable
units shall be the responsibility of the developer, sponsor or owner,
unless otherwise determined or agreed to by the Township of East Brunswick.
[Amended 11-28-16 by Ord. 16-21; 3-6-17 by Ord. 17-12]
[Amended 11-28-16 by Ord. 16-21; 3-6-17 by Ord. No. 17-12]
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 Ordinance until the Township of East Brunswick elects to release
the unit from such requirements however, and prior to such an election,
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, for at
least 30 years unless a minimum of 50 years is specified as part of
a settlement agreement.
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.
D.
At the time of the first sale of the unit, the 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 non-exempt sale after the unit's release
from the requirements of this Ordinance, an amount equal to the difference
between the unit's non-restricted 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. The municipality
reserves the right to reject the repayment option and extend the controls
when allowable.
E.
The affordability controls set forth in this Ordinance 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 that follows the expiration of the applicable minimum
control period provided under N.J.A.C. 5:80-26.5(a), as may be amended
and supplemented, assuming the municipality elects to release the
unit from the controls on affordability.
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:
A.
The initial purchase price for a restricted ownership unit shall
be approved by the Administrative Agent.
B.
The Administrative Agent shall approve all resale prices, in writing
and in advance of the resale, to assure compliance with the foregoing
standards.
C.
The method used to determine the condominium association fee amounts
and special assessments shall be indistinguishable between the low-
and moderate-income unit owners and the market unit owners.
D.
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. Eligible capital improvements shall be those
that render the unit suitable for a larger household or the addition
of a bathroom.
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 percent of
median income and moderate-income ownership units shall be reserved
for households with a gross household income less than 80 percent
of median income, and a very low income ownership units shall be reserved
for households with a gross household income less than or equal to
30 percent of median income.
B.
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 percent of the household's certified monthly income.
[Amended 3-6-17 by Ord. No. 17-12]
A.
Prior to incurring any indebtedness to be secured by a restricted
ownership unit, the administrative agent shall determine in writing
that the proposed indebtedness complies with the provisions of this
section.
B.
With the exception of original purchase money mortgages, during a
control period 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 percent of the maximum allowable resale price of
that unit, as such price is determined by the Administrative Agent
in accordance with N.J.A.C. 5:80-26.6(b).
[Amended 3-6-17 by Ord. No. 17-12]
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 Ordinance until the Township of East Brunswick elects to release
the unit from such requirements pursuant to action taken in compliance
with N.J.A.C. 5:80-26.1, as may be amended and supplemented, and prior
to such an election, 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,
for at least 30 years, unless a minimum of 50 years is specified as
part of a settlement agreement.
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 the County of Middlesex. 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 Ordinance, despite the occurrence of any of the following
events:
A.
A written lease shall be required for all restricted rental units,
except for units in an assisted living residence, 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 five percent 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 Ordinance.
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 percent of median
income.
2.
Low-income rental units shall be reserved for households with a gross
household income less than or equal to 50 percent of median income.
3.
Moderate-income rental units shall be reserved for households with
a gross household income less than 80 percent 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,
low-income household or a moderate-income household, as applicable
to the unit, and the rent proposed for the unit does not exceed 35
percent (40 percent 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 percent (40 percent 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 percent (40 percent
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 proposed 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 in (b)1 through 5 above with the Administrative
Agent, who shall counsel the household on budgeting.
[Amended 3-6-17 by Ord. No. 17-12]
A.
The position of Municipal Housing Liaison (MHL) for East Brunswick
Township is established by this ordinance. The Mayor shall make the
actual appointment of the MHL by means of a letter.
1.
The MHL shall be the person employed as Housing Specialist by East
Brunswick Township.
2.
The person appointed as the MHL must be reported to COAH for approval.
3.
The MHL must meet all COAH requirements for qualifications, including
initial and periodic training.
4.
The Municipal Housing Liaison shall be responsible for oversight
and administration of the affordable housing program for the Township
of East Brunswick, including the following responsibilities which
may not be contracted out to the Administrative Agent:
a.
Serving as the municipality's primary point of contact for all inquiries
from the State, affordable housing providers, Administrative Agents
and interested households;
b.
The implementation of the Affirmative Marketing Plan and affordability
controls.
c.
Approval of and supervising any contracting Administrative Agent.
d.
Monitoring the status of all restricted units in the Township of
East Brunswick's Fair Share Plan;
e.
Compiling, verifying and submitting annual reports as required by
the Court.
f.
Coordinating meetings with affordable housing providers and Administrative
Agents, as applicable; and
g.
Attending continuing education opportunities on affordability controls,
compliance monitoring and affirmative marketing as offered or approved
by COAH, or the Affordable Housing Professionals of New Jersey.
B.
The Township of East Brunswick shall designate by letter of the Township
Administrator, subject to the approval of the Court, one or more Administrative
Agents to administer newly constructed affordable units in accordance
with UHAC.
C.
An Operating Manual shall be provided by the Administrative Agent(s)
and subject to approval of the Court. The Operating Manuals shall
be available for public inspection in the Office of the Municipal
Clerk and in the office(s) of the Administrative Agent(s).
D.
The Administrative Agent shall perform the duties and responsibilities
of an administrative agent as are set forth in UHAC and which are
described in full detail in the Operating Manual, including those
set forth in N.J.A.C. 5:80-26.14, 16 and 18 thereof, which includes:
1.
Attending continuing education opportunities on affordability controls,
compliance monitoring, and affirmative marketing as offered or approved
by COAH;
2.
Affirmative Marketing;
3.
Household Certification;
4.
Affordability Controls;
5.
Records retention;
6.
Resale and re-rental;
7.
Processing requests from unit owners;
8.
Enforcement, though the ultimate responsibility for retaining controls
on the units rests with the municipality.
E.
The Administrative Agent shall have authority to take all actions
necessary and appropriate to carry out its responsibilities, hereunder.
A.
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, municipal fines, a requirement
for household recertification, acceleration of all sums due under
a mortgage, recoupment of any funds from a sale in the violation of
the regulations, injunctive relief to prevent further violation of
the regulations, entry on the premises, and specific performance.
B.
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 against the Owner, Developer or Tenant
for any violation that remains uncured for a period of 60 days after
service of the written notice:
1.
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
found 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:
a.
In the case of an Owner who has rented his or her low- or moderate-income
unit in violation of the regulations governing affordable housing
units, payment into the East Brunswick Township Affordable Housing
Trust Fund of the gross amount of rent illegally collected;
b.
In the case of an Owner who has rented his or her 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.
2.
The municipality may file a court action in the Superior Court seeking
a judgment, which would result in the termination of the Owner's equity
or other interest in the unit, in the nature of a mortgage foreclosure.
Any 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- and moderate-income unit.
C.
Such 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 the right
to possession terminated as well as the title conveyed pursuant to
the Sheriff's sale.
D.
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 and to the 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.
E.
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.
F.
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.
G.
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.
H.
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.
A.
On the first anniversary of the entry of the Order granting East
Brunswick a Final Judgement of Compliance and Repose, and every anniversary
thereafter through the end of the Repose period, the Township shall
provide annual reporting of the status of all affordable housing activity
within the municipality through posting on the municipal website with
a copy of such posting provided to Fair Share Housing Center and the
Intervenor/Defendants in IMO Township of East Brunswick, County of
Middlesex, Docket No.: MID-L-4013-15, using forms previously developed
for this purpose by the Council on Affordable Housing or any other
forms endorsed by the Court-appointed Special Master and Fair Share
Housing Center.
B.
For the midpoint realistic opportunity review due on July 1, 2020,
as required pursuant to N.J.S.A. 52:27D-313, the Township shall post
on its municipal website, with a copy provided to Fair Share Housing
Center and the Intervenor/Defendants in IMO Township of East Brunswick,
County of Middlesex, Docket No.: MID-L-4013-15, a status report as
to its implementation of its Plan and an analysis of whether any unbuilt
sites or unfulfilled mechanisms continue to present a realistic opportunity.
Such posting shall invite any interested party to submit comments
to the municipality, with a copy to Fair Share Housing Center and
the Intervenor/Defendants in IMO Township of East Brunswick, County
of Middlesex Docket No.: MID-L-4013-15, regarding whether any sites
no longer present a realistic opportunity and should be replaced.
Any interested party may by motion request a hearing before the Court
regarding these issues.
C.
For the review of very low income housing requirements required by
N.J.S.A. 52:27D-329.1, within 30 days of the third anniversary of
the entry of the Order granting East Brunswick a Final Judgement of
Compliance and Repose, and every third year thereafter, the Township
will post on its municipal website, with a copy provided to Fair Share
Housing Center and the Intervenor/Defendants in IMO Township of East
Brunswick, County of Middlesex, Docket No.: MID-L-4013-15, a status
report as to its satisfaction of its very low income requirements,
including the family very low income requirements referenced herein.
Such posting shall invite any interested party to submit comments
to the municipality and Fair Share Housing Center on the issue of
whether the municipality has complied with its very low income housing
obligation.
[Amended 3-6-17 by Ord. No. 17-12]
Appeals from all decisions of an Administrative Agent designated
pursuant to this Ordinance shall be filed in writing with the COAH
or subsequent entity with similar jurisdiction or with the Superior
Court.
All Ordinances or parts of Ordinances inconsistent herewith
are repealed as to such inconsistencies.
If any section, subsection, sentence, clause, phrase or portion
of this ordinance is for any reason held invalid or unconstitutional
by any court of competent jurisdiction, such portion shall be deemed
a separate, distinct and independent provision, and such holding shall
not affect the validity of the remaining portions thereof.
