Township of Florence, NJ
Burlington County
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Table of Contents
Table of Contents
[HISTORY: Adopted by the Township Council of the Township of Florence as indicated in article histories. Amendments noted where applicable.]
GENERAL REFERENCES
Housing — See Ch. 87.
Article I Municipal Housing Liaison and Administrative Agent

§ 33-1 Purpose.

§ 33-2 Definitions.

§ 33-3 Establishment of Municipal Housing Liaison position; powers and duties; compensation.

§ 33-4 Establishment of administrative agent position; powers and duties; compensation.

Article II Fair Share Plan

§ 33-5 Affordable housing obligation.

§ 33-6 Definitions.

§ 33-7 Design.

§ 33-8 Proportion of low- and moderate-income units by sale, rental and number of bedrooms.

§ 33-9 Bedroom distribution of affordable units.

§ 33-10 Establishment of rents and prices of units as related to household size and number of units.

§ 33-11 Establishing median income by household size.

§ 33-12 Establishing average rents of affordable units.

§ 33-13 Establishing average sales prices of affordable units.

§ 33-14 Condominium or homeowners' association fees of affordable housing units.

§ 33-15 Reservation of units.

§ 33-16 Reoccupancy certificates.

§ 33-17 Phasing of construction.

§ 33-18 Control periods for restricted ownership units; enforcement mechanisms.

§ 33-19 Buyer income eligibility.

§ 33-20 Limitations on indebtedness secured by ownership unit; subordination.

§ 33-21 Control periods for restricted rental units.

§ 33-22 Price restrictions for rental units; leases.

§ 33-23 Tenant income eligibility.

§ 33-24 Administration of affordable housing program.

§ 33-25 Time period for controls.

§ 33-26 Selection of occupants of affordable units.

§ 33-27 Affirmative marketing plan.

§ 33-28 Enforcement of affordable housing regulations.

§ 33-29 Appeals.

§ 33-30 Adaptable and accessible units (pursuant to N.J.A.C. 5:97-3.14).

[Adopted 9-19-2007 by Ord. No. 2007-10]

§ 33-1 Purpose.

The purpose of this article is to create the administrative mechanisms needed for the execution of the Township of Florence's responsibility to assist in the provision of affordable housing pursuant to the Fair Housing Act of 1985.[1]
[1]
Editor's Note: See N.J.S.A. 52:27D-301 et seq.

§ 33-2 Definitions.

As used herein, the following terms shall have the following definitions:
ADMINISTRATIVE AGENT
The individual, consultant, authority, government entity or agency charged by the Township Council with the responsibility for administering the affordability controls of some or all units in the affordable housing program for the Township of Florence to ensure that the restricted units under administration are affirmatively marketed and sold or rented, as applicable, only to qualified low- and moderate-income households.
MUNICIPAL HOUSING LIAISON
The employee charged by the Township Council with the responsibility for oversight and administration of the affordable housing program for the Township of Florence.

§ 33-3 Establishment of Municipal Housing Liaison position; powers and duties; compensation.

A. 
Establishment of position of Municipal Housing Liaison. There is hereby established the position of Municipal Housing Liaison for the Township of Florence.
B. 
Subject to the approval of the Council on Affordable Housing (COAH), the Municipal Housing Liaison shall be appointed by the Township Council and may be a full- or part-time municipal employee.
C. 
The Municipal Housing Liaison shall be responsible for oversight and administration of the affordable housing program for the Township, including the following responsibilities that may not be contracted out:
(1) 
Serving as the 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 the Township's Fair Share Plan;
(3) 
Compiling, verifying and submitting annual reports as required by COAH;
(4) 
Coordinating meetings with affordable housing providers and administrative agents, as applicable; and
(5) 
Attending continuing education opportunities on affordability controls, compliance monitoring and affirmative marketing as offered or approved by COAH.
D. 
Subject to approval by COAH, the Township may contract with or authorize an individual, consultant, authority, government entity or agency to administer the affordable housing program of the Township. If the Township contracts with another entity to administer all or any part of the affordable housing program, including the affordability controls and affirmative marketing plan, the Municipal Housing Liaison shall supervise the contracting administrative agents.
E. 
Compensation. Compensation shall be fixed by the Township Council at the time of the appointment of the Municipal Housing Liaison.

§ 33-4 Establishment of administrative agent position; powers and duties; compensation.

A. 
Establishment of position of Administrative Agent. There is hereby established the position of Administrative Agent for Affordable Housing for the Township of Florence.
B. 
Subject to the approval by COAH, the Administrative Agent shall be an individual, consultant, authority, government entity or agency charged by the Township Council, and shall have the responsibility of administering the affordable housing program of the Township, in whole or part, as may be authorized by the Township Council and supervised by the Municipal Housing Liaison.
C. 
Administrative powers and duties assigned to the Administrative Agent:
(1) 
Affirmative marketing:
(a) 
Conducting an outreach process to insure affirmative marketing of affordable housing units in accordance with the affirmative marketing plan of the Township of Florence 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 the random selection process as provided in the Township's 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 appropriate county's register of deeds or 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) 
Resale and rental:
(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 rental; 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 re-rental.
(5) 
Processing requests from unit owners:
(a) 
Reviewing and approving requests from owners of restricted units who wish to take out home equity loans or refinance during the term of their ownership;
(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 cost of central air conditioning systems; and
(c) 
Processing requests and making determinations on requests by owners of restricted units for hardship waivers.
(6) 
Enforcement:
(a) 
Securing annually lists 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 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 or other appropriate municipal fund approved by the DCA;
(f) 
Establishing a rent-to-equity program;
(g) 
Creating and publishing a written operating manual, as approved by COAH, setting forth procedures for administering such affordability controls; and
(h) 
Providing annual reports to COAH as required.
(7) 
The Administrative Agent shall have authority to take all actions necessary and appropriate to carry out its responsibilities hereunder.
D. 
Compensation. Compensation shall be fixed by the Township Council at the time of the appointment of the Administrative Agent.
[Adopted 8-24-2009 by Ord. No. 2009-18]

§ 33-5 Affordable housing obligation.

A. 
This article 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 article shall apply except where inconsistent with applicable law.
B. 
The Florence Township 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 Florence Township shall address its fair share for low- and moderate-income housing as determined by the Council on Affordable Housing (COAH) and documented in the Housing Element.
C. 
This article implements and incorporates the Fair Share Plan and addresses the requirements of N.J.A.C. 5:97, as may be amended and supplemented.
D. 
Florence Township shall file monitoring reports with COAH in accordance with N.J.A.C. 5:96, tracking the status of the implementation of the Housing Element and Fair Share Plan. Any plan evaluation report of the Housing Element and Fair Share Plan and monitoring prepared by COAH in accordance with N.J.A.C. 5:96 shall be available to the public at the Florence Township Municipal Building, Municipal Clerk's Office, 711 Broad Street, Florence, New Jersey, or from COAH at 101 South Broad Street, Trenton, New Jersey and on COAH's website, www.nj.gov/dca/affiliates/coah.

§ 33-6 Definitions.

The following terms when used in this article shall have the meanings given in this section:
ACT
The Fair Housing Act of 1985, P.L. 1985, c. 222 (N.J.S.A. 52:27D-301 et seq.).
ADAPTABLE
Constructed in compliance with the technical design standards of the Barrier Free Subcode, N.J.A.C. 5:23-7.
ADMINISTRATIVE AGENT
The entity responsible for the administration of affordable units in accordance with this article and N.J.A.C. 5:96, 5:97 and 5:80-26.1 et seq.
AFFIRMATIVE MARKETING
A regional marketing strategy designed to attract buyers and/or renters of affordable units pursuant to N.J.A.C. 5:80-26.15.
AFFORDABILITY AVERAGE
The average percentage of median income at which restricted units in an affordable housing development are affordable to low- and moderate-income households.
AFFORDABLE
A sales price or rent within the means of a low- or moderate-income household as defined in N.J.A.C. 597.9; 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.
AFFORDABLE DEVELOPMENT
A housing development all or a portion of which consists of restricted units.
AFFORDABLE HOUSING DEVELOPMENT
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 one-hundred-percent affordable development.
AFFORDABLE HOUSING PROGRAM(S)
Any mechanism in a municipal Fair Share Plan prepared or implemented to address a municipality's fair share obligation.
AFFORDABLE UNIT
A housing unit proposed or created pursuant to the Act, credited pursuant to N.J.A.C. 597-4, and/or funded through an affordable housing trust fund.
AGENCY
The New Jersey Housing and Mortgage Finance Agency established by P.L. 1983, c. 530 (N.J.S.A. 55:14K-1, et seq.).
AGE-RESTRICTED UNIT
A housing unit designed to meet the needs of, and exclusively for, the residents of an age-restricted segment of the population such that:
A. 
All the residents of the development where the unit is situated are 62 years or older; or
B. 
At least 80% of the units are occupied by one person that is 55 years or older; or
C. 
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.
ASSISTED-LIVING RESIDENCE
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.
CERTIFIED HOUSEHOLD
A household that has been certified by an Administrative Agent as a low-income household or moderate-income household.
COAH
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.).
DCA
The State of New Jersey Department of Community Affairs.
DEFICIENT HOUSING UNIT
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.
DEVELOPER
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.
DEVELOPMENT
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.
INCLUSIONARY DEVELOPMENT
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 nonresidential structure to residential and the creation of new affordable units through the reconstruction of a vacant residential structure.
LOW-INCOME HOUSEHOLD
A household with a total gross annual household income equal to 50% or less of the median household income.
LOW-INCOME UNIT
A restricted unit that is affordable to a low-income household.
MAJOR SYSTEM
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.
MARKET-RATE UNITS
Housing not restricted to low- and moderate-income households that may sell or rent at any price.
MEDIAN INCOME
The median income by household size for the applicable county, as adopted annually by COAH.
MODERATE-INCOME HOUSEHOLD
A household with a total gross annual household income in excess of 50% but less than 80% of the median household income.
MODERATE-INCOME UNIT
A restricted unit that is affordable to a moderate-income household.
NON-EXEMPT SALE
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.
RANDOM SELECTION PROCESS
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).
REGIONAL ASSET LIMIT
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 COAH's adopted regional income limits published annually by COAH.
REHABILITATION
The repair, renovation, alteration or reconstruction of any building or structure, pursuant to the Rehabilitation Subcode, N.J.A.C. 5:23-6.
RENT
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.
RESTRICTED UNIT
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.
UHAC
The Uniform Housing Affordability Controls set forth in N.J.A.C. 5:80-26.1 et seq.
VERY LOW-INCOME HOUSEHOLD
A household with a total gross annual household income equal to 30% or less of the median household income.
VERY LOW-INCOME UNIT
A restricted unit that is affordable to a very low-income household.
WEATHERIZATION
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.

§ 33-7 Design.

In inclusionary developments, to the extent possible, low- and moderate-income units shall be integrated with the market units.

§ 33-8 Proportion of low- and moderate-income units by sale, rental and number of bedrooms.

Except for affordable housing developments constructed pursuant to low-income tax credit regulations:
A. 
At least half of the "for sale" affordable units within each affordable housing development shall be affordable to low-income households.
B. 
At least half of the "rental" affordable units within each affordable housing development shall be affordable to low-income households. Of the total number of affordable rental units, 13% shall be affordable to very-low income households.
C. 
At least half of the affordable units in each bedroom distribution within each affordable housing development shall be affordable to low-income households.

§ 33-9 Bedroom distribution of affordable units.

A. 
Affordable housing developments which are not limited to age-restricted households shall be structured in conjunction with realistic market demands so that:
(1) 
The combination of efficiency and one-bedroom units is no greater than 20% of the total number of affordable units;
(2) 
At least 30% of all affordable units shall be two-bedroom units.
(3) 
At least 20% of all affordable units shall be three-bedroom units.
(4) 
The remaining units may be allocated among two- and three-bedroom units at the discretion of the developer.
B. 
Affordable housing developments that are limited to age-restricted households shall at a minimum have a total number of bedrooms equal to the number of age-restricted affordable units within the affordable housing development. The standard may be met by creating all one-bedroom units or by creating a two-bedroom unit for each efficiency unit.

§ 33-10 Establishment of rents and prices of units as related to household size and number of units.

A. 
In conjunction with realistic market information the following shall be used to determine maximum rents and sales prices of the affordable units:
(1) 
Efficiency or studio units shall be affordable to one-person households.
(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.
(5) 
A four-bedroom unit shall be affordable to a six-person household.
B. 
For assisted-living facilities, the following standards shall be used:
(1) 
A studio shall be affordable to a one-person household.
(2) 
A one-bedroom unit shall be affordable to a one-and-one-half person household.
(3) 
A two-bedroom unit shall be affordable to a two-person household or to two, one-person households.
C. 
In referring certified households to specific restricted units, to the extent feasible, and without causing an undue delay in occupying the unit, the administrative agent shall strive to:
(1) 
Provide an occupant for each unit bedroom;
(2) 
Provide children of different sex with separate bedrooms; and
(3) 
Prevent more than two persons from occupying a single bedroom.

§ 33-11 Establishing median income by household size.

Median income by household size shall be established using a regional weighted average of the uncapped Section 8 income limits published by HUD computed as set forth in N.J.A.C. 5:97-9.2.

§ 33-12 Establishing average rents of affordable units.

A. 
The maximum rent of affordable units within each affordable housing development shall be affordable to households earning no more than 60% of median income. The average rent for low- and moderate-income units shall be affordable to households earning no more than 52% of median income. Restricted rental units shall establish at least one rent for each bedroom type for all low- and moderate-income units, provided at least 13% of all low- and moderate-income units are affordable to households earning no more that 30% of median income. For low-income rental units established in a market-to-affordable rental program only, the maximum rent for a low-income unit shall be affordable to households earning no more than 44% of median income.
B. 
Low- and moderate-income units shall utilize the same heating source as market units within an inclusionary development.
C. 
Gross rents including an allowance for utilities shall be established for the various size affordable units at a rate not to exceed 30% of the gross monthly income of the appropriate household size as set forth in § 33-10A above. The allowance for utilities shall be consistent with the utility allowance approved by NJDCA for use in its Section 8 Program.
D. 
No affordable rental units included in the COAH requirement shall be subject to a rent control ordinance which may be adopted or in place in the Township of Florence during the time period in which affordable housing COAH controls are effective.
E. 
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 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

§ 33-13 Establishing average sales prices of affordable units.

A. 
The maximum sales price of restricted ownership units within each affordable development shall be affordable to households earning no more than 70% of median income. Each affordable development must achieve an affordability average of 55% for restricted ownership units. Moderate-income ownership units must be available for at least three different prices for each bedroom type and low-income ownership units must be available for at least two different prices for each bedroom type. For low-income sale units established in a market-to-affordable sales program only, the maximum sales for a low-income unit shall be affordable to households earning no more than 40% of median income.
B. 
Low- and moderate-income units shall utilize the same heating source as market units within an inclusionary development.
C. 
The initial purchase price for all restricted ownership units shall be calculated so that the monthly carrying costs of the unit, including principal and interest (based on a mortgage loan equal to 95% of the purchase price and the Federal Reserve H.15 rate of interest), taxes, homeowner and private mortgage insurance and condominium or homeowner association fees do not exceed 28% of the eligible monthly income of an appropriate household size as determined under N.J.A.C. 5:80-26.4; provided, however, that the price shall be subject to the affordability average requirement of N.J.A.C. 5:80-26.3.
D. 
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.

§ 33-14 Condominium or homeowners' association fees of affordable housing units.

If an affordable housing unit is part of a condominium association or homeowners' association, the master deed shall reflect that the assessed affordable homeowner's fee be established at 100% of the market-rate fee. This percentage assessment shall be recorded in the master deed.

§ 33-15 Reservation of units.

A. 
Low-income housing units shall be reserved for households with a gross household income equal to or less than 50% of the median income approved by COAH.
B. 
Very-low-income housing units shall be reserved for households with a gross household income equal to or less than 30% of the median income approved by COAH.
C. 
Moderate-income housing units shall be reserved for households with a gross household income in excess of 50% but less than 80% of the median income approved by COAH.

§ 33-16 Reoccupancy certificates.

Upon resale of an affordable unit, a certificate of reoccupancy shall be required in accordance with N.J.A.C. 5:80-26.10.

§ 33-17 Phasing of construction.

Final site plan or subdivision approval shall be contingent upon the affordable housing development meeting the following phasing schedule for low- and moderate-income units, whether developed in one stage or in two or more stages:
Minimum Percentage of Low and
Moderate Income Units Completed
Percentage of Market Housing Units Completed
0
25
10
25 + 1 unit
50
50
75
75
100
90

§ 33-18 Control periods for restricted ownership units; 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 article until the Township of Florence 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.
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 nonrestricted, 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 article, 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 article 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.
G. 
All conveyances of restricted ownership units shall be made by deeds and restrictive covenants substantially in the form prescribed herein.
H. 
At the time of the first non-exempt sale following a thirty-year interval from the date of the issuance of the initial certificate of occupancy, the Township of Florence shall have the right of first refusal to purchase a restricted ownership unit at the maximum restricted price, provided that:
(1) 
The Township of Florence enters into a contract to purchase the unit within 60 days of notification of intent to sell by the owner of the restricted unit; and
(2) 
The recapture lien remains in full force and effect.

§ 33-19 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. 
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 certified monthly income.

§ 33-20 Limitations on indebtedness secured by ownership unit; subordination.

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% 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).

§ 33-21 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 article until the Township of Florence 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.
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 Burlington. 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 article, despite the occurrence of any of the following events:
(1) 
Sublease or assignment of the lease of the unit;
(2) 
Sale or other voluntary transfer of the ownership of the unit; or
(3) 
The entry and enforcement of any judgment of foreclosure.

§ 33-22 Price restrictions for rental units; leases.

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 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 article.

§ 33-23 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.
(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, 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 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 Subsection B(1) through (5) above with the Administrative Agent, who shall counsel the household on budgeting.

§ 33-24 Administration of affordable housing program.

A. 
Florence Township is ultimately responsible for administering the affordable housing program, including affordability controls and the Affirmative Marketing Plan in accordance with the regulations of COAH pursuant to N.J.A.C. 5:97 et seq. and the UHAC pursuant to N.J.A.C. 580-26 et seq.
B. 
Florence Township has delegated to the Municipal Housing Liaison this responsibility for administering the affordable housing program, including administering and enforcing the affordability controls and the Affirmative Marketing Plan of Florence Township in accordance with the provisions of this article, the regulations of COAH pursuant to N.J.A.C. 5:96 and 5:97 et seq. and the UHAC pursuant to N.J.A.C. 5:80-26 et seq. Florence Township shall by resolution appoint the Township Administrator as the Municipal Housing Liaison.
C. 
Subject to COAH approval, Florence Township may contract with one or more administrative agents to administer some or all of the affordability controls and/or the Affirmative Marketing Plan in accordance with this article, the regulations of COAH pursuant to N.J.A.C. 5:97 and 5:96 et seq. and the UHAC pursuant to N.J.A.C. 5:80-26 et seq. If Florence Township enters into such a contract, the Municipal Housing Liaison shall supervise the contracting administrative agent(s) and shall serve as liaison to the contracting administrative agent(s).
D. 
The Township of Florence intends to contract with an experienced affordable housing administrator to be the administrator of the sale and rental of all new affordable housing. The experienced affordable housing administrator will also oversee and administer income qualification of low- and moderate-income households; place income-eligible households in low- and moderate-income units upon initial occupancy; place income-eligible households in low- and moderate-income units as they become available during the period of affordability controls and enforce the terms of the required deed restrictions and mortgage loans. The experienced affordable housing administrator will specifically administer and implement:
(1) 
An administrative plan and program, and related monitoring and reporting requirements as outlined in N.J.A.C. 5:80-26.15 et seq. and the Land Development Ordinances of the Township of Florence.
(2) 
A plan for certifying and verifying the income of low- and moderate-income households as per N.J.A.C. 580.26.16.
(3) 
Procedures to assure that low- and moderate-income units are initially sold or rented to eligible households and are thereafter similarly resold and rerented during the period while there are affordability controls as per N.J.A.C. 5:80-26 et seq.
(4) 
The requirement that all newly constructed low- and moderate-income sales or rental units contain deed restrictions with appropriate mortgage liens as set forth in Appendices in N.J.A.C. 5:80-26 et seq.
(5) 
The several sales/purchase options authorized under N.J.A.C. 5.80-26 et seq., except that the Township retains the right to determine by resolution whether or not to prohibit, as authorized under N.J.A.C. 5:80.26 et seq., the exercise of the repayment option.
(6) 
The regulations determining:
(a) 
Whether installed capital improvements will authorize an increase in the maximum sales price; and
(b) 
Which items of property may be included in the sales price as per N.J.A.C. 5:80-26.9.
E. 
The developers/owners of any inclusionary site shall be responsible for the experienced affordable housing administrator's administrative fee, affirmative marketing and advertising and such shall be a condition of Planning or Zoning Board approval. Subsequent to the initial sale of an affordable sale unit, the seller of an affordable sale unit shall be responsible for the experienced affordable housing administrator's administrative fee, affirmative marketing and advertising, and such shall be a condition of any affordable housing deed restriction governing the affordable unit.
F. 
Florence Township reserves the right to replace the experienced affordable housing administrator with another municipal authority or other agency authorized by COAH to carry out the administrative processes outlined above.

§ 33-25 Time period for controls.

A. 
Newly constructed low- and moderate-income "rental" units shall remain affordable to low- and moderate-income households for a period of at least 30 years.
B. 
Newly constructed low- and moderate-income "for sale" units shall remain affordable to low- and moderate-income households for a period of at least 30 years.
C. 
Rehabilitated owner-occupied single-family housing units that are improved to code standard shall be subject to affordability controls for 10 years.
D. 
Rehabilitated renter-occupied housing units that are improved to code standard shall be subject to affordability controls for at least 10 years.
E. 
Housing units created through conversion of a nonresidential structure shall be considered a new housing unit and shall be subject to affordability controls for new housing units as designated in Subsections A and B above.
F. 
Affordability controls on accessory apartments shall be for a period of 10 years.
G. 
Affordability controls for units in alternative living arrangements shall be for a period of at least 30 years.
H. 
Affordability controls on market-to-affordable units shall be for a period of at least 30 years.

§ 33-26 Selection of occupants of affordable units.

A. 
The Administrative Agent shall use a random selection process to select occupants of low- and moderate-income housing.
B. 
A waiting list of all eligible candidates will be maintained in accordance with the provisions contained in N.J.A.C. 5:80-26 et seq.

§ 33-27 Affirmative marketing plan.

A. 
Florence Township shall adopt by resolution an Affirmative Marketing Plan, subject to approval of COAH, 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 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 5 and covers the period of deed restriction.
C. 
The affirmative marketing plan shall provide a regional preference for all households that live and/or work in COAH Housing Region 5 comprised of Burlington, Camden and Gloucester Counties.
D. 
The Administrative Agent designated by Florence Township shall assure the affirmative marketing of all affordable units consistent with the Affirmative Marketing Plan for the municipality.
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 Florence Township.

§ 33-28 Enforcement of affordable housing regulations.

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) 
A fine of not more than $1,000 or imprisonment for a period not to exceed 90 days, or both. Each and every day that the violation continues or exists shall be considered a separate and specific violation of these provisions and not as a continuing offense;
(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 into the Florence Township Affordable Housing Trust Fund of the gross amount of rent illegally collected;
(c) 
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.

§ 33-29 Appeals.

Appeals from all decisions of an Administrative Agent designated pursuant to this article shall be filed in writing with the Executive Director of COAH.

§ 33-30 Adaptable and accessible units (pursuant to N.J.A.C. 5:97-3.14).

A. 
The first floor of all townhouse dwelling units and of all other multistory dwelling units which are affordable to low- or moderate-households shall be subject to the technical design standards of the Barrier Free Subcode (N.J.A.C. 5:23-7).
B. 
Each affordable townhouse unit or other affordable multistory dwelling unit that is attached to at least one other dwelling unit shall have the following features:
(1) 
An adaptable toilet and bathing facility on the first floor;
(2) 
An adaptable kitchen on the first floor;
(3) 
An accessible route of travel;
(a) 
An interior accessible route of travel shall not be required between stories.
(4) 
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
(5) 
Accessible entranceways.
(a) 
The developer shall provide an accessible entranceway as set forth at N.J.A.C. 5:97-3.14 for each affordable townhouse unit or other affordable multistory dwelling unit and is attached to at least one other dwelling unit; or
(b) 
The developer shall provide funds sufficient to make 10% of the adaptable entrances in the development accessible as set forth at N.J.A.C. 5:97-3.14.
(6) 
The developer of the project shall submit a conversion plan indicating the steps necessary to convert the unit from being adaptable to accessible. Said plan shall be submitted at the time of issuance of a building permit.
(7) 
Where the developer will provide funds sufficient to make 10% of the adaptable entrances in the development accessible, the developer of the project shall submit the following to the Township, at the time of issuance of the building permit, in order to determine the required funds:
(a) 
Funds sufficient to make 10% of the adaptable entrances in the development accessible; and
(b) 
A cost estimate for conversion of 10% of the adaptable entrances in the development to accessible.
(8) 
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 N.J.A.C. 5:97-3.14, and that the cost estimate of such conversion is reasonable, payment shall be made to Florence Township's Affordable Housing Trust Fund in care of the Municipal Treasurer who shall ensure that the funds are deposited into the Affordable Housing Trust Fund and appropriately earmarked.
(9) 
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 and N.J.A.C. 5:97-3.14.
(10) 
In the case of an affordable unit or units which are 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 by the Township.