[HISTORY: Adopted by the City Council of the City of Rahway as indicated in article histories. Amendments noted where applicable.]
[Adopted 6-11-2008 by Ord. No. O-14-08]
The purpose of this article is to create the administrative mechanisms needed for the execution of the City of Rahway's responsibility to assist in the provision of affordable housing pursuant to the Fair Housing Act of 1985.
As used in this article, the following terms shall have the meanings indicated:
- ADMINISTRATIVE AGENT
- The individual or entity responsible for administering the affordability controls of some or all units in the City's affordable housing program to ensure that the restricted units under administration are affirmatively marketed and sold or rented, as applicable, only to low- and moderate-income households. This term shall have the current meaning established by N.J.A.C. 5:80-26.14, as same shall be amended from time to time.
- The New Jersey Council on Affordable Housing.
- MUNICIPAL HOUSING LIAISON (MHL)
- The person appointed by the Mayor with responsibility for the oversight and administration of the City's affordable housing program.
- MHL/RCA ADMINISTRATOR
- The person appointed by the Mayor with responsibility for the oversight and administration of the City's affordable housing program and any regional contribution agreements entered into by the City.
- REGIONAL CONTRIBUTION AGREEMENT (RCA)
- The transfer pursuant to N.J.S.A. 52:27D-312 of up to 50% of a municipality's growth share obligation to another municipality within its housing region by means of a contractual agreement into which two municipalities voluntarily enter. This term shall have the current meaning established by N.J.A.C. 5:94-1.4, as same shall be amended from time to time.
- REGIONAL CONTRIBUTION AGREEMENT (RCA) ADMINISTRATOR
- The person appointed by the Mayor with responsibility for the oversight and administration, any regional contribution agreements entertained by the City and any RCA affordable housing programs established.
There is hereby established the position of MHL/RCA Administrator.
In the event that the Mayor determines that the best interests of the City would be served through the bifurcation of the position of MHL/RCA Administrator into two separate positions of Municipal Housing Liaison (MHL); and RCA Administrator then the duties of the MHL shall be those enumerated below, insofar as those duties apply to oversight and administration of the City's affordable housing program, with the exception of those duties applicable to oversight and administration of any RCAs, while the RCA Administrator shall only have oversight and administration of those duties enumerated below, insofar as those duties are applicable to any RCA entered into by the City.
Subject to the approval of the COAH, the Mayor shall appoint the MHL/RCA Administrator.
The MHL/RCA Administrator shall be responsible for oversight and administration of the City's affordable housing program and the administration of any RCA entered into by the City, including the following responsibilities which may not be contracted out:
Serving as the City's primary point of contact for all inquiries from the state, administrative agents, developers, affordable housing sponsors, owners, property managers, landlords and interested households;
Establishing an escrow account for the RCA funds and submitting to COAH a signed escrow agreement between the City, the bank holding escrow funds and COAH for each RCA;
Monitoring the status of all restricted units in the City's fair share plan and any project plan for any RCA, including the establishment of a system for receiving notification from an administrative agent about foreclosures, resales and any threats to the affordability controls of affordable housing units in the City;
Compiling, verifying and submitting data received from administrative agents into the semi-annual reports required by COAH;
Coordinating the initial meetings between the administrative agent and developers, affordable housing providers and owners, as applicable;
Attending continuing education opportunities on affordability controls, compliance monitoring and affirmative marketing as offered or approved by COAH;
If authorized by the City, the MHL/RCA Administrator may serve as the administrative agent for some or all of the restricted units in the City, performing all or a portion of the duties that may be delegated to an administrative agent pursuant to N.J.A.C. 5:80-26.14 et seq., and may serve as the administrative agent for any RCAs entered into by the City, provided that the RCA specifically enumerates the duties that the MHL/RCA Administrator will be responsible for pursuant to the RCA.
Subject to approval by COAH and the City, the City may contract with or authorize a consultant, authority, government agency or other qualified entity, to serve as administrative agent. Any consultant, authority, government agency or qualified entity that the City contracts with shall have the responsibility of administering the affordable housing program of the City, except that the responsibilities of the MHL/RCA Administrator, as enumerated in Subsection D, may not be contracted out. If the City enters into a contract with an administrative agent to administer all or any part of the affordable housing program, including the affordability controls and affirmative marketing plan, the MHL/RCA Administrator shall supervise the administrative agent.
In the event that the City does not enter into a contract for an administrative agent that is approved by the City and COAH, the following powers and duties are assigned to the MHL/RCA Administrator:
Conducting an outreach process to insure affirmative marketing of affordable housing units in accordance with the affirmative marketing plan of the City and the provisions of N.J.A.C. 5:80-26.15; and
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.
Soliciting, scheduling, conducting and following up on interviews with interested households;
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;
Providing written notification to each applicant as to the determination of eligibility or noneligibility;
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.;
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
Employing the random selection process as provided in the affirmative marketing plan of the City when referring households for certification to affordable units.
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;
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;
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;
Communicating with lenders regarding foreclosures; and
Ensuring the issuance of continuing certificates of occupancy or certifications pursuant to N.J.A.C. 5:80-26.10.
Resale and rental:
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
Instituting and maintaining an effective means of communicating information to low- and moderate-income households regarding the availability of restricted units for resale or rerental.
Processing requests from unit owners:
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;
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
Processing requests and making determinations on requests by owners of restricted units for hardship waivers.
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;
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;
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;
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;
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;
Creating and publishing a written operating manual, as approved by COAH, setting forth procedures for administering such affordability controls; and
Providing reports to COAH as required.
The MHL/RCA Administrator or the administrative agent, if so contracted, shall have authority to take all actions necessary and appropriate to carry out its responsibilities hereunder.
In the event that this list of powers and duties is expanded or curtailed by law or regulation, the MHL/RCA Administrator or administrative agent shall only have those powers and duties permitted by current law.