The purpose of this article is to encourage and provide for
the development of affordable housing within Wolfeboro. It is intended
to ensure the continued availability of a diverse supply of home ownership
and rental opportunities for all income groups. This article was established
in order to meet the goals related to affordable housing provisions
set forth in the 2007 Wolfeboro Master Plan, and to meet the State
of New Hampshire requirement that all communities provide realistic
opportunities for the development of workforce housing. New units
should be located close to jobs and services while ensuring high-quality
design and energy-efficient construction. This will require a critical
conceptual review meeting between the Planning Board and the applicant
before project design begins. Additionally, in implementing this article,
Wolfeboro has considered the region's affordable housing needs as
defined in the Lakes Region Planning Commission's Housing Needs Assessment.
This innovative land use control is adopted under the authority
of RSA 674:21 and is intended as an inclusionary zoning provision,
as defined in RSA 674:21, I(k) and 674:21, IV(a).
As used in this article, the following terms shall have the
meanings indicated:
AFFORDABLE RENTAL HOUSING
Where the rent plus utilities for the dwelling unit does
not exceed 30% of the allowed individual household income.
AFFORDABLE OWNER-OCCUPIED HOUSING
Where the total cost of mortgage principal and interest,
mortgage insurance premiums, property taxes, association fees, and
homeowner's insurance does not exceed 30% of the maximum allowed income
of the purchaser. The calculation of housing costs shall be based
on current taxes, a thirty-year fixed rate mortgage, a five-percent
down payment, and prevailing mortgage rates within the region.
AREA MEDIAN INCOME (AMI)
The median income of Carroll County as is established and
updated annually by the United States Department of Housing and Urban
Development.
ASSETS
As defined as "net family assets" by the Code of Federal
Regulations language (24 CFR Part 5, Subpart F), and as amended from
time to time.
INCOME
As defined as "annual income" by the Code of Federal Regulations
language (24 CFR Part 5, Subpart F), and as amended from time to time.
LOW INCOME
A household income (as defined herein) that does not exceed
50% of the area median income.
LOW TO MODERATE INCOME
A household income (as defined herein) that is more than
50% and does not exceed 80% of the area median income.
MARKET RATE HOUSING
Any unit within a development, whether the unit is to be
owner- or renter-occupied, that is intended to be available for sale
or occupancy at the prevailing market value for the area similar to
comparable real estate transactions.
MODERATE INCOME
A household income (as defined herein) that is more than
80% and does not exceed 100% of the area median income.
OWNER-OCCUPIED HOUSING
Any dwelling unit intended to be conveyed in fee simple,
condominium or equity-sharing arrangement, such as a community housing
land trust and limited equity cooperatives.
YIELD PLAN
The process of establishing the number of market rate units
that could be established under the existing development regulations
of the Town of Wolfeboro.
In order to qualify as affordable housing under this article,
the developer must make a binding commitment that the affordable housing
units will remain affordable in perpetuity. This shall be enforced
through a deed restriction, restrictive covenant, or a contractual
arrangement through a local, state or federal housing authority or
other nonprofit housing trust or agency. The deed restriction, restrictive
covenant, or contractual arrangement established to meet this criterion
must make the following continued affordability commitments:
A. Affordable units offered for sale and approved by the Planning Board
as part of a subdivision or site plan and subject to RSA 674:58 to
RSA 58:61 shall require a restrictive covenant and lien granted to
the Town of Wolfeboro. The initial value of the lien shall be equal
to the difference between the fair market value of the unit and its
reduced affordable sale price, which is indexed according to the qualifying
income standards. The Town of Wolfeboro lien is indexed over time
at a rate equal to a consumer price index identified in the restrictive
covenant and lien document. Future maximum resale limits shall be
calculated as the fair market value minus the adjusted lien value
and a transaction administrative fee. Subsequent sales prices are
not limited based on income targets, but on the housing unit's fair
market value, minus the adjusted lien value. The restrictive covenant
and lien shall be in a form approved by the Planning Board.
B. Affordable housing rental units shall limit annual rent increases
to the percentage increase in the area median income, except to the
extent that further increases are made necessary by hardship or other
unusual conditions.
C. Deed restrictions, restrictive covenants, or contractual arrangements
related to dwelling units established under this article must be documented
on all plans filed with the Wolfeboro Planning Board and the Carroll
County Registry of Deeds.