[HISTORY: Adopted by the Council of the City of Perth Amboy: Art. I, 10-18-1983 as Ord. No. 337-83. Amendments noted where applicable.]
[Adopted 10-18-1983 as Ord. No. 337-83[1]]
[1]
Editor's Note: This ordinance also repealed former Ch. 353. Rent Control, adopted 7-3-1973 as Ord. No. 27-73, as amended.
As used in this Article, the following terms shall have the meanings indicated:
AVAILABLE FOR RENT TO TENANT
Fit for habitation as defined by the statutes, codes and ordinances in full force and effect in the State of New Jersey, County of Middlesex and City of Perth Amboy and occupied or unoccupied and offered for rent.
DWELLING
Any building or structure rented or offered for rent to one (1) or more tenants or family units, including rooming houses and resident hotels. Excluded from this definition (and from the operation of this chapter) are motels, hotels and housing units of three (3) units or less in which the owner of the premises resides. Buildings which convert to condominiums or cooperatives and which were previously subject to the terms and conditions of this chapter shall continue to be subject to the terms and conditions of this chapter for tenants residing in such property following the conversion, regardless of the number of units owned by an individual owner in the building.
HOUSING SPACE
That portion of a dwelling rented or offered for rent for living and dwelling purposes to an individual or family unit, together with all privileges, services, furnishings, furniture, equipment, facilities and improvements connected with the use or occupancy of such portion of the property. Where a landlord requests a tenant to move from one (1) rent-controlled unit in the same complex or structure to another unit (regardless of size or number of rooms) and the tenant agrees, the tenant shall pay the controlled rental established for such unit.
OPERATING EXPENSES
Includes those expenses paid by the landlord in connection with the providing of residential housing space. These expenses shall include, but shall not be limited to, property taxes, insurance, management fees, payroll and personnel, supplies and materials, utilities, heat, grounds care, repairs and maintenance. Debt service is specifically excluded from the aforesaid definition and is not to be included as an "operating expense."
[Added 11-6-1985 by Ord. No. 390-85; amended 12-16-1986 by Ord. No. 421-86]
[Amended 10-9-2024 by Ord. No. 2199-2024]
A. 
For the purpose of this chapter, the lawful base rent for housing space shall be the rent agreed upon by landlord and tenant for the initial rental period.
B. 
The unit shall be decontrolled upon vacation by the tenant, provided that the following procedure is strictly adhered to:
(1) 
A landlord shall notify the Rent Leveling Board, in writing, upon the decontrol of any rental unit within 60 days of said rental unit becoming decontrolled. Said notice shall include the rent paid by the vacating tenant as well as the rent to be charged to the new tenant.
(2) 
The landlord shall also advise the Rent Leveling Board as to the reason why the prior tenant vacated, including but not limited to, for example, eviction by court action, voluntary vacation at the end of the term of a lease or any other reason for vacation.
(3) 
If the Rent Leveling Board determines that the landlord has harassed the former tenant into leaving, the Rent Leveling Board shall have the power to return the unit to rent control and to order the rent decreased to the maximum allowable amount under rent control.
(4) 
Failure of the landlord to file the aforementioned notice with the Rent Leveling Board shall nullify any rent increase which the landlord obtained as a result of a decontrolled rent, and the landlord shall be required to maintain the unit under rent control rates.
[Amended 10-12-2022 by Ord. No. 2056-2022]
Establishment of rents between landlords and tenants to whom this chapter is applicable shall hereafter be determined by the provisions of this chapter. At the expiration of a lease or at the termination of the lease of a periodic tenant, no landlord shall request or receive an increase in rent which is greater than three percent (3%) in the case of tenants whose rent includes a charge for water service and not greater than two and one-half percent (2.5%) in the case of tenants whose rental charge does not cover water service. For a periodic tenant whose lease term shall be less than one (1) year, such tenant shall not suffer or be caused to pay any rent increase until such time as the periodic lease exceeds twelve (12) months, and such increase shall not exceed three percent (3%), in the case of tenants whose rent includes a charge for water service, and not greater than two and one-half percent (2.5%), in the case of tenants whose rental charge does not cover water service, of the rent paid by the tenant in the twelfth month of the periodic lease.
Any rental increase at a time other than at the expiration of a lease or termination of a periodic lease is prohibited and void. Any rental increase in excess of that authorized by the provisions of this chapter is prohibited and void.
[Amended 5-26-2021 by Ord. No. 1974-2021]
There is hereby created a Rent Leveling Board within the City of Perth Amboy, to be known as the "City of Perth Amboy Rent Leveling Board." Said Board shall consist of seven members, plus one alternate member who shall reside within the City of Perth Amboy and shall be appointed by the Mayor with the approval of the City Council. One member shall be elected Chairman, who shall be neither a tenant nor a landlord. Said member shall not hold any elective office or position. The terms of office of each Board member shall be two years, and they serve without compensation. Four members thereof shall constitute a quorum, and a majority vote at any hearing shall be legally sufficient to make a determination. All determinations of the Board shall be final.
The Rent Leveling Board shall implement the purposes of this chapter in the following manner:
A. 
The Chairman or, in his absence, the Acting Chairman, shall have the power to issue subpoenas for the attendance of witnesses and the production of records and may administer oaths and take testimony, and the provisions of the County and Municipal Investigations Law[1] shall apply.
[1]
Editor's Note: See N.J.S.A. 2A:67A-1 et seq.
B. 
The Board shall promulgate and issue rules and regulations to give effect to the purposes of this chapter and may revise, repeal and amend the same from time to time. Sufficient copies of the current rules and regulations shall be on file with the City Clerk and Coordinator for the Perth Amboy Rent Control Board.
C. 
The Board shall supply information and assistance to landlords and tenants and aid them in compliance with this chapter.
D. 
The Board shall enforce any federal legislation or regulations affecting rent stabilization unless such action is prohibited by federal law.
E. 
The Board shall render a determination within forty-five (45) days after the date of the filing of any application or petition.
F. 
The Board shall hear complaints from tenants as to unlawful rental increases and shall have the power to require reimbursements to tenants by landlords.
G. 
The Board shall have the power to compel enforcement of any of the sections of this chapter.
Any landlord seeking an increase in rent shall first notify the tenant by certified or registered mail, return receipt requested, of the calculations involved in computing the increase, the allowable percentage increase and the allowable rental increase. Any increase requested or received by landlord without notice as set forth above shall be null and void.
A. 
In cases of financial hardship where a landlord's reasonable operating expenses exceed sixty percent (60%) of his rental income, the landlord may apply to the Rent Leveling Board for a rental increase due to this financial hardship. The Board shall grant hardship increases to landlords to increase their rental income so that the reasonable rental expenses do not exceed sixty percent (60%) of the rental income. In considering the landlord's application, the Rent Leveling Board shall make specific findings as to the reasonableness of landlord's rental expenses as set forth in landlord's application for hardship rental increase. Prior to any such application to the Board, the landlord shall serve notice on the tenants by personal service or by certified mail, return receipt requested, no later than thirty (30) days prior to the proposed date of application hearing. Said notice shall include:
(1) 
Time and date of application.
(2) 
Place where application will be heard.
(3) 
Amount of rental increase requested.
(4) 
Where the copy of landlord's application may be reviewed by tenants or their representatives during normal business hours.
B. 
Landlords may also seek rental increases where major capital improvements have been provided or where additional services not previously accorded have been instituted. As a prerequisite for such an increase, notices outlined in Subsection A above must be given, which notices must contain the total cost of the completed capital improvement or service, actual useful life, projection of useful life of the project in years as claimed by the landlord for purposes of depreciation for income tax purposes, the average cost of the improvement, the total number of square feet of the dwelling or the dwelling complex, the total square feet demised to the tenant and the capital improvement increase that the landlord is seeking from each tenant. On receipt of such an appeal, the Rent Leveling Board shall determine if the improvement is major in character and, if so, may permit an increase up to but not to exceed an amount sufficient to allow a landlord to recapture the cost of the capital improvement to be reimbursed equally over the life of the capital improvements as defined by the Internal Revenue Code section on straight line depreciation.
During the valid life of this chapter, landlords shall maintain the same standards of service and maintenance of all real and personal property and equipment in and around the housing spaces and dwellings in the same manner as was provided on the date of adoption of this chapter.
The owner of housing space or dwelling units being rented for the first time to this tenant shall not be restricted as to the initial rental he charges. Any subsequent rental increase, however, shall be subject to the provisions of this chapter.
No landlord of housing space or dwellings to which this chapter is applicable shall serve a notice to quit upon any tenant or institute any action against a tenant to recover possession of housing space, whether by summary dispossess proceedings, civil action for the possession of land or otherwise, as a reprisal for the tenant's efforts to secure or enforce any rights under his leasehold arrangement or under this chapter. Such unlawful reprisal on the part of the landlord shall be punishable by the penalties hereinafter set forth.
Ordinance No. 27-73 adopted on July 3, 1973, and amendments thereto are specifically repealed, and all ordinances or parts thereof in conflict or inconsistent with this chapter are hereby repealed but only, however, to the extent of such conflict or inconsistency, it being the legislative intent that all ordinances or parts of ordinances now existing or in effect, unless the same be in conflict or inconsistent with any provisions of this chapter shall remain in effect.
The provisions of this chapter are declared to be severable, and if any section, subsection, sentence, clause or phrase thereof shall, for any reason, be held to be invalid or unconstitutional, such decision shall not affect the validity of the remaining sections, subsections, chapters, sentences, clauses and phrases of this chapter but they shall remain in effect; it being the legislative intent that this chapter shall stand notwithstanding the invalidity of any part.
Any person, firm or corporation who shall violate any of the provisions of this chapter, including but not limited to material misstatements contained in any of the notices required herein, shall, upon conviction, be punished by a fine not to exceed five hundred dollars ($500) or by imprisonment in the county jail or in any place provided by the municipality for the detention of prisoners, or both such fine and imprisonment, and each violation of any of the provisions of this chapter and each day there is a violation shall be deemed and taken to be a separate and distinct offense and violations affecting more than one (1) leasehold shall be considered separate violations.
This chapter being necessary for the welfare of the city and its inhabitants, it shall be liberally construed to effectuate the general intended purposes.
This chapter shall take effect immediately upon final passage and publication according to law and shall remain in full force and effect for a period not to exceed two (2) years at which time this chapter shall be reviewed and considered by the governing body and if not extended shall terminate two (2) years from adoption.[1]
[1]
Editor's Note: Ordinance No. 389-85, adopted 10-1-85, provided that this chapter is extended and shall only be terminated by the adoption of an ordinance terminating said rent control in the City of Perth Amboy.
[1]
Editor's Note: Former Article II, Registration and Inspection of Rental Units, adopted 11-16-1992 as Ord. No. 647-92, was repealed 4-20-1993 by Ord. No. 667-93.