[Ord. No. 98-23 § 186-1]
It is the purpose of this chapter in part to meet the Township
of Springfield's fair share housing obligation through provisions
designed to result in the voluntary rehabilitation of substandard
low and moderate-income housing units within the Township in one or
more of the following ways:
a. Through deferred payment loans from the Township's funds to
eligible low and moderate-income homeowners for rehabilitation of
owner-occupied housing through a program to be administered by the
Township and/or its agent.
b. Through deferred payment loans as may be available from the Union
County Department of Community Development to eligible low and moderate-income
homeowners for housing rehabilitation of owner-occupied housing, or
such other sources which may be identified.
[Ord. No. 98-23 § 186-2]
As used herein, the terms which follow shall have the following
meanings:
AFFORDABLE
Shall mean a sales price or rent within the means of low
or moderate-income households as defined in N.J.A.C. 5:93-7.4.
APPLICANT
Shall mean the person applying for financial assistance for
housing rehabilitation.
ASSISTED UNIT
Shall mean a unit assisted under the provisions of this chapter.
DEPARTMENT
Shall mean the Union County Department of Community Development.
HOUSING OFFICER
Shall mean the person designated by the Township Committee
to administer the provisions of this chapter.
LOW INCOME HOUSING
Shall mean as defined in the Land Use Ordinance of the Township
of Springfield.
REHABILITATION
Shall mean the restoration of a substandard housing unit
to a decent, safe, and sanitary condition by eliminating the condition(s)
making the unit substandard and bringing the unit up to Code standard.
SUBSTANDARD HOUSING
Shall mean a dwelling unit that is unsafe and/or unsanitary
based upon one or more of the following characteristics:
a.
Absence of a private entranceway to the dwelling unit.
b.
Absence of complete plumbing facilities and adequate kitchen
facilities, including a sink with piped water, a stove, and a refrigerator.
d.
One or more major Health and Safety Code violations, including
one major system deficiency in which any one of the following systems
must be replaced or extensively repaired: plumbing (including wells
and sanitary plumbing), heating, roof, electrical, or major load-bearing
structural systems.
[Ord. No. 98-23 § 186-4]
Grants provided to eligible applicants under the Housing Program
shall be subject to the following terms and conditions:
a. The maximum amount of assistance per applicant shall be $19,200.
b. Owner-Occupied Housing. Rehabilitation assistance for owner-occupied
housing shall be in the form of a non-interest-bearing, deferred-payment
loan with a term of six years, which is secured by a mortgage on the
property. Such loan shall be forgiven and the lien shall be discharged
at the end of the six-year term, so long as the owner has not vacated
the premises or transferred title to the property prior to the expiration
of the term. An owner who conveys or vacates the property shall be
required to repay the loan in full at such time as the owner conveys
title or ceases to occupy the property unless the conveyance is to
another low or moderate-income household at an affordable sales price,
or rented to low/moderate income eligible tenants at an affordable
rent. In the event of conveyance of the dwelling unit to another low
or moderate-income household during the six-year term, such conveyance
shall be subject to the mortgage lien which shall remain in effect
for the balance of the six-year term.
c. Rental Housing. Rehabilitation assistance for rental housing shall
be in the form of non-interest-bearing, deferred-payment loan with
a term of 10 years, which is secured by a mortgage on the property.
The lien shall secure the full amount of the loan and shall require
compliance with the rental affordability controls set forth hereinafter.
The deferred-pavement loan shall be forgiven and the lien shall be
discharged at the expiration of the ten-year term. The full amount
of the deferred-payment loan shall be paid to the Housing Trust Fund
upon any leasing or occupancy of the housing unit by a non-lower-income
household, or rent exceeding affordable rent.
d. Any applicant receiving assistance shall be subject to and shall
consent to the recording of a deed restriction and mortgage lien on
the real property in accordance herewith.
[Ord. No. 98-23 § 186-5]
For rehabilitation assistance for owner-occupied single-family
housing units, the applicant shall consent to a deed restriction and
mortgage lien to be recorded, requiring that the dwelling unit be
sold only to low and moderate-income households. This deed restriction
shall be a real covenant running with the land and shall bind the
applicant and all successors in interest for a period of six years
from the date of closing on the deferred-payment loan. The deed restriction
shall be termed the "sales affordability control" and shall be in
a form satisfactory to the Township Attorney and shall comply with
the following requirements.
a. Prior to a sale of an assisted owner-occupied single-family housing
unit, the owner shall apply for a certificate of affordable housing
from the Housing Officer. The application shall include a copy of
the proposed contract of sale and an affidavit by the owner that the
affordable sales restriction will be adhered to. Upon request, the
Housing Officer will assist the owner in locating an income-eligible
purchaser. Any prospective purchaser must submit adequate proof of
household income and household size. If the Housing Officer or designee
determines that the proposed sale will be in compliance with the affordability
control, then a certificate of affordable housing shall be issued.
b. The sales price of an assisted rehabilitated owner-occupied single-family
housing unit may increase annually based on the percentage increase
in the regional median income limit for the region as established
by the Council on Affordable Housing.
c. Owners of assisted rehabilitated owner-occupied single-family housing
units may apply to the Housing Officer for permission to increase
the maximum sales prices for eligible capital improvements which render
the unit suitable for a larger household provided that the maximum
price of the improved housing unit does not exceed the limits of affordability
for the larger household.
[Ord. No. 98-23 § 186-6]
For rehabilitation assistance for rental housing, the applicant
shall consent to a deed restriction requiring that the dwelling unit
may only be leased to or otherwise occupied by a low or moderate-income
household at a rental amount which does not exceed the affordable
rent applicable to the particular dwelling unit size. This deed restriction
shall be a real covenant running with the land and shall bind the
applicant and all successors in interest for a period of 10 years
from the date of closing on the deferred-payment loan. This deed restriction
shall be termed the "rental affordability control," shall be in a
form satisfactory to the Township Attorney, and shall require compliance
with all of the following requirements.
a. Prior to any change in occupancy of a housing unit, subject to a
rental affordability control, the owner shall apply for a certificate
of affordable housing from the Housing Officer. The application shall
include a copy of the proposed lease and an affidavit by the owner
that the affordable rent restriction will be adhered to. Upon request,
the Housing Officer will assist the owner in locating an income-eligible
tenant. Any prospective tenant must submit adequate proof of household
income and household size. If the Housing Officer or designee determines
that the proposed change in occupancy will be in compliance with the
rental affordability control, then a certificate of affordable housing
shall be issued.
b. The permissible affordable rent may increase annually based on the
annual household income statements published by NJCOAH.
c. An owner of property subject to a rental affordability control may
apply to the Housing Officer for permission to increase the affordable
rent for capital improvements which render the unit suitable for a
larger household, provided that such change does not result in the
displacement of existing low and moderate-income occupants. The new
rent shall not exceed the affordable rent permitted for such larger
household size.
[Ord. No. 98-23 § 186-7]
The Springfield Township Housing Rehabilitation Program shall
be administered by the Township of Springfield unless the Township
enters into a separate agreement with an appropriate outside agency,
such as the Union County Department of Community Development or their
consultant, to assume some or all of the responsibilities noted herein.
The Township shall designate an individual to serve as Housing Officer
who may be an elected or appointed Township Official or a designee
of the outside agency.
a. The duties of the Housing Officer shall include:
1. Publicizing the rehabilitation program through a combination of some,
though not necessarily all of the following: brochures, posters in
prominent locations, radio announcements, notices in municipal tax
bills, notices in municipal publications, information meetings with
welfare organizations, urban action community groups, civic and religious
leaders, senior citizen groups and fraternal organizations, newspaper
press releases, and providing information and application packages
to interested applicants.
2. Identifying eligible homeowners and marketing the program to potential
applicants.
3. Implementation of the program including:
(a)
Application review and eligibility determinations.
(b)
Conducting client interviews and home inspections.
(c)
Preparation of home inspection reports.
(d)
Approval of construction contracts.
(e)
Preparation of contract and lien agreement.
(f)
Performance of ongoing and final inspections.
(g)
Maintenance of files and preparation of quarterly and annual
status reports to the Springfield Township Committee and such agencies
as may be required.
4. Administering the housing rehabilitation funds and preparing periodic
status reports on the program and available funding to the Township
Committee.
5. Administering the rental affordability controls set forth in Section 16-5 and subsection
11-1.6 of this chapter.
b. The Springfield Township Construction Official shall:
1. Determine or assist in determining the deficiency of an applicant's
unit under the provisions of this chapter.
2. Review and determine the adequacy of plans to rehabilitate a housing
unit in accordance with the rehabilitation program established herein.
3. Conduct initial and final inspections required in connection herewith
and issue certificates of rehabilitation upon completion of work to
the Housing Officer.