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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 Peapack and Gladstone Borough Land Use 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. (hereinafter "Fair Share Plan"). The
Fair Share Plan was subsequently endorsed by the governing body. The
Fair Share Plan describes how the Borough of Peapack and Gladstone
shall address its fair share of low- and moderate-income housing as
documented in the Fair Share Plan itself, the settlement agreement
entered into between the Borough and the Fair Share Housing Center
("FSHC") on April 25, 2018 (hereinafter "FSHC settlement agreement"),
and the court order approving same, after a properly noticed fairness
hearing.
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.
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a. The provisions of this article shall apply to all affordable housing
developments and affordable housing units that currently exist and
that are proposed to be created within the Borough of Peapack and
Gladstone pursuant to the Borough's most recently adopted Housing
Element and Fair Share Plan.
b. Moreover, this article shall apply to all developments that contain
low- and moderate-income housing units, including any currently unanticipated
future developments that will provide low- and moderate-income housing
units.
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The following terms, when used in this article, shall have the
meanings given in this section:
ACCESSORY APARTMENT
A self-contained residential dwelling unit with a kitchen,
sanitary facilities, sleeping quarters and a private entrance, which
is created within an existing home, or through the conversion of an
existing accessory structure on the same site, or by an addition to
an existing home or accessory building, or by the construction of
a new accessory structure on the same site.
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, N.J.A.C. 5:96, N.J.A.C. 5:97
and N.J.A.C. 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. 5:97-9; 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 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 100% 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. 5:97-4, and/or funded through an affordable housing trust fund.
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
U.S. 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.
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.).
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.
NONEXEMPT 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.
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.
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The Borough of Peapack and Gladstone shall comply with the following
monitoring and reporting requirements regarding the status of the
implementation of its court-approved Housing Element and Fair Share
Plan:
a. Beginning one year after the execution of the settlement agreement
between the Borough and the Fair Share Housing Center (FSHC) and on
every anniversary of that date through 2025, the Borough agrees to
provide annual reporting of its Affordable Housing Trust Fund activity
to the New Jersey Department of Community Affairs, Council on Affordable
Housing, or Local Government Services, or other entity designated
by the State of New Jersey, with a copy provided to the Fair Share
Housing Center (FSHC) and posted on the municipal website, using forms
developed for this purpose by the New Jersey Department of Community
Affairs (NJDCA), Council on Affordable Housing (COAH), or Local Government
Services (NJLGS). The reporting shall include an accounting of all
Affordable Housing Trust Fund activity, including the source and amount
of funds collected and the amount and purpose for which any funds
have been expended.
b. Beginning one year after the execution of the settlement agreement
between the Borough and FSHC and on every anniversary of that date
through 2025, the Borough agrees to provide annual reporting of the
status of all affordable housing activity within the municipality
through posting on the municipal website, with a copy of such posting
provided to the Fair Share Housing Center, using forms previously
developed for this purpose by COAH, or any other forms endorsed by
the court-appointed Special Master and FSHC.
c. The Fair Housing Act includes two provisions regarding action to
be taken by the Borough during its ten-year repose period. Pursuant
to the settlement agreement with FSHC, the Borough will comply with
those provisions as follows:
1. For the midpoint realistic opportunity review due on July 2, 2020,
as required pursuant to N.J.S.A. 52:27D-313, the Borough will post
on its municipal website, with a copy provided to the Fair Share Housing
Center, a status report as to its implementation of its plan and an
analysis of whether any unbuilt sites or unfulfilled mechanisms continue
to present a realistic opportunity and whether the mechanisms to meet
unmet need should be revised or supplemented. Such posting shall invite
any interested party to submit comments to the Borough, with a copy
to the Fair Share Housing Center, regarding whether any sites no longer
present a realistic opportunity and should be replaced and whether
the mechanisms to meet unmet need should be revised or supplemented.
Any interested party may, by motion, request a hearing before the
court regarding these issues.
2. For the review of very-low-income housing requirements required by
N.J.S.A. 52:27D-329.1, within 30 days of the third anniversary of
the Borough's settlement agreement with FSHC and every third year
thereafter, the Borough will post on its municipal website, with a
copy provided to the Fair Share Housing Center, a status report as
to its satisfaction of its very-low-income requirements, including
the family very-low-income requirements referenced herein. Such posting
shall invite any interested party to submit comments to the Borough
and the Fair Share Housing Center on the issue of whether the Borough
has complied with its very-low-income housing obligation under the
terms of this settlement.
3. In addition to the foregoing postings, the Borough may also elect
to file copies of its reports with COAH or its successor agency at
the state level.
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In inclusionary developments, the following schedule shall be
followed:
Maximum Percentage of Market-Rate Units Completed
|
Minimum Percentage of Low- and Moderate-Income Units Completed
|
---|
25%
|
0%
|
25% + 1
|
10%
|
50%
|
50%
|
75%
|
75%
|
90%
|
100%
|
In referring certified households to specific restricted units,
the administrative agent shall, to the extent feasible and without
causing an undue delay in the occupancy of a unit, strive to:
a. Provide an occupant for each bedroom;
b. Provide children of different sexes with separate bedrooms;
c. Provide separate bedrooms for parents and children; and
d. Prevent more than two persons from occupying a single bedroom.
Price restrictions for restricted ownership units shall be in
accordance with N.J.A.C. 5:80-26.1, as may be amended and supplemented,
including:
a. The initial purchase price for a restricted ownership unit shall
be approved by the Borough's administrative agent, or an administrative
agent appointed by a particular developer.
b. The Borough's administrative agent, or an administrative agent appointed
by a particular developer, shall approve all resale prices, in writing
and in advance of the resale, to assure compliance with the foregoing
standards.
c. The master deeds of inclusionary developments shall provide no distinction
between the condominium or homeowners' association fees and special
assessments paid by low- and moderate-income purchasers and those
paid by market purchasers, unless the master deed for the inclusionary
project was executed prior to the enactment of UHAC.
d. The owners of restricted ownership units may apply to the Borough's
administrative agent, or an administrative agent appointed by a particular
developer, to increase the maximum sales price for the unit on the
basis of anticipated capital improvements. Eligible capital improvements
shall be those that render the unit suitable for a larger household
or the addition of a bathroom.
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a. The position of Municipal Housing Liaison (MHL) for the Borough of
Peapack and Gladstone is established by this article. The Borough
shall make the actual appointment of the MHL by means of a resolution.
1. The MHL must be either a full-time or part-time employee of Peapack
and Gladstone.
2. The person appointed as the MHL must be reported to the court and
thereafter posted on the Borough's website.
3. The MHL must meet all the requirements for qualifications, including
initial and periodic training, if such training is made available
by COAH or the DCA.
4. The Municipal Housing Liaison shall be responsible for oversight
and administration of the Affordable Housing Program for the Borough
of Peapack and Gladstone, including the following responsibilities,
which may not be contracted out to the administrative agent, or the
administrative agent appointed by a specific developer:
(a)
Serving as the municipality's primary point of contact for all
inquiries from the State, affordable housing providers, administrative
agents and interested households;
(b)
The implementation of the Affirmative Marketing Plan and affordability
controls;
(c)
When applicable, supervising any contracting administrative
agent;
(d)
Monitoring the status of all restricted units in the Borough's
Fair Share Plan;
(e)
Compiling, verifying and submitting annual reports as required;
(f)
Coordinating meetings with affordable housing providers and
administrative agents, as applicable; and
(g)
Attending continuing education opportunities on affordability
controls, compliance monitoring and affirmative marketing as offered
or approved by the Affordable Housing Professionals of New Jersey
(AHPNJ), if such continuing education opportunities are made available
by COAH or the DCA.
b. Subject to the approval of the court, the Borough of Peapack and
Gladstone shall designate one or more administrative agent(s) to administer
and to affirmatively market the affordable units constructed in the
Borough in accordance with UHAC and this article. An operating manual
for each affordable housing program shall be provided by the administrative
agent(s) to be adopted by resolution of the governing body and may
be subject to approval of the court-appointed Special Master or the
court. The operating manual(s) shall be available for public inspection
in the office of the Borough Clerk, in the office of the Municipal
Housing Liaison, and in the office(s) of the administrative agent(s).
The Municipal Housing Liaison shall supervise the work of the administrative
agent(s).
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An administrative agent may be either an independent entity
serving under contract to and reporting to the Borough or reporting
to a specific individual developer. The fees of the administrative
agent shall be paid by the owners of the affordable units for which
the services of the administrative agent are required. The Borough
administrative agent shall monitor and work with any individual administrative
agents appointed by individual developers. The administrative agent(s)
shall perform the duties and responsibilities of an administrative
agent as set forth in UHAC, including those set forth in N.J.S.A.
5:80-26.14, 5:80-26.16 and 5:80-26.18 thereof, which includes:
a. Affirmative marketing:
1. Conducting an outreach process to affirmatively market affordable
housing units in accordance with the Affirmative Marketing Plan of
the Borough of Peapack and Gladstone and the provisions of N.J.A.C.
5:80-26.15; and
2. 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.
b. Household certification:
1. Soliciting, scheduling, conducting and following up on interviews
with interested households;
2. 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;
3. Providing written notification to each applicant as to the determination
of eligibility or noneligibility;
4. 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.;
5. 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;
6. Employing a random selection process as provided in the Affirmative
Marketing Plan of the Borough of Peapack and Gladstone when referring
households for certification to affordable units; and
7. Notifying the following entities of the availability of affordable
housing units in the Borough of Peapack and Gladstone: the Fair Share
Housing Center, the New Jersey State Conference of the NAACP, the
Latino Action Network, Senior Citizens United Community Services (SCUCS),
and the Supportive Housing Association.
c. Affordability controls:
1. 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;
2. 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;
3. Ensuring that the removal of the deed restrictions and cancellation
of the mortgage note are effectuated and properly filed with the Somerset
County Register of Deeds or Somerset County Clerk's office after the
termination of the affordability controls for each restricted unit;
4. Communicating with lenders regarding foreclosures; and
5. Ensuring the issuance of continuing certificates of occupancy or
certifications pursuant to N.J.A.C. 5:80-26.10.
d. Resales and rerentals:
1. Instituting and maintaining an effective means of communicating information
between owners and the Borough's administrative agent, or any administrative
agent appointed by a specific developer, regarding the availability
of restricted units for resale or rerental; and
2. Instituting and maintaining an effective means of communicating information
to low- (or very-low-) and moderate-income households regarding the
availability of restricted units for resale or rerental.
e. Processing requests from unit owners:
1. Reviewing and approving requests for determination from owners of
restricted units who wish to take out home equity loans or refinance
during the term of their ownership that the amount of indebtedness
to be incurred will not violate the terms of this article;
2. 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 depreciated cost of central air-conditioning systems;
3. Notifying the municipality of an owner's intent to sell a restricted
unit; and
4. Making determinations on requests by owners of restricted units for
hardship waivers.
f. Enforcement:
1. Securing annually from the municipality a list 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;
2. 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 Borough's
administrative agent, or any administrative agent appointed by a specific
developer;
3. Posting annually, in all rental properties (including two-family
homes), a notice as to the maximum permitted rent together with the
telephone number of the Borough's administrative agent, or any administrative
agent appointed by a specific developer, where complaints of excess
rent or other charges can be made;
4. 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;
5. Establishing a program for diverting unlawful rent payments to the
Borough's Affordable Housing Trust Fund; and
6. Creating and publishing a written operating manual for each affordable
housing program administered by the Borough's administrative agent,
or any administrative agent appointed by a specific developer, to
be approved by the Borough Council and the court, setting forth procedures
for administering the affordability controls.
g. Additional responsibilities:
1. The Borough's administrative agent shall have the authority to take
all actions necessary and appropriate to carry out its responsibilities
hereunder.
2. The Borough's administrative agent shall prepare monitoring reports
for submission to the Municipal Housing Liaison in time to meet the
court-approved monitoring and reporting requirements in accordance
with the deadlines set forth in this article. The Borough's administrative
agent will be responsible for collecting monitoring information from
any administrative agents appointed by specific developers.
3. The Borough's administrative agent, or any administrative agent appointed
by a specific developer, shall attend continuing education sessions
on affordability controls, compliance monitoring, and affirmative
marketing at least annually and more often as needed.
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The following terms, as used in this section, shall have the
following meanings:
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 100% affordable development.
COAH or THE COUNCIL
The New Jersey Council on Affordable Housing established
under the Act, which has primary jurisdiction for the administration
of housing obligations in accordance with sound regional planning
consideration in the state.
DEVELOPER
The legal or beneficial owner or owners of a lot or of any
land proposed to be included in a proposed development, including
the holder of an option or contract to purchase, or other person having
an enforceable proprietary interest in such land.
DEVELOPMENT FEE
Money paid by a developer for the improvement of property
as permitted in N.J.A.C. 5:97-8.3.
EQUALIZED ASSESSED VALUE
The assessed value of a property divided by the current average
ratio of assessed to true value for the municipality in which the
property is situated, as determined in accordance with Sections 1,
5, and 6 of P.L. 1973, c. 123 (N.J.S.A. 54:1-35a through 54:1-35c).
GREEN BUILDING STRATEGIES
Those strategies that minimize the impact of development
on the environment and enhance the health, safety and well-being of
residents by producing durable, low-maintenance, resource-efficient
housing while making optimum use of existing infrastructure and community
services.
Peapack and Gladstone Borough shall collect development fees
for affordable housing in accordance with the following:
a. The Land Use Board Secretary of Peapack and Gladstone Borough shall
notify the Peapack and Gladstone Borough Construction Code Official
whenever either a preliminary or final approval is granted to any
development which is subject to the collection of a development fee.
b. For nonresidential developments only, the developer shall also be
provided with a copy of Form N-RDF "State of New Jersey Non-Residential
Development Certification/Exemption," which is to be completed by
the developer as per the instructions provided.
1. The Borough Construction Official shall verify the information submitted
by the nonresidential developer as per the instructions provided in
Form N-RDF.
2. The Borough Tax Assessor shall verify exemptions and prepare estimated
and final assessments as per the instructions provided in Form N-RDF.
c. The Borough Construction Official responsible for the issuance of
a building permit shall notify the Borough Tax Assessor of the issuance
of the first building permit for a development which is subject to
a development fee.
d. Within 90 days of receipt of that notice, the Borough Tax Assessor,
based on the plans filed, shall provide an estimate of the equalized
assessed value of the development. The equalized assessed value and
the required development fee shall be estimated by the Borough Tax
Assessor prior to the issuance of the construction permit, with the
understanding that the estimate of the equalized assessed value is
not intended to establish the equalized assessed value for tax purposes.
e. Developers shall pay 50% of the required development fee to Peapack
and Gladstone Borough at the time of the issuance of the construction
permit.
f. Developers shall pay the remainder of the development fee to Peapack
and Gladstone Borough at the time of the issuance of a certificate
of occupancy.
1. The Borough Construction Official responsible for the issuance of
a final certificate of occupancy notifies the Borough Tax Assessor
of any and all requests for the scheduling of a final inspection on
property which is subject to a development fee.
2. Within 10 business days of a request for the scheduling of a final
inspection, the Borough Tax Assessor shall confirm or modify the previously
estimated equalized assessed value of the improvements of the development;
calculate the development fee; and thereafter notify the developer
of the amount of the fee.
3. The equalized assessed value and the required development fee shall
be reestimated by the Borough Tax Assessor prior to the issuance of
the certificate of occupancy, again with the understanding that the
estimate of the equalized assessed value is not intended to establish
the equalized assessed value for tax purposes. The developer shall
be responsible for paying the difference between the development fee
calculated at the time of the issuance of the certificate of occupancy
and the amount paid at the time of the issuance of the construction
permit.
4. Should the Borough fail to determine or notify the developer of the amount of the development fee within 10 business days of the request for final inspection, the developer may estimate the amount due and pay that estimated amount consistent with the dispute process set forth in Subsection
b of Section 37 of P.L. 2008, c. 46 (N.J.S.A. 40:55D-8.6).
5. Upon tender of the remaining development fee, provided the developer
is in full compliance with all other applicable laws, the Borough
shall issue a final certificate of occupancy for the subject property.
g. Regardless of the time of collection of the development fee, the
fee shall be based upon the percentage that applies on the date that
the construction permit is issued.
h. The Construction Code Official shall forward all collected development
fees to Peapack and Gladstone Borough's Chief Financial Officer, who
shall deposit such fees into the established Housing Trust Fund.
i. A developer may challenge the development fees imposed by filing
a challenge with the Director of the Division of Taxation for nonresidential
development and with the County Board of Taxation for residential
development.
1. Pending a review and determination by the Director or Board, as the
case may be, which shall be made within 45 days of receipt of the
challenge, collected fees shall be placed in an interest-bearing escrow
account by the Borough.
2. Appeals from a determination of the Director or Board, as the case
may be, may be made to the tax court in accordance with the provisions
of the State Uniform Tax Procedure Law, N.J.S.A. 54:48-1 et seq.,
within 90 days after the date of such determination.
3. Accrued interest earned on escrowed amounts to be returned shall
also be returned to the developer.
The Peapack and Gladstone Borough Municipal Housing Liaison
shall coordinate with the appropriate municipal officials the completion
and return to COAH of all monitoring forms included in the annual
monitoring report related to the collection of development fees from
residential and nonresidential developers, payments in lieu of constructing
affordable units on site, funds from the sale of units with extinguished
controls, barrier-free escrow funds, recapture funds, proceeds from
the sale of affordable units, rental income, repayments from Affordable
Housing Program loans, enforcement fines and application fees, and
any other funds collected in connection with the Borough's housing
program, and the expenditure of revenues and implementation of the
plan certified by COAH.
a. At minimum, the monitoring shall include an accounting of any Housing
Trust Fund activity, identifying the source and amount of funds collected,
the amount and purpose for which any funds have been expended, and
the status of the spending plan regarding the remaining balance pursuant
to N.J.A.C. 5:97-8.10(a)8.
b. All monitoring reports shall be completed on forms designed by COAH.
The ability for the Borough of Peapack and Gladstone to impose,
collect and expend development fees shall expire with its judgment
of compliance and repose unless Peapack and Gladstone Borough has
filed an adopted Housing Element and Fair Share Plan with COAH or
its equivalent or through the courts, has petitioned for substantive
certification, and has received approval of its Development Fee Ordinance
from the appropriate governmental agency.
a. If the Borough of Peapack and Gladstone fails to renew its ability
to impose and collect development fees prior to the date of expiration
of substantive certification, it may be subject to forfeiture of any
or all funds remaining within its municipal trust fund.
b. Any funds so forfeited shall be deposited into the New Jersey Affordable
Housing Trust Fund established pursuant to Section 20 of P.L. 1985,
c. 222 (N.J.S.A. 52:27D-320).
c. The Borough of Peapack and Gladstone shall not impose a residential
development fee on a development that receives preliminary or final
site plan approval after the expiration of its substantive certification,
nor shall the Borough of Peapack and Gladstone retroactively impose
a development fee on such a development.
d. The Borough of Peapack and Gladstone shall not expend development
fees after the expiration of its substantive certification or judgment
of compliance.
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The Borough of Peapack and Gladstone has determined that it
will use the following mechanisms to satisfy its affordable housing
obligations, as follows.
All supportive and special needs housing, including group homes,
shall conform to the provisions of N.J.A.C. 5:97-6.10.
All municipally sponsored affordable housing, including group
homes, shall conform to the provisions of N.J.A.C. 5:97-6.7, and all units shall comply with N.J.A.C. 5:97-9 and UHAC.
Purpose. This accessory apartments section is hereby enacted
for the purpose of providing additional opportunities for low- and
moderate-income housing in the Borough of Peapack and Gladstone by
permitting accessory apartments in certain designated zones within
the Borough.
Accessory apartments shall be permitted only in the VN and R-18
Zones as a conditional use subject to site plan approval by the Planning
Board. All accessory apartment units shall meet the following conditions:
a. The area and bulk requirements of the zone in which the accessory
apartment is created shall be met.
b. Accessory apartments shall comply with all applicable statutes and
regulations of the State of New Jersey in addition to all building
codes.
c. The accessory apartment shall be rented only to a household which
is either a low- or moderate-income household at the time of initial
occupancy of the unit.
d. The accessory apartment shall, for a period of at least 30 years
from the date of the issuance of a certificate of occupancy, be rented
only to a low- or moderate-income household.
e. Rents of accessory apartments shall be affordable to low- or moderate-income
households as per Council on Affordable Housing (COAH) regulations
and shall include a utility allowance.
f. No more than 10 accessory apartments shall be permitted in the Borough
to address the Borough's fair share obligation.
g. There shall be a recorded deed or declaration of covenants and restrictions applied to the property upon which the accessory apartment is located running with the land and limiting its subsequent rental or sale within the requirements of Subsections
c and
d above.
h. Each accessory apartment shall have living/sleeping space, cooking
facilities, a kitchen sink and complete sanitary facilities for the
exclusive use of its occupants. It shall consist of no less than two
rooms, one of which shall be a full bathroom.
i. The accessory apartment shall have a separate door with direct access
to the outdoors.
j. There shall be a potable water supply, and the apartment must be
served by a central sewer collection system and may not be on septic.
k. The accessory apartment shall be affirmatively marketed to the housing
region.
l. In the case of an accessory apartment created illegally or without
proper permits which the property owner desires to legitimize as an
accessory apartment under this article, all of the requirements of
this article in addition to meeting COAH criteria shall apply, except
that no subsidy needs to be provided by the municipality.
The administrative agent, as defined by §
23-74, is to administer the Accessory Apartment Program.
a. The administrative agent shall administer the Accessory Apartment
Program, including advertising, income-qualifying prospective renters,
setting rents and annual rental increases, maintaining a waiting list,
distributing the subsidy, securing certificates of occupancy, qualifying
properties, handling application forms, filing deed restrictions and
monitoring reports and affirmatively marketing the Accessory Apartment
Program.
b. The administrative agent shall only deny an application for an accessory
apartment if the project is not in conformance with COAH's requirements,
the Land Use and Development chapter of the Code of the Borough of
Peapack and Gladstone, or this article. All denials shall be in writing
with the reasons clearly stated.
c. In accordance with COAH requirements, the Borough of Peapack and
Gladstone shall provide up to at least $25,000 per unit to subsidize
the creation of each low-income accessory apartment or $20,000 per
unit to subsidize the creation of each moderate-income accessory apartment.
Subsidy may be used to fund actual construction costs and/or to provide
compensation for reduced rental rates. Prior to the grant of such
subsidy, the property owner shall enter into a written agreement with
the Borough of Peapack and Gladstone insuring that:
1. The subsidy shall be used to create the accessory apartment; and
2. The apartment shall meet the requirements of this article and COAH
regulations.
d. Application requirements. Applicants for the creation of an accessory
apartment shall submit to the administrative entity:
1. A sketch of floor plan(s) showing the location, size and relationship
of both the accessory apartment and the primary dwelling within the
building or in another structure;
2. Rough elevations showing the modification of any exterior building
facade to which changes are proposed; and
3. A site development sketch showing the location of the existing dwelling
and other existing buildings; all property lines; the proposed addition
if any, along with the minimum building setback lines; the required
parking spaces for both dwelling units; and any man-made conditions
which might affect construction.
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a. Peapack and Gladstone Borough 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 affordable housing units which are being
marketed by a developer, sponsor or owner of affordable housing. The
Affirmative Marketing Plan also is 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 3, 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 3,
comprised of Middlesex, Somerset, and Hunterdon Counties.
d. The administrative agent designated by the Borough of Peapack and
Gladstone 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 Peapack and Gladstone
Borough.
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Purpose. This section is intended to ensure that any site that
benefits from a rezoning, variance or redevelopment plan approved
by the Borough or Land Use Board that results in multifamily residential
development of five dwelling units or more produces affordable housing
at a set-aside rate of 20% for affordable for-sale units and at a
set-aside rate of 15% for affordable rental units. This section shall
apply except where inconsistent with applicable law.
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a. Upon the occurrence of a breach of any of the regulations governing
an 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, a requirement for household
recertification, acceleration of all sums due under a mortgage, recoupment
of any funds from a sale in 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(s) 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 adjudged
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 $2,000 per day or imprisonment for a
period not to exceed 90 days, or both, provided that each and every
day that the violation continues or exists shall be considered a separate
and specific violation of these provisions and not a continuation
of the initial offense.
(b)
In the case of an owner who has rented a low- or moderate-income
unit in violation of the regulations governing affordable housing
units, payment into the Borough of Peapack Gladstone Affordable Housing
Trust Fund of the gross amount of rent illegally collected.
(c)
In the case of an owner who has rented a 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 that would result in the termination of the owner's equity
or other interest in the unit, in the nature of a mortgage foreclosure.
Any such 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- or moderate-income unit.
(a)
The 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 attorneys' fees. The violating owner shall have his right
to possession terminated as well as his title conveyed pursuant to
the Sheriff's sale.
(b)
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 the full 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.
(c)
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.
(d)
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.
(e)
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.
(f)
The owner shall remain fully obligated, responsible and liable
for complying with the terms and restrictions governing affordable
housing units until such time as title is conveyed from the owner.
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Appeals from all decisions of an administrative agent appointed
pursuant to this article shall be filed in writing with the Superior
Court or other agency as provided for by law.