A.
This section of the Borough Code sets forth regulations regarding
the low- and moderate-income housing units in the Borough consistent
with the provisions known as the "Substantive Rules of the New Jersey
Council on Affordable Housing," N.J.A.C. 5:93 et seq., the Uniform
Housing Affordability Controls (UHAC), N.J.A.C. 5:80-26.1 et seq.,
except where modified by the requirements for very-low-income housing
as established in P.L. 2008, c. 46 (the "Roberts Bill," codified at
N.J.S.A. 52:27D-329.1) and as reflected in the terms of a Settlement
Agreement between the Borough and Fair Share Housing Center (FSHC)
such that the statutory requirement to provide very-low-income units
equal to 13% of affordable units approved and constructed after July
17, 2008, to be affordable to households at 30% of the regional median
income, overrides the UHAC requirement that 10% of all low- and moderate-income
units must be affordable at 35% of the regional median income, and
the Borough's constitutional obligation to provide a fair share
of affordable housing for very-low-, low- and moderate-income households.
B.
This chapter is intended to assure that very-low-, low- and moderate-income
units ("affordable units") are created with controls on affordability
over time and that very-low-, low- and moderate-income households
shall occupy these units. This chapter shall apply to all inclusionary
developments and 100% affordable developments (including those funded
with low-income housing tax credit financing) except where inconsistent
with applicable law.
C.
The Haddonfield Borough Planning 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. The plan has also been endorsed by the Borough Commissioners
of the Borough of Haddonfield. The Fair Share Plan describes the ways
the Borough shall address its fair share for low- and moderate-income
housing as determined by the Superior Court and documented in the
Housing Element.
D.
This chapter implements and incorporates the Fair Share Plan and
addresses the requirements of N.J.A.C. 5:93, as may be amended and
supplemented.
The Borough of Haddonfield 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.
The Borough shall file monitoring and status reports with the Superior
Court and place the reports on its municipal website pursuant to the
Borough's Settlement Agreement with FSHC. Any plan evaluation
report of the Housing Element and Fair Share Plan and monitoring evaluation
report prepared by the Special Master in accordance with N.J.S.A.
52:27D-313 and 329.1 shall be available to the public at the Haddonfield
Borough Hall, 242 Kings Highway East, Haddonfield, New Jersey 08033.
B.
Beginning on April 2, 2020, and on every anniversary of that date
through April 2, 2025, the Borough agrees to provide annual reporting
of its Affordable Housing Trust Fund activity to the New Jersey Department
of Community Affairs (NJDCA), the Council on Affordable Housing (COAH),
or New Jersey Local Government Services (NJLGS), or other entity designated
by the State of New Jersey, with a copy provided to FSHC and posted
on the Borough's website, using forms developed for this purpose
by NJDCA, COAH or NJLS. The reporting shall include an accounting
of all Affordable Housing Trust Fund activity, including the sources
and amounts of funds collected and the amounts and purposes for which
any funds have been expended.
C.
Beginning on April 2, 2020, and on every anniversary of that date
through April 2, 2025, the Borough agrees to provide annual reporting
of the status of all affordable housing activity within the Borough
through posting on the Borough website with a copy of such posting
provided to all parties to the Borough's Court-approved Settlement
Agreement with FSHC, using forms previously developed for this purpose
by COAH or any other forms endorsed by the Special Master and/or FSHC.
D.
By July 1, 2020, as required pursuant to N.J.S.A. 52:27D-313, the
Borough must prepare and post on its website, with a copy provided
to FSHC, 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. Such posting shall invite
any interested party to submit comments to the municipality, with
a copy to FSHC, regarding whether any sites no longer present a realistic
opportunity and should be replaced and whether any 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.
In the event the Court determines that a site or mechanism no longer
presents a realistic opportunity and should be replaced or supplemented,
then the municipality shall have the opportunity to supplement or
revise its plan to correct any deficiency.
E.
Within 30 days of April 2, 2022, and April 2, 2025, as required by
N.J.S.A. 52:27D-329.1, the Borough will post on its website, with
a copy provided to FSHC, a status report as to its satisfaction of
its very-low-income requirements, including its family very-low-income
requirements. Such posting shall invite any interested party to submit
comments to the Borough and FSHC on the issue of whether the municipality
has complied with its very-low-income and family very-low-income housing
obligation.
As used herein the following terms shall have the following
meanings:
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.
The Fair Housing Act of 1985, P.L. 1985, c. 222 (N.J.S.A.
52:27D-301 et seq.).
Constructed in compliance with the technical design standards
of the Barrier Free Subcode, N.J.A.C. 5:23-7.
The entity responsible for the administration of affordable
units in accordance with this chapter, N.J.A.C. 5:91, N.J.A.C. 5:93
and N.J.A.C. 5:80-26.1 et seq.
A regional marketing strategy designed to attract buyers
and/or renters of affordable units pursuant to N.J.A.C. 5:80-26.15.
The average percentage of median income at which restricted
units in an affordable housing development are affordable to low-
and moderate-income households.
A sales price or rent level that is within the means of a
low- or moderate-income household as defined in N.J.A.C. 5:93-7.4;
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.
A housing development all or a portion of which consists
of restricted units.
A development included in or approved pursuant to the Housing
Element and Fair Share Plan or otherwise intended to address the Borough's
fair share obligation, and includes, but is not limited to, an inclusionary
development, a municipal construction project or a 100% affordable
development.
Any mechanism in a municipal Fair Share Plan prepared or
implemented to address a municipality's fair share obligation.
A housing unit proposed or created pursuant to the Act, approved
for crediting by the Court, and/or funded through an affordable housing
trust fund.
A housing unit designed to meet the needs of, and exclusively
for, the residents of an age-restricted segment of the population
such that: 1) all the residents of the development where the unit
is situated are 62 years or older; or 2) at least 80% of the units
are occupied by one person that is 55 years or older; or 3) 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.
The New Jersey Housing and Mortgage Finance Agency established
by P.L. 1983, c. 530 (N.J.S.A. 55:14K-1, et seq.).
A structure in which households live in distinct bedrooms,
yet share kitchen and plumbing facilities, central heat and common
areas. Alternative living arrangements include, but are not limited
to, transitional facilities for the homeless; Class A, B, C, D, and
E boarding homes as regulated by the New Jersey Department of Community
Affairs; residential health care facilities as regulated by the New
Jersey Department of Health; group homes for the developmentally disabled
and mentally ill as licensed and/or regulated by the New Jersey Department
of Human Services; and congregate living arrangements.
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.
A household that has been certified by an Administrative
Agent as a low-income household or moderate-income household.
The Council on Affordable Housing, as established by the
New Jersey Fair Housing Act (N.J.S.A. 52:27D-301 et seq.) which is
in, but not of, the Department of Community Affairs of the State of
New Jersey.
The State of New Jersey Department of Community Affairs.
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.
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.
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.
Money paid by a developer for the improvement of property
as permitted in N.J.A.C. 5:93-8.8.
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).
The plan that describes the mechanisms, strategies and the
funding sources, if any, by which the Borough proposes to address
its affordable housing obligation as established in the Housing Element,
including the draft ordinances necessary to implement that plan, and
addresses the requirements of N.J.A.C. 5:93-5.
The Fair Share Housing Center.
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.
The portion of the Borough's Master Plan, required by
the Municipal Land Use Law (MLUL), N.J.S.A. 40:55D-28b(3) and the
Act, that includes the information required by N.J.A.C. 5:93-5.1 and
establishes the Borough's fair share obligation.
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.
A household with a total gross annual household income equal
to 50% or less of the regional median household income by household
size, as defined below.
A restricted unit that is affordable to a low-income household.
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.
Housing not restricted to low- and moderate-income households
that may sell or rent at any price.
The median income by household size for the applicable housing
region, as adopted annually by the Borough pursuant to this chapter,
by COAH or a successor entity approved by the New Jersey Superior
Court.
A household with a total gross annual household income in
excess of 50% but less than 80% of the regional median household income
by household size.
A restricted unit that is affordable to a moderate-income
household.
New Jersey Local Government Services.
Any sale or transfer of ownership other than the transfer
of ownership between spouses; 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.
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).
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 duly adopted regional income limits published annually
by COAH or a successor entity.
The repair, renovation, alteration or reconstruction of any
building or structure, pursuant to the Rehabilitation Subcode, N.J.A.C.
5:23-6.
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.
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.
An expert appointed by a judge to make sure that judicial
orders are followed. A master's function is essentially investigative,
compiling evidence or documents to inform some future action by the
Court.
The Uniform Housing Affordability Controls set forth in N.J.A.C.
5:80-26.1 et seq.
A household with a total gross annual household income equal
to 30% or less of the median household income by household size.
A restricted unit that is affordable to a very-low-income
household.
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.
A.
The provisions of this chapter 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 Haddonfield
pursuant to the Borough's most recently adopted Housing Element
and Fair Share Plan.
B.
Moreover, this chapter shall apply to all developments that contain
very-low-, low- and moderate-income housing units, including any current
unanticipated future developments that will provide very-low-, low-
and moderate-income housing units.
C.
Projects receiving federal low-income housing tax credit financing
shall comply with the income and bedroom distribution requirements
of UHAC at N.J.A.C. 5:80-26.3 (with the exception that the UHAC requirement
for 10% of the affordable units in rental projects being required
to be at 35% of median income be modified as required by the statutory
requirement at N.J.S.A. 52:27D-329.1 to 13% of affordable units in
such projects shall be required to be at 30% of median income) and
the length of the affordability controls applicable to such projects
shall be not less than a thirty-year compliance period plus a fifteen-year
extended-use period.
A.
A multifamily or single-family attached development providing a minimum
of five new housing units created through any municipal rezoning or
Zoning Board action, use or density variance, redevelopment plan,
or rehabilitation plan that provides for densities at or above six
units per acre is required to include an affordable housing set-aside
of 20%.
B.
At least 50% of the affordable units in each development shall be
affordable to low-income housing. At least 13% of all affordable units
in rental developments shall be affordable to very-low-income households.
C.
All such affordable units, including bedroom distribution, shall
be governed by the controls on affordability and affirmatively marketed
in conformance with UHAC at N.J.A.C. 5:80-26.1 et seq., or any successor
regulation, and all other applicable law.
D.
No subdivision shall be permitted or approved for the purpose of
avoiding compliance with this requirement. Developers cannot, for
example, subdivide a project into two lots and then make each of them
a number of units just below the threshold.
E.
This requirement does not give any developer the right to any such
rezoning, variance or other relief, or establish any obligation on
the part of the Borough of Haddonfield to grant such rezoning, variance
or other relief.
F.
This Borough-wide mandatory set-aside requirement does not apply
to any sites or specific zones otherwise identified in the Borough's
Settlement Agreement with FSHC or its Housing Element and Fair Share
Plan, for which density and set-aside requirements shall be governed
by the specific standards as set forth therein. The Borough shall
maintain this mandatory set-aside provision through at least July
1, 2025, at which time the Borough may determine to extend the applicability
of the provision.
G.
In the event that the inclusionary set-aside of 20% of the total
number of residential units does not result in a full integer, the
developer may choose one of two options of addressing the fractional
unit:
(1)
The developer shall round the set-aside upward to construct a whole
additional affordable unit; or
(2)
If the set-aside includes a fractional unit equal to 0.49 or less, the developer may round the set-aside downward and construct the lesser whole number of affordable units, but must also make a payment in lieu of constructing the fractional additional unit ("fractional payment-in-lieu"). The fractional payment-in-lieu amount shall be calculated as the fractional unit multiplied by the base payment-in-lieu dollar amount established in § 63-7C(1) of the Borough Code.
(3)
For example, if seven total units are developed at an inclusionary
site, a 20% set-aside would require 1.4 affordable units. Per the
requirements above:
A.
The administration of an alternative living arrangement shall be
in compliance with N.J.A.C. 5:93-5.8 and UHAC, with the following
exceptions:
B.
With the exception of units established with capital funding through
a twenty-year operating contract with the Department of Human Services,
Division of Developmental Disabilities, alternative living arrangements
shall have at least thirty-year controls on affordability in accordance
with UHAC, unless an alternative commitment is approved by the Court.
C.
The service provider for the alternative living arrangement shall
act as the Administrative Agent for the purposes of administering
the affirmative marketing and affordability requirements for the alternative
living arrangement.
The following requirements shall apply to all new or planned
developments that contain low- and moderate-income housing units.
A.
Phasing. Final site plan or subdivision approval shall be contingent
upon the affordable housing development meeting the following phasing
schedule for low- and moderate-income units whether developed in a
single-phase development or in a multiphase development:
|
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%
|
B.
Design. In inclusionary developments, to the extent possible, low-
and moderate-income units shall be integrated with the market-rate
units.
C.
Payments-in-lieu and off-site construction. The standards for the
collection of payments in lieu of constructing affordable units or
for constructing affordable units off-site shall be in accordance
with the following requirements:
(1)
The base dollar amount of the payment-in-lieu of constructing an
affordable unit at the time of adoption of this chapter shall be $156,089.1 This amount shall be adjusted periodically by the
Borough to reflect the most current and accurate market conditions
or better cover the cost to the Borough of subsidizing affordable
housing construction. The payment shall be imposed as a condition
of development approval by the Planning Board.
1NOTE: As set forth in N.J.A.C. 5:97-6.4(c)3.
(2)
During the development approval process, a developer may demonstrate to the governing body that the actual construction cost of an affordable unit less estimated capitalized revenue at the development in question is lower than the imposed payment-in-lieu in § 63-7C(1). At its discretion, the governing body may impose a lower payment-in-lieu amount equal or proximate to the amount estimated by the developer.
D.
Utilities.
(1)
Affordable units shall utilize the same type of heating source as
market-rate units within the affordable development.
(2)
Tenant-paid utilities that are included in the utility allowance
shall be so stated in the lease and shall be consistent with the utility
allowance approved by DCA for its Section 8 program.
E.
Low/moderate split and bedroom distribution of affordable housing
units:
(1)
The fair share obligation shall be divided equally between low- and
moderate-income units, except that where there is an odd number of
affordable housing units, the extra unit shall be a low-income unit.
(2)
In each affordable development, at least 50% of the restricted units
within each bedroom distribution shall be low-income units.
(3)
Within rental developments, of the total number of affordable rental
units, at least 13% shall be affordable to very-low-income households.
The very-low-income units shall be counted as part of the required
number of low-income units within the development.
(4)
Affordable developments that are not age-restricted shall be structured
in conjunction with realistic market demands such that:
(a)
The combined number of efficiency and one-bedroom units shall
be no greater than 20% of the total low- and moderate-income units;
(b)
At least 30% of all low- and moderate-income units shall be
two-bedroom units;
(c)
At least 20% of all low- and moderate-income units shall be
three-bedroom units; and
(d)
The remaining units may be allocated among two- and three-bedroom
units at the discretion of the developer.
(5)
Affordable developments that are age-restricted shall be structured
such that the number of bedrooms shall equal the number of age-restricted
low- and moderate-income units within the inclusionary development.
The standard may be met by having all one-bedroom units or by having
a two-bedroom unit for each efficiency unit.
F.
Accessibility requirements:
(1)
The first floor of all new restricted townhouse dwelling units and
all restricted units in other multistory buildings in which a restricted
dwelling unit is attached to at least one other dwelling unit shall
be subject to the technical design standards of the Barrier Free Subcode,
N.J.A.C. 5:23-7, and the following.
(2)
All restricted townhouse dwelling units and all restricted units
in other multistory buildings in which a restricted dwelling unit
is attached to at least one other dwelling unit shall have the following
features:
(a)
An adaptable toilet and bathing facility on the first floor;
(b)
An adaptable kitchen on the first floor;
(c)
An interior accessible route of travel on the first floor;
(d)
An adaptable room that can be used as a bedroom, with a door,
or the casing for the installation of a door, on the first floor;
(e)
If not all of the foregoing requirements in Subsection F(2)(a) through (d) can be satisfied, then an interior accessible route of travel must be provided between stories within an individual unit; but if all of the terms of Subsection F(2)(a) through (d) above have been satisfied, then an interior accessible route of travel shall not be required between stories within an individual unit; and
(f)
An accessible entranceway as set forth at P.L. 2005, c. 350
(N.J.S.A. 52:27D-311a et seq.) and the Barrier Free Subcode, N.J.A.C.
5:23-7, or evidence that the Borough has collected funds from the
developer sufficient to make 10% of the adaptable entrances in the
development accessible:
[1]
Where a unit has been constructed with an adaptable entrance,
upon the request of a disabled person who is purchasing or will reside
in the dwelling unit, an accessible entrance shall be installed.
[2]
To this end, the builder of restricted units shall deposit funds
within the Borough of Haddonfield's Affordable Housing Trust
Fund sufficient to install accessible entrances in 10% of the affordable
units that have been constructed with adaptable entrances.
[3]
The funds deposited under Subsection F(2)(f)[2] herein shall be used by the Borough for the sole purpose of making the adaptable entrance of an affordable unit accessible when requested to do so by a person with a disability who occupies or intends to occupy the unit and requires an accessible entrance.
[4]
The developer of the restricted units shall submit to the Construction
Official of the Borough of Haddonfield a design plan and cost estimate
for the conversion from adaptable to accessible entrances.
[5]
Once the Construction Official has determined that the design
plan to convert the unit entrances from adaptable to accessible meets
the requirements of the Barrier Free Subcode, N.J.A.C. 5:23-7, and
that the cost estimate of such conversion is reasonable, payment shall
be made to the Borough of Haddonfield's Affordable Housing Trust
Fund in care of the Borough Treasurer, who shall ensure that the funds
are deposited into the Affordable Housing Trust Fund and earmarked
appropriately.
(g)
Full compliance with the foregoing provisions shall not be required
where an entity can demonstrate that it is "site-impracticable" to
meet the requirements. Determinations of site impracticability shall
be in compliance with the Barrier Free Subcode, N.J.A.C. 5:23-7.
G.
Maximum rents and sales prices:
(1)
In establishing rents and sales prices of affordable housing units,
the Administrative Agent shall follow the procedures set forth in
UHAC and the calculation procedures as approved by the Court and detailed
below:
(a)
Regional income limits shall be established for the region in
which the Borough is located (i.e., Region 5) based on the median
income by household size, which shall be established by a regional
weighted average of the uncapped Section 8 income limits published
by HUD. To compute this regional income limit, the HUD determination
of median county income for a family of four is multiplied by the
estimated households within the county according to the most recent
decennial census. The resulting product for each county within the
housing region is summed. The sum is divided by the estimated total
households from the most recent decennial census in the Borough's
housing region. This quotient represents the regional weighted average
of median income for a household of four. The income limit for a moderate-income
unit for a household of four shall be 80% of the regional weighted
average median income for a family of four. The income limit for a
low-income unit for a household of four shall be 50% of the HUD determination
of the regional weighted average median income for a family of four.
The income limit for a very-low-income unit for a household of four
shall be 30% of the regional weighted average median income for a
family of four. These income limits shall be adjusted by household
size based on multipliers used by HUD to adjust median income by household
size. The income limits calculated each year shall be the result of
applying the percentages set forth above to HUD's determination
of median income for the relevant fiscal year, and shall be utilized
until the Borough updates the income limits after HUD has published
revised determinations of median income for the next fiscal year.
In no event shall the income limits be less than those for the previous
year.
(b)
The regional asset limit used in determining an applicant's eligibility for affordable housing pursuant to N.J.A.C. 5:80-26.16(b)3 shall be calculated by the Borough annually by taking the percentage increase of the income limits calculated pursuant to Subsection G(1)(a) above over the previous year's income limits, and applying the same percentage increase to the Regional Asset Limit from the prior year. In no event shall the regional asset limit be less than that for the previous year.
(2)
The maximum rent for restricted rental units within each affordable
development shall be affordable to households earning no more than
60% of median income, and the average rent for restricted low- and
moderate-income units shall be affordable to households earning no
more than 52% of median income.
(3)
The developers and/or municipal sponsors of restricted rental units
shall establish at least one rent for each bedroom type for both low-income
and moderate-income units, provided that at least 13% of all low-
and moderate-income rental units shall be affordable to households
earning no more than 30% of median income. These very-low-income units
shall be part of the low-income requirement.
(4)
The maximum sales price of restricted ownership units within each
affordable development shall be affordable to households earning no
more than 70% of median income, and each affordable development must
achieve an affordability average of 55% for restricted ownership units;
in achieving this affordability average, moderate-income ownership
units must be available for at least three different prices for each
bedroom type, and low-income ownership units must be available for
at least two different prices for each bedroom type.
(5)
For any affordable housing unit that is part of a condominium association
and/or homeowner's association, the master deed shall reflect
that the association fee assessed for each affordable housing unit
shall be established at 100% of the market-rate fee.
(6)
In determining the initial sales prices and rents for compliance
with the affordability average requirements for restricted units other
than assisted living facilities, the following standards shall be
met:
(a)
A studio or efficiency unit shall be affordable to a one-person
household;
(b)
A one-bedroom unit shall be affordable to a one-and-one-half-person
household;
(c)
A two-bedroom unit shall be affordable to a three-person household;
(d)
A three-bedroom unit shall be affordable to a four-and-one-half-person
household; and
(e)
A four-bedroom unit shall be affordable to a six-person household.
(7)
In determining the initial rents and sales prices for compliance
with the affordability average requirements for restricted units in
assisted living facilities and age-restricted developments, the following
standards shall be met:
(8)
The initial purchase price for all restricted ownership units shall
be calculated so that the monthly carrying cost of the unit, including
principal and interest (based on a mortgage loan equal to 95% of the
purchase price and the Federal Reserve H.15 rate of interest), taxes,
homeowner and private mortgage insurance and condominium or homeowner
association fees do not exceed 28% of the eligible monthly income
of the appropriate size household as determined under N.J.A.C. 5:80-26.4,
as may be amended and supplemented; provided, however, that the price
shall be subject to the affordability average requirement of N.J.A.C.
5:80-26.3, as may be amended and supplemented.
(9)
The initial rent for a restricted rental unit shall be calculated
so as not to exceed 30% of the eligible monthly income, including
an allowance for tenant-paid utilities, of the appropriate household
size as determined under N.J.A.C. 5:80-26.4, as may be amended and
supplemented; provided, however, that the rent shall be subject to
the affordability average requirement of N.J.A.C. 5:80-26.3, as may
be amended and supplemented.
(10)
The price of owner-occupied low- and moderate-income units may increase
annually based on the percentage increase in the regional median income
limit for each housing region. In no event shall the maximum resale
price established by the Administrative Agent be lower than the last
recorded purchase price.
(11)
The rent levels of very-low-, low- and moderate-income units may
be increased annually based on the percentage increase in the Housing
Consumer Price Index for the Northeast Urban Area, upon its publication
for the prior calendar year. This increase shall not exceed 9% in
any one year. Rent increases for units constructed pursuant to low-income
housing tax credit regulations shall be indexed pursuant to the regulations
governing low-income housing tax credits.
A.
In referring certified households to specific restricted units, to
the extent feasible, and without causing an undue delay in occupying
the unit, the Administrative Agent shall strive to:
B.
Additional provisions related to occupancy standards (if any) shall
be provided in the municipal Operating Manual.
