As used in this chapter, the following terms shall have the
meanings indicated:
ANNUAL INCOME
The legal monthly, weekly or other periodic rent for all
rental units within the landlord's rental complex or parks as of the
date an application is filed with the Board, computed on an annual
basis together with any other income earned from the operation of
the complex, or park related to and having a rational relationship
to the rental operation. Where a rental unit is occupied in whole
or in part rent-free, the full rental value should be considered the
legal rent and computed into the "annual income."
[Amended 10-5-1995 by Ord. No. 95-14]
ANNUAL OPERATING EXPENSES
All real estate taxes and operating costs reasonable and
necessary to the operation and maintenance of the park or building,
or complex, but excluding depreciation for which there has been previous
compensation through tax savings or other such means.
[Amended 10-5-1995 by Ord. No. 95-14]
AVAILABLE FOR RENT TO TENANTS
Fit for habitation as defined by state or local housing inspection
codes or the law as promulgated by the Legislature and courts of the
State of New Jersey and offered for rent.
BASE RENT
The rent approved by the Board for an operational year for
similar dwelling units within the mobile home park. For the first
operational year and all subsequent determinations of "base rent,"
this rent shall be the average for all similar dwelling units within
the mobile home park after deducting from the same the taxes, water,
sewer and pad fee charges. Any increases in said taxes, water, sewer
and pad fee charges since the previous year shall be added to the
newly calculated "base rent." The "base rent" shall be determined
by a consideration by the Board of rents charged within the mobile
home park less the aforementioned taxes, water, sewer and pad fee
charges for the prior year and at the time the housing space was vacated
with respect to tenant occupied spaces that were not occupied in the
prior year. Notwithstanding the foregoing, the landlord may request
that the Board establish "base rents" in amounts different than those
which would otherwise be established as heretofore provided. Such
request may be granted upon such conditions as the Board may deem
necessary both to protect tenants residing in the Township of West
Deptford and also to promote stabilization and leveling of rents within
the mobile home park.
[Amended 10-5-1995 by Ord. No. 95-14]
BOARD
The Multiple Dwellings Regulation Board of the Township of
West Deptford.
CAPITAL IMPROVEMENT
That improvement, addition or contribution which materially
adds to the value or utility of the property or appreciably prolongs
its useful life, as opposed to a repair which maintains the property
in an ordinarily efficient operating condition. "Capital improvements"
are improvements that benefit the rentable housing space in the affected
dwelling and area as defined by the United States Internal Revenue
Service.
COMMON AREA
In the case of mobile home complexes, shall mean internal
streets, sidewalks and clubhouses, and may relate to the individual
lots rented by the tenants to the extent that the landlord has contracted
pursuant to the leasing arrangement to maintain said grounds.
COMPLEX
Includes all rental spaces advertised as available for rent
to tenants under the same management and trading under the same name.
[Amended 10-5-1995 by Ord. No. 95-14]
CONSUMER PRICE INDEX
The Consumer Price Index (all items for all urban consumers)
for the Philadelphia area, published periodically by the Bureau of
Labor Statistics, United States Department of Labor.
DWELLING
The term "dwelling" shall include rental spaces for manufactured
housing and mobile home parks and complexes.
[Added 10-5-1995 by Ord.
No. 95-14]
HOUSING SPACE
An area or mobile home pad designed and constructed as a
functional unit, including that portion rented or offered for rent
for living and dwelling purposes to one individual or family unit,
together with all privileges, services, furnishings, furniture, equipment,
facilities or improvements connected with the use and occupancy of
such portion of the property.
INVESTMENT
Includes the amount of the original cash or equivalent consideration
paid upon acquisition, which shall not include the principal amount
of any mortgage or mortgages, together with such other additional
capital contributed after date of acquisition.
LANDLORD
An owner, sublessor, assignee or other person receiving or
entitled to receive rent, or any agent of a person receiving or entitled
to receive rent, including a receiver in bankruptcy acting in the
capacity of "landlord."
MOBILE HOME SPACE
Includes that portion of a mobile home park rented or offered
for rent for the purpose of parking or positioning manufactured housing,
mobile homes for living and dwelling purposes to one or more tenants
or family units, together with all the privileges, services, equipment,
facilities and improvements connected with the use or occupancy of
such portion of the property. "Mobile home spaces" which are newly
constructed and rented for the first time are exempted, and the initial
rent may be determined by the owner. All subsequent rents will be
subject to the provisions of this chapter.
[Amended 10-5-1995 by Ord. No. 95-14]
MULTIPLE DWELLING
A structure or mobile home or mobile home lots or spaces
in a mobile home park and any land appurtenant thereto in which four
or more units or mobile home lots are occupied or are intended to
be occupied by four or more persons who live independently of each
other. The term "dwelling," whenever used within the body of this
chapter, shall be construed to mean "multiple dwelling."
REASONABLE RENTAL
Includes a showing of the age, character, locality, appurtenant
amenities and state of repair of the complex or mobile home space,
as well as comparable rentals for similar properties located within
the Township and adjacent areas.
RENT
The amount of consideration, including any bonus, benefit
or gratuity demanded or received by virtue of any agreement between
the parties whereby upon the payment of a sum certain by the tenant,
the landlord allows to him the peaceful and quiet enjoyment of the
use and occupation of the housing space for that time period. If the
parties agree that rent is to be paid upon some interval other than
one month, then that shall be construed as an alternative method of
payment, and the monthly rent shall be calculated by apportioning
the rent so as to determine the sum for the term of one month.
SERVICE
A.
Mailing, certified mail, return receipt requested, to the tenant
at the address of the tenant's unit rented from the landlord or to
such other address which the tenant may request such notices be mailed;
or
B.
Personal delivery to the tenant, certified to by affidavit of
the person accomplishing the personal delivery or by acknowledgment
of service executed by the person served, which affidavit or acknowledgment
of service must be retained by the person causing service and filed
with the Board upon request. Proper "service" of notice as contemplated
within this chapter shall be a prerequisite to the implementation
of any rental increase hereunder. Wherever more than one person shall
rent any one unit, "service" upon one tenant shall be sufficient as
"service" upon all such tenants.
SERVICES
The provision of light, potable water, electricity, maintenance,
painting, air conditioning, storm windows, screens, roads and streets,
sewer/septic systems, superintendent service and any other benefit,
privilege or facility connected with the use or occupancy of any dwelling
or housing space.
SUBSTANTIAL COMPLIANCE
That the housing space and dwelling are free from all heat,
hot water and all health, safety and fire hazards, as well as 90%
qualitatively free of all other violations of the West Deptford Property
Maintenance Code and other applicable ordinances of the Township of West
Deptford.
TENANT
A person or persons or family unit renting housing space
from a landlord.
VACATED
A multiple dwelling unit which either is no longer the subject
of a leasing arrangement, written or oral, or where all tenants of
the multiple-dwelling unit have no intention to return thereto before
the expiration of the leasing arrangement.
The intent of this section is to have the landlords maintain
their facilities at all times, and to upgrade their facilities for
the betterment of the community.
A. The landlord shall maintain the same standards of service, maintenance,
furniture, furnishings, recreational facilities, common areas and
landscaping as he was required to do by law or by the terms of the
tenancy at the date the tenancy was entered into. The landlord shall,
also, maintain all rental units within the complex or mobile home
park in accordance with the BOCA Property Maintenance Code, applicable
West Deptford Township ordinances and any applicable laws of the State
of New Jersey. Fraudulent inducement, if any, by the landlord which
resulted in the entering into the tenancy by the tenant shall be considered
by the Board in its determinations.
[Amended 10-5-1995 by Ord. No. 95-14]
B. No rent increase shall be granted or allowed by the Board if the
applicant does not supply a certification from the Township of West
Deptford Code Enforcement Officer showing that the property is in
substantial compliance with the West Deptford Property Maintenance
Code, unless a purpose of rent increase requested would be to
place the property in question into substantial compliance with said
code. If a rent increase for such purpose is granted by the Board,
the landlord shall initiate and consummate all necessary arrangements
for the work within such time as is set by the Board at the time the
increase is granted. The Board, at the time of the granting of the
rent increase, shall specify a reasonable time limit for completion
of the work required to effect substantial compliance with the code.
If the owner fails to initiate and consummate the necessary arrangements
or complete the work within the time limit established by the Board,
the rent increase previously granted by the Board shall be refunded
or credited to the tenant in an amount equal to the reduction in value
of the rent as a result of the failure to do the work. The Board shall
make the finding of said reduction in value. For good cause shown,
the Board may grant reasonable extension of time to the landlord for
completion of the work.
[Amended 10-5-1995 by Ord. No. 95-14]
C. During the term of this chapter, an applicant must pay and keep current
all real estate taxes and municipal pad fees and costs due to the
Township of West Deptford prior to being entitled to relief in accordance
with any provision of this chapter or for continued relief in accordance
with any decision rendered by the Board pursuant to this chapter.
D. Notwithstanding whether or not the request for increase is to bring
the property into substantial compliance with the Uniform Construction
Code, nothing set forth herein shall prevent the Board from granting
a rent increase and making the rent increase contingent upon the applicant
bringing the property into compliance with the West Deptford Property
Maintenance Code. If the property is not brought into compliance pursuant
to the Board's direction, the Board may order a refund or credit against
future rents in the amount of the increase granted.
E. Pursuant to the landlord's duty to maintain the standards at the
mobile home parks, as provided by this chapter, the Board, or any
member of the Board, as its discretion, is authorized to inspect the
exterior and common areas of any park area, as well as the interior
of individual dwelling spaces upon the invitation and with the permission
of the tenant or tenants residing therein.
[Amended 10-5-1995 by Ord. No. 95-14]
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. I)]
An intentional violation of any provision of this chapter, including but not limited to the willful filing with the Board of any material misstatement of fact, shall be subject to the penalty in §
1-15, Violations and penalties, of the Code of the Township of West Deptford. Each day that a violation occurs shall be considered a separate offense. Violations affecting more than one leasehold shall be considered separate offenses.
Any provision of a lease or other agreement whereby any provision
of this chapter is waived shall be deemed against public policy and
shall be void. For an application to be considered complete, the landlord
must accompany his application with a lease not violating the laws
of the State of New Jersey and a notice of increase form to be distributed
to tenants conforming to the laws regarding proper termination. The
landlord shall be responsible for enforcing the provisions of the
lease.
Establishment of rent increases between a landlord and a tenant
to whom this chapter is applicable shall hereafter be determined by
the following provisions of this chapter. No landlord may request
or receive of the tenants any increase in rental income or additional
charges except as provided by these following provisions and until
such time as the landlord shall have obtained approval in writing
from the Board, as hereinafter established, for said increase.
A. Standard increase. An annual increase of up to an amount equal to the then current base rent times the Consumer Price Index multiplier for the Philadelphia S.M.S.A. for non-urban wage earners may be granted by the Board as an increase over the base rent. In no event may a landlord petition for an increase in rent in excess of 5% of the base rent. No increase shall be permitted unless the landlord has provided the Board with a copy of a proper written lease; a filing fee shall be as set forth in Chapter
11 with a copy of a proper termination notice; proof of service of a copy of the application for increase to the tenants at least 14 days prior to the date for the hearing on the application; and a sworn statement from the landlord that the maintenance and security standards for the complex has not been reduced during the preceding 12 months. A landlord shall submit a certified rent roll, indicating thereon all actual and allowable rents, the square footage for each housing space and the requested rent increase by apartments. Certified financial statements must also be submitted. The Board may require additional information if it finds the same necessary. If the Board is provided with these items of evidence within the required time and the Board finds the landlord to have been diligent in maintaining the standards of the housing spaces and common areas, there will be granted an increase pursuant to the landlord's application under this section. The Board may grant less than the increase requested or no increase at all after considering the application under this section. The Board may grant less than the increase requested or no increase at all after considering the application if there is a finding of fact that the landlord is being less than diligent and has not maintained the maintenance and security standards in the mobile home park or upon a finding of fact regarding market conditions, the Consumer Price Index at the time of the application and/or the economy.
[Amended 10-5-1995 by Ord. No. 95-14; 3-10-2011 by Ord. No. 2011-01]
B. Tax surcharge.
(1) A landlord shall make the application for tax surcharge upon a tenant because of an increase in real property taxes in accordance with §
128-2N of this chapter. The tax surcharge shall not exceed that amount calculated by the following method:
(a)
When the application contained a trailer park, the tax surcharge
per pad or lot, if any shall be calculated by multiplying the total
tax surcharge permissible in accordance with this section times the
ratio of the total square feet of the trailer park, and then dividing
that proportionate figure of the total tax surcharge by the number
of lots or pads in that group size.
(b)
A group size of pads or lots shall consist of the same square
foot size pads or lots.
(2) Any landlord imposing a tax surcharge shall file with the Multiple Dwellings Regulation Board a schedule obtained from the Township Administrator's office indicating the calculation involved in computing the tax surcharge. Upon filing said schedule, the landlord shall notify each tenant by certified mail or personal service of the monthly surcharge to be paid by said tenant and of the calculation and the information contained in the aforesaid schedule. The applicant shall submit to the Board the total number of groups or pads or lots in the mobile home park, total number of pads or lots in each group and include all specifications of the calculations with the filing and notice of application. The notice required herein may be contained in the same notice referred to in §
128-2N(11) of this chapter advising the tenants of the date the application will be considered by the Board.
[Amended 10-5-1995 by Ord. No. 95-14; at time of adoption of Code (see
Ch. 1, General Provisions, Art. I)]
(3) Any tax surcharge imposed by a landlord shall be payable by each
tenant in 12 equal monthly installments.
(4) The Multiple Dwellings Regulation Board shall process, hear and determine any disputes regarding a tax surcharge in accordance with §
128-2N of this chapter.
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. I)]
(5) In the event of a tax appeal, the portion of a tenant tax surcharge
not being paid by the landlord to the municipality will be held by
the landlord in an interest-bearing account. In the event that the
appeal is successful and the tax reduces, the tenant shall receive
75% of the money held in escrow, together with 75% of the accrued
interest after deducting all reasonable expenses (not otherwise reimbursed)
in prosecuting said appeal. The expenses incurred by the landlord
shall include but are not limited to the payment of filing fees, appraisal
reports, expert witness fees and attorneys fees. Payment to the tenant
shall be made in the form of a credit against the monthly rent or
a check made payable to the tenant. The balance shall belong to the
landlord.
(6) In the event of a reduction in real property taxes, a tenant shall
be entitled to a tax rebate. The landlord shall compute the rebate
to which the tenant is entitled by the same formulas used in this
section for computing a tax surcharge. Payment to the tenant shall
be made in the form of a credit against monthly rent or a check made
payable to the tenant.
(7) In the case of any tenant who has moved, the landlord shall make
a diligent effort to forward the refund to such tenant, and if the
landlord is not successful in effecting such a refund, then and in
that event the landlord shall pay or apply such refund on a pro rata
basis to or for the benefit of those remaining tenant(s) who occupied
the dwelling and housing space during the time period of which the
taxes and/or assessment were the subject matter of the successful
appeal.
C. Rate of return.
(1) An application should include the following:
(a)
A calculation of the return on historic costs for the most recent
twelve-month period, said period ending no earlier than 60 days from
the date of petition, and also for the entire period since purchase
of the housing space by the current owners.
(b)
A calculation of the projected return on historic costs for
the next twelve-month period.
(c)
The investment basis, including a schedule of the original investment,
and the additional investments and decreases in investment by the
present owners.
(d)
A schedule of the receivables from or payable to the owners.
(e)
Disclosure of any affiliation with another company, including
a summary of intercompany transactions during the periods under consideration
[prior and projected 12 months].
(f)
The estimated income tax savings that is expected to result
to the parent company of a complex or to the owners if the company
is operating as a partnership or a tax option corporation (Subchapter
X corporation), as a result of the complex entity generating a net
operating loss for tax purposes that would be available to the parent
company or to the owners.
(g)
A schedule of rates of return on other investments having comparable
risks.
(h)
A demonstration that repairs and maintenance costs were reasonable
and necessary to maintain the premises in good condition but not to
cause over-maintenance of the premises.
(i)
A demonstration that real estate taxes should be limited to
amounts actually paid, including sums placed in escrow for appeal.
Also, a history of the tax appeals for the past 36 months should be
provided.
(2) The Board shall make a finding as to the rate of return the landlord
is currently receiving, as well as the rate of return to which he
is properly entitled. In determining the rate of return to which the
landlord shall be entitled, the Board shall consider the following
in addition to other evidence which may be produced by the parties
and considered relevant by the Board:
(a)
The rate of return on other returns having comparable risks
to the landlord.
(b)
Favorable tax consequences.
(c)
Efficiency of the landlord and the management of the rental
property.
(3) The Board shall make a finding as to the landlord's net operating
income. In making such a finding, the Board may give consideration
to the following factors, including any others submitted by the parties
and considered relevant by the Board.
(a)
All or a portion of the income from related operations conducted
by the landlord, including but not limited to appliance sales, insurance
sales, swim club fees, parking fees, etc., provided that the Board
finds a sufficient nexus between the related operation and the rental
operation.
(b)
The requirements of the tenant in maintaining the mobile home
as well as the effect that property maintenance by the tenant may
have on the value of the landlord's property.
(c)
The income derived by the landlord from services provided to
the tenant in maintaining the mobile home.
(d)
Uniqueness of mobile homes, mobile home lots or spaces as compared
to garden apartments or other multiple dwelling housing space, including
the difficulty of relocation of mobile homes.
D. Capital improvements surcharge; applications for increase based on
capital improvements. Eligible capital improvements shall be those
made during the prior 12 months, ending no earlier than 60 days from
the date of petition, for major additional facilities or services
not heretofore provided for the affected dwelling. A schedule of the
improvement (or service) costs, the date of the expenditure, the average
costs, including debt service of the improvement (calculated by dividing
the cost of the improvement by the total number of units or space
available for rent to tenants or occupied by the same), the estimated
number of years useful life of the cost and the estimated residual
value at the end of the estimated useful life shall accompany the
application. In any event, no increase granted by authority of this
subsection shall exceed 10% of the tenant's present rental, unless
said increase or capital improvement is mandated by law.
E. Hardship.
(1) A landlord who finds that present rental income and additional charges
from the housing space on which he seeks relief hereunder are insufficient
to cover the cost of payments on a first mortgage and any subsequent
mortgages directly used to improve and upgrade the housing space and/or
payments for maintenance and/or all operating costs may appeal to
the Board for a hardship increase in rental income. Following a hearing,
the Board may grant the landlord a hardship rent increase to meet
these needs after considering the proofs presented by the landlord,
the condition of housing space and degree of hardship to the landlord.
(2) The burden of proof in regard to value computation, the reasonableness
of expenses, reasonable rental, inadequacy of rate of return and all
items pertaining thereto is on the applicant. Where a majority of
the Board decides that it is unable to make proper determination from
the facts as presented, the Board may direct its financial consultant
to make an independent examination of all relevant documents, and
he shall then present his findings to the Board prior to its deciding
on the application.
F. Increase by agreement.
(1) The landlord and the tenants may effectuate rent increases by agreement.
The agreement must be in writing and signed by the landlord and signed
by the tenants representing 75% plus one of the rental units affected
by the rent increase. The written agreement must contain the following
information: the old rent; the new rent; the effective date of the
new rent; the amount of increase; and any other terms and conditions
of the agreement.
(2) Landlords seeking a rent increase pursuant to this section shall be obligated to file an application with the Board pursuant to §
128-2N of this chapter, along with a copy of the proposed agreement.
(3) No increase pursuant to this section may take effect until the Board makes a final determination concerning the agreement at a public meeting. Upon receipt of the application including said agreement, the Board Secretary shall schedule a date for the Board to consider the agreement. Once the date has been set, the landlord must notify all of the tenants whose rental units are to be affected by the rental increase of the date of the meeting, and at the same time provide the tenants with a copy of the proposed agreement. Said notification must be by certified mail, return receipt requested, or by personal service. The notice required herein may be contained in the same notice referred to in §
128-2N(11) of this chapter advising the tenants of the date the application will be considered by the Board.
(4) At the time the Board meets to consider the proposed agreement, the
Board shall take testimony concerning the proposed agreement. The
decision of whether or not to approve the proposed agreement shall
remain solely with the Board, who shall also have the authority to
modify the agreement as it deems necessary.
(5) The requirements of §
128-4B of this chapter shall remain applicable to an increase pursuant to this section.
[Added 10-5-1995 by Ord.
No. 95-14]
A. Any landlord or owner must provide a property tax rebate to the tenants
thereof as provided in N.J.S.A. 54:4-6.2 et seq. for each year he/she
receives a property tax reduction for any reason. Said rebate shall
be computed as follows:
The property tax reduction for residential rental property shall
be divided by the total rentable square feet contained within all
mobile home spaces on such property to determine the annual property
tax rebate or credit per square foot for every residential unit in
the entire property. The square footage of each unit shall be multiplied
by such property tax rebate or credit per square foot to determine
the annual amount of property tax rebate or credit for each residential
unit. However, where one or more residential rental units, spaces
or equivalent are occupied by the property owner or his employees,
the tax credit or rebate for the residential rental units on such
property shall be computed by first reducing the property tax reduction
by the proportion that the number of units occupied by the property
owner or his employees bears to the total number of residential units
on the property.
B. Any landlord or owner shall provide utility and/or operating expense
rebate to the tenants if said landlord or owner experiences a reduction
and/or rebate in utility fees and/or operating expenses. If said landlord
or owner receives a rebate or reduction in operating expenses as a
result of the Township of West Deptford providing services not previously
provided, then same shall be provided to the tenants. Said rebate
shall be computed by dividing the total reduction and/or rebate of
said fees by the total number of rental units in the complex or mobile
home park.
Any rental income or additional charge or increase in excess
of that authorized by the Board and the provisions of this chapter
shall be void.
This chapter shall be known as the "Rent Stabilization Ordinance
of the Township of West Deptford."
[Added 10-5-1995 by Ord.
No. 95-14]
This chapter shall take effect immediately after final passage
and publication in accordance with the laws of the State of New Jersey.