[Ord. No. 2018-24]
The purpose of this Article is to provide for and regulate affordable
housing in the Borough.
[Ord. No. 2018-24]
The following terms when used in this Article shall have the
meanings given in this section:
ACT
Means the Fair Housing Act of 1985, P.L. 1985, c. 222 (N.J.S.A.
52:27D-301 et seq.)
ADAPTABLE
Means constructed in compliance with the technical design
standards of the Barrier Free Subcode, N.J.A.C. 5:23-7.
ADMINISTRATIVE AGENT
Means the entity designated by the Borough to administer
affordable units in accordance with this Article, N.J.A.C. 5:93, and
UHAC (N.J.A.C. 5:80-26).
AFFIRMATIVE MARKETING
Means 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
Means the average percentage of median income at which new
restricted units in an affordable housing development are affordable
to low- and moderate-income households.
AFFORDABLE
Means, a sales price or rent level that is within the means
of a very-low household as defined as households earning 30% or less
of the regional median income by household size, low- or moderate-income
household as defined within N.J.A.C. 5:93-7.4, and, 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
Means a development included in or approved pursuant to the
Housing Element and Fair Share Plan or otherwise intended to address
the Borough's affordable housing obligation, and includes, but is
not limited to, an inclusionary development, a municipal construction
project or a 100% affordable housing development.
AFFORDABLE HOUSING PROGRAM(S)
Means any mechanism in a municipal Housing Element and Fair
Share Plan prepared or implemented to address a municipality's fair
share obligation.
AFFORDABLE UNIT
Means a housing unit proposed or created pursuant to the
Act and approved for crediting by the Court and/or funded through
an affordable housing trust fund.
AGE-RESTRICTED UNIT
Means 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 wherein the unit
is situated are 62 years of age or older; or 2) at least 80% of the
units are occupied by one person who is 55 years of age 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.
AGENCY
Means the New Jersey Housing and Mortgage Finance Agency
established by P.L. 1983, c. 530 (N.J.S.A. 55:14K-1, et seq.).
ALTERNATIVE LIVING ARRANGEMENT
Means 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 State of 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.
ASSISTED LIVING RESIDENCE
Means a facility that is 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
Means a household that has been certified by an Administrative
Agent as a, very-low income household, low-income household or moderate-
income household.
COAH
Means the Council on Affordable Housing, as established by
the New Jersey Fair Housing Act (N.J.S.A. 52:27D-301, et seq.).
DCA
Means the State of New Jersey Department of Community Affairs.
DEFICIENT HOUSING UNIT
Means a housing unit with health and safety code violations
that requires 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
Means any person, partnership, association, company or corporation
that is the legal or beneficial owner or owners of a lot or any land
included in a proposed development including the holder of an option
to contract to purchase, or other person having an enforceable proprietary
interest in such land.
DEVELOPMENT
Means 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
Means a development containing both affordable units and
market rate units. This term includes, but is not limited to: new
construction, the conversion of a non-residential structure to residential
use and the creation of new affordable units through the gut rehabilitation
or reconstruction of a vacant residential structure.
LOW-INCOME HOUSEHOLD
Means a household with a total gross annual household income
equal to 50% or less of the regional median household income by household
size.
LOW-INCOME UNIT
Means a restricted unit that is affordable to a low-income
household.
MAJOR SYSTEM
Means 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 and load bearing structural
systems.
MARKET-RATE UNITS
Means housing not restricted to low- and moderate-income
households that may sell or rent at any price.
MEDIAN INCOME
Means the median income by household size for the applicable
housing region, as adopted annually by COAH or a successor entity
approved by the Court.
MODERATE-INCOME HOUSEHOLD
Means 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.
NON-EXEMPT SALE
Means 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
Means 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
Means 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.
REHABILITATION
Means the repair, renovation, alteration or reconstruction
of any building or structure, pursuant to the Rehabilitation Subcode,
N.J.A.C. 5:23-6.
RENT
Means 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
Means a dwelling unit, whether a rental unit or an ownership
unit, that is subject to the affordability controls of N.J.A.C. 5:80-26.1,
as amended and supplemented, but does not include a market-rate unit
financed under UHORP or MONI.
UHAC
Means the Uniform Housing Affordability Controls set forth
in N.J.A.C. 5:80-26-1, et seq.
VERY LOW-INCOME HOUSEHOLD
Means a household with a total gross annual household income
equal to 30% or less of the regional median household income by household
size.
WEATHERIZATION
Means 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 purposes of a rehabilitation
program.
[Ord. No. 2018-24]
In inclusionary developments the following schedule shall be
followed:
Maximum Percentage of Market-Rate Units Completed
|
Minimum Percentage of Very Low-, Low-, and Moderate-Income Units
Completed
|
---|
25
|
0
|
25 + 1 unit
|
10
|
50
|
50
|
75
|
75
|
90
|
100
|
[Ord. No. 2018-24]
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.
[Ord. No. 2018-24]
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 Administrative Agent.
b. The Administrative Agent 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 homeowner association fees and special
assessments paid by low- and moderate-income purchasers and those
paid by market purchasers.
d. The owners of restricted ownership units may apply to the Administrative
Agent 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. See Section 13.
[Ord. No. 2018-24]
An Administrative Agent shall be an independent entity serving
under contract to and reporting to the municipality. 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 Administrative Agent shall perform the duties and responsibilities
of an Administrative Agent as set forth in UHAC, including those set
forth in Sections 5:80-26.14, 16 and 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 Tenafly 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 non-eligibility;
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 Tenafly 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 Tenafly: Fair Share Housing Center,
the New Jersey State Conference of the NAACP, Bergen County NAACP,
Jersey City NAACP, Paterson NAACP, Passaic NAACP, Hoboken NAACP, the
Latino Action Network, the Bergen County Housing Authority, Northeast
New Jersey Legal Services, Bergen Urban League, Garden State Episcopal
CDC, Mount Olive Baptist Church, Urban League Affordable Housing &
CDC, Bergen County Housing Coalition, Fair Housing Council of Northern
New Jersey, New Jersey Community Development, Advance Housing, Paterson
Habitat for Humanity, Family Promise of Bergen County, Saint Paul's
Community Develop Corp., Supportive Housing Associates of New Jersey,
Islamic Center of New Jersey, and Monarch Housing Associates.
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 Bergen
County Register of Deeds or Bergen 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 Re-rentals:
1. Instituting and maintaining an effective means of communicating information
between owners and the Administrative Agent regarding the availability
of restricted units for resale or re-rental; 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 re-rental.
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 Administrative
Agent;
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 Administrative Agent 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; and
6. Creating and publishing a written operating manual for each affordable
housing program administered by the Administrative Agent, to be approved
by the Borough Council and the Court, setting forth procedures for
administering the affordability controls.
g. Additional Responsibilities:
1. The Administrative Agent shall have the authority to take all actions
necessary and appropriate to carry out its responsibilities hereunder.
2. The 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.
3. The Administrative Agent shall attend continuing education sessions
on affordability controls, compliance monitoring, and affirmative
marketing at least annually and more often as needed.
[Ord. No. 2018-24]
Appeals from all decisions of an Administrative Agent pursuant
to this Article shall be filed in writing with the Court.