[HISTORY: Adopted by the Township Committee
of the Township of Waterford 8-26-2020 by Ord. No. 2020-11. Amendments noted
where applicable.]
A.Â
This chapter 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 chapter shall apply except where inconsistent with
applicable law.
B.Â
The Waterford Township 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-2 et seq. The Fair Share Plan has been endorsed by the governing
body. The Fair Share Plan describes the way the Township of Waterford
shall address its obligation for low- and moderate-income housing
as documented in the Housing Element.
C.Â
This section implements and incorporates the Fair Share Plan and
the requirements of the settlement agreement approved by the Court
with Fair Share Housing.
The following terms used in this chapter shall have the meanings
given in this section:
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.[1]
The individual or entity within Waterford Township responsible
for administration of affordable units in accordance with this chapter
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 deemed to be within the means of a
low- and moderate-income household; in the case of an ownership unit,
the sales price for the unit shall conform 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, the rent for the unit shall conform 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 Township'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 the Township's Fair Share Plan prepared
or implemented to address the Township'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 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 State of New Jersey Department of Community Affairs.
The Division of Housing and Community Resources in the DCA.
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
use 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.
A restricted unit that is affordable to a low-income household.
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 COAH or a successor regulatory agency.
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.
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.
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.
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.
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 income equal to 30%
or less of the regional median household income by household size.
A restricted unit that is affordable to a very-low-income
household.
[1]
Editor's Note: See now N.J.A.C. 5:23-3.14(b).
A.Â
Rehabilitation program. Waterford Township has no Third Round present
need rehabilitation obligation. However, it will continue to work
with Camden County under a separate Community Development Block Grant
Program Cooperation Agreement, not part of this chapter.
A.Â
To ensure the efficient use of land through compact forms of development
and to create realistic opportunities for the construction of affordable
housing within the Township, inclusionary zoning shall permit minimum
presumptive densities and presumptive maximum affordable housing set-asides
as follows:
(1)Â
The Township of Waterford established the Haines Boulevard Redevelopment
Area, which is located on 146 acres in the northwest corner of the
Township. The area is adjacent to the Atco Train Station and has potential
to create a transit-oriented development and bring residents closer
to the station, as well as bring in commercial uses that will serve
both the community and the commuters.
In 2001, the Township Committee declared the area an "area in
need of redevelopment," as defined in the New Jersey Local Redevelopment
and Housing Law, N.J.S.A. 40A:12A-1 et seq. In 2001, the Township
Committee adopted a redevelopment plan which was replaced by a redevelopment
plan adopted in April 2016 and amended in September 2016.
The amended redevelopment plan provides for up to 240 affordable
housing units to be developed and made available to very-low-, low-,
and moderate-income households within the redevelopment area. All
new residential development or mixed commercial/residential development
producing five or more residential units shall be required to be set
aside a minimum of 20% of all units as affordable for low- and moderate-income
households. In addition, projects where 100% of the residential units
are made affordable for low- and moderate-income households shall
be credited toward that obligation.
(2)Â
Thirteen percent of all constructed restricted units shall be very-low-income
units, with half of the very-low-income units available to families.
(3)Â
Additional incentives to subsidize the creation of affordable housing
available to very-low-income households may be included in the zoning
section of this chapter or specified in a developer's or redeveloper's
agreement.
(4)Â
Phasing. In inclusionary developments the following schedule shall
be followed:
|
Maximum % of Market-Rate Units Completed in Any Development
|
Minimum % of Total Planned Units Which Must Be Completed and
Available as Very-Low-, Low- and Moderate-Income Units
|
|---|---|
|
10
|
3
|
|
20
|
5
|
|
30
|
8
|
|
40
|
10
|
|
50
|
13
|
|
60
|
15
|
|
70
|
18
|
|
80
|
20
|
|
90
|
23
|
(5)Â
Design. In inclusionary developments, to the extent possible, very-low-,
low-, and moderate-income units shall be integrated with the market
units.
(6)Â
Utilities. Affordable units shall utilize the same type of heating
source as market units within the affordable development.
The following general guidelines apply to all newly constructed
and currently unanticipated future developments that contain low-
and moderate-income housing units, that will provide very-low-, low-
and moderate-income housing units.
A.Â
Low/moderate split and bedroom distribution of affordable housing
units:
(1)Â
Constructed restricted units shall be divided equally between low-
(including very-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)Â
In each affordable development, at least 50% of the restricted units
within each bedroom distribution shall be available to and affordable
by very-low-income and low-income households, with the remainder affordable
to moderate-income households. At least 25% shall be rental units,
with half of those rental units available to families. At least 50%
of all the units shall be available to families.
(3)Â
Affordable developments that are not age-restricted shall be structured
in conjunction with realistic market demands such that:
(a)Â
The combined number of efficiency and one-bedroom units shall
be no greater than 20% of the total low- and moderate-income units;
(b)Â
At least 30% of all low- and moderate-income units shall be
two-bedroom units;
(c)Â
At least 20% of all low- and moderate-income units shall be
three-bedroom units; and
(d)Â
The remaining units may be allocated among two- and three-bedroom
units at the discretion of the developer.
(4)Â
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. A nonwaivable age-restricted
cap of 25% shall be imposed as credit toward the Township's fair
share obligation.
B.Â
Accessibility requirements:
(2)Â
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)Â
An adaptable toilet and bathing facility on the first floor;
(b)Â
An adaptable kitchen on the first floor;
(c)Â
An interior accessible route of travel on the first floor;
(d)Â
An interior accessible route of travel shall not be required
between stories within an individual unit;
(e)Â
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;
and
(f)Â
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,[2] or evidence that the Waterford Township has collected
sufficient funds from the developer to make 10% of the adaptable entrances
in the development accessible:
[1]Â
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]Â
To this end, the builder of restricted units shall deposit funds
within the Waterford Township's affordable housing trust fund
sufficient to install accessible entrances in 10% of the affordable
units that have been constructed with adaptable entrances.
[3]Â
The funds deposited under Subsection B(2)(f)[2] above shall be used by Waterford Township for the sole purpose of making the adaptable entrance of any 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]Â
The developer of the restricted units shall submit a design
plan and cost estimate for the conversion from adaptable to accessible
entrances to the Construction Official of Waterford Township.
[5]Â
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,[3] and that the cost estimate of such conversion is reasonable,
payment shall be made to Waterford Township's affordable housing
trust fund in care of the Municipal Treasurer, who shall ensure that
the funds are deposited into the affordable housing trust fund and
appropriately earmarked.
[3]
Editor's Note: See now N.J.A.C. 5:23-3.14(b).
[6]Â
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.[4]
[4]
Editor's Note: See now N.J.A.C. 5:23-3.14(b).
[2]
Editor's Note: See now N.J.A.C. 5:23-3.14(b).
C.Â
Maximum rents and sales prices.
(1)Â
In establishing rents and sales prices of affordable housing units,
the Administrative Agent shall follow the procedures set forth in
the UHAC, utilizing the regional income limits established by the
DCA or other successor agency recognized by the Court.
(2)Â
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. At least 13% of affordable rental
units shall be affordable to households earning no more than 30% of
median income.
(3)Â
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.
(4)Â
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, 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)Â
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
used:
(a)Â
A studio shall be affordable to a one-person household;
(b)Â
A one-bedroom unit shall be affordable to a one-and-one-half-person
household;
(c)Â
A two-bedroom unit shall be affordable to a three-person household;
(d)Â
A three-bedroom unit shall be affordable to a four-and-one-half-person
household; and
(e)Â
A four-bedroom unit shall be affordable to a six-person household.
(6)Â
In determining the initial rents for compliance with the affordability
average requirements for restricted units in assisted living facilities,
the following standards shall be used:
(7)Â
The initial purchase price for all restricted ownership units, except
those financed by the New Jersey Urban Homeownership Recovery Program
or Market Oriented Neighborhood Investment program, 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 homeowners'
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.
(8)Â
The initial rent for a restricted rental unit shall be calculated
so as not to exceed 30% of the eligible monthly income 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.
(9)Â
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.
(10)Â
The rent of low- and moderate-income units may be increased annually
based on the percentage increase in the Housing Consumer Price Index
for the United States. This increase shall not exceed 9% in any one
year. Rents 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.Â
Waterford Township shall adopt by resolution an Affirmative Marketing
Plan that complies with N.J.A.C. 5:80-26.15, as may be amended and
supplemented.
B.Â
The Affirmative Marketing Plan shall reflect 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 housing units which are being
marketed by a developer, sponsor or owner of affordable housing. The
Affirmative Marketing Plan is also intended to target those potentially
eligible persons who are least likely to apply for affordable units
in that region. It shall be a continuing program that directs all
marketing activities toward Housing Region 5 and covers the period
of deed restriction.
C.Â
The Affirmative Marketing Plan shall provide a regional preference
for all households that live and/or work in Housing Region 5, which
is comprised of Burlington, Camden and Gloucester Counties.
D.Â
The Administrative Agent designated by Waterford Township shall assure
that the affirmative marketing of all affordable units occurs, consistent
with the Township's Affirmative Marketing Plan.
E.Â
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.Â
The affirmative marketing process for available affordable units
shall begin at least four months prior to the expected date of occupancy.
G.Â
The costs of the advertising and the affirmative marketing of the
affordable units shall be the responsibility of the developer, sponsor
or owner, unless otherwise determined or agreed to by Waterford Township.
A.Â
In determining the initial rents and the initial sales prices for
restricted units, other than assisted living facilities, the standards
set forth in N.J.A.C. 5:80-26.4(b) shall apply.
B.Â
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:
A.Â
Control periods for restricted ownership units shall be in accordance
with N.J.A.C. 5:80-26.5, as may be amended and supplemented, and each
restricted ownership unit shall remain subject to the requirements
of this section for a period of at least 30 years, unless otherwise
prohibited by law, until Waterford takes action to release the unit
from such requirements; prior to such action, a restricted ownership
unit shall remain subject to the requirements of N.J.A.C. 5:80-26.1,
as may be amended and supplemented.
B.Â
The affordability control period for a restricted ownership unit
shall commence on the date the initial certified household takes title
to the unit.
C.Â
Prior to the issuance of the initial certificate of occupancy for
a restricted ownership unit and upon each successive sale during the
period of restricted ownership, the Administrative Agent shall determine
the restricted price for the unit and shall also determine the nonrestricted,
fair market value of the unit, based on either an appraisal or the
unit's equalized assessed value without the restrictions in place.
D.Â
At the time of the initial sale of the unit, the initial purchaser
shall execute and deliver to the Administrative Agent a recapture
note obligating the purchaser (as well as the purchaser's heirs,
successors and assigns) to repay, upon the first nonexempt sale after
the unit's release from the restrictions set forth in this section,
an amount equal to the difference between the unit's nonrestricted
fair market value and its restricted price, and the recapture note
shall be secured by a recapture lien evidenced by a duly recorded
mortgage on the unit.
E.Â
The affordability controls set forth in this section shall remain
in effect despite the entry and enforcement of any judgment of foreclosure
with respect to restricted ownership units.
F.Â
A restricted ownership unit shall be required to obtain a continuing
certificate of occupancy or a certified statement from the Township
Construction Official stating that the unit meets all Code standards
upon the first transfer of title following the removal of the restrictions
provided under N.J.A.C. 5:80-26.5(a), as may be amended and supplemented.
G.Â
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 capital improvements made since the purchase of the unit. Eligible
capital improvements shall be those that render the unit suitable
for a larger household or that add an additional bathroom. In no event
shall the maximum sales price of an improved housing unit exceed the
limits of affordability for the larger household.
H.Â
The Township shall retain the right of first refusal to purchase
a restricted ownership following the thirty-year interval from the
date of the initial certificate of occupancy, subject to the conditions
set forth in N.J.S.A. 5:80-26.5(g).
I.Â
Otherwise, the sale of a unit following the termination of the thirty-year
control period can be made by the owner to any purchaser at fair market
value, but only after the owner records the release executed by the
Administrative Agent.
A.Â
Buyer income eligibility for restricted ownership units shall be
delivered in accordance with N.J.A.C. 5:80-26.1, as may be amended
and supplemented, such that low-income ownership units shall be reserved
for households with a gross household income less than or equal to
50% of median income, and moderate-income ownership units shall be
reserved for households with a gross household income less than 80%
of median income.
B.Â
The Administrative Agent shall certify a household as eligible for
a restricted ownership unit when the household is a low-income household
or a moderate-income household, as applicable to the unit, and the
estimated monthly housing cost for the particular unit (including
principal, interest, taxes, homeowner and private mortgage insurance
and condominium or homeowners' association fees, as applicable)
does not exceed 33% of the household's certified monthly income.
A.Â
Prior to incurring any indebtedness to be secured by a restricted
ownership unit, the Administrative Agent shall determine in writing
that the proposed indebtedness complies with the provisions of this
chapter.
B.Â
With the exception of original purchase money mortgages, during a
control period, neither an owner nor a lender shall at any time cause
or permit the total indebtedness secured by a restricted ownership
unit to exceed 95% of the maximum allowable resale price of that unit,
as such price is determined by the Administrative Agent in accordance
with N.J.A.C. 5:80-26.6(b).
A.Â
Price restrictions for ownership units shall be in accordance with
N.J.A.C. 5:80-26.6, as may be amended and supplemented. The initial
purchase price for a restricted ownership unit shall be approved by
the Administrative Agent with the above requirements.
B.Â
The Administrative Agent shall approve all resale prices in writing
in advance of a resale.
C.Â
The initial purchase price of a restricted ownership unit financed
under the New Jersey Urban Homeownership Recovery Program or Market
Oriented Neighborhood Investment program shall be calculated as set
forth in N.J.A.C. 5:80-26.6(c).
D.Â
The maximum resale price for a restricted ownership unit shall be
in accordance with N.J.A.C. 5:80-26.6(d), and the owner may apply
to the Administrative Agent to increase the maximum sales price for
the unit on the basis of capital improvements as defined.
A.Â
Control periods for restricted rental units shall be in accordance
with N.J.A.C. 5:80-26.11, as may be amended and supplemented, and
each restricted rental unit shall remain subject to the requirements
of this section for a period of at least 30 years, until Waterford
takes action to release the unit from such requirements. Prior to
such action, a restricted rental unit shall remain subject to the
requirements of N.J.A.C. 5:80-26.1, as may be amended and supplemented.
B.Â
Deeds of all real property that include restricted rental units shall
contain deed restriction language. The deed restriction shall have
priority over all mortgages on the property, and the deed restriction
shall be filed by the developer or seller with the records office
of the Camden County Clerk. The deed shall also identify each affordable
unit by apartment number and/or address and whether that unit is designated
as a very-low-, low- or moderate-income unit. Neither the unit nor
its affordability designation shall change throughout the term of
the deed restriction. A copy of the filed document shall be provided
to the Administrative Agent and the Waterford Township Municipal Clerk
within 30 days of the receipt of a certificate of occupancy.
C.Â
A restricted rental unit shall remain subject to the affordability
controls of this section despite the occurrence of any of the following
events:
A.Â
Restrictions on rents shall be in accordance with N.J.A.C. 5:80-26.12,
as may be amended or supplemented. The initial rent for a restricted
rental unit shall be approved by the Administrative Agent and calculated
not to exceed 30% of eligible monthly income determined under NJAC
5:80-26.3 and 5:80-26.4.
B.Â
The maximum rent for affordable units within each affordable development
shall be affordable to households earning no more than 60% of the
median income in Housing Region 5. The average rent for low and moderate
income rented units shall be affordable to households earning no more
than 52% of median income in Housing Region 5. The developers and/or
any municipal sponsors of restricted rental units shall establish
at least one rent for each bedroom type for very low income, low income,
and moderate income units, provided that at least 13% of the restricted
units in such development project shall be available for households
earning no more than 30% of the median income Housing Region 5.
C.Â
A written lease shall be required for all restricted rental units,
except for units in an assisted living residence, and tenants shall
be responsible for security deposits and the full amount of the rent
as stated on the lease. A copy of the current lease for each restricted
rental unit shall be provided to the Administrative Agent.
D.Â
No additional fees or charges shall be added to the approved rent
(except, in the case of units in an assisted living residence, to
cover the customary charges for food and services) without the express
written approval of the Administrative Agent.
E.Â
Application fees (including the charge for any credit check) shall
not exceed 5% of the monthly rent of the applicable restricted unit
and shall be payable to the Administrative Agent to be applied to
the costs of administering the controls applicable to the unit as
set forth in this chapter.
A.Â
Tenant income eligibility shall be in accordance with N.J.A.C. 5:80-26.13,
as may be amended and supplemented, and shall be determined as follows:
(1)Â
Very-low-income rental units shall be reserved for households with
a gross household income less than or equal to 30% of median income.
(2)Â
Low-income rental units shall be reserved for households with a gross
household income less than or equal to 50% of median income.
(3)Â
Moderate-income rental units shall be reserved for households with
a gross household income less than or equal to 80% of median income.
B.Â
The Administrative Agent shall certify a household as eligible for
a restricted rental unit when the household is a very-low-income household,
a low-income household or a moderate-income household, as applicable
to the unit, and the rent proposed for the unit does not exceed 35%
(40% for age-restricted units) of the household's eligible monthly
income as determined pursuant to N.J.A.C. 5:80-26.16, as may be amended
and supplemented; provided, however, that this limit may be exceeded
if one or more of the following circumstances exists:
(1)Â
The household currently pays more than 35% (40% for households eligible
for age-restricted units) of its gross household income for rent,
and the proposed rent will reduce its housing costs;
(2)Â
The household has consistently paid more than 35% (40% for households
eligible for age-restricted units) of eligible monthly income for
rent in the past and has proven its ability to pay;
(3)Â
The household is currently in substandard or overcrowded living conditions;
(4)Â
The household documents the existence of assets with which the household
proposes to supplement the rent payments; or
(5)Â
The household documents proposed third-party assistance from an outside
source such as a family member in a form acceptable to the Administrative
Agent and the owner of the unit.
A.Â
Administrative Agent.
(1)Â
The affordability controls required in this chapter shall be administered
and enforced by one or more Administrative Agent(s).
(a)Â
The Township recognizes its obligation under the Fair Housing
Act to appoint an Administrative Agent with respect to complying with
the Township's Housing Element and Fair Share Plan for affordable
housing. Initially, the Township shall serve as its own Administrative
Agent. The basis for the Township itself serving as the Administrative
Agent is that all affordable housing units to meet the Township's
fair share obligation for the 2015 through 2025 period are intended
to be constructed in accordance with the Township's redevelopment
plan in the Haines Boulevard Redevelopment Area. The Township has
determined to solicit and negotiate with redevelopers for the Haines
Boulevard Redevelopment Area to include redevelopers for the Township's
affordable housing obligation. At such time as the Township has negotiated
a redevelopment agreement(s) with a redeveloper(s) for all or part
of the Township's affordable housing obligation, it shall then
determine whether to appoint a separate Administrative Agent to work
with the redeveloper(s) to advertise for and market the affordable
housing units toward meeting the Township's Third Round Obligation
unless a redeveloper itself becomes the Administrative Agent. The
Administrative Agent's fees and cost of advertising and the affirmative
marketing of the affordable housing units shall be included as a redeveloper's
responsibility in the redevelopment agreement(s) between the Township
and the redeveloper(s). The Administrative Agent then appointed by
the Township shall comply with the requirements of this chapter and
any applicable duties and requirements contained in the agreement
between the Township of Waterford and the Administrative Agent.
(b)Â
The Administrative Agent shall perform the duties and responsibilities
of an Administrative Agent as are set forth in the UHAC, including
those set forth in N.J.A.C. 5:80-26.14, 5:80-26.16 and 5:80-26.18
thereof, which includes:
[1]Â
Attending continuing education opportunities on affordability
controls, compliance monitoring and affirmative marketing as offered
or approved by the Court.
[2]Â
Affirmative marketing;
[3]Â
Household certification;
[4]Â
Affordability controls;
[5]Â
Records retention;
[6]Â
Resale and rerental;
[7]Â
Processing requests from unit owners; and
[8]Â
Enforcement, though the ultimate responsibility for retaining
controls on the units rests with the municipality.
[9]Â
The Administrative Agent shall have authority to take all actions
necessary and appropriate to carry out its responsibilities hereunder.
[10]Â
When an Administrave Agent is appointed by the Township, the
duties shall be more specifically defined and described in the appointment
resolution, and shall include all of the specific regulatory duties
set forth in the UHAC.
A.Â
Upon the occurrence of a breach of any of the regulations governing
the restricted 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, municipal fines, a requirement
for household recertification, acceleration of all sums due under
a mortgage, recoupment of any funds from a sale in the violation of
the regulations, injunctive relief to prevent further violation of
the regulations, entry on the premises, and specific performance.
B.Â
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 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)Â
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 an owner, developer or tenant is found
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)Â
A fine of not more than $500 or imprisonment for a period not
to exceed 90 days, or both. Each and every day that the violation
continues or exists shall be considered a separate and specific violation
of these provisions and not as a continuing offense;
(b)Â
In the case of an owner who has rented his or her low- or moderate-income
unit in violation of the regulations governing affordable housing
units, payment into Waterford Township's affordable housing trust
fund of the gross amount of rent illegally collected.
(c)Â
In the case of an owner who has rented his or her 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)Â
The municipality may file a court action in the New Jersey Superior
Court seeking a judgment, for the termination of the owner's
equity or other interest in the unit, in the nature of a mortgage
foreclosure. Any 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- and moderate-income unit.
C.Â
Such 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 attorney's fees. The violating owner shall have the
right to possession terminated as well as the title conveyed pursuant
to the Sheriff's sale.
D.Â
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 and to the 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,
regardless if such balance shall be paid to the owner or forfeited
to the municipality.
E.Â
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
the 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.
F.Â
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.
G.Â
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.
Appeals from all decisions of the Township's Administrative
Agent shall be submitted by a complaint filed with the Superior Court
of New Jersey, Camden County.
