The following terms, as used in this article, shall have the
following meanings:
ACCESSORY APARTMENT
A self-contained residential dwelling unit with a kitchen,
sanitary facilities, sleeping quarters and a private entrance, which
is created within an existing home, or through the conversion of an
existing accessory structure on the same site, or by an addition to
an existing home or accessory building, or by the construction of
a new accessory structure on the same site.
ADAPTABLE
Constructed in compliance with the technical design standards
of the Barrier Free Subcode, N.J.A.C. 5:23-7.
ADMINISTRATIVE AGENT
The entity responsible for the administration of affordable
housing units in accordance with this article, the Fair Housing Act
and its implementing regulations, and UHAC, whether the Municipal
Housing Liaison or the project-specific developer, sponsor or owner,
as the case may be.
AFFIRMATIVE MARKETING
A regional marketing strategy designed to attract buyers
and/or renters of affordable housing units pursuant to N.J.A.C. 5:80-26.15.
AFFIRMATIVE MARKETING PLAN
The Affirmative Marketing Plan adopted by the Township Committee
of the Township of Middle, as may hereafter be amended and supplemented.
AFFORDABILITY AVERAGE
The average percentage of median income at which restricted
units in an affordable housing development are affordable to very-low-income
households, low-income households and moderate-income households.
AFFORDABLE HOUSING
A residential dwelling unit that qualifies as very-low-income
housing, low-income housing, and/or moderate-income housing as those
terms are defined in N.J.S.A. 52:27D-304 of the Fair Housing Act.
AFFORDABLE HOUSING DEVELOPMENT
A residential development, an inclusionary development or
a mixed-use development in which at least 15% of the residential units
are affordable housing units, or any development identified in the
Housing Element and Fair Share Plan as satisfying the Township's
affordable housing obligations.
AFFORDABLE HOUSING PROGRAM(S)
Any mechanism identified in the Housing Element Fair Share Plan addressing the Township's fair share obligation, the expenditure of any funds pursuant to the Township's spending plan and the collection of nonresidential development fees and residential development fees by the Township in accordance with Chapter
116 of the Township Code.
AFFORDABLE HOUSING UNIT
A unit of affordable housing which complies with the requirements
of the Fair Housing Act, all applicable federal, state, and local
government laws, ordinances, rules, and regulations applicable to
affordable housing, including but not limited to the affirmative marketing
requirements set forth in N.J.A.C. 5:80-22 and the affordability controls
set forth in UHAC.
AGE-RESTRICTED UNIT
A housing unit designed to meet the needs of, and exclusively
for, the residents of an age-restricted segment of the population
as evidenced by any one or more of the following:
A.
All the residents of the development where the unit is situated
are 62 years or older;
B.
At least 80% of the units are occupied by one person that is
55 years or older; or
C.
The development has been designated by the Secretary of the
United States 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.
ASSISTED-LIVING FACILITY
A facility licensed by the New Jersey Department of Health
to provide apartment-style housing and congregate dining and to assure
that assisted-living services are available when needed for four or
more adult persons unrelated to the proprietor and that offers units
containing, at a minimum, one unfurnished room, a private bathroom,
a kitchenette and a lockable door on the unit entrance.
CERTIFIED HOUSEHOLD
A household that has been certified by an administrative
agent as a very-low-income household, low-income household or moderate-income
household.
COAH
The New Jersey Council on Affordable Housing established
under the Fair Housing Act pursuant to N.J.S.A. 52:27D-301 et seq.
and which was abolished pursuant to the Reorganization Plan No. 001-2011
adopted by Governor Chris Christie June 29, 2011. Pursuant to Reorganization
Plan No. 001-2011, all functions of COAH have been transferred to
the Commissioner of the DCA.
CONSTRUCTION OFFICIAL
The qualified person appointed by the Township of Middle
pursuant to the State Uniform Construction Code Act and the regulations
promulgated thereunder who is responsible for the enforcement and
administration of the Uniform Construction Code and related regulations
within the Township of Middle.
COURT
The Superior Court of New Jersey, Law Division, Cape May
County, Vicinage 1.
DCA
The State of New Jersey Department of Community Affairs.
DEFICIENT HOUSING UNIT
A housing unit with health and safety code violations that
require the repair or replacement of a major system. A "major system"
includes weatherization, roofing, plumbing (including wells), heating,
electricity, sanitary plumbing (including septic systems), lead paint
abatement and/or load-bearing structural systems.
DEVELOPER
The legal or beneficial owner or owners of a lot or of any
land proposed to be included in a proposed development, including
the holder of an option or contract to purchase, or other person having
an enforceable proprietary interest in such land.
DEVELOPMENT
Residential development, inclusionary development, nonresidential
development or mixed-use development.
DEVELOPMENT FEE
Money paid by a developer for improvement of property as
authorized by Homdel Builder's Association v. Hlmdel, 121 N.J.
550 (1990), the Fair Housing Act of 1985, N.J.S.A. 52:27D-301 et seq.,
the Statewide Non-Residential Development Fee Act, N.J.S.A. 40:55D-8.1
et seq., and any Court-approved spending plan.
EQUALIZED ASSESSED VALUE
The assessed value of a property divided by the current average
ratio of assessed to true value for the municipality in which the
property is situated, as determined in accordance with Sections 1,
5, and 6 of P.L. 1973, c. 123 (N.J.S.A. 54:1-35a through 54:1-35c).
FAIR HOUSING ACT
The Fair Housing Act of 1985, P.L. 1985, c. 222 (N.J.S.A.
52:27D-301 et seq.), as may be amended or supplemented.
FORM N-RDF
The document known as Form N-RDF, State of New Jersey Non-residential
Development Certification/Exemption.
GREEN BUILDING STRATEGIES
Those strategies that minimize the impact of development
on the environment and enhance the health, safety and well-being of
residents by producing durable, low-maintenance, resource-efficient
housing while making optimum use of existing infrastructure and community
services.
HOUSING ELEMENT AND FAIR SHARE PLAN
The portion of the Township of Middle's Master Plan
entitled "Housing Element & Fair Share Plan" which is adopted
by the Township of Middle Planning Board, as the same may be amended
or supplemented.
HOUSING REGION 6
The geographic area determined pursuant to the Fair Housing
Act and its implementing regulations, which consists of the counties
of Atlantic, Cape May, Cumberland, and Salem.
HUD
The United States Department of Housing and Urban Development.
INCLUSIONARY DEVELOPMENT
A development containing both affordable housing 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 housing units through
the reconstruction of a vacant residential structure.
JUDGMENT OF COMPLIANCE
A judgment of compliance, a judgment of repose or a judgment
of compliance and repose entered by any court of competent jurisdiction,
which is the equivalent to substantive certification from the DCA
acting on behalf of COAH under the Fair Housing Act.
LOW-INCOME HOUSEHOLD
A household with a total gross annual household income equal
to 50% or less of the median household income.
LOW-INCOME UNIT
An affordable housing unit that is affordable to a low-income
household.
MAJOR SYSTEM
The primary structural, mechanical, plumbing, electrical,
fire protection, or occupant service components of a building which
include, but are not limited to, weatherization, roofing, plumbing
(including wells), heating, electricity, sanitary plumbing (including
septic systems), lead paint abatement or load-bearing structural systems.
MARKET-RATE UNIT
Housing not restricted to very-low-income households, low-income
households and/or moderate-income households that may sell or rent
at any price.
MEDIAN INCOME
The median income by household size for the applicable county,
as adopted annually by the DCA acting on behalf of COAH, or when no
medial income has been adopted by DCA for a given year, median income
by household size will be established by a regional weighted average
of the uncapped Section 8 income limits published by HUD.
MIXED-USED DEVELOPMENT
As the term is defined in N.J.S.A. 40:55D-8.3 of the Statewide
Non-Residential Development Fee Act.
MODERATE-INCOME HOUSEHOLD
A household with a total gross annual household income in
excess of 50% but less than 80% of the median household income.
MUNICIPAL HOUSING LIAISON
The employee charged by the governing body with the responsibility
for oversight and administration of the affordable housing program
for the Township of Middle.
NONEXEMPT SALE
Any sale or transfer of ownership other than the transfer
of ownership between husband and wife; the transfer of ownership between
former spouses ordered as a result of a judicial decree of divorce
or judicial separation, but not including sales to third parties;
the transfer of ownership between family members as a result of inheritance;
the transfer of ownership through an executor's deed to a Class
A beneficiary; and the transfer of ownership by court order.
NONRESIDENTIAL DEVELOPMENT FEE
Money paid by a developer for the development of property
pursuant to the Statewide Nonresidential Development Fee Act, N.J.S.A.
40:55D-8.1 et seq.
RANDOM SELECTION PROCESS
A process by which currently income-eligible households are
selected for placement in affordable housing units such that no preference
is given to one applicant over another except for purposes of matching
household income and size with an appropriately priced and sized affordable
housing unit (e.g., by lottery).
REGIONAL ASSET LIMIT
The maximum housing value in Housing Region 6 affordable
to a four-person household with an income at 80% of the annual regional
median income.
REHABILITATION
The repair, renovation, alteration or reconstruction of any
building or structure, pursuant to the Rehabilitation Subcode, N.J.A.C.
5:23-6.
RENT
The gross monthly cost of a rental unit to the tenant, including
the rent paid to the landlord, as well as an allowance for tenant-paid
utilities computed in accordance with allowances published by DCA
for its Section 8 program. In assisted-living facilities, rent does
not include charges for food and services.
RESIDENTIAL DEVELOPMENT
Any building or structure, or portion thereof, including
but not limited to any appurtenant improvements, which is: (1) designated
to a residential use group according to the State Uniform Construction
Code promulgated to effectuate the "State Uniform Construction Code
Act," P.L. 1975, c.217 (N.J.S.A. 52:27D-119 et seq.), including any
subsequent amendments or revisions thereto; or (2) designated as Class
2 or Class 4C pursuant to the New Jersey taxation property classifications
set forth in N.J.A.C. 18:12-2.2, as may hereafter be amended and/or
supplemented.
RESIDENTIAL DEVELOPMENT FEE FORM
The official form adopted by the Township of Middle by way of resolution, as may be amended from time to time, which shall be used for determining the residential development fee required for all residential development and the residential portion of any mixed-use development pursuant to this Chapter
116.
RESTRICTED UNIT
A dwelling unit, whether a rental unit or for-sale unit,
that is subject to the affordability controls set forth in UHAC, as
may be amended and supplemented, but does not include a market-rate
unit financed under the Urban Home Ownership Recovery Program (UHORP)
or Market-Oriented Neighborhood Investment Program (MONI).
SPENDING PLAN
The plan to spend funds deposited into the Affordable Housing
Trust Fund, prepared by the Township of Middle and approved by the
DCA on behalf of COAH or by a court of competent jurisdiction.
UHAC
The Uniform Housing Affordability Controls set forth in N.J.A.C.
5:80-26.1 et seq., as may be amended or supplemented.
VERY-LOW-INCOME HOUSEHOLD
A household with a total gross annual household income equal
to 30% or less of the median household income.
WEATHERIZATION
Building insulation (for attic, exterior walls and crawl
space), siding to improve energy efficiency, replacement storm windows,
replacement storm doors, replacement windows and replacement doors,
and is considered a major system for rehabilitation.
In satisfying its affordable housing obligations, the Township
of Middle may use one or more of the following mechanisms to satisfy
its affordable housing obligations: rehabilitation, municipally sponsored
and 100% affordable developments, supportive and special needs housing,
sites zoned in previously adopted plans, and sites yielding affordable
housing units as a condition of development approval. The official
mechanisms that the Township of Middle will utilize to satisfy its
affordable housing obligations are set forth in the Township's
Housing Element and Fair Share Plan.
A. Rehabilitation program.
(1)
The Township of Middle's rehabilitation program shall be
designed to renovate deficient housing units occupied by very-low-income
households, low-income households and/or moderate-income households
such that, after rehabilitation, these units will comply with the
New Jersey State Housing Code pursuant to N.J.A.C. 5:28.
(2)
Both owner-occupied and renter-occupied units shall be eligible
for rehabilitation funds. To accomplish the rehabilitation of rental
units, the Township of Middle commits to the expansion of its rehabilitation
activity through the establishment of a program specifically addressing
the rehabilitation of rental units, such that, after rehabilitation,
these units will comply with the New Jersey State Housing Code pursuant
to N.J.A.C. 5:28.
(3)
All rehabilitated units shall remain affordable to very-low-income
households, low-income households and/or moderate-income households
for a period of 10 years (the control period). For owner-occupied
units, the control period will be enforced with a lien, and for renter-occupied
units, the control period will be enforced with a deed restriction.
(4)
The Township of Middle shall dedicate a minimum of $10,000 for
each unit to be rehabilitated through this program, reflecting the
minimum hard cost of rehabilitation for each unit.
(5)
The Township Committee of the Township of Middle shall adopt
a resolution committing to fund any shortfall in the rehabilitation
programs for the Township of Middle.
(6)
The Township of Middle shall designate one or more administrative
agents to administer the rehabilitation program in accordance with
the Fair Housing Act and its implementing regulations. The administrative
agent(s) shall provide a rehabilitation manual for the owner-occupancy
rehabilitation program and a rehabilitation manual for the rental-occupancy
rehabilitation program to be adopted by resolution of the governing
body and consistent with all applicable requirements of the Fair Housing
Act and its implementing regulations. Both rehabilitation manuals
shall be available for public inspection in the office of the Municipal
Clerk and in the office(s) of the administrative agent(s).
(7)
Units in a rehabilitation program shall be exempt from UHAC
but shall be administered in accordance with the following:
(a)
If a unit is vacant, upon initial rental subsequent to rehabilitation,
or if a renter-occupied unit is re-rented prior to the end of controls
on affordability, the deed restriction shall require the unit to be
rented to a low- or moderate-income household at an affordable rent
and affirmatively marketed pursuant to UHAC and the Township of Middle's
Affirmative Marketing Plan.
(b)
If a unit is renter-occupied, upon completion of the rehabilitation,
the maximum rate of rent shall be the lesser of the current rent or
the maximum permitted rent pursuant to UHAC.
(c)
Rents in rehabilitated units may increase annually based on
the standards in UHAC.
(d)
Applicant and/or tenant households shall be certified as income-eligible
in accordance with UHAC, except that households in owner-occupied
units shall be exempt from the regional asset limit.
(8)
All rehabilitated units shall be improved to the standards set
forth in the State Uniform Construction Code.
B. Municipally sponsored and 100% affordable development program.
(1)
Under a municipally sponsored and 100% affordable development
program, the Township of Middle will serve either as the primary sponsor
or enter into a partnership with a nonprofit or other housing provider
to facilitate the construction of developments in which all units
are available to very-low-income households, low-income households
and moderate-income households.
(2)
The following provisions shall apply to municipally sponsored
and 100% affordable developments:
(a)
All sites shall meet the site suitability criteria set forth
in the Fair Housing Act and its implementing regulations.
(b)
The Township of Middle or developer/sponsor shall have control
or the ability to control the site(s).
(c)
The construction schedule shall provide for construction to
begin within two years of substantive certification or in accordance
with the Township of Middle's implementation schedule pursuant
to the Fair Housing Act and its implementing regulations.
(d)
The first floor of all townhouse dwelling units and of all other
multistory dwelling units must be adaptable and comply with the Fair
Housing Act and its implementing regulations.
(3)
The units shall comply with UHAC.
(4)
Within each municipally sponsored and 100% affordable development,
all of the affordable housing units shall be divided equally between
low-income households and moderate-income households and a minimum
of 13% of the all affordable housing units shall be affordable to
households earning no more than 30% of the median gross income for
households of the same size within Housing Region 6.
C. Supportive and special needs housing program.
(1)
A supportive and special needs housing program is established
to promote opportunity for housing which includes, but is not limited
to, residential health care facilities as licensed and/or regulated
by DCA or the New Jersey Department of Health if the facility is located
with, and operated by, a licensed health care facility; group homes
for people with developmental disabilities and mental illness as licensed
and/or regulated by the New Jersey Department of Human Services; permanent
supportive housing; and supportive shared-living housing.
(2)
The following provisions shall apply to group homes, residential
health care facilities, supportive shared-living housing, and permanent
supportive housing:
(a)
Occupancy shall not be restricted to youth under 18 years of
age.
(b)
All sites shall meet the site suitability criteria set forth
in the Fair Housing Act and its implementing regulations.
(c)
The municipality or developer/sponsor shall have site control
or the ability to control the site(s).
(d)
The bedrooms and/or units shall comply with UHAC with the following
exceptions:
[1]
Affirmative marketing (N.J.A.C. 5:80-26.15); however, group
homes, residential health care facilities, permanent supportive housing
and supportive shared-living housing shall be affirmatively marketed
to individuals with special needs in accordance with a plan that is
consistent with all applicable requirements of the Fair Housing Act
and its implementing regulations;
[2]
Affordability average and bedroom distribution as set forth
in UHAC; and
[3]
With the exception of units established with capital funding
through a twenty-year operating contact with the Department of Human
Services, Division of Developmental Disabilities, group homes, residential
health care facilities, supportive shared-living housing and permanent
supportive housing shall have the appropriate controls on affordability
in accordance with the Fair Housing Act and its implementing regulations.
D. Sites zoned in previously adopted plans.
(1)
Site(s) in a previously certified fair share plan or judgment
of compliance shall retain such zoning in any future round fair share
plan, provided that the sites are approved by the Court for inclusion
in the future round in a judgment of compliance, or:
(a)
The DCA acting on behalf of COAH determines that the site continues to present a realistic opportunity pursuant to Subsection
D(2) below; and
(b)
The site was subject to an agreement pursuant to COAH's
mediation process or part of a negotiated settlement in court; or,
in the alternative, the developer of the site has filed a development
application with the municipality prior to the expiration of the second-round
substantive certification period or the municipal petition for substantive
certification for the 1999 through 2018 period, whichever is later.
(2)
A zoned but unbuilt site that was included in a housing element
and fair share plan that received prior-round substantive certification
or a judgment of compliance shall be evaluated at the time the municipality
petitions for the third round to determine if the site continues to
present a realistic opportunity for the construction of affordable
housing. Where a judgment of compliance is sought, a zoned but unbuilt
site that was included in a housing element and fair share plan that
received prior-round substantive certification or a judgment of compliance
shall be evaluated by a court of competent jurisdiction at the time
that the judgment of compliance is sought to determine if the site
continues to present a realistic opportunity for the construction
of affordable housing.
E. Conversions. Affordable housing units created through the conversion of a nonresidential structure into a residential structure shall be treated as new construction, subject to the requirements set forth in §
250-805 and will be subject to the thirty-year controls on affordability as set forth in a deed restriction.
The following general guidelines apply to all newly constructed
affordable housing developments and newly constructed affordable housing
units, including any currently unanticipated future developments that
will provide very-low-income units, low-income units and moderate-income
units.
A. Low/moderate split and bedroom distribution of affordable housing
units.
(1)
The affordable housing obligation shall be divided equally between
low-income units 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. At least 13% of all affordable housing units
shall be very-low-income units.
(2)
In each affordable housing development, at least 50% of the
affordable housing units within each bedroom distribution shall be
low-income units or very-low-income units.
(3)
Affordable housing 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-income units and moderate-income
units;
(b)
At least 30% of all low-income units and moderate-income units
shall be two-bedroom units;
(c)
At least 20% of all low-income units 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.
(4)
Affordable housing developments that are age-restricted shall
be structured such that the number of bedrooms shall equal the number
of age-restricted very-low-income households, low-income households
and moderate-income households 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.
(5)
Affordable housing developments which constructed pursuant to low-income tax credit regulations shall be exempt from the requirements set forth in §
250-805A above, provided they otherwise comply with the low-income tax credit regulations.
(6)
To the extent that the bedroom distribution or income distribution requirements set forth in this §
250-805 conflict with the bedroom distribution and/or and income distribution requirements set forth in UHAC, the bedroom distribution and/or income distribution set forth in UHAC shall govern, with the sole exception that 13% of the affordable units within each bedroom distribution shall be required to be for very-low-income households earning 30% or less of median income pursuant to the Fair Housing Act.
B. Accessibility requirements:
(1)
All affordable housing units shall be adaptable in conformance
with P.L. 2005, c.350, N.J.S.A. 52:27D-311a and N.J.S.A. 52:27D-311b
and shall be subject to the technical design standards of the Barrier
Free Subcode, N.J.A.C. 5:23-7.
(2)
All affordable housing units within an affordable housing development
and all restricted units in other multistory buildings in which a
restricted 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 interior accessible route of travel shall not be required
between stories within an individual unit;
(e)
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)
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 Township of Middle 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 Township of Middle's Affordable Housing Trust Fund
sufficient to install accessible entrances in 10% of the affordable
housing units that have been constructed with adaptable entrances.
[3]
The funds deposited under Subsection
B(2)(f)[2] above shall be used by the Township of Middle for the sole purpose of making the adaptable entrance of any affordable housing 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 a design
plan and cost estimate for the conversion from adaptable to accessible
entrances to the Construction Official of the Township of Middle.
[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 Township of Middle'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.
[6]
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.
C. Maximum rents and sales prices.
(1)
Income limits for all affordable housing units shall be updated
by the Township annually either (a) in reliance upon the annual "Affordable
Housing Regional Income Limits By Household Size" schedule prepared
by the Affordable Housing Professionals of New Jersey (AHPNJ), or
(b) within 30 days of the publication of determinations of median
income by the United States Department of Housing and Urban Development
("HUD") as follows:
(a)
Regional income limits shall be established for the Housing
Region in which the Township is located (in this case, Housing Region
6) 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 number of 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 number of households from the most recent decennial Census in
the Township'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. 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 Township annually either (a) in reliance upon the annual "Affordable Housing Regional Income Limits By Household Size" schedule prepared by the Affordable Housing Professionals of New Jersey (AHPNJ), or (b) by taking the percentage increase of the income limits calculated pursuant to Subsection
C(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.
The income limits attached as Exhibit D to the Settlement Agreement
between the Township and Fair Share Housing Center, dated January
27, 2022, shall be utilized as the income limits until the Township
updates the income limits as set forth above.
(2)
The maximum rent for rental affordable housing units within
each development shall be affordable to households earning no more
than 60% of median income, and the average rent for all affordable
housing units shall be affordable to households earning no more than
52% of median income. Gross rents, including an allowance for utilities,
shall be established so as not to exceed 30% of the gross monthly
income of the appropriate household size.
(3)
The administrative agent of rental affordable housing units
shall establish at least one rent for each bedroom type for very-low-income
units, low-income units and moderate-income units.
(4)
Pursuant to N.J.S.A. 52:27D-329.1, at least 13% of all affordable
housing units provided in a development across bedroom distribution
shall be affordable to households earning no more than 30% of the
median gross income for households of the same size within Housing
Region 6. Within each municipally sponsored and 100% affordable housing
development, a minimum of 13% of the units provided shall be so restricted.
The very-low-income units shall be counted as part of the required
number of low-income units within the development.
(5)
The maximum sales price of for-sale affordable housing units
within each affordable housing development shall be affordable to
households earning no more than 70% of median income, and each affordable
housing development must achieve an affordability average of 55% for
the for-sale affordable housing units; in achieving this affordability
average, for-sale moderate-income units must be available for at least
three different prices for each bedroom type, and for-sale low-income
units must be available for at least two different prices for each
bedroom type.
(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
used:
(a)
A studio or efficiency 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 for compliance with the affordability
average requirements for restricted units in assisted-living facilities,
the following standards shall be used:
(a)
A studio or efficiency shall be affordable to a one-person household;
(b)
A one-bedroom unit shall be affordable to a one-and-one-half
person household; and
(c)
A two-bedroom unit shall be affordable to a two-person household
or to two one-person households.
(8)
The initial purchase price for all for-sale affordable housing
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 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 affordable housing 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 of affordable housing 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.
(12)
Utilities. For both for-sale affordable housing units and rental
affordable housing units, the affordable housing units shall utilize
the same heating source as the market-rate units within the development.
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.
D. Unit mix requirements. All affordable housing units shall comply
with the required unit mix.
(1)
At least 50% of the affordable housing units shall be affordable
to very-low-income and low-income households with the remainder affordable
to moderate-income households.
(2)
No more than 50% of the affordable housing units shall be affordable
to moderate-income households.
(3)
At least 13% of all affordable housing units referenced in this
Agreement, excepting those units that were constructed or granted
preliminary or final site plan approval prior to July 1,2008, shall
be very-low-income units for households earning 30% or less of the
median income pursuant to the Fair Housing Act, N.J.S.A. 52:27D-301
et seq. ("FHA"), with half of the very-low-income units being available
to families.
E. Affordable housing units will be built in accordance with the following
schedule:
Minimum Percentage of Affordable Housing Units Completed
|
Percentage of Market Rate Units Completed.
|
---|
0%
|
25%
|
10%
|
25% + 1 unit
|
50%
|
50%
|
75%
|
75%
|
100%
|
90%
|
F. Upon request from the developer, the Township of Middle will eliminate
cost-generating features from Middle's land use ordinances that
are not essential to the public welfare in accordance with Section
14(b) of the Fair Housing Act. Upon request from the developer, the
Township of Middle will also expedite or fast track municipal approvals/denials
on affordable housing development applications.
G. Prior to or simultaneously with the submission of any application
for development, as the term is defined in N.J.S.A. 40:55D-3, or any
application for a zoning permit, for any affordable housing development
or any development in which affordable housing units are proposed,
the developer shall submit to the Municipal Housing Liaison notice
of the application along with information advising of the number of
affordable housing units proposed to be created as part of the development.
H. In inclusionary developments, to the extent possible, low- and moderate-income
units shall be integrated with the market rate units, and the affordable
housing units shall not be concentrated in separate building(s) or
in separate area(s) or floor(s) from the market rate units. In buildings
with multiple dwelling units, this shall mean that the affordable
housing units shall be generally distributed within each building
with market rate units. The residents of the affordable housing units
shall have full and equal access to all of the entryways, amenities,
common areas, and recreation areas and facilities as the residents
of the market rate units.
I. Affordability controls. All of the affordable units shall fully comply
with the Uniform Housing Affordability Controls, N.J.A.C. 5:80-26.1,
et seq. ("UHAC"), including but not limited to the required bedroom
and income distribution, with the sole exception that 13% of the affordable
units within each bedroom distribution shall be required to be for
very-low-income households earning 30% or less of median income pursuant
to the FHA. All of the affordable units shall be subject to affordability
controls of at least 30 years from the date of initial occupancy and
affordable deed restrictions as provided for by UHAC, with the sole
exception that "very-low-income" shall be defined as at or below 30%
of median income pursuant to the Fair Housing Act, and the affordability
controls shall remain unless and until the Township, in its sole discretion,
takes action to extend or release the unit from such controls after
at least 30 years. If the Township acts to release the unit from such
controls, affordability controls shall remain in effect until the
date on which a rental unit shall become vacant due the voluntary
departure of the occupant household N.J.A.C. 5:80-26.11(b).
All affordable housing units shall be affirmatively marketed
in accordance with the following requirements:
A. The Township of Middle has adopted by resolution an affirmative marketing
plan compliant with N.J.A.C. 5:80-26.15, as may be amended and supplemented,
and the Fair Housing Act and its implementing regulations.
B. The affirmative marketing plan is a regional marketing strategy designed
to attract buyers and/or renters of all majority and minority groups,
regardless of race, creed, color, national origin, ancestry, marital
or familial status, gender, affectional or sexual orientation, disability,
age or number of children, to 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 housing units
in that region. It is a continuing program that directs all marketing
activities toward Housing Region 6 and covers the period of deed restriction.
C. The affirmative marketing plan shall provide a regional preference
for all households that live and/or work in Housing Region 6.
D. The administrative agent shall assure the affirmative marketing of
all affordable housing units consistent with the affirmative marketing
plan for the municipality.
(1)
In addition to other affirmative marketing strategies, the administrative
agent shall provide specific notice of the availability of affordable
housing units in Middle to the following entities: Fair Share Housing
Center (510 Park Boulevard, Cherry Hill, NJ 08002); the New Jersey
State Conference of the NAACP (4326 Harbor Beach Blvd. #775, Brigantine,
NJ 08203); the Latino Action Network (P.O. Box 943, Freehold, NJ 07728);
Cape Hope (1304 Rt. 47, Unit L, Rio Grande, NJ 08242); the Cape May
County, Mainland/Pleasantville, Atlantic City, Burlington, and Camden
Branches of the NAACP; and the Supportive Housing Association of New
Jersey (185 Valley Street, South Orange, NJ 07079).
(2)
In addition, the administrative agent shall post specific notice
of the availability of affordable housing units in Middle on the New
Jersey Housing Resource Center website in accordance with applicable
law.
(3)
Advertisements for affordable housing units shall include, at
a minimum, a description of the following:
(a)
Street address of the affordable housing units;
(b)
Direction to the affordable housing units;
(c)
Number of bedrooms per affordable housing unit;
(g)
Location of applications, including business hours and where/how
applications can be obtained.
E. In implementing the affirmative marketing plan, the administrative
agent shall provide a list of counseling services to applicants for
an affordable housing unit on subjects such as budgeting, credit issues,
mortgage qualification, rental lease requirements, and landlord/tenant
law. Applications shall be mailed to prospective applicants upon request.
F. The affirmative marketing process for available affordable housing
units shall begin at least four months' prior to the expected
date of occupancy. In no event shall there be any discrimination in
the sale, rental, financing or other services related to housing on
the basis of race, creed, color, national origin, ancestry, marital
or familial status, gender, religion, affectional or sexual orientation,
disability, age or familial size or number of children.
G. The costs of advertising and affirmative marketing of the affordable
housing units shall be the responsibility of the developer, sponsor
or owner, unless otherwise determined or agreed to by the Township
of Middle.
H. Households who live or work in Atlantic, Cape May, Cumberland, and
Salem Counties may be given preference for the for-sales and rental
affordable housing units constructed within the housing region. Applicants
living outside Housing Region 6 shall have an equal opportunity for
the units after regional applicants have been initially serviced.
All affordable housing units shall comply with the following:
A. In referring certified households to specific affordable housing
units, to the extent feasible, and without causing an undue delay
in occupying the unit, the administrative agent shall strive to:
(1)
Provide an occupant for each bedroom;
(2)
Provide children of different sex with separate bedrooms; and
(3)
Prevent more than two persons from occupying a single bedroom.
B. Additional provisions related to occupancy standards (if any) shall
be provided in the municipal operating manual.
C. A certificate of reoccupancy shall be required prior to the occupancy
of any affordable housing unit resulting from a resale.
All affordable housing units which are for-sale units shall
comply with the following:
A. Control periods for for-sale affordable housing units shall be in
accordance with N.J.A.C. 5:80-26.5, as may be amended and supplemented,
and each for-sale affordable housing unit shall remain subject to
the requirements of this article until the Township of Middle elects
to release the unit from such requirements; however, and prior to
such an election, a for-sale affordable housing unit must remain subject
to the requirements of N.J.A.C. 5:80-26.1, as may be amended and supplemented,
for at least 30 years.
B. The affordability control period for a for-sale affordable housing
unit shall commence on the date the initial certified household takes
title to the unit.
C. Prior to the issuance of the initial certificate of occupancy for
a for-sale affordable housing 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 if it were a market-rate
unit based on either an appraisal or the unit's equalized assessed
value, subject to the approval of the Municipal Housing Liaison.
D. At the time of the first sale of a for-sale affordable housing unit,
the 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 requirements of this article,
an amount equal to the difference between the unit's nonrestricted
fair market value if it were a market rate unit 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. The affordability controls set forth in this article shall remain
in effect despite the entry and enforcement of any judgment of foreclosure
with respect to for-sale affordable housing units.
F. A for-sale affordable housing unit shall be required to obtain a
continuing certificate of occupancy or a certified statement from
the Construction Official stating that the unit meets all code standards
upon the first transfer of title that follows the expiration of the
applicable minimum control period provided under N.J.A.C. 5:80-26.5(a),
as may be amended and supplemented.
Price restrictions for for-sale affordable housing 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 for-sale affordable housing unit
shall be set by the administrative agent and approved by the Municipal
Housing Liaison.
B. The administrative agent shall approve all resale prices, in writing
and in advance of the resale, to assure compliance with the foregoing
standards. All resale prices shall be approved by the Municipal Housing
Liaison.
C. Master deeds of affordable housing developments will regulate condominium
or homeowner association fees or special assessments for affordable
housing units at a rate equal to at least 33% but no more than 50%
of those paid by market-rate units. Once established within the master
deed, the percentages shall not be amended without prior approval
from the DCA acting on behalf of COAH or a court of competent jurisdiction.
The method used to determine the condominium association fee amounts
and special assessments shall be indistinguishable between the affordable
housing unit owners and the market-unit owners.
D. The owners of for-sale affordable housing units may apply to the
administrative agent to increase the maximum sales price for the unit
on the basis of capital improvements. Eligible capital improvements
shall be those that render the unit suitable for a larger household
or the addition of a bathroom. The administrative agent shall make
the initial determination as to the eligibility of maximum sale price
increases, provided that all maximum sale price increases shall be
approved by the Municipal Housing Liaison.
All affordable housing units which are rental units shall comply
with the following:
A. Control periods for rental affordable housing units shall be in accordance
with UHAC, and N.J.A.C. 5:80-26.11, as may be amended and supplemented,
and each rental affordable housing unit shall remain subject to the
requirements of this article until the Township of Middle elects to
release the unit from such requirements pursuant to action taken in
compliance with N.J.A.C. 5:80-26.1, as may be amended and supplemented,
and, prior to such an election, a rental affordable housing unit must
remain subject to the requirements of N.J.A.C. 5:80-26.1, as may be
amended and supplemented, for at least 30 years.
B. Deeds of all real property that include rental affordable housing
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 County of Cape May. A copy of the filed document shall
be provided to the administrative agent and the Municipal Housing
Liaison within 30 days of the receipt of a certificate of occupancy.
C. A rental affordable housing unit shall remain subject to the affordability
controls of this article, despite the occurrence of any of the following
events:
(1)
Sublease or assignment of the lease of the unit;
(2)
Sale or other voluntary transfer of the ownership of the unit;
or
(3)
The entry and enforcement of any judgment of foreclosure.
All affordable housing units which are rental units shall comply
with the following:
A. A written lease shall be required for all rental affordable housing
units, except for units in assisted-living facilities, 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
rental affordable housing unit shall be provided to the administrative
agent and the Municipal Housing Liaison.
B. No additional fees or charges shall be added to the approved rent
(except, in the case of units in assisted-living facilities, to cover
the customary charges for food and services) without the express written
approval of the administrative agent and the municipal housing liaison.
C. 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 rental affordable
housing unit as set forth in this article.
Appeals from all decisions of an administrative agent designated
pursuant to this article shall be filed in writing with the Executive
Director of the DCA or the Law Division of the Superior Court of New
Jersey.