[Amended 3-9-2026 by Ord. No. 2026-15]
(a) 
The Municipal Housing Liaison shall be approved annually by municipal resolution.
(b) 
The Municipal Housing Liaison shall be approved by the Division, or is in the process of getting approval, and fully or conditionally meets the requirements for qualifications, including initial and periodic training as set forth in N.J.A.C. 5:99-1 et seq.
(c) 
The Municipal Housing Liaison shall be responsible for oversight and administration of the affordable housing program, including the following responsibilities, which may not be contracted out to the administrative agent:
(1) 
Serving as the primary point of contact for all inquiries from the Affordable Housing Dispute Resolution Program, the state, affordable housing providers, administrative agents and interested households.
(2) 
The oversight of the affirmative marketing Plan and affordability controls.
(3) 
When applicable, overseeing and monitoring any contracting administrative agent.
(4) 
Overseeing the monitoring of the status of all restricted units listed in the fair share plan.
(5) 
Verifying, certifying and providing annual information within AHMS at such time and in such form as required by the Division.
(6) 
Coordinating meetings with affordable housing providers and administrative agents, as needed.
(7) 
Attending continuing education opportunities on affordability controls, compliance monitoring, and affirmative marketing as offered or approved by the Division.
(8) 
Overseeing the recording of a preliminary instrument in the form set forth at N.J.A.C. 5:80-26.1 for each affordable housing development.
(9) 
Coordinating with the administrative agent, Municipal Attorney and Municipal Construction Code Official to ensure that permits are not issued unless the document required in subsection (c)(8) above has been duly recorded.
(10) 
Listing on the municipal website contact information for the MHL and administrative agents.
[Amended 3-9-2026 by Ord. No. 2026-15]
(a) 
All municipalities that have created or will create affordable housing programs and/or affordable units shall designate or approve, for each project within its HEFSP, an administrative agent to administer the affordable housing program and/or affordable housing units in accordance with the requirements of the FHA, N.J.A.C. 5:99-1 et seq. and UHAC.
(b) 
The fees for administrative agents shall be paid as follows:
(1) 
Administrative agent fees related to rental units shall be paid by the developer/owner, with the exception that administrative agent fees related to restricted accessory apartments shall be paid by the municipality.
(2) 
Administrative agent fees related to initial sale of units shall be paid by the developer.
(3) 
Administrative agent fees related to resales shall be paid by the seller of the affordable home.
(4) 
Administrative agent fees related to ongoing administration and enforcement shall be paid by the municipality.
(c) 
An operating manual for each affordable housing program shall be provided by the administrative agent(s). The operating manual(s) shall be available for public inspection in the office of the Clerk and in the office(s) of the administrative agent(s). Operating manuals shall be adopted by resolution of the governing body.
(d) 
Subject to the role of the administrative agent(s), the duties and responsibilities as are set forth in N.J.A.C. 5:99-7 and which are described in full detail in the operating manual, including those set forth in UHAC, include:
(1) 
Attending continuing education opportunities on affordability controls, compliance monitoring, and affirmative marketing as offered or approved by the Division;
(2) 
Affirmative marketing:
a. 
Conducting an outreach process to affirmatively market affordable housing units in accordance with the affirmative marketing plan of the municipality and the provisions of N.J.A.C. 5:80-26.16.
b. 
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.
(3) 
Household certification.
a. 
Soliciting, scheduling, conducting and following up on interviews with interested households.
b. 
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.
c. 
Providing written notification to each applicant as to the determination of eligibility or non-eligibility within five days of the determination thereof.
d. 
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.
e. 
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.
f. 
Employing a random selection process as provided in the affirmative marketing plan when referring households for certification to affordable units.
(4) 
Affordability controls.
a. 
Furnishing to attorneys or closing agents forms of deed restrictions and mortgages for the recording at the time of conveyance of title of each restricted unit.
b. 
Ensuring that the removal of the deed restrictions and cancellation of the mortgage note are effectuated and filed properly with the County Register of Deeds or County Clerk's office after the termination of the affordability controls for each restricted unit in accordance with UHAC.
c. 
Communicating with lenders and the Municipal Housing Liaison regarding foreclosures.
d. 
Ensuring the issuance of continuing certificates of occupancy or certifications pursuant to N.J.A.C. 5:80-26.11.
(5) 
Records retention.
a. 
Creating and maintaining a file on each restricted unit for its control period, including the recorded deed with restrictions, recorded recapture mortgage, and note, as appropriate.
b. 
Records received, retained, retrieved, or transmitted in furtherance of crediting affordable units of a municipality constitute public records of the municipality as defined by N.J.S.A. 47:3-16, and are legal property of the municipality.
(6) 
Resales and re-rentals.
a. 
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.
b. 
Instituting and maintaining an effective means of communicating information to very-low-, low-, or moderate-income households regarding the availability of restricted units for resale or re-rental.
(7) 
Processing requests from unit owners.
a. 
Reviewing and approving requests from owners of restricted units who wish to refinance or take out home equity loans during the term of their ownership to determine that the amount of indebtedness to be incurred will not violate the terms of this article.
b. 
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.
c. 
Notifying the municipality of an owner's intent to sell a restricted unit.
d. 
Making determinations on requests by owners of restricted units for hardship waivers.
(8) 
Enforcement.
a. 
Securing annually from the municipality a list of all affordable ownership units for which property tax bills are mailed to absentee owners, and notifying all such owners that they must either move back to their unit or sell it;
b. 
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;
c. 
Sending annual mailings to all owners of affordable dwelling units reminding them of the notices and requirements outlined in N.J.A.C. 5:80-26.19(d)4;
d. 
Establishing a program for diverting unlawful rent payments to the municipal Affordable Housing Trust Fund; and
e. 
Creating and publishing a written operating manual for each affordable housing program administered by the administrative agent setting forth procedures for administering the affordability controls.
(9) 
The administrative agent(s) shall, as delegated by the municipality, have the authority to take all actions necessary and appropriate to carry out its/their responsibilities herein.
[Amended 3-9-2026 by Ord. No. 2026-15]
(a) 
The municipality shall adopt, by resolution, an affirmative marketing plan, subject to approval of the Superior Court, compliant with N.J.A.C. 5:80-26.16, as may be amended and supplemented.
(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 intended to target those potentially eligible persons who are least likely to apply for affordable units in that region. It is a continuing program that directs all marketing activities toward Housing Region 4 and is required to be followed throughout the period of deed restriction.
(c) 
The affirmative marketing plan provides the following preferences, provided that units that remain unoccupied after these preferences are exhausted may be offered to households without regard to these preferences.
(1) 
Where the municipality has entered into an agreement with a developer or residential development owner to provide a preference for very-low-, low-, and moderate-income veterans who served in time of war or other emergency, pursuant to N.J.S.A. 52:27D-311.j, there shall be a preference for veterans for up to 50% of the restricted rental units in a particular project.
(2) 
There shall be a regional preference for all households that live and/or work in Housing Region 4 comprising Mercer, Monmouth, and Ocean Counties.
(3) 
Subordinate to the regional preference, there shall be a preference for households that live and/or work in New Jersey.
(4) 
With respect to existing restricted units undergoing approved rehabilitation for the purpose of preservation or to restricted units newly created to replace existing restricted units undergoing demolition, a preference for the very-low-, low-, and moderate-income households that are displaced by the rehabilitation or demolition and replacement.
(d) 
The municipality has the ultimate responsibility for adopting the affirmative marketing plan and for the proper administration of the affirmative marketing process, including the marketing of initial sales and rentals and resales and re-rentals. The administrative agent designated by the municipality shall implement the affirmative marketing process to ensure the affirmative marketing of all affordable units, with the exception of affordable programs that are exempt from affirmative marketing as noted herein.
(e) 
The affirmative marketing process shall describe the media to be used in advertising and publicizing the availability of housing. In implementing the affirmative marketing process, the administrative agent shall consider the use of language translations where appropriate.
(f) 
Applications for affordable housing or notices thereof, if offered online, shall be available in several locations, including, at a minimum, the County Administration Building and/or the County Library for each county within the housing region; the municipal administration building and municipal library in the municipality in which the units are located; and the developer's rental or sales office. The developer shall mail applications to prospective applicants upon request and shall make applications available through a secure online website address.
(g) 
In addition to other affirmative marketing strategies, the administrative agent shall provide specific notice of the availability of affordable housing units on the New Jersey Housing Resource Center website, and to the following entities: Fair Share Housing Center; New Jersey State Conference of the NAACP; Trenton branch of the NAACP; Greater Red Bank branch of the NAACP; Asbury Park/Neptune branch of the NAACP; Bayshore branch of the NAACP; Greater Freehold branch of the NAACP; Greater Long Branch chapter of the NAACP; Shiloh Baptist Church; Latino Action Network; and the Supportive Housing Association. The administrative agent shall also provide specific notice to the municipality's Committee on Affordable Housing, Racial, Economic, Social Equity and Services (CARES) Committee. Any other entities, including developers or persons or companies retained to implement the affirmative marketing process, shall comply with this paragraph.
(h) 
In implementing the affirmative marketing process, 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.
(i) 
The affirmative marketing process for available affordable units shall begin at least four months (120 days) prior to the expected date of occupancy.
(j) 
The cost to affirmatively market the affordable units shall be the responsibility of the developer, sponsor or owner, with the exception that the cost to affirmatively market any restricted accessory apartments shall be the responsibility of the municipality. This requirement shall be included in any Land Use Board resolution of site plan approval for a development that includes affordable units.
[Amended 3-9-2026 by Ord. No. 2026-15]
(a) 
The owner of all developments containing affordable units subject to this article or the assigned management company thereof shall provide to the administrative agent:
(1) 
Site plan, architectural plan, or other plan that identifies the location of each affordable unit, if subject to the site plan approval, settlement agreement, or other applicable document regulating the location of affordable units. The administrative agent shall determine the location of affordable units if not set forth in the site plan approval, settlement agreement, or other applicable document.
(2) 
The total number of units in the project and the number of affordable units.
(3) 
The breakdown of the affordable units by or identification of affordable unit locations by bedroom count and income level, including street addresses/unit numbers, if subject to the site plan approval, settlement agreement, or other applicable document regulating the breakdown of affordable units. The administrative agent shall determine the bedroom and income distribution if not set forth in the site plan approval, settlement agreement, or other applicable document.
(4) 
Floor plans of all affordable units, including complete and accurate identification of all rooms and the dimensions thereof.
(5) 
A projected construction schedule.
(6) 
The location of any common areas and elevators.
(7) 
The name of the person who will be responsible for official contact with the administrative agent for the duration of the project, which must be updated if the contact changes.
(b) 
In addition to subsection (a) above, the owner of rental developments containing affordable rental units subject to this article or the assigned management company thereof shall:
(1) 
Send to all current tenants in all restricted rental units an annual mailing containing a notice as to the maximum permitted rent and a reminder of the requirement that the unit must remain their principal place of residence, which is defined as residing in the unit at least 260 days out of each calendar year, together with the telephone number, mailing address, and email address of the administrative agent to whom complaints of excess rent can be issued.
(2) 
Provide to the administrative agent a description of any applicable fees.
(3) 
Provide to the administrative agent a description of the types of utilities and which utilities will be included in the rent.
(4) 
Agree and ensure that the utility configuration established at the start of the rent-up process not be altered at any time throughout the restricted period.
(5) 
Provide to the administrative agent a proposed form of lease for any rental units.
(6) 
Ensure that the tenant selection criteria for the applicants for affordable units not be more restrictive that the tenant selection criteria for applicants for non-restricted units.
(7) 
Strive to maintain the continued occupancy of the affordable units during the entire restricted period.
(c) 
In addition to subsection (a), above, the owner of affordable for-sale developments containing affordable for-sale units subject to this article or the assigned management company thereof shall provide the administrative agent:
(1) 
Proposed pricing for all units, including any purchaser options and add-on items.
(2) 
Condominium or homeowner association fees and any other applicable fees.
(3) 
Estimated real property taxes.
(4) 
Sewer, water, trash disposal, and any other utility assessments.
(5) 
Flood insurance requirement, if applicable.
(6) 
The state-approved planned real estate development public offering statement and/or master deed, where applicable, as well as the full build-out budget.
[Amended 3-9-2026 by Ord. No. 2026-15]
(a) 
Upon the occurrence of a breach of any of the regulations governing the affordable 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) 
After providing written notice of a violation to an owner, developer or tenant of an affordable 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) 
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 the 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. 
A fine of not more than $500 or imprisonment for a period not to exceed 90 days, or both, unless otherwise specified below, provided that each and every day that the violation continues or exists shall be considered a separate and specific violation of these provisions and not a continuation of the initial offense;
b. 
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 the Affordable Housing Trust Fund of the gross amount of rent illegally collected;
c. 
In the case of an owner who has rented his or her affordable unit in violation of the regulations governing affordable housing units, payment of an innocent tenant's reasonable relocation costs, as determined by the Court.
(c) 
The municipality shall have the authority to levy fines against the owner of the development for instances of noncompliance with NJHRC advertising requirements [N.J.S.A. 52:27D-321.6.e.(2)], following written notice to the owner. The fine for the first offense of noncompliance shall be $5,000, the fine for the second offense of noncompliance shall be $10,000, and the fine for each subsequent offense of noncompliance shall be $15,000.
(d) 
The municipality may file a court action in the Superior Court seeking a judgment, which would result in 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- or moderate-income unit.
(1) 
Such judgment shall be enforceable, at the option of the municipality, by means of an execution sale by the Sheriff, at which time the affordable 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.
(2) 
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- or 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 the full 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 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, whether such balance shall be paid to the owner or forfeited to the municipality.
(3) 
Foreclosure due to violation of the regulations governing affordable housing units shall not extinguish the restrictions of the regulations governing affordable housing units as they 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 this 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.
(4) 
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 affordable 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 affordable 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 that would have been realized from an actual sale as previously described.
(5) 
Failure of the low- or 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 that may be referred to the owner by the municipality, with such offer to purchase being equal to the maximum resale price of the low- or moderate-income unit as permitted by the regulations governing affordable housing units.
(6) 
The affordable unit owner shall remain fully obligated, responsible and liable for complying with the terms and restrictions of governing affordable housing units until such time as title is conveyed from the owner.
(e) 
It is the responsibility of the municipal housing liaison and the administrative agent(s) to ensure that affordable housing units are administered properly. All affordable units must be occupied within a reasonable amount of time and be re-leased within a reasonable amount of time upon the vacating of the unit by a tenant. If an administrative agent or Municipal Housing Liaison becomes aware of or suspects that a developer, landlord, or property manager has not complied with these regulations, they shall report this activity to the Division. The Division must notify the developer, landlord, or property manager, in writing, of any violation of these regulations and provide a 30-day cure period. If, after the 30-day cure period, the developer, landlord, or property manager remains in violation of any terms of this article, including by keeping a unit vacant, the developer, landlord, or property manager may be fined up to the amount required to construct a comparable affordable unit of the same size and the deed-restricted control period will be extended for the length of the time the unit was out of compliance, in addition to the remedies provided for in this section. For the purposes of this subsection, a reasonable amount of time shall presumptively be 60 days, unless a longer period of time is required due to demonstrable market conditions and/or failure of the Municipal Housing Liaison or the administrative agent to refer a certified tenant.
(f) 
Banks and other lending institutions are prohibited from issuing any loan secured by owner occupied real property subject to the affordability controls set forth in this article if such loan would be in excess of amounts permitted by the restriction documents recorded in the deed or mortgage book in the county in which the property is located. Any loan issued in violation of this subsection is void as against public policy.
(g) 
The Agency and the Department hereby reserve, for themselves and for each administrative agent appointed pursuant to this article, all of the rights and remedies available at law and in equity for the enforcement of this article, including, but not limited to, fines, evictions, and foreclosures as approved by a county-level housing judge.
(h) 
Appeals. Appeals from all decisions of an administrative agent appointed pursuant to this article must be filed, in writing, with the Municipal Housing Liaison. A decision by the Municipal Housing Liaison may be appealed to the Division. A written decision of the Division Director upholding, modifying, or reversing an administrative agent's decision is a final administrative action.