As used herein the following terms shall have the following meanings:
95/5 RESTRICTIONA deed restriction governing a restricted ownership unit that is part of a housing element that received substantive certification from COAH pursuant to N.J.A.C. 5:93, as it was in effect at the time of the receipt of substantive certification, before October 1, 2001, or any other deed restriction governing a restricted ownership unit with a seller repayment option requiring 95% of the price differential to be paid to the municipality or an instrument of the municipality at the closing of a sale at market price.
ACTThe Fair Housing Act of 1985, P.L. 1985, c. 222 (N.J.S.A. 52:27D-301 et seq.), as amended by P.L. 2024, c. 2.
ADAPTABLEConstructed in compliance with the technical design standards of the Barrier Free Subcode, N.J.A.C. 5:23-7.
ADMINISTRATIVE AGENTThe entity responsible for the administration of affordable units in accordance with this chapter, as well as N.J.A.C. 5:99-7 and N.J.A.C. 5:80-26.15
AFFIRMATIVE MARKETINGA regional marketing strategy designed to attract buyers and/or renters of affordable units pursuant to N.J.A.C. 5:80-26.16.
AFFORDABILITY AVERAGEThe average percentage of regional median income at which deed-restricted units in an affordable housing development are affordable to low- and moderate-income households.
AFFORDABLEA sales price or rent within the economic means of a low- or moderate-income household, as defined in the UHAC as, in the case of an ownership unit, that the sales price for the unit conforms to the standards set forth at N.J.A.C. 5:80-26.7 and, in the case of a rental unit, that the rent for the unit conforms to the standards set forth at N.J.A.C. 5:80-26.13.
AFFORDABLE HOUSING DELIVERY MECHANISMSAny of the methods of creating or preserving actual housing units available to low- and moderate-income households or creating a realistic opportunity for the construction of such units, as permitted by the Act.
AFFORDABLE HOUSING DEVELOPMENTA housing development incorporated in the Housing Element and Fair Share Plan, and including, but not limited to, an inclusionary development, a municipal construction project or a 100% affordable development.
AFFORDABLE HOUSING PROGRAM(S)Any mechanism in a municipal Fair Share Plan prepared or implemented to address a municipality's fair share obligation.
AFFORDABLE UNITA housing unit proposed or created pursuant to the Act, including units created with municipal affordable housing trust funds.
AGE-RESTRICTED UNITA housing unit designed to meet the needs of, and exclusively for, the residents of an age-restricted segment of the population such that:
A. All the residents of the development where the unit is situated are 62 years old or older; or
At least 80% of the units are occupied by one person that is 55 years old or older (except that persons younger than 19 may not be permanent residents); or
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(b)(2).
AGENCYThe New Jersey Housing and Mortgage Finance Agency established by P.L. 1983, c. 530 (N.J.S.A. 55:14K-1 et seq.).
ALTERNATIVE LIVING ARRANGEMENTA structure in which households live in distinct bedrooms, yet share kitchen and plumbing facilities, central heat and common areas. Alternative living arrangements include, but are not limited to: transitional facilities for the homeless, Class A, B, C, D, and E boarding homes as regulated by the New Jersey Department of Community Affairs; residential health-care facilities as regulated by the New Jersey Department of Health and Senior Services; group homes for the developmentally disabled and mentally ill as licensed and/or regulated by the New Jersey Department of Human Services; and congregate living arrangements.
ASSISTED LIVING RESIDENCEA facility licensed by the New Jersey Department of Health and Senior Services to provide apartment-style housing and congregate dining for four or more adult persons unrelated to the proprietor and to assure that assisted living services are available when needed 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 HOUSEHOLDA household that has been certified by an administrative agent as a low-income household or moderate-income household.
COMMISSIONERThe Commissioner of the Department of Community Affairs.
COMPLIANCE CERTIFICATIONThe certification issued to a municipality by the Program pursuant to section 3 at P.L. 2024, c. 2, that provides a municipality immunity from exclusionary zoning litigation during the current round of present and prospective need and through July 1 of the year the next round of affordable housing obligations begins, also known as a "judgment of compliance" resulting in an "order for repose." Compliance certification includes a judgment of repose granted in an action filed pursuant to section 13 at P.L. 1985, c. 222 (N.J.S.A. 52:27D-313).
COMPLIANT MUNICIPALITYA municipality that is in the process of seeking compliance certification pursuant to the directives issued by the Administrative Office of the Courts, has obtained compliance certification, or has filed for, or has obtained, a Judgment of Compliance, Order for Repose, or other court approval pursuant to the Act.
CONSTRUCTIONNew construction and additions, but does not include alterations, reconstruction, renovations, conversion, relocation, or repairs, as those terms are defined in the State Uniform Construction Code promulgated pursuant to the State Uniform Construction Code Act, P.L. 1975, c. 217 (N.J.S.A. 52:27D-119 et seq.).
COUNTY-LEVEL HOUSING JUDGEA judge appointed pursuant to section 5 at P.L. 2024, c. 2, to resolve disputes over the compliance of municipal fair share affordable housing obligations and municipal fair share plans and housing elements with the Act.
DEFICIENT HOUSING UNITA housing unit with health and safety code violations that require the repair or replacement of at least one 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.
DEVELOPERAny person, partnership, association, company or corporation that is the legal or beneficial owner of a lot or any land, improved or unimproved, which is proposed to be included in a proposed development, including the holder of an option to contract or purchase, or other person having an enforceable proprietary interest in such land.
DEVELOPMENTThe division of a parcel of land into two or more parcels; the construction, reconstruction, conversion, structural alteration, relocation, or enlargement of any use or change in the use of any building or other structure; and any use or change in the use of any building or other structure, or land or extension of use of land, for which permission may be required pursuant to N.J.S.A. 40:55D-1 et seq.
DEVELOPMENT APPLICATIONThe application form and all accompanying documents required by ordinance for approval of a subdivision plat, a site plan, planned development, conditional use, zoning variance, or direction of the issuance of a permit pursuant to N.J.S.A. 40:55D-34 or 40:55D-36.
DEVELOPMENT FEEMoney paid by a developer for the improvement of residential and non-residential property as permitted pursuant to N.J.S.A. 52:27D-329.2 and 40:55D-8.1 through 40:55D-8.7 and N.J.A.C. 5:99-3.
DIVISIONDivision of Local Planning Services within the Department of Community Affairs.
EMERGENT OPPORTUNITYA circumstance that has arisen whereby affordable housing can be created through a delivery mechanism not originally anticipated by or included in a fair share plan that has received compliance certification.
EQUALIZED ASSESSED VALUEThe 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). Estimates at the time of building permit may be obtained by the tax assessor using construction cost estimates. Final EAV shall be determined at project completion by the municipal assessor.
EXCESS RCA FUNDSUnspent money transferred prior to July 17, 2008, pursuant to a regional contribution agreement whose terms have been fulfilled.
EXCLUSIONARY ZONING LITIGATIONLitigation challenging the fair share plan, housing element, ordinances, or resolutions that implement the fair share plan or housing element of a municipality based on alleged noncompliance with the Act or the Mount Laurel Doctrine, which litigation shall include, but shall not be limited to, litigation seeking a builder's remedy.
EXTENSION OF EXPIRING CONTROLSExtending the deed restriction period on units where the controls will expire in the current round of a housing obligation, so that the total years of a deed restriction is at least 60 years.
FAIR SHARE OBLIGATIONThe total of the present need and prospective need as determined by the Affordable Housing Dispute Resolution Program, or a court of competent jurisdiction.
FAIR SHARE PLANThe plan or proposal, which may readily be adopted with accompanying ordinances and resolutions, pursuant to subsection f of section 3 at P.L. 2024, c. 2 (N.J.S.A. 52:27D-304.1) by which a municipality proposes to satisfy its obligation to create a realistic opportunity to meet its fair share of low- and moderate-income housing needs of its region and which details the affirmative measures the municipality proposes to undertake to achieve its fair share of low- and moderate-income housing, as provided in the municipal housing element, and addresses the development regulations necessary to implement the housing element, including, but not limited to, inclusionary requirements and development fees, and the elimination of unnecessary housing cost-generating features from the municipal land use ordinances and regulations.
FHAThe New Jersey Fair Housing Act, N.J.S.A. 52:27D-301 et seq.
GREEN BUILDING STRATEGIESStrategies 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.
HMFA or THE AGENCYThe New Jersey Housing and Mortgage Finance Agency established pursuant to P.L. 1983, c. 530 (N.J.S.A. 55:14K-1 et seq.).
HOUSING ELEMENTThe portion of the municipality's Master Plan, required by the Municipal Land Use Law ("MLUL"), N.J.S.A. 40:55D-28b(3) and the Act consisting of reports, statements, proposals, maps, diagrams, and text designed to meet the municipality's fair share of its region's present and prospective housing needs, particularly with regard to low- and moderate-income housing, which shall include the municipal present and prospective obligation for affordable housing, determined pursuant to subsection f at N.J.S.A. 52:27D-304.1.
HOUSING PROJECTA project, or distinct portion of a project, which is designed and intended to provide decent, safe, and sanitary dwellings, apartments, or other living accommodations for persons of low and moderate income; such work or undertaking may include buildings, land, equipment, facilities, and other real or personal property for necessary, convenient, or desirable appurtenances, streets, sewers, water service, parks, site preparation, gardening, administrative, community, health, recreational, educational, welfare, or other purposes. The term "housing project" may also be applied to the planning of the buildings and improvements, the acquisition of property, the demolition of existing structures, the construction, reconstruction, alteration, and repair of the improvements, and all other work in connection therewith.
HOUSING REGIONA geographic area established pursuant to N.J.S.A. 52:27D-304.2 for each round of low- and moderate-income housing obligations pursuant to the Act.
INCLUSIONARY DEVELOPMENTA 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.
LOW-INCOME HOUSEHOLDA household with a total gross annual household income equal to 50% or less of the regional median household income.
LOW-INCOME HOUSINGHousing unit that is affordable according to the Federal Department of Housing and Urban Development or other recognized standards for home ownership and rental costs and occupied or reserved for occupancy by households with a gross household income equal to 50% or less of the median gross household income for households of the same size within the housing region in which the housing is located.
MAJOR SYSTEMThe primary structural, mechanical, plumbing, electrical, fire protection, or occupant service components of a residential building, which includes, but is 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 UNITSHousing not restricted to low- and moderate-income households that may sell or rent at any price.
MEDIAN INCOMEThe median income by household size for the applicable COAH housing region, as approved by the New Jersey Superior Court.
MODERATE-INCOME HOUSEHOLDA household with a total gross annual household income greater than 50% but less than 80% of the regional median household income for the applicable COAH housing region.
MODERATE-INCOME HOUSEHOLDA household with a total gross annual household income in excess of 50% but less than 80% of the regional median household income.
MODERATE-INCOME HOUSINGHousing affordable according to the Federal Department of Housing and Urban Development or other recognized standards for home ownership and rental costs and occupied or reserved for occupancy by households with a gross household income equal to more than 50% but less than 80% of the median gross household income for households of the same size within the housing region in which the housing is located.
MODERATE-INCOME HOUSING UNITHousing that is affordable according to standards set by the Federal Department of Housing and Urban Development or other recognized authorities for home ownership and rental costs, and is occupied or reserved for occupancy by households with a gross household income more than 50% but less than 80% of the median gross household income for households of the same size within the relevant housing region. It is a restricted unit affordable to a moderate-income household.
MONIThe no-longer-active Market Oriented Neighborhood Investment Program, as it was authorized by the Agency.
MUNICIPAL AFFORDABLE HOUSING TRUST FUNDA separate, interest-bearing account held by a municipality for the deposit of development fees, payments in lieu of constructing affordable units on sites zoned for affordable housing, barrier-free escrow funds, recapture funds, proceeds from the sale of affordable units, rental income, repayments from affordable housing program loans, enforcement fines, unexpended RCA funds from completed RCA projects, application fees, and other funds collected by the municipality for its affordable housing programs. These funds must be used to address municipal low- and moderate-income housing obligations within the time frames established by the Legislature and relevant chapters. "Municipal affordable housing trust fund" also means "municipal development trust fund" and "municipal development fee trust fund."
MUNICIPAL HOUSING LIAISON (MHL)An appointed municipal employee responsible for overseeing and/or administering the affordable housing units created within the municipality, and overseeing the authorization of individuals provided access to the AHMS.
NEW CONSTRUCTIONThe creation of a new housing unit regulated by a code enforcement official, regardless of the means of creation. Newly constructed units are demonstrated by the issuance of a certificate of occupancy, and may include new residences created through additions, alterations, adaptive reuse, subdivision, conversion of existing space, or relocating a structure.
NON-EXEMPT SALEAny sale or transfer of ownership other than the transfer of ownership between spouses; 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.
NON-RESIDENTIAL DEVELOPMENTA. Any building or structure, or portion thereof, including, but not limited to, any appurtenant improvements, which is designated to a use group other than a residential use group according to the State Uniform Construction Code, N.J.A.C. 5:23, promulgated to effectuate the State Uniform Construction Code Act, N.J.S.A. 52:27D-119 et seq., including any subsequent amendments or revisions thereto;
Hotels, motels, vacation timeshares, and child-care facilities; and
The entirety of all continuing care facilities within a continuing care retirement community which is subject to the Continuing Care Retirement Community Regulation and Financial Disclosure Act, N.J.S.A. 52:27D-330 et seq.
ORDER FOR REPOSEThe protection a municipality has from a builder's remedy lawsuit for a period of time following the entry of a judgment of compliance by the Superior Court; a judgment of compliance often results in an order for repose.
PERSON WITH A DISABILITYA person with a physical disability, infirmity, malformation, or disfigurement which is caused by bodily injury, birth defect, aging, or illness including epilepsy and other seizure disorders, and which shall include, but not be limited to, any degree of paralysis, amputation, lack of physical coordination, blindness or visual impairment, deafness or hearing impairment, the inability to speak or a speech impairment, or physical reliance on a service animal, wheelchair, or other remedial appliance or device.
PRICE DIFFERENTIALThe difference between the controlled sale price of a restricted unit and the contract price at the exit sale of the unit, determined as of the date of a proposed contract of sale for the unit. If there is no proposed contract of sale, the price differential is the difference between the controlled sale price of a restricted unit and the appraised value of the unit as if it were not subject to UHAC, determined as of the date of the appraisal. If the controlled sale price exceeds the contract price or, in the absence of a contract price, the appraised value, the price differential is $0.
PRIOR ROUND UNITA. A housing unit that addresses a municipality's fair share obligation from a round prior to the fourth round of affordable housing obligations, including any unit that:
(1) Received substantive certification from COAH;
Is part of a third-round settlement agreement or judgment of compliance approved by a court of competent jurisdiction, inclusive of units created pursuant to a zoning designation adopted as part of the settlement agreement or judgment of compliance to create a realistic opportunity for development;
Is subject to a grant agreement or other contract with either the State or a political subdivision thereof entered into prior to July 1, 2025, pursuant to either Subsection A(1) or (2) above; or
Otherwise addresses a municipality's fair share obligation from a round prior to the fourth round of affordable housing obligations.
A unit created after the enactment of P.L. 2024, c. 2 (N.J.S.A. 52:27D-304.1) on March 20, 2024, is not a prior round unit unless:
(1) It is created pursuant to a prior round development plan or zoning designation that received COAH or court approval on or before the cutoff date of June 30, 2025, or the date that the municipality adopts the implementing ordinances and resolutions for the fourth round of affordable housing obligations, whichever occurs sooner; and
Its siting and creation are consistent with the form of the prior round development plan or zoning designation in effect as of the cutoff date, without any amendment or variance.
PROSPECTIVE NEEDA projection of housing needs based on development and growth which is reasonably likely to occur in a region or a municipality, as the case may be, as a result of actual determination of public and private entities. Prospective need shall be determined by the methodology set forth pursuant to sections 6 and 7 of P.L. 2024, c. 2 (N.J.S.A. 52:27D-304.2 and N.J.S.A. 52:27D-304.3) for the fourth round and all future rounds of housing obligations.
RANDOM SELECTION PROCESSA process (e.g., by lottery) by which income-eligible households are selected for placement in affordable housing units such that no preference is given to one applicant over another except for purposes of matching household income and size with an appropriately priced and sized affordable unit.
RCA ADMINISTRATORAn appointed municipal employee responsible for the oversight and/or administration of affordable units and associated revenues and expenditures within the municipality that were funded through regional contribution agreements.
RCA PROJECT PLANA past application, submitted by a receiving municipality in a regional contribution agreement (RCA), detailing how the receiving municipality intended to create or rehabilitate low- and moderate-income housing.
RECEIVING MUNICIPALITYFor the purposes of a regional contribution agreement (RCA), a municipality that contractually agreed to assume a portion of another municipality's fair share affordable housing obligation.
RECONSTRUCTIONAny project where the extent and nature of the work is such that the work area cannot be occupied while the work is in progress, and a new certificate of occupancy is required before the work area can be reoccupied, pursuant to the Rehabilitation Subcode of the Uniform Construction Code, N.J.A.C. 5:23-6. Projects consisting solely of floor finish replacement, painting or wallpapering, or the replacement of equipment or furnishings are not included. Asbestos hazard abatement and lead hazard abatement projects are not considered reconstruction solely because occupancy of the work area is not permitted.
RECREATIONAL FACILITIES AND COMMUNITY CENTERSAny indoor or outdoor buildings, spaces, structures, or improvements intended for active or passive recreation, including but not limited to ball fields, meeting halls, and classrooms, accommodating either organized or informal activity.
REGIONAL CONTRIBUTION AGREEMENT (RCA)A contractual agreement, pursuant to the Act, into which two municipalities voluntarily entered into prior to July 18, 2008, to transfer a portion of a municipality's affordable housing obligation to another municipality within its housing region.
REHABILITATIONThe repair, renovation, alteration or reconstruction of any building or structure, pursuant to the Rehabilitation Subcode, N.J.A.C. 5:23-6.
RENTThe gross monthly cost of a rental unit to the tenant, including the rent paid to the landlord, as well as an allowance for tenant-paid utilities computed in accordance with allowances published by DCA for its Section 8 program. In assisted living residences, rent does not include charges for food and services.
RESIDENTIAL DEVELOPMENT FEEMoney paid by a developer for the improvement of residential property as permitted pursuant to N.J.S.A. 52:27D-329.2 and N.J.A.C. 5:99-3.2.
RESTRICTED UNITA 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 et seq., as may be amended and supplemented, but does not include a market-rate unit financed under UHORP or MONI.
SENIOR CENTERAny recreational facility or community center that offers activities and services specifically oriented toward serving senior citizens.
SPECIAL MASTERAn expert appointed by a Superior Court Judge to assist the Court, the municipality and any intervenors or other interested parties in applying the Mount Laurel Doctrine, including a determination of municipal fair share and an evaluation of the effectiveness of the municipality's Fair Share Plan.
SUPPORTIVE HOUSING HOUSEHOLDA very-low-, low- or moderate-income household certified as income eligible by an administrative agent in accordance with N.J.A.C. 5:80-26.14, in which at least one member is an individual who requires supportive services to maintain housing stability and independent living and who is part of a population identified by federal or state statute, regulation, or program guidance as eligible for supportive or special needs housing. Such populations include, but are not limited to: persons with intellectual or developmental disabilities, persons with serious mental illness, person with head injuries (as defined in Section 2 of P.L. 1977), persons with physical disabilities or chronic health conditions, persons who are homeless as defined by the U.S. Department of Housing and Urban Development at 24 CFR Part 578, survivors of domestic violence, youth aging out of foster care, and other special needs populations recognized under programs administered by the U.S. Department of Housing and Urban Development, the Low-Income Housing Tax Credit Program, the McKinney-Vento Act, or the New Jersey Department of Human Services. A supportive housing household may include family members, unrelated individuals, or live-in aides, provided that the household meets the income eligibility requirements of this article, except that in the case of unrelated individuals not operating as a family unit, income eligibility shall be tested on an individual basis rather than in the aggregate; the unit is leased or sold subject to the affordability controls established herein; and the supportive services available to the household are designed to promote housing stability, independent living, and community integration. The determination of whether unrelated individuals are operating as a family unit shall be made based on the applicant's self-identification of household members on the affordable housing application.
SUPPORTIVE HOUSING UNITA restricted rental unit that is affordable to very-low-, low- or moderate-income households and is reserved for occupancy by a supportive housing household. A supportive housing unit is intended to provide long-term, community-based housing for individuals with intellectual or developmental disabilities, as defined at N.J.S.A. 30:6D-25b. Such units must be leased subject to the affordability controls established herein; remain subject to Affirmative Marketing requirements, household certification, and administrative agent oversight; and may, with the approval of the municipal housing liaison and the administrative agent, be leased either by the bedroom or to a single household in the case of multi-bedroom configurations, provided such arrangement is consistent with the Federal Fair Housing Act (Title VIII of the Civil Rights Act of 1968) and the project's Affirmative Marketing Program. A supportive housing unit may, with the approval of the administrative agent, be subject to a master lease by an approved supportive housing operator, provided that all subleases are to be certified supportive housing households and remain fully subject to the affordability controls of this article. Rents for supportive housing units shall not exceed the rent standards established and published by the New Jersey Department of Human Services. Supportive housing units are also referred to as permanent supportive housing units.
TREASURERThe Treasurer of the State of New Jersey.
UHACThe Uniform Housing Affordability Controls set forth in N.J.A.C. 5:80-26.1 et seq.
UHORPThe Agency's Urban Homeownership Recovery Program, as it was authorized by the Agency Board.
VERY-LOW-INCOME HOUSEHOLDA housing affordable according to the Federal Department of Housing and Urban Development or other recognized standards for home ownership and rental costs and occupied or reserved for occupancy by households with a gross household income equal to 30% or less of the median gross household income for households of the same size within the housing region in which the housing is located.
VERY-LOW-INCOME HOUSINGHousing affordable according to the Federal Department of Housing and Urban Development or other recognized standards for home ownership and rental costs and occupied or reserved for occupancy by households with a gross household income equal to 30% or less of the median gross household income for households of the same size within the housing region in which the housing is located.
VERY-LOW-INCOME UNITA restricted unit that is affordable to a very-low-income household. Very-low-income units are a subset of low-income units.
VETERANA veteran as defined at N.J.S.A. 54:4-8.10.
VETERANS' PREFERENCEThe agreement between a municipality and a developer or residential development owner that allows for low- to moderate-income veterans to be given preference for up to 50% of rental units in relevant projects, as provided for at N.J.S.A. 52:27D-311j.
WEATHERIZATIONBuilding 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 crediting purposes.