There is hereby created an Affordable Housing
Agency ("Agency") of the Township of North Brunswick.
A.
The Agency shall consist of five members and two alternate
members, all of whom shall be appointed by the Council. The membership
of the Agency may consist of one or more Township officials, no more
than two of whom may be Council members. All remaining members must
be Township residents. However, one appointment shall be reserved
for a tenant or owner/occupant of a low- or moderate-income unit who
is not a Township official.
B.
Alternate members shall have all of the powers of
regular members when sitting in place of a regular member. Until such
time as a low- or moderate-income owner or renter appointment can
be made, an alternate member shall function as a regular member.
C.
The Council shall designate annually one regular member
to serve as Chairperson.
D.
Attendance by three regular members or alternates
shall constitute a quorum. Passage of any motion requires an affirmative
vote by a majority of members present.
E.
The initial term of office of the Agency members shall
be one, two or three years, to be designated by the Council in making
the appointment. The terms of office shall thereafter be three years.
The appointments shall be made in such a manner so that the terms
of approximately 1/3 of the members shall expire each year. The term
of office for Council members shall be for a one-year appointment
and subject to reappointment for one-year terms.
The Council may remove any member of the Agency
for cause. Written charges served upon the member shall be followed
by a hearing thereon, at which time the member shall be entitled to
be heard either in person or by counsel. A vacancy in the Agency occurring
otherwise than by expiration of the term shall be filled for the unexpired
term in the same manner as an original appointment.
The Agency shall:
A.
Within 30 days of the effective date of this Part
1, hold its first organizational meeting.
B.
Within 90 days of its organizational meeting, prepare
and forward to the Township Council such rules and regulations as
may be necessary to implement the policies and goals of this Article;
specifically, to ensure that housing units designated as low- or moderate-income
units, once constructed, shall remain affordable to and be occupied
by low- or moderate-income households. Such rules shall be subject
to review and approval of the Township Council. The Council shall
review and approve or disapprove or recommend changes within 60 days
of the Agency's proposal to the Council. The Agency must revise and
resubmit proposed rules and regulations to the Council within 20 days
of the Council's disapproval or recommended changes. The Council shall
then review and approve the revisions within 20 days of resubmittal
by the Agency. The final approved rules and regulations shall be approved
by the Council within a maximum total of 190 days from the organizational
meeting of the Agency.
C.
Establish guidelines for regulation of capital improvements,
within 150 days of its organizational meeting.
D.
At a minimum, review its rules and regulations and
implement guidelines annually and report to the Township Council on
its findings.
E.
Determine the maximum sale, resale and rental charges
for low- or moderate-income units, and provide certification of the
same to the developer, Planning Board, Mayor and Council and the Construction
Official in charge of issuing building permits as required by this
Part 1. Said sales and rental prices shall be adjusted annually to
reflect recalculations of the regional median income.
F.
G.
Prequalify prospective owners and renters based upon
income and household size, and issue a certificate as to income eligibility
status.
H.
Establish selection procedures and criteria for determining
qualified purchasers and households. Preference shall be given for
up to 40% of the lower-income units being offered for sale or rent
in each phase of a project to qualified households who live or work
in the Township. In order to be entitled to said preference, the application
must be submitted within 30 days of the unit initially being offered
for sale or rent. In the class "live or work," there shall be no preference
given to either "live" or "work."
I.
Verify that an affordable housing plan has been recorded
and the deeds of individual lower-income units reference such affordable
housing plan.
K.
Determine whether the cost or value of the installation
of improvements or amenities within or as part of a low- or moderate-income
unit should be included in the calculation of the resale price or
rental charge for the unit and establish procedures whereby a homeowner
can obtain a determination from the Agency in this regard prior to
the time the improvements are made. The Agency shall publish within
30 days of adoption the guidelines and regulations setting forth the
allowable capital improvements that will be considered for inclusion
in the resale price of any lower-income unit. These regulations will
indicate those improvements whose value will be included; the maximum
cost allowed to be included within the resale price for each improvement,
as well as guidelines for the total maximum percentage by which the
base price of a lower-income unit may be increased by the cost of
all capital improvements and the rate at which such maximum percentage
increase may be attained, all for the purposes of determining the
maximum resale price of the lower-income units. No portion of the
cost or value of any improvement not specifically set forth in the
guidelines and regulations and which is not approved by the Agency
prior to installation shall be included within the base price for
purposes of resale price calculation. If the owner receiving approval
from the Agency for an improvement, a portion of the cost or value
of which is to be included within the base price of the lower-income
unit, is in need of a second mortgage in order to pay for such improvement,
then the Agency shall execute and deliver to the owner for recording
by the owner a document by which the Agency's rights, claims and liens
under this Affordable Housing Ordinance and the affordable housing
plan are also subordinated to such second mortgage. The Agency's rights,
claims and liens shall not be subordinated to any second mortgages
unless the Agency shall execute and deliver such instrument to an
owner in connection with an improvement approved by the Agency.
L.
Review and approve or disapprove the affordable housing
plan required of all developers of low- and moderate-income housing.
M.
Review and approve or disapprove the developer's proposed
affirmative marketing plan and require developers to submit proofs
of publication in accordance with approved affirmative marketing plans,
and monitor the marketing practices of developers of low- and moderate-income
units to ensure that they comply with the affirmative marketing requirements
of this Part 1.
N.
Report quarterly to the Township Council on the status
of low- and moderate-income units, including but not limited to such
things as the Agency's actions in connection with any statements of
exemption and foreclosures upon any lower-income units.
O.
At all times, maintain a waiting list of qualified
purchasers and provide said list to any owner in the event of default
proceedings.
A.
Developers of lower-income units shall, at the time
of submission of an application to the Township Planning Board, reimburse
the Township on a pro-rata basis for the cost of all initial start-up
costs. Start-up costs are those costs necessary to enable the Agency
to establish rules, regulations and guidelines and shall include,
but not be limited to, attorney's fees, accountant's fees and fees
for other required professional services. The total obligation for
start-up costs to all developers shall be $15,000. The pro-rata calculation
shall be performed by the Agency utilizing the Township's total lower-income
obligation established by pursuant court order.
B.
The Agency may employ or contract for professional
services required to carry out its duties and responsibilities, and
all developers of lower-income units shall be required to pay application
fees at the time of submission for site plan approval. Said fee shall
be equal to $10 per lower-income unit included in the application
for site plan approval.
C.
The Agency shall report to the Township Council through
the Township Administrator.
