This article of the Borough of Leonia Code sets forth regulations regarding
low- and moderate-income housing units in the Borough of Leonia that are consistent
with the provisions of N.J.A.C. 5:93 et seq. as effective on June 6, 1994.
These rules are pursuant to the Fair Housing Act of 1985 and Leonia's constitutional
obligation to provide for its fair share of low- and moderate-income housing.
Leonia's fair share obligation will be divided equally between low-
and moderate-income households as per N.J.A.C. 5:93-2.20.
Except for inclusionary developments constructed pursuant to low-income
tax credit regulations:
A. At least half of all units within each inclusionary development
will be affordable to low-income households; and
B. At least half of all rental units will be affordable
to low-income households; and
C. At least 1/3 of all units in each bedroom distribution
pursuant to N.J.A.C. 5:93-7.3 will be affordable to low-income households.
Inclusionary developments that are not age-restricted will be constructed
in conjunction with realistic market demands so that:
A. The combination of efficiency and one-bedroom units is
at least 10% and no greater than 20% of the total low- and moderate-income
units;
B. At least 30% of all low- and moderate-income units are
two-bedroom units;
C. At least 20% of all low- and moderate-income units are
three-bedroom units;
D. Low- and moderate-income units that are age-restricted
may utilize a modified bedroom distribution. At a minimum, the number of bedrooms
will equal the number of age-restricted low- and moderate-income units within
the inclusionary development.
In conjunction with realistic market information, the following criteria
will be used in determining maximum rents and sales prices:
A. Efficiency units will be affordable to a one-person household;
and
B. One-bedroom units will be affordable to households of
1.5 persons; and
C. Two-bedroom units will be affordable to three-person
households; and
D. Three-bedroom units will be affordable to households
of 4.5 persons; and
E. Median income by household size will be established by
a regional weighted average of the uncapped Section 8 income limits published
by HUD as per N.J.A.C. 5:93-7.4(b); and
F. The maximum sales prices of low- and moderate-income
units within each inclusionary development will be affordable to households
earning no more than 70% of median income. In averaging an affordability range
of 55% for sales units, the municipal ordinance will require moderate-income
sales units to be available for at least two different prices and low-income
sales units to be available for at least two different prices; and
G. For both owner-occupied and rental units, the low- and
moderate-income units will utilize the same heating source as market units
within an inclusionary development; and
H. Low income units will be reserved for households with
a gross household income less or equal to 50% of the median income approved
by COAH; moderate-income units will be reserved for households with a gross
household income less than 80% of the median income approved by COAH as per
N.J.A.C. 5:93-7.4(g); and
I. The regulations outlined in N.J.A.C. 5:93-9.15 and 5:93-9.16
will be applicable for purchased and rental units.
For rental units, developers and/or municipal sponsors may:
A. Establish one rent for a low-income unit and one for
a moderate-income unit for each bedroom distribution; and
B. Gross rents, including an allowance for tenant-paid utilities,
will be established so as not to exceed 30% of the gross monthly income of
the appropriate household size as per N.J.A.C. 5:93-7.4(f). The tenant-paid
utility allowance will be consistent with the utility allowance approved by
HUD for use in New Jersey.
C. The maximum rents of low- and moderate-income units within
each inclusionary development will be affordable to households earning no
more than 60% of median income. In averaging an affordability rate of 52%
for rental units, developers and/or municipal sponsors of rental units may
establish one rent for a low-income unit and one rent for a moderate-income
unit for each bedroom distribution.
In zoning for inclusionary developments the following is required:
A. Low- and moderate-income units will be built in accordance
with N.J.A.C. 5:93-5.6(d);
|
Minimum Percentage of Low/Moderate-Income Units Completed
|
Percentage of Market Housing Units Completed
|
---|
|
0
|
25
|
|
10
|
25 + 1 unit
|
|
50
|
50
|
|
75
|
75
|
|
100
|
90
|
B. A design of inclusionary developments that integrates
low- and moderate-income units with market units is encouraged as per N.J.A.C.
5:93-5.6(f).
A development fee ordinance was approved by COAH and adopted by the
Borough of Leonia on May 30, 2002.
To provide assurances that low- and moderate-income units are created
with controls on affordability over time and that low- and moderate-income
households occupy these units, the Borough of Leonia will designate the Borough
Administrator with the responsibility of ensuring the affordability of sales
and rental units over time. The Borough Administrator will be responsible
for those activities detailed in N.J.A.C. 5:93-9.1(a).
A. In addition, the Borough Administrator will be responsible
for utilizing the verification and certification procedures outlined in N.J.A.C.
5:93-9.1(b) in placing households in low- and moderate-income units; and
B. Newly constructed low- and moderate-income sales units
will remain affordable to low- and moderate-income households for at least
30 years. The Borough Administrator will require all conveyances of newly
constructed units to contain the deed restriction and mortgage lien adopted
by COAH and referred to as "Technical Appendix E" as found in N.J.A.C. 5:93;
and
C. Housing units created through the conversion of a nonresidential
structure will be considered a new housing unit and will be subject to thirty-year
controls on affordability. The Borough Administrator will require COAH's appropriate
deed restriction and mortgage lien.
Regarding rehabilitated units:
A. Rehabilitated owner-occupied single-family housing units
that are improved to code standard will be subject to affordability controls
for at least six years; and
B. Rehabilitated renter-occupied housing units that are
improved to code standard will be subject to affordability controls for at
least 10 years.
Section 14(b) of the Fair Housing Act N.J.S.A. 52:27D-301 et seq. incorporates
the need to eliminate unnecessary cost-generating features from Leonia's land
use ordinances. Accordingly, the Borough of Leonia will eliminate development
standards that are not essential to protect the public welfare and to expedite
or fast-track municipal approvals/denials on certain affordable housing developments.
The Borough of Leonia will adhere to the components of N.J.A.C. 5:93-10.1
to 5:93-10.3.
The Borough of Leonia's fair-share plan does not currently include new
construction; however, the Borough has a future goal of 18 affordable units.
This article will apply to any future developments that contain proposed low-
and moderate-income units.