In the event of a foreclosure sale, the owner of the affordable housing unit shall be personally obligated to pay the Commission responsible for assuring affordability, any surplus funds, but only to the extent that such surplus funds exceed the difference between the maximum price permitted at the time of foreclosure and the amount necessary to redeem the debt to the financial institution, including costs of foreclosure. (Ord. #1294, § IX)

a. The price of an owner-occupied housing unit and the rents of 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 Commission be lower than the last recorded purchase price. This unit may be sold for less than the maximum resale price.

b. With the exception of rentals constructed pursuant to low income tax credit regulations, the rent of a low or moderate income housing unit shall be increased annually based on the percentage increase in the Housing Consumer Price Index for the United States. This increase shall not exceed nine (9%) percent in any one (1) year. Rents for units constructed pursuant to low income tax credit regulations shall be indexed pursuant to the regulations governing low income tax credits. These provisions regarding rental increases shall apply to all rentals of low and moderate income units in the Township. (Ord. #1294, §IX)

a. Low and moderate income sales units shall not be offered to non-income eligible households at initial sale without COAH approval. Parties that petition COAH for such approval shall document efforts to sell housing units to income eligible households and shall adhere to the procedures outlined in N.J.A.C. 5:91-12.

b. Persons wishing to sell affordable units shall notify the Commission responsible of the intent to sell. If no eligible buyer enters a contract of sale for the unit within ninety (90) days of notification, the Commission shall have the option to purchase the unit for a negotiated price that shall not exceed the maximum price permitted based on the regional increase in the median income as defined by HUD or other recognized standards adopted by COAH. If the Commission does not purchase the unit, the seller may apply for permission to offer the unit to a non-income eligible household at the maximum price permitted. The seller shall document efforts to sell the unit to an income eligible household including a history of price reductions as part of this application. In reviewing the request, the Commission shall consider the specific reasons for any delay in selling the housing unit and the hardship to the seller in continuing to offer the affordable unit to an income eligible applicant. The inability to sell a unit for the maximum permitted resale price shall not, in itself, be considered an appropriate reason for allowing a housing unit to be sold to a non-income eligible household. If the request is granted, the seller may offer a low income housing unit to a moderate income household and a moderate income housing unit to a household earning in excess of eighty (80%) percent of median. In no case shall the seller be permitted to receive more than the maximum price permitted. In no case shall a sale pursuant to this section eliminate the resale controls on the unit or permit any subsequent seller to convey the unit in full compliance with the terms of this section.

c. Owners of low and moderate income rental units shall not offer rental units to a non-income eligible household without prior approval of the Commission and COAH. Parties that petition for such approval shall document all efforts to rent to income eligible households and demonstrate to the satisfaction of the Commission and COAH that alternatives, such as a reduction in rent, are not feasible. Parties that petition the Commission and COAH shall adhere to the procedures outlined in N.J.A.C. 5:91-12. (Ord.#1294, §IX)

a. Owners of low and moderate income rental units shall be obligated to rent the units to the certified household with the earliest date of certification as determined by the Commission, regardless of the order in which the applicants first viewed the apartment.

b. Notwithstanding the foregoing, an owner may reject a certified tenant for one (1) or more of the following reasons:

1. Poor credit history

(a) Based on a credit rating report, prepared by a standard reporting agency, which shows a payment history of two (2) or more instances of over ninety (90) days or more past due within the prior twelve (12) months;

(b) Based on a filing of bankruptcy within the last five (5) years; or

(c) Based on a credit history that demonstrates a disproportionate debt to income ratio.

2. Poor references from prior landlord(s) such as

(a) Continual late payment of rent;

(b) Destruction of apartment or common areas; or

(c) Violation of a previous lease.

3. The owner shall be responsible for any and all costs associated with obtaining the above referenced credit reports and/or landlord references.

c. The occupancy of any low or moderate income affordable unit by any individual or household, other than the owner/landlord, shall constitute a landlord-tenant relationship and shall be considered to be a rental of the unit even if the owner/landlord waives the requirements of a formal lease agreement and/or rent payments.

d. The tenancy of all affordable units are subject to the requirements of the Plan and any tenancy of low or moderate income units must be approved in advance by the Commission in accordance with the Plan.

e. Any tenancy of a low or moderate income unit not approved by the Commission shall be a violation of the Plan. (Ord. #1294, §IX)

a. Purpose. The Township has provided for the construction and occupancy of low and moderate units to satisfy its affordable housing fair share obligation. The affirmative marketing plan is a continuing program for a regional marketing strategy designed to attract buyers and/or renters of all majority and minority groups, regardless of sex, age or number of children, to housing units which are being marketed by an individual, a developer/sponsor, Municipality and/or the Commission. The Commission shall maintain an active list of eligible buyers and renters and an active list of available low and moderate income units. The Plan prohibits discrimination in the sale, rental, financing or other services related to housing on the basis of race, color, sex, religion, handicap, age, familial status/size or national origin. The Township is in the housing region consisting of Bergen, Hudson, Passaic and Sussex Counties. The affirmative marketing program is a continuing program.

b. Advertisement. All newspaper articles, announcements and requests for applications for low and moderate income units will appear in the following daily regional newspapers/publications: The Record, The Star Ledger and Jersey Journal, the Ridgewood News and the Suburban News. The primary marketing will take the form of at least one (1) press release sent to the above publications and a paid display advertisement in each of the above newspapers. Additional advertising and publicity will be on an "as needed" basis. The advertisement will include a description of the street address of units, general directions to housing units, the number of bedrooms per unit, the range of prices/rents, the size of units, income information, and location of applications including business hours and where/how applications may be obtained. All newspaper articles, announcements and requests for applications for low and moderate income housing will appear in the following neighborhood oriented weekly newspaper within the region: Ramsey-Mahwah Reporter.

c. Applications. The following is the location of applications, brochure(s), sign(s) and/or poster(s) used as part of the affirmative marketing program: The Department of Human Services, Township of Mahwah, 300B Route 17S., Mahwah, New Jersey.

d. Other Contacts. The following is a listing of community contact person(s) and/or organization(s) in Bergen, Hudson, Passaic and Sussex Counties that will aid in the affirmative marketing program with particular emphasis on contacts that will reach out to groups that are least likely to apply for housing within the region: Housing Authority of Bergen County, Community Resource Council, Bergen County Human Services, Urban League, Fair Housing Council and the Board of Social Services.

e. Random Selection. The following is a description of the random selection method that will be used to select occupants of low and moderate income housing projects. Certified households shall be chosen at random for available units by lottery system administered by the Affordable Housing Agency. Since the initial low and moderate income housing projects have been completed, applicants shall be placed on a list based upon income/household category and date of certification of eligibility. (Ord. #1294, §IX)

The Commission shall charge fees as follows:

a. Each applicant shall pay a nonrefundable eligibility certification fee of fifty ($50.00) dollars.

b. Determination of maximum resale price or rental charge of fifty ($50.00) dollars.

c. The developer/owner/seller shall pay the sum of five hundred ($500.00) dollars upon closing or rental. In the event that an owner of an affordable housing unit fails to pay the $500.00 rental processing fee the Commission shall not process any subsequent application for rental of the affordable housing unit without receiving payment of the unpaid fee and pre-payment of the fee for renting the unit to a new certified eligible individual. The pre-payment fee shall be held in escrow. In the event that the unit is not rented the pre-payment fee shall be returned to the owner.

**Webmasters Note: The previous subsection has been amended as per Ordinance No. 1541.

d. nonpayment of required fees then the Court shall impose a fine for the first offense of one thousand ($1,000.00) dollars for a violation of the sale/rental regulations and the amount of the unpaid fee for a nonpayment violation plus Court costs and as to subsequent offenses the same fine.

In addition, the Court shall direct an Owner or Landlord to make complete restitution to the occupant of the premises if it finds that the occupant had no knowledge of the violation of the Housing Plan and the actual rent charged by the Seller or Landlord

The Court shall also impose court costs in the event of a violation and may impose an imprisonment for a term not to exceed ninety (90) days. Every day that the violation continues shall be considered a separate and subsequent offense The Court may upon proper motion exercise its discretion to merge separate offenses into one (1) offense.

**Webmasters Note: The previous subsection has been added as per Ordinance No. 1541. There is a page missing from the original document and it will be inserted upon receipt.