A. This Ordinance is intended to facilitate ways in which housing rehabilitation and new construction can be provided for low and moderate income households within the Township of Liberty in order for the Township to meet its housing obligations as determined by the New Jersey Council on Affordable Housing (COAH)
B. It is intended to provide technical and financial assistance to eligible homeowners for rehabilitating homes occupied by tow or moderate income households.
C. It is intended to provide a vehicle for eligible homeowners to gain access to the loans and/or grants froth the Liberty Township Housing Trust Fund.
D. Funding for rehabilitation shall be through grant programs sponsored by the State of NJ Department of Community Affairs and/or funding from the Housing Trust Fund and/or other sources not yet determined.
A. Words and phrases defined in the Fair Housing Act, the Municipal Land Use Law (40:55D-1 et seq) and in the Substantive Rules of the Council on Affordable Housing (COAH N.J.A.C..5:93-1.3) shall be incorporated in this Ordinance as if written herein.
B. FAIR HOUSING PROGRAM " shall mean the program provided under the terms of this Ordinance.
C. GROSS INCOME shall mean the total income of all members of an applicant's household including but not limited to, wages, tips, interest, dividends, and retirement programs.
D. HOUSING ADMINISTRATOR shall be the Township Clerk/Administrator or his/her designee.
E. HOUSING TRUST FUND shall mean the Liberty Housing Trust Fund established for the financing of low and moderate income housing rehabilitation and development.
F. INCLUSIONARY DEVELOPMENT is a development which is a mix of dwelling units which sell or rent at market value and those which sell or rent at a reduced value based on allowable spending limits for low and moderate income families as determined by the Council on Affordable Housing.
G. INDIGENOUS HOUSING NEED means deficient housing units occupied by low and moderate income households within a municipality.
H. MUNICIPAL SPONSOR means a municipality which has involved itself in actual production of new, low and/or moderate income housing.
I. REHABILITATION shall mean the restoration of a deficient or substandard dwelling unit to a safe and sanitary condition as provided for under the terms of this Ordinance.
A. Eligibility
Only owners of dwelling units within Liberty Township shall be eligible for rehabilitation assistance offered by this Ordinance.
a. The homeowner, as a member of either a low or moderate income household who lives in the dwelling unit to be rehabilitated, or an owner who rents the dwelling unit to be rehabilitated to either a low or moderate income household shall be eligible for the assistance offered under this Ordinance provided the owner agrees to rent the rehabilitated dwelling unit to a low or moderate income household for the required minimum period of time and at a rate which follows COAH guidelines. Proof of income of the household occupying the rehabilitated unit shall be required by the Housing .Administrator.
b. A dwelling unit proposed to be rehabilitated shall be located in the Township of Liberty and shall be considered deficient or substandard as determined by the Housing Administrator. To qualify as deficient, the unit. must have a minimum of two of the following characteristics:
(1) Constructed prior to 1940;
(2) Be occupied by more than 1 person per room;
(3) Not have a private entranceway to the dwelling unit;
(4) Not have exclusive access to complete plumbing facilities meeting the health and sanitary codes of the Township of Liberty;
(5) Not have adequate kitchen facilities such as piped water, a safe, operating stove or an operating refrigerator.
A unit shall be considered substandard if it has deficiencies that violate the U.S. Department of Housing and Urban Development (HUD) Section 8 Existing Housing Quality Standards.
c. The rehabilitation will, upon completion, result in a safe and sound dwelling unit meeting all health and safety code requirements as certified through the issuance of a Certificate of Occupancy,
d. The homeowner must agree, in writing, to comply with all requirements of this Ordinance and the rules and. regulations established by COAH, and other applicable ordinances of the Township of Liberty at the time the agreement for the assistance offered by this Ordinance is signed.
B. Effect on Homeowner
Owners who secure financial assistance under the terms of this Ordinance shall be entitled to the following rights and shall undertake the following obligations:
a The right to apply for, and receive special property tax assessment treatment in accordance with applicable state law.
b. The obligation to place a deed restriction on the property specifying that only low or moderate income households may occupy the designated dwelling unit. The deed restriction shall take effect on the date the application is approved and. money has been made available for the rehabilitation project. The deed restriction shall be in effect for six years for owner-occupied units and ten years for renter-occupied as per N.J.A.C. 5:93-5.2(g). The beginning of the restricted time period shall be from the date the certificate of occupancy is issued following completion of the rehabilitation wort Sale of the deed restricted property shall not affect the deed restriction
c. The obligation to sell or rent the dwelling unit at prices within the range of affordability as set forth by COAH for the period of the deed restriction. Increases in the affordability controls may be granted upon written application to, and review by the Housing Administrator assuring compliance with COAH's requirements for changes in the affordability controls.
C. Penalties for Noncompliance
No financial assistance from the Housing Trust Fund shall be disbursed to any applicant without full compliance with the requirements of this Ordinance and other applicable regulations. Any person who violates or who fails to comply with this Ordinance or the other applicable regulations shall be penalized no more than $1,000 and/or jailed no longer than one year and, as part of the penalty, shall make restitution of any and all funds paid from the Housing Trust Fund. Nothing herein shall prevent the Township of Liberty from taking such other lawful action as is necessary to prevent or remedy any violation
Under this section Liberty Township undertakes to actively market through advertising in the media, distributing flyers, etc. the availability of rent or sales price restricted units which are to be made available to low and moderate income households. The Housing Administrator is responsible for these activities. A. Staff (1) The Housing Administrator shall perform the following duties:
(a) Conducting an Affirmative Marketing Program:
i. Mailing to all homeowners at least once a year, an announcement of the Fair Housing Program. This announcement dial/ include an explanation of the eligibility requirements as well as the procedures for making application for rehabilitation assistance under the program.
ii. Conducting at least one well publicized public meeting to outline and answer questions about the Fair Housing Program.
iii. Issuing periodic press releases to inform the public of news related to the Fair Housing Program and to promote interest in the program.
iv. Preparation of information/application packets for distribution to interested homeowners.
(b) Preparation of the necessary applications, financial statements, a summary of the commitments to the rules and regulations of the program, and such other forms to be executed in administering the program. The final set of forms and documents prepared by the Housing Administrator shall be approved by the Township Clerk/Administrator. The appropriate forms shall include, along with other data deemed appropriate, proof of ownership, income qualifications of the occupants of the rehabilitated unit, the deed restrictions and the tune period for affordability controls applicable to the property, a description of the work to be performed, the total cost of the work, how much will be a loan and how much a grant, as well as the method of repaying any loan.
(c) Determining the eligibility of the applicant based on the requirements of this Ordinance and the data provided on the forms required as part of the application procedure.
(d) Maintenance of an updated file on available governmental and non-governmental programs for financial assistance for low and moderate income households, including eligibility requirements, application forms, filing deadlines, and whether funding is currently available.
(e) Providing technical assistance to eligible low or moderate income applicants to apply for financial assistance for housing rehabilitation from state and federal programs and from the Housing Trust Fund.
(f) Determining the deficiencies of an applicants dwelling unit and submit the findings in writing to be kept on file as part of the application
(g) Maintaining a list of approved contractors based upon satisfactory references on past work performed and on satisfactory credit ratings.
(h) Determining whether the proposed work to be performed meets the parameters of this Ordinance and whether the cost to complete that work is reasonable. Said determination shall be in writing and kept on file as part of the application.
(i) Conducting appropriate, periodic inspections of the work being done and, when satisfactorily completed, issue a certificate of compliance bearing the date the certificate was issued A copy of this certificate shall be kept as pate of the file on the application.
(j). Preparation and periodic presentation (at least once a year) to the Township Clerk/Administrator of a report on the number and type of rehabilitation applications received and the amount of technical assistance provided by the Housing Administrator. The report shall contain, at a minimum:
i. the number of applications received;
ii. those approved;
iii. the income levels of those approved;
iv. the number of rehabilitated dwelling units completed;
v. the cost of each;
vi. a summary of the type of work completed; and
vii. low many applications are currently being processed
(k) Maintaining regular office hours to be available to meet with interested homeowners.
The Housing Administrator can call upon the following municipal employees to aide in carrying out the Ordinance:
The Program Development Specialist
The Township Treasurer
The Zoning Officer
The Health Officer
The Construction Official
The Township Engineer
The Township Attorney
The Housing Administrator can obtain the services of professional consultants, if deemed to be needed, and confirmed by the proper Township Officials.
B. Funding
(1) The Township shall include in its annual budget sufficient funds to pay for the costs of administering this Ordinance. The money expended far preparing arid implementing the Fair Housing Ordinance shall, in accordance with the Fair Housing Act, be considered a mandated expenditure exempt from the limitations on final appropriations imposed pursuant to P.L. 1976, c. 68 (C.40A:4-45.1 et seq).
The source of funding to administer and implement this program may include:
1. State and federal programs
2. The Housing Trust Fund
3. Municipal budget appropriations
State and federal funds shall be disbursed according to the rules and regulations of the agency administering the funds.
Housing Trust Fund monies shall be available for housing rehabilitation. The finds shall be disbursed as grants for rehabilitating deficient dwelling units owned or occupied by low income households. The funds shall be disbursed as loans bearing two percent (2%) simple interest for rehabilitating deficient dwelling units owned and occupied by moderate income households of deficient dwelling units owned by an absentee landlord but occupied by either a low or moderate income household.
The above loans may be disbursed to a qualified resident homeowners who agree to a lien on the property for repayment of the loan plus accrued interest. The loan and interest shall be repaid as determined by the Township Housing Administrator and, the homeowner. Where the property is sold or transferred prior to the loan being repaid, the entire remaining balance of the loan plus accrued interest shall be paid to the Housing Trust Fund at the time of transfer.
A. Application
Applications and other required forms shall be made available at the office of the Housing Administrator. Technical assistance shall be available from that office to assist applicants in completing and submitting an application. There shall be no fee for filing an application.
B. view
1. The Housing Administrator shall determine the completeness of the application.
2. Upon a determination of completeness, the Housing Administrator shall determine whether the applicant meets the eligibility criteria..
3. Upon a determination that the applicant is eligible under the program, the Housing Administrator shall inspect the property to determine whether it qualifies as deficient under. this Ordinance.
4. Upon a determination that the dwelling unit is deficient, the Housing Administrator shall cause a written description of the work required to be completed in order to meet the criteria of this Ordinance and related health and safety codes and submit a copy to the applicant and retain one copy to be kept as part of the applicant' s file. It shall be prepared by an individual qualified to make such written description.
5. Upon receipt of this description of the work required to be completed, the applicant shall:
Indicate any discrepancies or omissions in, writing to the Housing Administrator. The Housing Administrator shall review the applicant's comments arid provide a written response, including any appropriate adjustments to the original report. A copy of this response shall be submitted to the applicant with a copy to be kept as part of the applicant's file.
Following the final determination of the work to be performed and acceptance by the homeowner, the Housing Administrator shall seek written proposals, together with the cost to complete the work, from appropriate qualified contractors. A list of these contractors shall be kept in the office of the Housing Administrator. The Housing Administrator shall recommend a contractor based upon completeness of the proposal and the lowest overall cost submitted. This recommendation shall be submitted to the applicant for review and concurrency.
C. Action on the Application
1. Upon review of the contractors written proposal and cost estimate, the Housing Administrator shall either approve, disapprove, or modify the proposal as might be appropriate to meet the requirements of the applicable ordinances and requirements of this program and the judgement of both as to the reasonableness of the cost. If the proposal is modified or disapproved, the applicant and the contractor may meet with the Housing Administrator to make appropriate modifications until the application is approved.
2. Upon approval of the work to be performed and the related cost, together with the eligibility of the applicant, all contracts shall be executed.
(a) The contract between the applicant and the Township of Liberty and/or other governmental agencies covering the amount of the loan, the purpose of the loan, the deed restrictions and affordability controls, payback requirements for any loans, penalties for noncompliance, and such other requirements of the program as required by law.
(b) The contract between the contractor and the applicant outlining the work to be performed, the cost, and the time of performance.
3. All payments which require expenditures from the Township Housing Trust Fund shall be made by the Township to the contractor in accordance with the provisions of the contract outlined in 5.3b2 above, subject to a guarantee that the money will go toward completion of the work included in the application and the contract. Any agreements with state and/or federal agencies will be conditioned upon the criteria of those agencies.
4. Following completion of the work, the Housing Administrator shall inspect the dwelling unit and certify whether or not the work has been satisfactorily completed. If the work, is sufficient, a Certificate of Compliance shall be issued. If the work is insufficient, the contractor shall be notified and given 90 days to remedy the conditions cited. If the conditions are not corrected within 90 days, the Housing Administrator shall be authorized to either use remaining funds of the guarantee or such other remedies as appropriate to complete the work in a satisfactory manner.
