This portion of the ordinance regulates the provision of new low and moderate income housing units. It includes units which may be for sale or for rent. This section outlines the requirements of the Council on Affordable Housing with regard to allowable costs, marketing efforts and the mix of unit types to be provided in any inclusionary development.
Liberty Township has zoned an area of the Township as MFD, Multifamily Dwelling Zone. This zone, in addition to single family dwellings, allows for townhouses and other vertically separated attached housing as part of a planned residential development. The required conditions for such a development are discussed in Article IV, Multifamily Development and Planned Residential Development, of the code of the Township of Liberty, New Jersey.
In order to develop at the gross density allowed, four units to the acre, the applicant must have the minimum tract of twenty-five acres and the provision of potable water and sewer collection infrastructure and the means of treating sewer effluent.
As part of the approval process for a Planned Residential Development, the Township will require that ten percent of the units proposed will be set aside for low and moderate income households.
A. Affordability Controls
In accordance with COAH standards, affordability controls shall be based on two person households for one bedroom units, three person households for two bedroom units, and five person households for three bedroom units.
B. Rent Controls
1. Rents shall not exceed 30 percent of the published income limits for households of the sizes indicated in Section 6.1 above and these rent limits shall include utilities to be paid by the tenant.
2. Rents may be increased annually based on the percentage increase in the Housing Consumer Price Index for the United States in accordance with N.J.A.C. 5:93-9.15.
C. Length of Controls on Affordability
Affordability controls for owner-occupied buildings which have been rehabilitated to incorporate new rental units shall be for a period of six (6) years. Rental rehabilitated dwelling units which are not owner occupied shall be restricted as to affordability both from the standpoint of income and rent fox a period often (10) years.
This section of the Liberty Township Code sets forth regulations regarding low and moderate income housing units in Liberty Township that are consistent with the provisions of N.J.A.C. 5:93 et. seq. as effective on January 5,1998. These rules are pursuant to the Fair Housing Act of 1985 and Liberty Township's constitutional obligation to provide for its fair share of low and moderate income housing.
Liberty Township's new construction or inclusionary component 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:
At least half of all units within each inclusionary development will be affordable to low income households;
At least half of all rental units will be affordable to lover income households;
At least one-third of all units in each bedroom distribution pursuant to N.J.A.C. 5:93-7.2(c) will be affordable to low income households.
A. Inclusionary developments that are not restricted to senior citizens will be structured in conjunction with realistic market demands pursuant to N.J.A.C 5:93-7.3 so that: "
1. the combination of efficiency and one bedroom units is at least 10 percent and no greater than 20 percent of the total low and moderate income units;
2. at least 30 percent of all love and moderate income units are two bedroom units;
3. at least 20 percent of all low and moderate income units are three bedroom units;
4. low and moderate income units restricted to senior citizens may utilize a modified bedroom distribution, annd at a minimum, the number of bedrooms will equal the number of senior citizen low and moderate income units within the inclusionary development.
B. In conjunction with realistic market information, the following criteria will be used in determining maximum rents and sale prices:
1. efficiency units will be affordable to one person households;
2. one bedroom units will be affordable to 1.5 person households;
3. two bedroom units will be affordable to three person households;
4. three bedroom units will be affordable to 4.5 person households;
5. 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);
6. the maximum average rent and price of lover and moderate income units within each inclusionary development will be affordable to households earning 57.5 percent of median income;
7. moderate income sales units will be available for at least three different prices and low income sales units will available for at least two different prices;
8. 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;
9. low income units will be reserved for households with a gross household income less than or equal to 50 percent of the median income approved by COAH; moderate income units will be reserved fox households with a gross household income less than 80 percent of the median income approved by COATS as per N.J.A.C. 5:93-9.16;
10. the regulations outlined in N.J.A.C. 5:93.15 and 9.16 will be applicable for purchased and rental units.
C. For rental units, developers and/or municipal sponsors may:
1. establish one rent for a low income unit and one for a moderate income unit for each bedroom distribution; and
2. gross rents, including an allowance for tenant-paid utilities, will be established so as not to exceed 30 percent of the gross monthly income of the appropriate household size as per N.J.A.C. 5:937.4(a). The tenant-paid utility allowance will be consistent with the utility allowance approved by fiCJD for use in New Jersey.
D. For sale units:
1. the initial price of a low and moderate income owner-occupied single family housing unit will be established so that after a down payment of five percent, the monthly principal, interest, homeowner and private mortgage insurance, property taxes (based on the restricted value of the low and moderate income units) and condominium or homeowner fee do not exceed 28 percent of the eligible gross monthly income;
2. master deeds of inclusionary developments will regulate condominium or homeowner association fees or special assessments of low and moderate income purchasers at forty percent of those paid by market purchasers. This forty percent is consistent with the requirement of N.J.A.C. 5:93-7.4(e). Once established within the master deed, the forty percent will not be amended without prior approval from COAH;
3. the Township of Liberty will follow the general provisions concerning uniform deed. restriction liens and enforcement through certificates of occupancy or reoccupancy on sale units as per N.J.A.C. 5:93-9.3;
4. the Township of Liberty will require a certificate of reoccupancy for any occupancy of a low or moderate income sales unit resulting from a resale as per N.J.A.C. 5:93-9.3(c);
5. municipal, state, non-profit and seller options regarding sale units will be consistent with N.J.A.C. 5:93-9.5 - 9.8. Municipal rejection of repayment options for sale units will be consistent with N.J.A.C. 5:93-9.9;
6. the continued application of options to create, rehabilitate or maintain low and moderate income sale units will be consistent with N.J.A.C. 5:93-9.10;
7. eligible capital improvements prior to the expiration of controls on sale units will be consistent with N.J.A.C. 5:93-9.11;
8. the regulations detailed in N.J.A.C. 5:93-9.12 - 9.14 will be applicable to low and moderate income units that are for sale units.
E. In zoning for inclusionary developments the following is required: low and moderate income units will be built in accordance with N.J.A.C. 5:93-5.6(d):
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(0.
F. Development fee regulations are specified in 5:93-8 of COAH's Substantive Rules. Liberty Township may adopt an ordinance in conformance with the above section.
G. 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, Liberty Township will designate the Housing Administrator, with the responsibility of ensuring the affordability of sales and rental units over time. The Housing Administrator, Liberty Township Housing Program will be responsible for those activities detailed in N.J.A.C. 5:93-9.1(a).
1. the Liberty Township Housing Program 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;
2. newly constructed low and moderate income sales units will remain affordable to low and moderate income households for at least 30 years. The Liberty Township Housing Program 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 ad found in N.J.A.C. 5:93;
3. housing units created through the conversion of a non-residential structure will be considered a new housing unit and will be subject to 30 year controls on affordability. The Liberty Township Housing Program will require COAH's appropriate deed restriction and mortgage lien.
H. Regarding rehabilitated units, as per N.J.A.C. 5:93-5.2(g):
1. rehabilitated owner-occupied single family housing units that are improved to code standard will be subject to affordability controls for at least six years;
2. rehabilitated renter-occupied housing units that are improved to code standard will. be subject to affordability controls for at least 10 years.
I. Regarding rental units; newly constructed low and moderate income rental units will remain affordable to low and moderate income households for at least 30 years. The Liberty Township Housing Program will require the deed restriction and lien and deed of easement referred to as Technical Appendix H as found in N.J.A.C. 5:93.
1. affordability controls in accessory apartments will be for a period of at least 10 years as per N.J.A.C. 5:93-5.9 except if the apartment is to receive a rental bonus credit pursuant to N.J.A.C. 5;93-5.15, then the controls on affordability will extend for 30 years;
2. alternative living arrangements will be controlled in a manner suitable to COAH as per N.J.A.C. 5:93-5.8, that provides assurances that such a facility will house low and moderate income households for at least 10 years except if the alternative living arrangement is to receive a rental bonus credit pursuant to NJ-A-C5:93-5.15, then the controls on affordability will extend for 30 Years.
3. Section 14(b) of the Fair Housing Act N.J.S.A. 52:27D-301 et. et. seq. incorporates the need to eliminate unnecessary cost generating features from Liberty Township's land use ordinances. Accordingly, Liberty Township will eliminate development standards that are not essential to protect the public welfare and to expedite or fast track municipal approvals/denials on inclusionary development applications. Liberty Township will adhere to the components of N.J.A.C. 5:93-10.1 through 10.3.
J. The Township of Liberty has a COAH 1987 - 1999 fair share obligation of 26 units of which 4 is new construction. This ordinance incorporates an affirmative marking plan which will apply to all future developments that contain proposed low and moderate income units:
1. the affirmative marketing plan is 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 a developer/sponsor, municipality and/or designated administrative agency of affordable housing. The plan will address the requirements of N.J.A.C. 5:9311. In addition, 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 of Liberty is in the housing region consisting of Morris, Essex, Union and Warren Counties. The affirmative marketing program is a continuing program and will meet the following requirements. All newspaper articles, announcements and requests for applications for low and moderate income units will appear in the following daily regional newspapers/publications.
Star Ledger
Express Times
2. the primary marketing will take the form of at last one 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 advertisements will include a description of the:
street address of units;
direction to housing units;
number of bedrooms per unit;
range of prices/rents;
income information and
location of applications including business hours and where/how applications may be obtained;
3. all newspaper articles, announcements and requests for applications for low and moderate income housing will appear in a neighborhood oriented weekly newspapers, religious publications and organizational newsletters within the region (as they may exist at the tune);
4. the following regional radio and/or cable television station(s) will be used:
WRNJ - Hackettstown
Comcast Cable TV
5. the following is the location of applications, brochure(s), sign(s) and/or poster(s) used as part of the affirmative marketing program including specific employment centers within the region: municipal administrative building county library developer's sales office major employers in region others as may be identified at the time of need;
6. the following is a listing of community contact person(s) and/or organization(s) in Morris, Essex, Union and Warren Counties that will aid in the affirmative marketing program with particular emphasis on contracts that will reach out to groups that are least likely to apply for housing within the region:
TO BE DETERMINED AT THE TIME OF NEED
7. quarterly flyers and applications will be sent to each of the following agencies for publication in their journals and for circulation among their members: Board of Realtors in Morris, Essex, Union and Warren Counties;
8. applications will be mailed to prospective applicants upon request; 9. additionally, quarterly informational circulars and applications will be sent to the chief administrative employees of each of the following agencies in the counties of Morris, Essex, Union and Warren:
Welfare or Social Service Board
Office of Aging
Housing Agency or Authority
Library
Area Community Action Agencies
K. The following is a description of the random selection method that will be used to select occupants of low and moderate income housing:
1. applicants will be qualified and provided opportunity on a first come, first served basis within each category (low income and moderate income) as modified by Subsection I below;
2. the Liberty Township Housing Program is tie agency under contract with the Township of Liberty to administer the affirmative marketing program,. The Liberty Housing Program has the responsibility to income qualify low and moderate income households; to place income eligible households in low and moderate income units upon. initial occupancy; to provide for the initial occupancy of low and moderate income units with income qualified households; to continue to qualify households for reoccupancy of units as they become vacant during the period of affordability controls; to assist with advertising and outreach to low and moderate income households; and to enforce the terms of the deed restriction and mortgage loan as per N.J.A.C. 5:93-9.1. The Housing Administrator within Liberty Township is the designated housing officer to act as administrator of the Liberty Township Housing Program. The Liberty Township Housing program will provide counseling services to low and moderate income applicants on subjects such as budgeting, credit issues, mortgage qualification, rental lease requirements and landlord/tenant law;
3. households who live or work in the COAH-established housing region may be given preference for sales and rental units constructed within that housing region. Applicants living outside the housing region will have an equal opportunity for units after regional applicants have been initially serviced. Liberty Township intends to comply with N.J.A.C. 5:93-11.7;
4. all developers of low and moderate income housing units will be required to assist in the marketing of the affordable units in their respective developments;
5. the marketing program will commence at least 120 days before the issuance of either temporary or permanent certificates of occupancy. The marketing program will continue until all low and moderate income housing units are initially occupied and for as long as affordable units are deed restricted and occupancy or reoccupancy of units continues to be necessary;
6. the Liberty Township Program will comply with monitoring and reporting requirements as per N.J.A.C. 5:93--11.6 and 12.1.
L. Liberty Township has previously undertaken a rehabilitation program to rehabilitate substandard housing units occupied by low and moderate income households. Future rehabilitation programs will be administered by the Liberty Township Housing Administrator. The Liberty Township Housing Administrator will prepare a marketing plan for the rehabilitation program. The rehabilitation program will be consistent with N.J.A.C. 5:93-5.2(b) through 5.2(1).
**Webmasters Note: The previous Chapter has been added as per Ordinance No. 04-06.
