Draft_October 2025_West Orange_HEFSP_with Appendices

2619-20 AN ORDINANCE AMENDING AND SUPPLEMENTING CHAPTER XXV LAND USE REGULATIONS OF THE REVISED GENERAL ORDINANCES OF THE TOWNSHIP OF WEST ORANGE TO IMPLEMENT A SETTLEMENT AGREEMENT WITH FAIR SHARE HOUSING CENTER BE IT ORDAINED, by the Township Council of the Township of West Orange, in the County of Essex, State of New Jersey, as follows: Section 1. Chapter XXV Land Use Regulations is hereby amended and supplemented by amending the following sections: 25-18 AFFORDABLE HOUSING; LOW/MODERATE HOUSING PROVISIONS. 25-18.1 Purpose and Applicability. The purpose of this section is to include provisions addressing the Township of West Orange's constitutional obligation to provide for its fair share of low- and moderate-income housing, as directed by the Supreme Court and consistent with N.J.A.C. 5:93-1 et seq., as amended and supplemented, N.J.A.C. 5:80-26.1 et seq., as amended and supplemented, and the New Jersey Fair Housing Act of 1985. This chapter is intended to assure compliance with the regulations of the Council on Affordable Housing (“COAH"”) set forth at N.J.A.C. 5:93-1 et seq., and the Uniform Housing Affordability Controls, N.J.A.C. 5:80-26.1 et seq., including provisions for unit affordability controls as well as eligibility for low- and moderate-income households. This chapter shall apply except where inconsistent with applicable law. 25-18.2 Definitions. Accessory Apartment shall mean a self-contained residential dwelling unit with a kitchen, sanitary facilities, sleeping quarters and a private entrance, which is created within an existing home, or through the conversion of an existing accessory structure on the same site, or by an addition to an existing home or accessory building, or by the construction of a new accessory structure on the same site. Act shall mean the Fair Housing Act of 1985, P.L. 1985, c. 222 (N.J.S.A. 52:27D-301 et seq.). Adaptable shall mean constructed in compliance with the technical design standards of the Barrier Free Subcode, N.J.A.C. 5:23-7. Administrative agent shall mean the entity designated by the Township to administer affordable units in accordance with this chapter, the regulations of the Council on Affordable Housing set forth at N.J.A.C. 5:93 et seq., and the Uniform Housing Affordability Controls set forth at NJ.A.C. 5:80-26 et seq.. Affirmative marketing shall mean a regional marketing strategy

ordable Housing set forth at N.J.A.C. 5:93 et seq., and the Uniform Housing Affordability Controls set forth at NJ.A.C. 5:80-26 et seq.. Affirmative marketing shall mean a regional marketing strategy designed to attract buyers and/or renters of affordable units pursuant to N.J.A.C. 5:80-26,15. Affordability average shall mean an average of the percentage of median income at which restricted units in an affordable development are affordable to low- and moderate-income households.

Affordable shall mean a sales price or rent level that is within the means of a low- or moderate- income household as defined within N.J.A.C. 5:93-7.4, and, in the case of an ownership unit, that the sales price for the unit conforms to the standards set forth in N.J.A.C. 5:80-26.6, as may be amended and supplemented, and, in the case of a rental unit, that the rent for the unit conforms to the standards set forth in N.J.A.C, 5:80-26.12, as may be amended and supplemented. Affordable development shall mean a housing development all or a portion of which consists of restricted units. Affordable unit shall mean a housing unit proposed or created pursuant to the Fair Housing Act and approved for crediting by the court and/or funded through an affordable housing trust fund. Agency shall mean the New Jersey Housing and Mortgage Finance Agency established by P.L. 1983, c. 530 (N.J.S.A. 55:14K-1 et seq.) and in, but not of, the DCA. Age-restricted unit shall mean a housing unit designed to meet the needs of, and exclusively for, the residents of an age-restricted segment of the population such that: 1) all the residents of the development wherein the unit is situated are sixty-two (62) years of age or older; or 2) at least eighty (80%) percent of the units are occupied by one person who is fifty-five (55) years of age or older; or, 3) the development has been designated by the Secretary of the U.S. Department of Housing and Urban Development as “housing for older persons,” as defined in Section 807(b)(2) of the Fair Housing Act, 42 U.S.C. § 3607. Alternative living arrangement shall mean a structure in which households live in distinct bedrooms, yet share kitchen and plumbing facilities, central heat and common areas. Alternative living arrangements include, but are not limited to: transitional facilities for the homeless; Class A, B, C, D, and E boarding homes as regulated by the State of New Jersey Department of Community Affairs; residential health care facilities as regulated by the New Jersey Department of Health; group homes for the developmentally disabled and mentally ill as licensed and/or regulated by the New Jersey Department of Human Services; and congregate living arrangements. Assisted living residence shall mean a facility licensed by the New Jersey Department of Health and Senior Services to provide apartment-style housing and congregate

d congregate living arrangements. Assisted living residence shall mean a facility licensed by the New Jersey Department of Health and Senior Services to provide apartment-style housing and congregate dining and to assure that assisted living services are available when needed for four (4) or more adult persons unrelated to the proprietor and offer, at a minimum, one (1) unfurnished room, a private bathroom, a kitchenette and a lockable door on the unit entrance. Certified household shall mean a household that has been certified by an administrative agent as a low-income household or moderate-income household. COAH or the Council shall mean the Council on Affordable Housing in, but not of, the DCA, established under the New Jersey Fair Housing Act (N.J.S.A. 52:27D-301 et seq.). Conversion shall mean the conversion of existing commercial, industrial or residential structures for low and moderate income housing purposes. Court shall mean the Superior Court of New Jersey, Law Division, Essex County. DCA shall mean the State of New Jersey Department of Community Affairs. Deficient housing unit shall mean a housing unit with health and safety code violations that requires the repair or replacement of a major system. A major system includes weatherization, roofing, plumbing (including wells), heating, electricity, sanitary plumbing (including septic systems), lead paint abatement and/or load bearing structural systems. Developer shall mean any person, partnership, association, company or corporation that is the legal or beneficial owner or owners of a lot or any land included in a proposed development including the holder of an option to contract to purchase, or other person having an enforceable proprietary interest in such land. 4844-7802-2092, v. 2

Development shall mean the division of a parcel of land into two or more parcels, the construction, reconstruction, conversion, structural alteration, relocation, or enlargement of any use or change in the use of any building or other structure, or of any mining, excavation or landfill, and any use or change in the use of any building or other structure, or land or extension of use of land, for which permission may be required, pursuant to N.J.S.A. 40:55D-1 et seq. Fair share plan shall mean the plan that describes the mechanisms, strategies and the funding sources, if any, by which the Township proposes to address its affordable housing obligation as established in the Housing Element, including the draft ordinances necessary to implement that plan, and addresses the requirements of N.J.A.C. 5:93-5. Fair Share Round shall mean any one (1) of three (3) periods in time during which the Council established municipal obligations to provide affordable housing and the first round was from 1987-1993 and the second period was from 1993-1997 and the third is for 1999-2018. HAS shall mean the Housing Affordability Service, formerly known as the "Affordable Housing Management Service," at the New Jersey Housing and Mortgage Finance Agency. Housing element shall mean the portion of the Township's Master Plan, required by the Municipal Land Use Law ("MLUL"), N.J.S.A. 40:55D-28b(3) and the Act, that includes the information required by N.J.A.C, 5:93-5.1 and establishes the Township's fair share obligation. Inclusionary development shall mean a development containing both affordable units and market rate units. This term includes, but is not limited to: new construction, the conversion of a non- residential structure to residential use and the creation of new affordable units through the gut rehabilitation or reconstruction of a vacant residential structure. Low-income household shall mean a household with a total gross annual household income equal to fifty (50%) percent or less of the median income. Low-income unit shall mean a restricted unit that is affordable to a low-income household. Median income shall mean the median income by household size for an applicable county, as adopted annually by COAH or a successor entity approved by the Court. Moderate-income household shall mean a household with a total gross annual household income in excess of fifty (60%)

e county, as adopted annually by COAH or a successor entity approved by the Court. Moderate-income household shall mean a household with a total gross annual household income in excess of fifty (60%) percent but less than eighty (80%) percent of the median income. Moderate-income unit shall mean a restricted unit that is affordable to a moderate-income household. MONI shall mean the Agency's Market Oriented Neighborhood Investment Program, as it may be authorized from time to time by the Agency. 95/5 unit shall mean a restricted ownership unit that is part of a housing element that received substantive certification from COAH pursuant to N.J.A.C. 5:93 before October 1, 2001. Non-exempt sale shall mean any sale or transfer of ownership other than the transfer of ownership between husband and wife; the transfer of ownership between former spouses ordered as a result of a judicial decree of divorce or judicial separation, but not including sales to third parties; the transfer of ownership between family members as a result of inheritance: the transfer of ownership through an executor's deed to a class A beneficiary; and the transfer of ownership by court order. Random selection. process shall mean a process by which currently income-eligible households are selected for placement in affordable housing units such that no preference is given to one (1) applicant over another except for purposes of matching household income and size with an appropriately priced and sized affordable unit (e.g., by lottery). 4844-7802-2092, v. 2

Regional asset limit shall mean the maximum housing value affordable to a four-person household with an income at or above eighty (80%) percent of the regional median as defined by the Council's annually adopted income limits. Rehabilitation shall mean the repair, renovation, alteration or reconstruction of any building or structure, pursuant to the Rehabilitation Subcode, N.J.A.C. 5:23-6. Rent shall mean the gross monthly cost of a rental unit to the tenant, including the rent paid to the landlord, as well as an allowance for tenant-paid utilities computed in accordance with allowances published by DCA for its Section 8 program. In assisted living residences, rent does not include charges for food and services. Restricted unit shall mean a dwelling unit, whether a rental unit or ownership unit, that is subject to the affordability controls of N.J.A.C. 5:80-26.1, but does not include a market-rate unit financed under UHORP or MONI. Township shall mean the Township of West Orange in Essex County, New Jersey. UHAC shall mean the Uniform Housing Affordability Controls, as set forth in N.J.A.C. 5:80-26 et seq. UHORP shall mean the Agency's Urban Homeownership Recovery Program. Very low-income household shall mean a household with a total gross annual household income equal to thirty (30%) percent or less of the regional median household income by household size. Very low-income unit shall mean a restricted unit that is affordable to a very low-income household. Weatherization shall mean building insulation (for attic, exterior walls and craw] space), siding to improve energy efficiency, replacement storm windows, replacement storm doors, replacement windows and replacement doors, and is considered a major system for purposes of a rehabilitation program. 25-18.3 Affordable Housing Program. The following general guidelines apply to all developments that contain low- and moderate-income units, and any future developments that may occur. 25-18.4 Rehabilitation. a. The Rehabilitation Program. 1. West Orange's rehabilitation program is designed to renovate deficient housing units occupied by low-and moderate-income households and after rehabilitation, these units will comply with the New Jersey State Housing Code pursuant to N.J.A.C. 5:28. 2. West Orange has designated Community Action Services and the Essex County Home Improvement Program as the

these units will comply with the New Jersey State Housing Code pursuant to N.J.A.C. 5:28. 2. West Orange has designated Community Action Services and the Essex County Home Improvement Program as the administrators of the rehabilitation program. 3. Both renter occupied and owner occupied units are eligible for rehabilitation funds. 4. Both renter occupied and owner occupied units must remain affordable to low- and moderate-income households for a period of ten (10) years. For owner occupied units this control period will be enforced with a lien and for renter occupied units the control period will be enforced with a deed restriction. 5. West Orange will dedicate a minimum of ten thousand ($10,000.00) dollars for units rehabilitated through this program. 6. West Orange has created a rehabilitation manual for this rehabilitation program, which is available for inspection at the West Orange Planning Department. 4844-7802-2092. v. 2

25-18.5 (Ord. No. 2250-09 § V) Phasing Schedule for Zoning. West Orange has adopted redevelopment plans that include affordable housing. If future zoning is adopted, there will be a set-aside for affordable housing. Payment in lieu of development funds will be used within West Orange for the creation of affordable housing units. In inclusionary zones, the following schedule shall be followed: Percentage of Market-Rate Units 25-18.6 Completed Minimum Percentage of Low- and Moderate-Income Units 25 0 25+1 10 50 50 75 75 90 100 New Construction. a. Low/Moderate Split and Bedroom Distribution of Affordable Housing Units: A The fair share obligation shall be divided equally between low- and moderate-income units, except that where there is an odd number of affordable housing units, the extra unit shall be a low-income unit. At least thirteen (13%) percent of all restricted rental units within each bedroom distribution shall be very low-income units (affordable to a household earning thirty (30%) percent or less of median income). The very low-income units shall be counted as part of the required number of low-income units within the development. At least twenty-five (25%) percent of the obligation shall be met through rental units, including at least half in rental units available to families. A maximum of twenty-five (25%) percent of the Township's obligation may be met with age restricted units. At least half of all affordable units in the Township's Plan shall be available to families. In each affordable development, at least fifty (50%) percent of the restricted units within each bedroom distribution shall be low-income units including that thirteen (13%) percent shall be very-low income. Affordable developments that are not age-restricted shall be structured in conjunction with realistic market demands such that: (a) The combined number of efficiency and one-bedroom units is no greater than twenty (20%) percent of the total low- and moderate-income units; (b) At least thirty (30%) percent of all low- and moderate-income units are two (2) bedroom units; (c) At least twenty (20%) percent of all low- and moderate-income units are three (3) bedroom units; and (d) The remainder may be allocated among two (2) and three (3)- bedroom units at the discretion of the developer. (e) Age-restricted low- and moderate-income units may utilize a

) bedroom units; and (d) The remainder may be allocated among two (2) and three (3)- bedroom units at the discretion of the developer. (e) Age-restricted low- and moderate-income units may utilize a modified bedroom distribution and at a minimum, the number of bedrooms shall equal the number of age-restricted low- and moderate-income units within the affordable development. 4844-7802-2092, v. 2