Article 17 Growth Share Affordable Housing Obligation
33-17 AUTHORITY AND PURPOSE.

Pursuant to the provisions of the Third Round Substantive Rules promulgated and adopted by the New Jersey Council on Affordable Housing, N.J.A.C. 5:94 et seq. and N.J.A.C. 5:95 et seq., it is hereby declared that the purpose of this Article is to help the City of Bayonne fulfill its affirmative obligation to facilitate the provision of affordable housing. (Ord. No. O-06-05 § 1)

33-17.1 Definitions.

As used in this Article, words and phrases shall have the same meanings they have pursuant to N.J.A.C. 5:94-1.4, as said provision may from time to time be amended. (Ord. No. O-06-05 § 1)

33-17.2 Affordable Housing Production Obligation Based Upon Growth Share.

a. Residential Development.

1. Any market-rate residential development in any zoning district in the City shall provide one (1) unit of affordable housing, as defined in subsection 33-17.1, for every eight (8) new market rate units that are produced as determined by the formula in paragraph 2, below, except as otherwise exempted herein. For the purposes of this section, "residential development" shall mean both a development that is entirely residential, or that includes both residential and nonresidential uses. "Residential development" shall also include new market-rate residential units created from the conversion of a nonresidential building to residential unit(s) requiring the issuance of a certificate of occupancy. Within designated redevelopment areas, the entire redevelopment area shall be considered when determining whether it constitutes a residential development, excepting the Maritime District of the Peninsula at Bayonne Harbor Redevelopment Plan.

2. A minimum of fifty (50%) percent of the total affordable housing obligation shall be constructed on site, unless modified by the Fair Housing Committee upon proof of hardship. The on-site construction percentage of affordable units shall be determined by the total number of approved units, divided by nine (9), and multiplied by said percentage, rounded to the next highest whole number.

3. The balance of the growth share (excepting on-site requirement) may be constructed on site, constructed off-site as approved by the appropriate board of jurisdiction, or a contribution in lieu of construction made in accordance with paragraph 4 herein. Any off-site construction of affordable housing units in lieu of constructing such units on-site shall utilize the affordable housing units in lieu of on-site construction within Bayonne shall utilize the formula in paragraph 2 for determining the growth share obligation.

4. The off-site payment in lieu of construction shall be determined by the total number of units, divided by eight (8), times the cost of an affordable housing unit as determined by subsection 33-17.2e herein.

5. Residential development in any zoning district in the City that contains three (3) or fewer attached or detached land two (2) family residences is exempt from the growth share requirement of this Article. Residential development in any zoning district that is three (3) dwelling units to seven (7) dwelling units shall pay a contribution in lieu of construction in accordance with paragraph 4 herein.

b. Nonresidential Development - A5, S and U Use Groups. Any development in the City that is categorized as an A5, S or U Use Group by the NJ Uniform Construction Code shall be required to pay an Affordable Housing Development Fee pursuant to Article 18.

c. Nonresidential Development - Other. All other nonresidential development that includes net new floor area in any zoning district shall be required to provide affordable housing constructed at the ratio of one (1) affordable unit for every twenty-five (25) new jobs. The calculation of the number of jobs and employment opportunities created shall be in accordance with Appendix E of N.J.A.C. 5:94-1, et seq., entitled "UCC Use Groups for Projecting and Implementing Nonresidential Components of Growth Share." In lieu of constructing affordable housing units, the developer of nonresidential development shall pay a contribution in accordance with subsection 33-17.2e, unless reduced or eliminated by the Fair Housing Committee.

d. Exemptions. The following types of development shall be exempt from the requirements of this Article:

1. Development by the City or any of its instrumentalities.

2. Bayonne Board of Education facilities and private or parochial institutions substantially similar to same.

3. Houses of worship, excluding any buildings or structures associated therewith that are deemed by COAH to trigger a growth share obligation, excepting schools as exempted in paragraph 2.

4. Additions or renovations to existing one and two family homes.



5. Residential development projects consisting of three (3) or fewer lots minor subdivision and containing a maximum of five (5) one- and two- family attached or detached residences.

e. The minimum contribution for affordable housing shall be sixty thousand ($60,000.00) dollars per affordable housing unit generated, or part thereof. This figure shall be increased in accordance with the increase in the Consumer Price Index for housing in the New York City PMSA as of January 1 of each year.

(Ord. No. O-06-05 § 1)

33-17.3 Satisfaction of Affordable Housing Production Obligation.

With the written approval and favorable recommendation the Fair Housing Committee, and except as modified in subsection 33-17.2 above, the applicant may choose to satisfy its affordable housing growth share obligation through the mechanisms permitted in COAH's Rules, including:

a. On-site affordable housing production;

b. Off-site affordable housing production in the City;

c. The purchase of an existing market rate home(s) at another location in the community and its conversion to an affordable price-restricted home in accordance with COAH's Rules;

d. Participation in reconstruction and/or buy-down/write-down, buy-down/rent-down programs;

e. Payment of a contribution in lieu of construction; and/or

f. Any other compliance mechanism permitted by COAH's Rules.

(Ord. No. O-06-05 § 1)

33-17.4 Compliance Mechanisms.

a. Construction of Affordable Housing On-Site.

1. Affordable housing units may be provided within buildings as permitted by the zoning regulations of the City or as required by an adopted redevelopment plan.

2. No density increase shall be granted for the construction of the affordable housing units on-site.

3. All required setbacks, building height, open space requirements and coverage limits for the zone shall be met on all lots.

b. Creation of Affordable Housing Units Off-Site Within the City.

1. Applicants electing to create affordable housing units elsewhere within the City of Bayonne may do so with the prior written approval of the Fair Housing Committee and may do so within existing buildings, whether converted, reconstructed or purchased for buy down, in any residential zone of Bayonne City, as set forth and regulated herein.

2. All such units shall meet or shall be improved to meet UCC requirements and shall be certified to be in standard condition prior to their conveyance or occupancy.

3. All required bulk standards for the zone shall be met on the lot, except that existing setback deficiencies and other nonconformities of the lot and/or building(s) located thereon may be continued for as long as the buildings remain on site, without the need for additional variances.

c. Low and Moderate Income Split and Compliance with COAH Rules.

1. If only one (1) affordable unit is required to be produced pursuant to this section, said unit shall be made available to a qualified low-income individual or household. Where more than one (1) affordable unit is produced, the designation of units shall be evenly split between low- and moderate-income individuals and households. If an odd number of low- and moderate-income housing units are required to be provided, the majority of the units shall be designated for low-income individuals or households.

2. Where there are an insufficient number of affordable units provided to meet the bedroom distribution requirements of COAH's Rules, the first unit shall be a two-bedroom unit, the second unit shall be a three-bedroom unit, and the third unit shall be a one-bedroom unit. Otherwise, the bedroom distribution shall be in strict accordance with COAH's Rules.

3. All affordable units created pursuant to this section shall comply with COAH's Rules pertaining to the phasing, integration, low/moderate income split, controls on affordability, bedroom distribution, affirmative marketing, heating source and administration of the affordable units, as set forth in N.J.A.C. 5:94-4 and/or as otherwise provided for by COAH's Rules.

d. It shall be the developer's responsibility, at its sole cost and expense, to ensure full COAH compliance and to timely file such certifications, reports and/or monitoring forms as may be required by COAH to verify COAH compliance of each affordable unit.

e. Residential developments that have been zoned to produce an affordable housing set-aside or that include only low- and moderate-income housing units shall be exempt from the growth share obligations of this Article and shall be exempt from payment of Development Fees pursuant to the Development Fee Ordinance set forth at Article 18 of this Code.

(Ord. No. O-06-05 § 1)