This Article establishes standards for the collection, maintenance, and expenditure of development fees pursuant to N.J.A.C. 5:94-6 whenever a growth share obligation or contribution in lieu of constructing a growth share obligation is not required or is reduced by the Fair Housing Committee. Fees collected pursuant to this Article shall be used for the sole purpose of providing low- and moderate-income housing. This Article shall be interpreted within the framework N.J.A.C. 5:94-1 et seq. (Ord. No. O-06-05 § 1)

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)

a. Whenever residential development is exempted from the growth share requirements of Article 17, developers shall pay a fee of one (1%) percent the equalized assessed value of residential development, provided no increased density is permitted.

b. When an increase in residential density pursuant to N.J.S.A. 40:55D-70d(5) has been granted by the Zoning Board of Adjustment, developers may be required to pay a development fee of six (6%) percent the equalized assessed value for each additional unit that is realized.

Example: If an approval allows four (4) units to be constructed on a site that was zoned for two (2) units, the development fee equals one (1%) percent of the equalized assessed value for the two (2) by-right units and six (6%) percent of the equalized assessed value for the two (2) additional units. However, if the zoning on a site has changed during the two-year period preceding the filing of such a variance application, the density for the purposes of calculating the bonus development fee shall be the highest density permitted by right during the two-year period preceding the filing of the variance application.

(Ord. No. O-06-05 § 1)

a. Where required, nonresidential developers shall pay a fee of two (2%) percent of the equalized assessed value for nonresidential development.

b. If an increase in floor area ratio is approved pursuant to N.J.S.A. 40:55D-70d(4), then the additional floor area realized (above what is permitted by right under the existing zoning) will incur a bonus development fee of six (6%) percent of the equalized assessed value for nonresidential development. However, if the zoning on a site has changed during the two-year period preceding the filing of such a variance application, the base floor area for the purposes of calculating the bonus development fee shall be the highest floor area permitted by right during the two-year period preceding the filing of the variance application.

(Ord. No. O-06-05 § 1)

a. Affordable housing developments shall be exempt from development fees.

b. Developments that have received preliminary or final approval prior to the imposition of a municipal development fee shall be exempt from development fees unless the developer seeks a substantial change in the approval.

c. Development fees shall be imposed and collected when an existing structure is expanded or undergoes a change to a more intense use. The development fee shall be calculated on the increase in the equalized assessed value of the improved structure.

d. Any use that is required to construct a growth share obligation or make a payment in lieu of construction and the uses enumerated in subsection 33-17.2d. shall be exempted from the payment of a development fee for affordable housing.

(Ord. No. O-06-05 § 1)

Fifty (50%) percent of the development fee will be collected at the time of issuance of the building permit. The remaining portion will be collected at the issuance of the certificate of occupancy. The developer shall be responsible for paying the difference between the fee calculated at building permit and that determined at issuance of certificate of occupancy. (Ord. No. O-06-05 § 1)

Imposed and collected development fees that are challenged shall be placed in an interest bearing escrow account by the City. If all or a portion of the contested fees are returned to the developer, the accrued interest on the returned amount shall also be returned. (Ord. No. O-06-05 § 1)

a. There is hereby created a separate, interest-bearing housing trust fund in Bank of America for the purpose of depositing development fees collected from residential and nonresidential developers and proceeds from the sale of units with extinguished controls. All development fees paid by developers pursuant to this section shall be deposited into this fund.

b. Within seven (7) days from the opening of the trust fund account, the City of Bayonne shall provide COAH with written authorization, in the form of a three-party escrow agreement between the municipality, the municipalitys financial institution, and COAH to permit COAH to direct the disbursement of the funds as provided for in N.J.A.C. 5:94-6.16(b).

c. No funds shall be expended from the affordable housing trust fund unless the expenditure conforms to a spending plan approved by COAH. All interest accrued in the housing trust fund shall only be used on eligible affordable housing activities approved by COAH.

(Ord. No. O-06-05 § 1)

a. Funds shall not be expended to reimburse municipalities for past housing activities.

b. After subtracting development fees collected to finance an RCA, a rehabilitation program or a new construction project that are necessary to address the municipalitys affordable housing obligation, at least thirty (30%) percent of the balance remaining shall be used to provide affordability assistance to low and moderate income households in affordable units included in a municipal Fair Share Plan. One-third (1/3) of the affordability assistance portion of development fees collected shall be used to provide affordability assistance to those households earning thirty (30%) percent or less of median income by region.

1. Affordability assistance programs may include down payment assistance, security deposit assistance, low interest loans and rental assistance.

2. Affordability assistance to households earning thirty (30%) percent or less of median income may include buying down the cost of low income units in a municipal Fair Share Plan to make them affordable to households earning thirty (30%) percent or less than median income. The use of development fees in this manner shall entitle a municipality to bonus credits pursuant to N.J.A.C. 5:94-4.22.

3. Payments in lieu of constructing affordable units on site and funds from the sale of units with extinguished controls shall be exempt from the affordability assistance requirement.

c. Municipalities may contract with a private or public entity to administer any part of its Housing element and Fair Share Plan, including the requirement for affordability assistance, in accordance with N.J.A.C. 5:94-7.

d. No more than twenty (20%) percent of the revenues collected from development fees each year, exclusive of the fees used to fund an RCA, shall be expended on administration, including, but not limited to, salaries and benefits for municipal employees or consultant fees necessary to develop or implement a new construction program, a Housing Element and Fair Share Plan, and/or an affirmative marketing program. In the case of a rehabilitation program, no more than twenty (20%) percent of the revenues collected from development fees shall be expended for such administrative expenses. Administrative funds may be used for income qualification of households, monitoring the turnover of sale and rental units, and compliance with Council monitoring requirements. Development fee administrative costs are calculated and may be expended at the end of each year or upon receipt of the fees.

(Ord. No. O-06-05 § 1; Ord. No. O-06-28 § 1)

The City of Bayonne shall comply with the requirements of N.J.A.C. 5:94-6 with regard to collection of money, monitoring, the on-going collection of funds and other sundry items as promulgated by COAH for development fees. (Ord. No. O-06-05 § 1)

This chapter shall be known and may be cited as the Zoning Regulations of the City of Bayonne. (Ord. No. O-95-12, § 33-1.1)

This chapter is adopted under the authority of the Municipal Land Use Law, and it is the purpose and intent of this chapter to effectuate the purposes of that Act as they apply to the City of Bayonne, including, but not limited to, the following:

a. To exercise municipal action in a manner which will effectively guide the appropriate use or development of all lands in this City, so as to best promote the public health, safety, morals and general welfare.

b. To preserve the City from avoidable fire, flood, panic and other natural and man-made disasters.

c. To provide adequate light, air, and open space.

d. To provide sufficient space in appropriate locations for a variety of agricultural, residential, recreational, commercial and industrial uses and open space, both public and private, according to their respective environmental requirements in order to meet the needs of all Bayonne citizens.

e. To promote the conservation of historic sites and districts, open space, energy resources and natural resources; to prevent urban sprawl and degradation of environment through improper land uses; and to insure the establishment of appropriate population densities and concentrations.

f. To locate, design and utilize transportation routes and systems in conjunction with land use that will best serve the City's development.

g. To use creative development and design techniques to promote a desirable visual environment.

h. To promote and encourage a broad range of housing choices and residential growth.

1. To coordinate public development, private development and land use policies in order to encourage the efficient use of land and to reduce expenditures of public funds.

j. To promote the utilization of renewable energy sources and the maximum recovery and recycling of materials from municipal solid waste.

(Ord. No. O-95-12, § 33-1.2)

The provisions of this chapter shall be considered as minimum requirements, and conflicting laws of a more restrictive nature shall supersede any provisions of this chapter. Conflicting laws of a less restrictive nature, or those conflicting in other ways than degrees of restrictiveness, are hereby repealed.

In all cases, the provisions and definitions of the Municipal Land Use Law shall guide the interpretation, administration and enforcement of this chapter. (Ord. No. O-95-12, § 33-1.3)

If any section, paragraph, subdivision, clause or provision of this chapter shall be adjudged invalid, such adjudication shall apply only to the section, paragraph, subdivision, clause or provision so adjudged and the remainder of this chapter shall be deemed valid and effective. (Ord. No. O-95-12 § 33-1.4)

For the purposes of this chapter, the City of Bayonne is hereby divided into zone districts, as follows:

R-1 Single Family Residential District

R-2 Detached/Attached Residential

R-3 Medium Density Residential District

R-M High Density Residential District

WD Waterfront Development District

WR Waterfront Recreational

C-1 Neighborhood Commercial District

C-2 Community Commercial District

CBD Central Business District

ORS Office/Retail Service

UBD Uptown Business District

H-C Highway Commercial/Selected Light Industrial

TDD Transit Development Zone

TDO Transit Development Overlay Zone

IL-A Light Industrial District

IL-B Light Industrial District

I-H Heavy Industrial District

BMHD Bayonne Metropolitan Harbor District

(Ord. No. O-95-12 § 33-3.1; Ord. No. O-97-43; Ord. No. O-01-19 § 3)