Affordable units provided shall conform to the requirements of the New Jersey Fair Housing Act, N.J.S.A. 52:27D-301 et seq. ("FHA"); applicable regulations of the New Jersey Council on Affordable Housing ("COAH"); applicable requirements of the Courts of the State of New Jersey; and the regulations of the New Jersey Housing and Mortgage Finance Agency ("NJHMFA") including the Uniform Housing Affordability Controls, N.J.A.C. 5:80-26.1 et seq. ("UHAC") with the exception that in lieu of 10% of affordable units in rental projects being required to be affordable to households earning at or below 35% of the regional median household income by household size (N.J.A.C. 5:80-26.3(d), 13% of all affordable units in either for-sale or rental projects shall be required to be affordable to households earning at or below 30% of the regional median household income by household size ("Very low income"), in conformance with N.J.S.A.52:27D-329.1 (L.2008, c.46, s.7) and all other applicable law. All new construction units shall be adaptable in conformance with P.L.2005, c.350/N.J.S.A. 52:27D-311a and -311b and all other applicable law. If the required number of affordable units is an odd number, the additional unit must be a low-income unit. Example: the developer must construct 7 affordable units: 4 must be low-income units and 3 must be moderate-income units subject to the limitations set forth herein.

All affordable units shall comply with the Borough's pending Affordable Housing Ordinance to be approved by the Court.

All units shall include the required bedroom distribution, be governed by controls on affordability and affirmatively marketed in conformance with the Uniform Housing Affordability Controls, N.J.A.C. 5:80-26.1, et seq., or any successor regulation, with the exception that in lieu of ten percent (10%) of affordable units in rental projects being required to be at thirty-five percent (35%) of median income, thirteen percent (13%) of affordable units within each bedroom distribution in rental projects shall be required to be reserved for very low income households earning less than thirty percent (30%) of area median income, and in conformance with all other applicable law. The Borough, as part of its HEFSP, shall adopt and/or update appropriate implementing ordinances in conformance with standard ordinances and guidelines developed by COAH to ensure that this provision is satisfied. Limits for all units that are part of the Plan required by this Agreement and for which income limits are not already established through a federal program exempted from the Uniform Housing Affordability Controls pursuant to N.J.A.C. 5:80-26.1 shall be updated by the Borough annually within 30 days of the publication of determinations of median income by HUD as follows.

All affordable units (non-LIHTC units) will be subject to affordability controls of at least 30 years and affordable deed restrictions as provided for by UHAC, and the affordability controls shall remain until the Borough, in its sole discretion, takes action to release the unit from such requirements pursuant to the requirements of N.J.A.C. 5:80-26.1. Restricted rental units created as part of developments receiving Low Income Housing Tax Credits must comply with a control period of not less than a 30-year compliance period plus a 15-year extended use period.

The Borough may count the Affordable Units against its affordable housing obligation. The deed restrictions shall be recorded with the County Clerk, and a copy of the recorded deed shall be forwarded to the Borough Municipal Housing Liaison and Administrative Agent. Any sale of the property or units shall not affect the length or terms of the deed restriction.

The bedroom distribution of the affordable units shall be in accordance with the Uniform Housing Affordability Controls, N.J.A.C. 5:80-26.3. The Borough is aware that HMFA's current LIHTC Qualified Allocation Plan ("QAP") requires a higher percentage (25%) of three-bedroom affordable units than required under UHAC requirements (20%) and the Borough will support such QAP standards in order to enable the developer to prepare an application that will score a perfect score in the family funding cycle.

The income distribution of the affordable units shall be in accordance with the Uniform Housing Affordability Controls, N.J.A.C. 5:80-26.3, and shall also provide for a 13% set-aside of very-low income units as part of the income distribution.

The developer of any affordable units shall be responsible for retaining a qualified Administrative Agent at the developer's sole expense acceptable to the Borough or utilizing the Administrative Agent appointed by the Borough.