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Rent Control Ordinance

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Executive Summary

This document outlines the Rent Control Ordinance for the Township of North Bergen, New Jersey. The ordinance aims to regulate, control, and stabilize rents within the township due to a perceived housing shortage and the potential for unwarranted rent increases causing hardship to tenants. It establishes a Rent Leveling Board and a Tenant Assistance Program to enforce the ordinance and assist in landlord-tenant relations. The ordinance covers various aspects of rent control, including base rent, annual rent increases (limited to 2.5% per year), hardship increases, and capital improvement surcharges.

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--- Document: Rent Control Ordinance Document ---
RECORD OF ORDINANCES
Passed and adopted by the Board of Commissioners of the
Township of North Bergen, in the County of Hudson, New Jersey
467-93
AN ORDINANCE TO REGULATE, CONTROL AND
STABILIZE RENTS AND TO CREATE A
RENT LEVELING BOARD AND TENANT ASSISTANCE PROGRAM WITHIN THE
TOWNSHIP OF NORTH BERGEN AND TO REPEAL
ALL PRIOR ORDINANCES REGARDING RENT CONTROL
AND REGARDING SECURITY POSTING BY LANDLORDS
WHEREAS, the Board of Commissioners of the Township of North Bergen has determined
that a housing shortage continues to exist within the Township and that the unrestrained
operation of the competitive rental housing market in North Bergen would result in demands
for increases in rent which would be exorbitant, speculative and unwarranted and that
such increase would cause severe hardship upon tenants and adversely affect the health,
safety and general welfare of the citizens of the Township of North Bergen, thus warranting
continued legislative action by the Board of Commissioners; and
WHEREAS, the continued maintenance of the existing supply of reasonably-priced rental
housing is necessary to protect the health, safety and welfare of the citizens of the
Township of North Bergen, to reduce the likelihood of displacement and homelessness which
is a financial and emotional burden on and adversely affects the general welfare of the
citizens of the Township of North Bergen, and to provide realistic housing opportunities to
families of all income groupings, including households of low and moderate income; and
WHEREAS, under the police powers granted to the Board of Commissioners of the Township
of North. Bergen in order to protect the health, safety and welfare of the citizens of the
Township of North Bergen, a rent leveling ordinance is determiend to be necessary within the
Township of North Bergen; and
WHEREAS, it has been determined that forced eviction and relocation of elderly and
disabled persons from their established homes and communities harm the mental and physical
health of these citizens; and
WHEREAS, it is the declared policy of both the State of New Jersey and the Township of
North Bergen to avoid the forced eviction and relocation of elderly disabled tenants whenever
possible; and
WHEREAS, oftentimes senior citizens and disabled persons are threatened with eviction
not by their failure to abide by the terms and conditions of their rental agreement, but
rather by a landlord's decision to convert a building to condominiums or cooperative form of
ownership in order to maximize their financial investment; and
WHEREAS, within the Township of North Bergen many older buildings are being converted
to condominiums and cooperative forms of ownership, and certain landlords are thereafter
making substatial capital improvements to their buildings in order to enhance the sale price
of individual units within the building; and
WHEREAS, the effect of a capital improvement surcharge upon a senior citizen or disabled
persons who has been granted protected tenancy pursuant to N.J.S. 2A:18-61,22 and the Tenant
Protection Act of 1992, N.J.S. 2A:18-61.40 et seq. will often result in a rental increase which
these tenants cannot afford and thereby cause the very same forced eviction that the State of
New Jersey and Township of North Bergen seek to avoid; and
WHEREAS, the Board of Commissioners of the Township of North Bergen, in the County of Hudson,
has found that although most tenants of multiple dwellings must post security deposits with their
landlord in order to guarantee such tenant's performance pursuant to the terms of their lease
with their landlord, the landlords do not post security deposits to guarantee their performance
of their respective duties as landlords; and
WHEREAS, the Board of Commissioners of the Township of North Bergen finds that there have
existed and do exist many instances where landlords of multiple dwellings have failed to
provide essential services, make necessary repairs or provide needed maintenance of structures
or equipment, many of which failures create emergency situations which pose an immediate threat
to the health, safety and welfare of citizens of the Township of North Bergen who are tenants
of such multiple dwellings; and
WHEREAS, the Board of Commissioners of the Township of North Bergen is authorized,
pursuant to R.S. 40:48-2, to enact and enforce such ordinances, regulations and rules not
contrary to the laws of this State or off the United States, necessary and proper for the
protection of persons and for the preservation of the health, safety and welfare of the
inhabitants of this municipality; and
RECORD OF ORDINANCES
Passed and adopted by the Board of Commissioners of the
Township of North Bergen, in the County of Hudson, New Jersey
WHEREAS, the Board of Commissioners have determined that it is the best interest of all
the citizens of North Bergen to create a Tenant Assistance Program and the position of Tenant
Advocate to assist in the enforcement of this Ordinance and other municipal, state and federal
laws relating to landlord-tenant relations.
WHEREAS, the Board of Commissioners has determined that a substantial disparity of knowledge
and bargaining power exists between tenants and dwelling owners who are in the business of
providing rental housing; and
WHEREAS, the lack of knowledge and understanding of the rights and obligations of tenants
and landlords under the law has resulted in tenants being deprived of their legal rights and
has adversely affected the health, safety and welfare of the citizens of the Township of
North Bergen; and
WHEREAS, the Board of Commissioners of the Township of North Bergen has determined that
an emergency situation exists within the Township, causing severe hardship to tenants and
their families, and that the tenant population of North Bergen is in need of technical and
legal assistance; and
WHEREAS, under the police powers granted to the Board of Commissioners of the Township
of North Bergen, in order to protect the health, safety and welfare of the citizens of the
Township, a TENANT ASSISTANCE PROGRAM is determined to be necessary.
NOW THEREFORE BE IT ORDAINED BY THE BOARD OF COMMISSIONERS OF THE TOWNSHIP OF
NORTH BERGEN, as follows:
Section 1. SHORT TITLE. This ordinance shall be known and cited as the "Rent Leveling
Ordinance of the Township of North Bergen."
Section 2. DEFINITIONS. The following terms shall have the following meanings:
(a) "Base Rent" means the legal allowable rent that a landlord may charge a tenant, upon
which annual percentage increases may be computed.
(b) "Capital Improvement" means an addition to the property that substantially enhances
its value or prolongs its life. It is not ordinary maintenance or repair and it is not a
repair, improvement or replacement required by law to comply with applicable state or federal
statutes or regulations or to cure a code violation. It must benefit tenants to some significant
degree.
(c) "Dwelling" means and includes any building or structure rented or offered for rent
to one or more tenants or family units. When used in the context of a condominium or cooperative,
"Dwelling" shall mean the total aggregate units of housing space owned by any one person or entity.
Exempt from this ordinance are units in hotels and motels occupied by transient guests, and
dwellings containing less than four units of housing space in which one such unit is owner-occupied,
except that units in such dwellings occupied by tenants who began their tenancy prior to the
dwelling qualifying under this exemption shall continue to be subject to this Ordinance during
the term of that tenancy.
(d) "Dwelling Unit" means any room or rooms, or suite or apartment thereof, whether
furnished or unfurnished, which is occupied or intended, arranged or designed to be occupied,
for sleeping, dwelling orrresidence purposes by one or more persons.
(e) "Emergency Condition" means any condition, dangerous to the health or safety of the
occupants of a building or occupants of a neighboring building, which arises out of any of the
following circumstances or conditions:
1. Lack of adequate ventilation or light.
2. Lack of adequate and properly functioning sanitary facilities.
3. Lack of adequate and healthful water supply.
4. Structural, mechanical or electrical defects which increase the hazards of fire,
accident or other calamity.
5. From September 16 of each year until the next succeeding May 25, failure to
maintain every unit of dwelling space and every inhabitable room therein at a temperature of
at least 70 degrees F. regardless of the outside temperature during the hours of 6:00 a.m. to
11:00 p.m. or from May 25 of each year until the next succeeding September 16, failure to
maintain every unit of dwelling space and every habitable room therein at a temperature of at
least 70 degrees F. during the hours of 6:00 a.m. to 11:00 p.m. or failure to maintain every
habitable room therein at atemperature of at least 60 degrees F. whenever the outside temperature
falls below 55 degrees F. during the hours of 11:00 p.m. and 6:00 a.m. In meeting the aforesaid
standards, the owner shall not be responsible for heat loss and the consequent drop in the
interior temperature arising out of action by the occupants in leaving windows or doors open
to tile exterior of the building.
RECORD OF ORDINANCES
Passed and adopted by the Board of Commissioners of the
Township of North Bergen, in the County of Hudson, New Jersey
(f) "Equity" means the actual cash investment in the property, including amortization,
at the end of the last complete year prior to the application. Capital improvements are
not to be included in this computation.
(g) "Fair Return" means the percentage on return of equity in real property investment.
Amount of return shall be measured by the net income before depreciation. A "Fair Return"
on the equity investment in real propertyy shall be considered to be five percent (5%) above
the maximum passbook demand deposit savings account interest rate available in the Township
of North Bergen. The five percent (5%) figure is provided to reflect the higher risk and
lesser liquidity of real property investment in comparison to savings accounts investment.
(h) "Housing Space" means and includes the portion of a dwelling rented or offered for
rent for living or dwelling purposes to one individual or family unit, regardless of whether
such housing space is contained within a detached dwelling or condominium units together with
all privileges, services, furnishings, furniture, equipment, facilities, parking spaces,
parking areas or garages, utilities, maintenance or improvements connected with the use or
occupancy of such portion of the property.
(i) "Landlord" means the person who owns, purports to own or exercises control of any
dwelling, his agents, servants and employees.
:
(j) "Periodic Tenant" means any month-to-month tenant or any tenant at will, or
sufferance, or any tenant having a lease for a term of less than one year.
:
(k) "Price Index" means the "Consumer Price Index" (all items) for the region of the
United States of which North Bergen, New Jersey, is a part, published periodically by the
Bureau of Labor Statistics, United States Department of Labor.
(1) "Rent" means the amount of consideration including any bonus, benefit or gratuity
demanded or received by virture of any agreement between the parties whereby upon the payment
of a sum certain by one party (hereinafter "tenant"), the other (hereinafter "landlord")
allows to him the peaceful and quiet emjoyment of the use and occupancy of a unit of housing
space for that time period. If the parties agree that rent is to be paid upon some interval
other than one month, then that shall be construed as an alternative method of payment and
the monthly rent shall be averaged up as an alternative method of payment calculation.
(m) "Rental Statement" means the written statement a landlord shall sign before entering
into a verbal or written lease agreement which shall state the name of the previous tenant,
the rent charged for the housing space to the previoust tenant, the date and amount of the
last rental increase, the housing space rented, the related services and equipment involved
(whether or not including use of basement, garage, clothesline, washer/dryer, utilities,
heat, hot water, garbage removal, repairs, maintenance and the like) and the base rent charged
for said housing space as of the effective date of Ordinance No. 1577-71).
(n) "Services" means the provision of light, heat, hot water, utilities, maintenance,
painting, elevator service, air-conditioning, storm windows, screens, superintendent service,
parking spaces, parking areas or garages and any other benefit, accommodation, privilege or
faility connected with the use of occupancy of any dwelling or housing space.
(o) "Surcharge" means any allowable payment not included in base rent.
Section 3.. NOTICE OF LEGAL RENT. With respect to the letting or rental of any housing
space subject to the provisions of this Ordinance, the landlord shall furnish to the tenant
no later than receipt of the first month's rent, a Rental Statement as defined in Section 2(k)
hereof. A copy of such written Statement furnished to the tenant shall, within ten (10) days
of delivery to the tenant, be filed with the Rent Leveling Board with a certification of the
landlord of service upon the tenant or in lieu thereof, an acknowledgement by the tenant
thereon of the receipt of such Statement.
Section 4. REGISTRATION. Every landlord who owns a dwelling regulated by this Ordinance
shall file with the Rent Leveling Board a registration schedule setting forth:
(a) A list of each unit of housing space within the dwelling by apartment number or
other designation and the number of rooms contained in each such unit.
(b) The base rent charged for each such unit beginning 1972.
(c) The current base rent charged for each such unit.
(d) The current total rent charged for each such unit setting forth the manner in
which said total rent is calculated.
The registration schedule shall be signed and certified as accurate by the landlordcor
the landlord's agent.
fficer ay
RECORD OF ORDINANCES
Passed and adopted by the Board of Commissioners of the
Township of North Bergen, in the County of Hudson, New Jersey
.'
If the Landlord is not compliance with this Section 4, the Rent Leveling Officer may
establish a base rent for any dwelling space based upon controlled rentals for comparable
units. The Officer shall first consider other rentals in the same dwelling, and, if necessary,
rentals in similar dwellings. The landlord shall have the burden of proving any rent or
rent increase not registered in compliance with thsi Ordinance is permitted hereunder.
Section 5. ANNUAL RENT INCREASE.
(a) The establishment of rents between a landlord and a tenant shall be determined
and controlled by the provisions of this section. All rents for rental housing and services
are hereby continued at the base rent level received or established as of the effective date
of Ordinance No. 1577-71 as amended and supplemented and as legally increased pursuant to
said Ordinance.
(b) From and after the effective date of this Ordinance, no landlord shall charge any
rent in excess of that which he was charging as of the effective date of Ordinance No. 1577-71, as
amended. Any rent increase imposed in excess of that which is permitted by this Ordinance, is
hereby declared to be null and void and such excess rent shall be refunded or credited to the
tenant by the landlord forthwith..
(c) At the expiration of a lease or at the termination of the lease of a tenant, no
landlord may request or receive a percentage increase in rent for any Housing Space which is
greater than the percentage difference between the Price Index three (3) months prior to the
expiration or termination of the lease and the Price Index at the date the last previous lease
term commenced. For a periodic tenant whose term shall be less than one year, said tenant
shall not suffer or be caused to pay any rent increase in any calendar year which exceeds
the average Price Index percentage differential for the calendar year prior thereto.
(d) Notwithstanding any of the foregoing provisions of this section to the contrary,
no landlord may request or receive a percentage increase in rent with respect to any housing
space which is greater than two and one-half percent (2%) of the last prior base rent during
any calendar year. Such increases shall be deemed basic cost of living increases and shall
be limited to one such increase, if otherwise justified, in any 12-month period, without prejudice
to any other rent increase or decrease provided for in this Ordinance.
(e) Application for an annual rent increase must be made in writing to the Board upon
forms supplied by the Board Administrator with written notice served upon all affected tenants.
Section 6. RENT INCREASE NOTICE. Any landlord seeking a rent increase shall notify
the tenant and the Rent Leveling Board in writing by certified mail, return receipt requested.
Said written notice shall specifically set forth the reasons for and the calculations involved
in computation of the proposed increase. Oral notices are not permitted and are null and void.
Section 7. RENT LEVELING BOARD CREATED.
(a) A Rent Leveling Board is hereby created. Said Board shall consist of seven (7)
members appointed by the Mayor with the advice arid consent of the Commissioners, who shall
serve with compensation to be set by the Commissioners. The Commissioners first appointed
shall be designated to serve for the following terms: One for a term of one year, one for
a term of two years, one for a term of three years, two for terms of four years and two for
terms of five years, and until their respective successors are appointed and have qualified.
(b) The Mayor, with the advice and consent of the Commissioners, shall also appoint
two (2) alternative members who shall act in the place and stead of any absent member. The
term of this office shall be three (3) years. Each alternative member will also serve with
compensation.
(c) Upon the expiration of a term of any member, the Mayor, with the advice and consent
of the Commissioners shall appoint a citizen for a term of three (3) years. Vacancies occurring
on the board shall be filled by the Mayor with the advice and consent of the Board of Commissioners
for the unexpired term only.
(d) All members of the Board are required to attend all official meetings of the Board.
Any Board member who is absent from three or more regular meetings during the course of the
calendar year shall be subject to removal from the Board by the Mayor. All members of the
Board shall be residents of the Township of North Bergen.
(e) A member of the Board may be removed for cause by the Governing Body upon written
charges and after a hearing thereon.
(f) This Ordinance is intended to repeal and replace all previous Rent Leveling Ordinances
of the Township of North Bergen. However, nothing in this Ordinance shall abrogate, dissolve
or affect any of the powers, rent restrictions, authority or actions heretofore held or taken
by the Rent Leveling Board under any prior ordinances and all actions and opinions heretofore
taken or made shall remain in full force and effect.
RECORD OF ORDINANCES
Passed and adopted by the Board of Commissioners of the
Township of North Bergen, in the County of Hudson, New Jersey
(g) The fixing of rents and judgments, findings and conclusions with respect to the
control of rents within the Township of North Bergen shall remain unimpaired under this
Ordinance and be subject to this Ordinance in future determination.
Section 8. RENT LEVELING BOARD POWERS. The Rent Leveling Board is hereby granted and
shall have and exercise, in addition to other powers herein granted, all the powers
necessary and appropriate to carry out and execute the purposes of this Ordinance including,
but not limited to, the following:
(a) To issue and promulgate application forms for rent increases and complaints and
such procedural rules and regulations as it deems necessary to implement the purposes of
this Ordinance. Said rules and regulations shall have the force of law until revised,
repealed or amended from time to time by the Board in the exercise of its discretion, and shall
be filed with the Township Clerk.
(b) To supply information and assistance to landlords and tenants to help them comply with
the provisions of this Ordinance.
(c) To hold hearings and adjudicate applications from landlords for additional rent or
surcharges as provided herein.
(d) To hold hearings and adjudicate applications from tenants as to probable violations
of this Ordinance and for reduced rental as provided herein.
(e) To enforce the provisions of this Ordinance and to initiate proceedings in the Municipal
Court for willful violations of this Ordinance.
(f) To issue subpoenas to compel the attendance of witnesses and the production of books
and records in connection with hearings held pursuant to the provisions of this Ordinance,
including but not limited to complete and accruate rent rolls.
(g) To require a landlord to produce for examination his, her or its books, records, tax
returns, balance sheets, and profit and loss statements and such order records as the Board
may require in connection with any application, hearing or proceeding.
(g) At the request of the Rent Leveling Officer, to make any determinations required
to be made by the Renet Leveling Officer.
(i) The Board shall give both landlord and tenant reasonable opportunity to be heard before
making any determination.
Section 9. HARDSHIP INCREASES.
(a)
The
One of the two following formulas shall be used in calculating hardship increases.
Board, in determining which of the formulas to employ when considering a Hardship Application
shall consider each of the formulas, but shall adopt that formula which the Board shall determine,
consistent with the intent of this Ordinance and for reasons stated on the record, most nearly
provides a fair return to the landlord.
1. Where the annual operating expenses for any one building exceeds at least 75% of the total
annual gross income. Operating expenses shall include all reasonable expenses necessary to
carry out the proper operation and maintenance of the property, including property taxes allocated
to the year. Operating expenses shal exclude mortgage amortization, mortgage interest, interest
or costs of financing, attorney's, expert's or engineer's fees related to the filing of hardship
or capital improvement applications, depreciation or expenditures for capital improvements or
rehabilitation. In reviewing operating expenses, the Board should consider normal and recurring
expenses and may make any adjustments in its computations for extraordinarily high or low
operating expenses in any given year. Annual gross income shall include all income realized in
connection with the operation of the premises, including, but not limited to, rentals from
all residential and commercial units, as well as fees collected for parking, rental from
machines, concessions and garages, or other services.
2. Where the landlord is not earning a fair return on his equity in the real property investment
Equity shall be determiend in this approach by the actual purchase price minus any and all
existing liens on the property plus any payments towards amortization of any financing incurred
at the time of the purchase of the property. The amount of return shall be measured by the net
income before depreciation. Subject to the Board's determination that the landlord made a
reasonably prudent investment, operating expenses shall include an amount allocable for the
average annual payment of mortgage interest when the mortgage arises from the purchase of the
property. The said average annual payment of mortgage interest shall be calculated by taking the
total amount of mortgage interest to be paid over the life of the mortgage and dividing it by
the number of years of the term of the mortgage. In the case of a balloon mortgage the life of
the mortgage shall be defined as the number of years required to fully payoff the mortgage at the
given interest rate and monthly payment but without the balloon payment. Mortgage interest
which arises as a result of a refinancing of the property shall not be considered an operating
expense unless the funds which arise from the refinancing are invested in the property and the
investment does not qualify for a capital improvement surcharge regardless whether or not such
surcharge application was filed.
RECORD OF ORDINANCES
Passed and adopted by the Board of Commissioners of the
Township of North Bergen, in the County of Hudson, New Jersey
(b) In considering a hardship application, the Rent Leveling Board shall give due
consideration to any and all relevant factors including but not limited to the following:
1. The level and quality of service rendered by the landlord in maintaining and operating
the building.
2. The presence or absence of reasonable efficient and economical management. Total
management fees may not exceed five percent (5%), includign superintendent services.
3. Whether the landlord made a reasonably prudent investment in purchasing the property and
arranging financing on said property. In considering this factor, the Board may consider the
purchase price and the fair market value of the property to determine if the debt servicing
expenses are excessive. The Board may also consider the amount of cash invested in the property
in relation to said fair market value and purchase price, the interest rate of the mortgage, the
term of the mortgage or mortgages and whether the mortgage instruments were arrived at and
executed in an arms-length transaction. The Board may also consider the physical condition of
the property at the time of purchase. It is presumed that a prospective purchaser of real
property in North Bergen is familiar with the terms of this Ordinance.
(c) An Applicant for hardship relief shall submit to the Board Administrator ten (10) copies
of the following:
1. A statement for three (3) preceding 12-month periods of gross rentals and actual expenses
incurred for that time in connection with the operation of the building to be adjusted to reflect
the actual period of time applicant has owned the building if owned for less than three (3) years.
2. Federal tax returns pertaining to the property for the same preceding three (3) years to
be adjusted to reflect the actual period of time applicant has owned the building if owned for
less than three (3) years.
3. A statement containing the date of purchase, purchase price, original investment, and
financing arrangements and present assessed value, and if inherited, value declared in federal
estate and inheritance tax return and the appraisal submitted with that return.
4. Any and all appraisals of the property prepared in connection with a property tax appeal
or for any other purpose.
5. A list of all present owners of the property.
(d) A landlord shall not be entitled to apply for a hardship increase until he has owned
the property for at least eighteen (18) months.
(e) The Board's decision shall become effective after full 30-day statutory notice to
tenants.
(f) The Rent Leveling Board shall forthwith promulgate rules, regulations, forms to be
utilized, notice to tenants of hardship applications, and notice to tenants and landlords
regarding hearings, and general procedure. Said rules and regulations shall have the force
of law and shall be filed with the Township Clerk.
(g) A hardship application shall be filed with the Rent Leveling Board at least 30 days
prior to hearing thereon. Simultaneously with the filing of a hardship application, the landlord
shall deliver notice thereof to each affected tenant. Said notice shall be served personally or
by certified mail, return receipt requested, and shall set forth the basis for the hardship
application and the amount of requested increase. The information with the Rent Leveling Board
shall be open to public inspection.
(h) Within twenty (20) days of receipt of a complete application, the Rent Leveling Board
shall notify the landlord in writing of the time and place for hearing. Said hearing shall be
held not more than sixty (60) days from the date of receipt of a complete application. The
landlord shall immediately, upon receipt of such notification of hearing, serve such notice
upon each affected tenant. Prior to any hearing on said applciation, the landlord shall present
the Rent Leveling Board with Proof of service of notice of the hearing on each affected tenant.
(i) No hardship application shall be considered or granted by the Board for a period of
time more than one (1) year after the expiration of applicant's last tax reporting year.
(j) The Rent Leveling Board shall render a decision on a hardship application within
forty-five (45) days of theccondlusion ofthe hearing before the Board. Failure of the Board to
render its decision within the said time period, absent consent of the landlord, shall result
in the application being deemed granted.
RECORD OF ORDINANCES
Passed and adopted by the Board of Commissioners of the
Township of North Bergen, in the County of Hudson, New Jersey
(k) A hardhsip increase shall become part of base rent.
Section 10. CAPITAL IMPROVEMENT SURCHARGE.
(a) A landlord may apply for a capital improvement surcharge or for a surcharge for
major additional services not formerly provided to the tenants of units of housing space
in the affected dwelling. The landlord shall make written application therefore to thhe
Rent Leveling Board upon such forms as the Board may from time to time prescribe.
Simultaneously with filing of a capital improvement application, the landlord shall serve
notice thereof upon each affected tenant personally or by certified mail, return receipt
requested. Said notice shall set forth the basis for the capital improvement surcharge
and the amount of requested surcharge. The information filed with the Rent Leveling Board
shall be open to public inspection.
(b) A landlord shall submit a detailed contract or proposal and proof of payment as
to each improvement.
(c) The cost for a capital improvement shall be amortized over the useful life of
such capital improvement as set forth in the attached Schedule A.
(d) Within thirty (30) days from receipt of all required application forms, the Rent
Leveling Board shall notify the landlord in writing of the time and place of haring. The
landlord shall immediatly, upon receipt of such notification of hearing, serve notice
thereof upon each affected tenant. Prior to any hearing on said application, the landlord
shall present the Rent Leveling Board with proof of service of notice of the heażinguapon
each affected tenant.
(e) No capital improvement application shall be considered or granted by the Board for
work completed more than one (1) year before the date of filing of the application.
(f) Upon a determination that the proposed improvement is a capital improvement
or that the proposed service is a major additional service not formerly provided to the
affected tenant or tenants, the Board may grant a surcharge based upon the cost of the
capital improvement or major additional servie. Said surcharge shall be apportioned fairly
among the affected units of housing space, based upon the number of rooms in each of the
affected units and the useful life of such capital improvement as set forth in the attached
Schedule A. If any such surcharge is granted, it shall not be considered a part of base
rent and shall not be included in calculating the rent increases allowable under Section 5
of this Ordinance.
(g) The Rent Leveling Board shall notify the landlord in writing of its determination
under this section and the landlord shall forthwith deliver a copy of said determination
by certified mail to each affected tenant, to become effective upon 30-day notice.
(h) No capital improvement surcharge shalll be imposed upon any tenant who has been
granted Protected Tenancy Status pursuant to N.J.S. 2A:18-61.22 or N.J.S. 2A:18-61.40.
(i) Any capital improvement surcharge awarded within two years prior to the date of
notice to the municipal administrative officer required by N.J.S. 2A:18-61.27 or N.J.S. 2A:18-40
shall immediately become null and void upon the grant of Protected Tenancy Status. The
protected tenant's rent shall be recalculated and reduced accordingly; however, no rebate
of previously paid surcharge shall be granted.
(j) No tenant shall pay a greater proportion of a capital improvement surcharge than
the ratio of said tenant's apartment, or rooms contained therein, bears to the total number
of apartments or rooms within the building.
Section 11. RENTAL UNIT PRESERVATION ALLOWANCE.
(a) The landlord of any unit located in a dwelling in full compliance with this
Ordinance, the prior Ordinance 276-88 as amended, and with the terms of this Section, which
is vacant as of the date of introduction and first reading of this ordinate
becomes vacant subsequent thereto or which is occupied by a tenant against whom a valid
dispossess action has been commenced pursuant to N.J.S.A. 2A:18-61.1(k) and who voluntarily.
agrees to be subject to this section shall be permitted an increase in the base rent in
consideration for improvements to the dwelling unit as follows:
Cost of Improvements
minimum $1,000
$1,001 to $5,000
$5,001 to $8,000
More than $8,000
% Increase Permitted in Base Rent
-20% caf 1/23/06
additional .0025% per $1.00
additional .00667% per $1.00
50%
RECORD OF ORDINANCES
Passed and adopted by the Board of Commissioners of the
Township of North Bergen, in the County of Hudson, New Jersey
(b) No increase may be granted pursuant to this Section 11 within three (3) years of the
date of commencement of a previous increase granted pursuant to this Section 11.
(c). The cost of improvements shall be determined by considering 100% of the actual cost,
including not more than one year's interest payment in the event that the improvements are
financed, of the improvements that benefit the particular dwelling unit, and that portion of
the cost of the improvements which benefit the entire dwelling which is the ratio of the square
footage of the dwelling unit to the total square footage of the dwelling units in the dwelling.
(d) The landlord shall apply for the rental housing preservation increase to the Rent Leveling
Board on forms and in accordance with procedures to be established by the Rent Leveling Board.
Applications pursuant to this Section 1l shall be determined by the Rent Leveling Officer. The
application shall be filed prior to the commencement of the work setting forth the improvements
to be made and the estimated cost of same, together with the fee established in Section 18
of thsi Ordinance. The Rent Leveling Officer in her or his discretion may require an inspection
of the Unit prior to commencement of the work.
The
(e) Upon completion of the work, the landlord shall file an amended registration
statement showing the increased base rent and attaching documents, including but not limited
to invoices, receipts, and cancelled checks, supporting the cost claimed of the work.
Rent Leveling Officer shall then determine the new base rent of the dwelling unit and notify
landlord within twenty (20) days of receipt of the documentation required by this Ordinance
and any regulations promulgated hereunder. The landlord shall subsequently comply in all respects
with this Ordinance, including but not limited to the provisions regarding rent increases.
(f) Dwelling units vacant on (date of introduction) will for the first rental only be
presumed to have expended $8,000 without supporting documentation.
(g) In order to be eligible for the rental housing preservation increase permitted by
this Section 11, the following conditions must be satisfied.
1. The landlord shall have filed a certificate with the Rent Control Board stating that
he/she/it has agreed to maintain and preserve the dwelling as rental housing for a period of
at five (5) years from the commencement of any rental increase granted pursuant this Section 11,
and has prior to an application being submitted hereunder withdrew, canceled, dismissed, vacated
or otherwise repudiated all notices to quit, dispossess actions, and judgments pursuant to
N.J.S.A. 2A:18-61.1(k); and has further agreed not to commence any actions under N.J.S.A. 2A:18-61.1(k)
The landlord shall file written proof of compliance with this subparagraph with the Rent Leveling
Board as part of an application hereunder, with copies of the proof to be served on the tenants.
2. The landlord, or its agents, employees or contractors have not engaged in harrassment
of tenants within the meaning of section 16.
(h) The Rent Leveling Board shall promulgate regulations to implement this Section, such
regulations to be filed with the City Clerk and shall have the force of law.
Section 12. HARASSMENT OF TENANTS.
(a) No rental increase pursuant tooSections 5, 9, 10 and 11 of this Ordinance shall be
permitted for any dwelling unit where the landlord of the landlord's agents have been found
to have engaged in harassment of tenant(s), as defined below, who occupy or occupied the subject
dwelling unit or any other dwelling unit in the dwelling where the unit is located within three
years prior to the filing of the application for increase, if required, if no application is
required, the date the increase would be effective.
RECORD OF ORDINANCES
Passed and adopted by the Board of Commissioners of the
Township of North Bergen, in the County of Hudson, New Jersey
(b) "Harassment of tenants" means the following intentional or negligent acts or
omissions:
1. Failure to provide or reduction in the quality of basic services necessary to
the health, safety and welfare of the tenants, including but not limited to heat, hot
water, adequate security of grounds, entrances and common areas. Intermittent failures
and/or reductions in services are included herein.
2. Threats, either verbal or written, to evict a tenant for reasons other than good
cause as established by N.J.S.A. 2A:18-6