SENATE, No. 554

 

STATE OF NEW JERSEY

 

INTRODUCED JANUARY 29, 1996

 

 

By Senator MATHEUSSEN

 

 

An Act concerning municipal rent control and rent leveling ordinances, amending P.L.1987, c.153 and validating certain municipal ordinances.

 

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

    1. Section 1 of P.L.1987, c.153 (C.2A:42-84.1) is amended to read as follows:

    1. As used in this act:

    a. "Completion of construction" means issuance of a certificate of occupancy pursuant to section 15 of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-133);

    b. "Constructed" means constructed, erected or converted but excludes rehabilitation of premises rented previously for residential purposes without an intervening use for other purposes for a period of at least two years prior to conversion. Mere vacancy shall not be considered an intervening use for the purposes of this subsection;

    c. "Constructed after the effective date of this act" means constructed pursuant to a construction permit issued on or after the effective date of this act;

    d. "Constructed for senior citizens" means constructed under a governmental program restricting occupancy of at least 90% of the dwelling units to senior citizens and any members of their immediate households or their occupant surviving spouses, or constructed as a retirement subdivision or retirement community as defined in the "Retirement Community Full Disclosure Act," P.L.1969, c.215 (C.45:22A-1 et seq.);

    e. "Multiple dwelling" means any building or structure and land appurtenant thereto containing four or more dwelling units, other than dwelling units constructed for occupation by senior citizens, rented or offered for rent to four or more tenants or family units. "Multiple dwelling" shall not mean any dwelling unit occupied by a senior citizen that is a manufactured home installed in a mobile home park;

    f. "Period of amortization" means the time during which the principal amount of the mortgage loan and interest thereon would be paid entirely through periodic payments, whether or not the term of the mortgage loan is for a shorter period concluding with a balloon payment; and

    g. "Senior citizens" means persons 62 years of age or older, and on and after the effective date of P.L. , c. (C. ).(pending before the Legislature as this bill), persons 55 years of age or older.

(cf: P.L.1987, c.153, s.1)

 

    2. Any municipal rent control, leveling or stabilization ordinance adopted prior to the effective date of P.L.1987, c.153 that included manufactured homes installed in mobile home parks as dwellings subject to rent control, leveling or stabilization is hereby validated, notwithstanding the definition of "multiple dwelling" set forth in section 1 of P.L.1987, c.153 (C.2A:42-84.1); provided, however, that no action, suit or other proceeding of any nature to contest the validity of any such ordinance has been instituted prior to the effective date of this act and within the time fixed therefor by or pursuant to law or rule of court or when such time has not heretofore expired, is instituted within 30 days after the effective date of this act.

 

    3. This act shall take effect immediately.

 

 

STATEMENT

 

    This bill clarifies that manufactured homes occupied by senior citizens and installed in a mobile home park are not included in the definition of "multiple dwelling" for the purposes of P.L.1987, c.153. That law was intended to encourage the construction of new rental housing by exempting their construction from municipal rent control, leveling or stabilization ordinances. The sponsor believes that the definition of "multiple dwelling" was not intended to include manufactured homes occupied by senior citizens and installed in a mobile home park and so this bill merely clarifies that original intent with specific language. In addition, the bill also modifies the definition of "senior citizen" by reducing the age from 62 to 55 years, beginning on the date of enactment of this bill. Persons who reside in a multiple dwelling constructed for ages 55 and older after June 25, 1987 (the effective date of P.L.1987, c.153) would not be entitled to refunds for past years in which the municipal rent control ordinance would have applied had the multiple dwelling qualified as senior citizen housing under the age reduction proposed by this bill.

    The bill also contains a section validating municipal rent control, leveling and stabilization ordinances adopted prior to June 25, 1987 that included manufactured homes as dwellings subject to rent control, leveling or stabilization.

 

 

 

Clarifies and guarantees that mobile homes occupied by senior citizens are subject to municipal rent control, leveling and stabilization ordinances; validates certain ordinances.