N.J. Admin. Code § 5:13-1.3

Current through Register Vol. 56, No. 21, November 4, 2024

Section 5:13-1.3 - Operation of corporation or association

(a) The following acts of the housing sponsor, to be valid and effective shall be subject to the prior approval of the Authority in writing:

1. All bylaws of the housing sponsor and amendments to those bylaws, and to the certificate of incorporation or partnership or association agreement, which shall be filed with the Authority;

2. All advertisement or prospectus;

3. All rent schedules to be fixed or amended which shall be filed with the Authority;

4. Selection or approval of any application for occupancy or entering into any leasehold agreement.

5. Sale, transfer, encumbrance or assignment of the property of the housing sponsor or of any stock or other ownership interest in the housing sponsor, provided, however, that this paragraph shall not apply to transfers by or to individuals of stock in a nonprofit corporation which is held, or is to be held, in conjunction with a lease to a dwelling unit in a cooperative project which is occupied or is to be occupied by the holder of the stock.

(b) If the mortgage on the project is insured by the FHA or financed by the HMFA, the housing sponsor shall comply with the requirements of such agency in connection with reserves. On termination of the jurisdiction of the FHA or HMFA, the reserves of the corporation shall be established and maintained in an account approved by the Authority.

(c) As provided by the Act, as amended, the housing sponsor shall pay an annual service charge for municipal services in an amount not more than the tax on the property on which the project in which the undertaking of said project is commenced or 15 percent of the annual gross shelter rents obtained from the project, whichever is the greater.

(d) The rental or use of apartments in a housing project by an employee of the housing sponsor shall be subject to the same regulations as are applicable to other tenants unless the Authority shall waive certain requirements.

N.J. Admin. Code § 5:13-1.3

As amended, R.1983 d.145, eff. 5/16/1983.
See: 15 N.J.R. 193(a), 15 N.J.R. 803(b).
In (a)1 added "to the certificate of incorporation or partnership or association agreement". Also added 5 to (a).
Amended by R.1988 d.49, effective 2/1/1988.
See: 19 N.J.R. 1861(a), 20 N.J.R. 256(a).
Changed "HFA" to "HMFA".
Recodified from 5:13-1.5 by R.1997 d.253, effective 6/16/1997.
See: 29 N.J.R. 965(b), 29 N.J.R. 2653(a).