1 of 1 HOUSE DOCKET, NO. 902 FILED ON: 1/17/2023 HOUSE . . . . . . . . . . . . . . . No. 1361 The Commonwealth of Massachusetts _________________ PRESENTED BY: Samantha Montaño _________________ To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General Court assembled: The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: An Act enabling municipal housing agencies to enter enforceable deed restriction agreements with small property owners in good standing as part of zoning variance approval. _______________ PETITION OF: NAME:DISTRICT/ADDRESS :DATE ADDED:Samantha Montaño15th Suffolk1/10/2023 1 of 3 HOUSE DOCKET, NO. 902 FILED ON: 1/17/2023 HOUSE . . . . . . . . . . . . . . . No. 1361 By Representative Montaño of Boston, a petition (accompanied by bill, House, No. 1361) of Samantha Montaño for legislation to enable municipal housing agencies to enter enforceable deed restriction agreements with small property owners in good standing as part of zoning variance approval. Housing. The Commonwealth of Massachusetts _______________ In the One Hundred and Ninety-Third General Court (2023-2024) _______________ An Act enabling municipal housing agencies to enter enforceable deed restriction agreements with small property owners in good standing as part of zoning variance approval. Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows: 1 Chapter 40 of the General Laws is hereby amended by inserting after section 60B the 2following section:- 3 Section 60C. (a) As used in this section the following terms shall, unless the context 4clearly appears otherwise, have the following meanings:- 5 “Affordable housing”, a deed restricted unit affordable to and occupied by individuals 6and families whose annual income is less than 50 per cent of the area-wide median income as 7determined by the United States Department of Housing and Urban Development for the city or 8town in which the land lies and where rent or mortgage payments are not more than 35 percent of 9household income. 2 of 3 10 “Affordable housing restriction”, a right for 20 or more years, notwithstanding chapter 11184A, whether or not stated in the form of a restriction, easement, covenant or condition in any 12deed, mortgage, will, agreement, or other instrument executed by or on behalf of the owner of 13the real property containing the deed restricted unit appropriate to limit the use of such dwelling 14unit for affordable housing and recorded in the registry of deeds in which the land lies. While 15under affordable housing restriction, deed restricted units under this section are eligible to be 16counted on the so called 40B subsidized housing inventory administered by the department of 17housing and community development. 18 “Deed restricted unit”, a newly renovated dwelling unit subject to an affordable housing 19restriction pursuant to an agreement executed by the municipality and the property owner under 20this section. 21 “Newly renovated”, a dwelling unit constructed, redeveloped, renovated or developed 22pursuant to a by law, ordinance or zoning variance by a city or town provided for in subsection 23(b). 24 (b) A city or town accepting this section in the manner provided in section 4 of chapter 4 25may, notwithstanding any law to the contrary, provide through by-law, ordinance or zoning 26variance for the addition of newly renovated dwelling units in an existing building containing 27less than 10 dwelling units; provided, that such newly renovated dwelling units are subject to 28subsection (c). 29 (c) A property owner adding a newly renovated dwelling unit pursuant to subsection (b) 30shall enter into an affordable housing agreement with the municipality in which the land lies. 31Notwithstanding any law to the contrary, the agreement shall provide for an enforceable zoning 3 of 3 32variance for additional newly renovated dwelling units. The agreement shall include: (i) a 33payment of a sum of money to be agreed upon by the municipality and the property owner based 34on the fair market value of the improved property, notwithstanding any affordability covenant, 35and deposited into the municipality’s affordable housing trust fund adopted pursuant to section 3655C of chapter 44;(ii) additional newly renovated deed restricted units with recorded affordable 37housing restrictions pursuant to this section; or (iii) both (i) and (ii). 38 (d) The chief executive officer of a city or town shall hold, monitor and enforce the 39affordable housing restriction on a deed restricted unit or, designate a nonprofit organization 40created pursuant to chapter 180 to hold, monitor or enforce such restrictions. In the case that a 41municipality designates a nonprofit, the nonprofit shall be compensated by the municipality. 42 (e) The municipality shall establish rules and guidelines for granting a variance under this 43section. The affordable housing agreement in subsection (c) shall also provide for, and explicitly 44state, penalties for its noncompliance.