[§201H-39]  Starter homes; design standards; applicant eligibility; authority to incorporate starter homes into housing projects of the corporation.  (a)  The corporation shall adopt rules in accordance with chapter 91 to establish design and construction standards for starter homes configured to expand incrementally over time.  For the purposes of this section, "starter home" means a dwelling unit that is designed to meet the basic living capacity requirements of homebuyers with families of limited size by eliminating unnecessary design and space amenities, but which nonetheless enables future expansion, modification, and improvement by the owner to accommodate increased occupancy over time as may be necessary.  The rules shall include building, setback, minimum lot size, infrastructure, and architectural standards for the construction and development of starter homes.

     (b)  In addition to the requirements of subsection (a), the corporation shall adopt rules in accordance with chapter 91 to establish the basic requirements for families eligible to purchase starter homes under this section.  The rules shall include guidelines and restrictions on occupancy standards initially permitted in a starter home, as well as the income ranges of families eligible to qualify for purchases under this section.

     (c)  The corporation may incorporate starter homes into any affordable housing project developed by the corporation under this chapter.  The corporation shall determine on a project-by-project basis the number of starter home units to be included in each particular project.

     (d)  The corporation shall include in its annual report to the legislature a report on the number of starter homes constructed and developed by the corporation in accordance with the authorization provided in this section. [L 2006, c 180, pt of §3]