How are Rents Calculated in 40B developments?

All affordable housing programs have maximum rent restrictions.  In most programs, the rent is calculated by multiplying the affordability standard by the maximum annual income of a standard sized family, then dividing by 12, then subtracting a utility allowance for gas/oil/electricity/water/sewer charges that are not included in the rent.  The Local Initiative Program calculates one-bedroom units assuming a 2-person family, two-bedroom units assuming a 3-person family and three-bedroom units assuming a 4-person family; its affordability standard is 30% of income for rent; and the maximum income is 80% of median income.  Often, the program will calculate rents on the basis of an income number lower than the maximum income limit such as 70% of median income.