Cumberland County
New Jersey

Ordinance
ORD-2017-5

Bond Ordinance Providing For Sewer Improvements In And By The County Of Cumberland, New Jersey, Appropriating $1,000,000 Therefor And Authorizing The Issuance Of $1,000,000 Bonds Or Notes Of The County To Finance Part Of The Cost Thereof And The Execution Of Certain Documents Related Thereto

Information

Department:Planning & DevelopmentSponsors:Freeholder James F. Quinn, Freeholder Carol Musso
Category:Misc

Attachments

  1. Printout

Body

              WHEREAS, the Township of Downe (“Township”) and the County of Cumberland (“County”) and together with the Township, the (“Parties”) recognize the benefits and economies to be achieved by utilizing shared services for the performance of services that can be done more efficiently in combination rather than separately; and

WHEREAS, this ordinance is being adopted in connection with, and in anticipation of, a shared service agreement to be entered into by the Parties pursuant to the Uniformed Shared Services Consolidation Act, N.J.S.A. 40A:65-1, et seq. to provide sewer services that each local unit is legally able to provide on their own; and

              WHEREAS, the Township desires to provide sewer treatment and correction services as more specifically described in Section 3(a) hereof (the “Sewer Services”) for certain areas within the Township including the Bayside Communities of Fortescue and Gandy’s Beach; and

WHEREAS, the Parties and the State of New Jersey Department of Environmental Protection (the “Department”) anticipate executing, either jointly or severally, a Memorandum of Agreement (the “MOA”) pursuant to which the State of New Jersey (the “State”) will fund the Sewer Services for the communities of Fortescue and Gandy’s Beach within the Township through the New Jersey Environmental Infrastructure Trust Financing Program (the “NJEIT”) including an initial loan of One Million Dollars ($1,000,000.00) (the “Loan”); and

WHEREAS, in order to comply with the provisions of the NJEIT the Loan needs to be made to the County for the benefit of the Township; and

WHEREAS, pursuant to the MOA the County would be obligated to repay all monies loaned or extended to the County for the benefit of the Township which might need to be repaid to the State or the Department through the NJEIT; and

WHEREAS, the Parties have agreed to work cooperatively with respect to the financing, construction, operation and guarantee of repayment of indebtedness with respect to the Sewer Services and the County wishes to adopt this ordinance pursuant to the MOA and in case it should ever be required to repay the Loan proceeds to the State, Department or NJEIT.

NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF CHOSEN FREEHOLDERS OF THE COUNTY OF CUMBERLAND, NEW JERSEY (not less than two-thirds of all members thereof affirmatively concurring) AS FOLLOWS:

              Section 1.              The improvement described in Section 3(a) of this bond ordinance is hereby authorized to be undertaken by the County as  a general improvement.  For the improvement or purpose described in Section 3(a), there is hereby appropriated the sum of $1,000,000. Pursuant to N.J.S.A. 40A:2-11(c) no down payment is required as the Sewer Services will be funded through a loan from the NJEIT or the Department.

              Section 2.              Negotiable bonds are hereby authorized to be issued in the principal amount of $1,000,000 pursuant to the Local Bond Law.  In anticipation of the issuance of the bonds, negotiable bond anticipation notes are hereby authorized to be issued pursuant to and within the limitations prescribed by the Local Bond Law.

              Section 3.              (a)  The improvement hereby authorized and the purpose for the financing of which the bonds are to be issued is sewer improvements, including the planning and design and construction of sewer plants (including batch plants), the construction and installation of piping, pumps, force main and pump stations, all necessary paving and grading and site work, and all work and materials necessary therefor and incidental thereto.

              (b)  The estimated maximum amount of bonds or bond anticipation notes to be issued for the improvement or purpose is as stated in Section 2 hereof.

              (c)  The estimated cost of the improvement or purpose is equal to the amount of the appropriation herein made therefor.

              Section 4.              All bond anticipation notes issued hereunder shall mature at such times as may be determined by the County Chief Financial Officer.  The County Chief Financial Officer shall determine all matters in connection with bond anticipation notes issued pursuant to this bond ordinance, and the County Chief Financial Officer’s signature upon the bond anticipation notes shall be conclusive evidence as to all such determinations.   All bond anticipation notes issued hereunder may be renewed from time to time subject to the provisions of the Local Bond Law or other applicable law.  The County Chief Financial Officer is hereby authorized to sell part or all of the bond anticipation notes from time to time at public or private sale and to deliver them to the purchasers thereof upon receipt of payment of the purchase price plus accrued interest from their dates to the date of delivery thereof.  The County Chief Financial Officer is directed to report in writing to the governing body at the meeting next succeeding the date when any sale or delivery of the bond anticipation notes pursuant to this bond ordinance is made.  Such report must include the amount, the description, the interest rate and the maturity schedule of the bond anticipation notes sold, the price obtained and the name of the purchaser.

              Section 5.              The County hereby certifies that it has adopted a capital budget or a temporary capital budget, as applicable. The capital or temporary capital budget of the County is hereby amended to conform with the provisions of this bond ordinance to the extent of any inconsistency herewith.  To the extent that the purposes authorized herein are inconsistent with the adopted capital or temporary capital budget, a revised capital or temporary capital budget has been filed with the Division of Local Government Services.

              Section 6.              The following additional matters are hereby determined, declared, recited and stated:

              (a)              The improvement or purpose described in Section 3(a) of this bond ordinance is not a current expense.  It is an improvement or purpose that the County may lawfully undertake as a general improvement, and no part of the cost thereof has been or shall be specially assessed on property specially benefitted thereby.

              (b)              The period of usefulness of the improvement or purpose within the limitations of the Local Bond Law, according to the reasonable life thereof computed from the date of the bonds authorized by this bond ordinance, is 40 years.

              (c)              The Supplemental Debt Statement required by the Local Bond Law has been duly prepared and filed in the office of the Clerk of the Board of Chosen Freeholders, and a complete executed duplicate thereof has been filed in the office of the Director of the Division of Local Government Services in the Department of Community Affairs of the State of New Jersey.  Such statement shows that the gross debt of the County as defined in the Local Bond Law is increased by the authorization of the bonds and notes provided in this bond ordinance by $1,000,000, and the obligations authorized herein will be within all debt limitations prescribed by the Local Bond Law.

              (d)              An aggregate amount not exceeding $200,000 for items of expense listed in and permitted under N.J.S.A. 40A:2-20 is included in the estimated cost indicated herein for the purpose or improvement.

              Section 7.              The County hereby declares the intent of the County to issue bonds or bond anticipation notes in the amount authorized in Section 2 of this bond ordinance and to use the proceeds to pay or reimburse expenditures for the costs of the purposes described in Section 3(a) of this bond ordinance.  This Section 7 is a declaration of intent within the meaning and for purposes of Treasury Regulations.

              Section 8.              Any grant moneys received for the purpose described in Section 3(a) hereof shall be applied either to direct payment of the cost of the improvement or to payment of the obligations issued pursuant to this bond ordinance.  The amount of obligations authorized but not issued hereunder shall be reduced to the extent that such funds are so used.

              Section 9.              The County Chief Financial Officer is hereby authorized to prepare and to update from time to time as necessary a financial disclosure document to be distributed in connection with the sale of obligations of the County and to execute such disclosure document on behalf of the County.  The County Chief Financial Officer is further authorized to enter into the appropriate undertaking to provide secondary market disclosure on behalf of the County pursuant to Rule 15c2-12 of the Securities and Exchange Commission (the “Rule”) for the benefit of holders and beneficial owners of obligations of the County and to amend such undertaking from time to time in connection with any change in law, or interpretation thereof, provided such undertaking is and continues to be, in the opinion of a nationally recognized bond counsel, consistent with the requirements of the Rule.  In the event that the County fails to comply with its undertaking, the County shall not be liable for any monetary damages, and the remedy shall be limited to specific performance of the undertaking.

              Section 10.              The full faith and credit of the County are hereby pledged to the punctual payment of the principal of and the interest on the obligations authorized by this bond ordinance.  The obligations shall be direct, unlimited obligations of the County, and the County shall be obligated to levy ad valorem taxes upon all the taxable real property within the County for the payment of the obligations and the interest thereon without limitation of rate or amount.

              Section 11.              The Freeholder-Director and/or County Chief Financial Officer are each hereby authorized to execute and have attested any agreements, documents, certificates or necessary items, including the MOA and shared services agreement, to provide for the payment of monies owed to the County in connection with the improvements described herein.             

Section 12.              This bond ordinance shall take effect 20 days after the first publication thereof after final adoption, as provided by the Local Bond Law.

STATEMENT

The Bond Ordinance published herewith has been finally adopted on December 19, 2017 and the 20-day period of limitation within which a suit, action, or proceeding questioning the validity of such ordinance can be commenced, as provided in the Local Bond Law, has begun to run from the date of the first publication of this statement.

 

Ken Mecouch

Clerk to the Board of Chosen Freeholders

Meeting History

Oct 24, 2017 6:00 PM Video Board of Chosen Freeholders Regular Board Meeting
draft Draft

(a) Motion made by Freeholder Quinn and seconded by Freeholder Musso that the Ordinance be read on first reading by title only.

(b) Vote on motion, approved, voice vote 7-0.

(c) Clerk reads Ordinance by title only:

Ordinance 2017-5 - Bond Ordinance Providing For Sewer Improvements In And By The County Of Cumberland, New Jersey, Appropriating $1,000,000 Therefor And Authorizing The Issuance Of $1,000,000 Bonds Or Notes Of The County To Finance Part Of The Cost Thereof And The Execution Of Certain Documents Related Thereto

(d) Freeholder Quinn moves the Ordinance on first reading, seconded by Freeholder Musso.

(e) Board votes on Ordinance on first reading, approved roll call vote 7-0.

(f) Clerk reads notice of pending Ordinance:

Notice is hereby given that Ordinance 2017-5 was introduced and approved by the Board of Chosen Freeholders of the County of Cumberland on first reading on October 24, 2017. It will be further considered for final passage, after a public hearing thereon, at a meeting of the Board of Chosen Freeholders to be held at the Cumberland County Administration Building, 164 West Broad Street in Bridgeton, New Jersey on Tuesday, November 28, 2017 at 6:00 p.m., prevailing time at which time and place comments and objections to Ordinance 2017-5 may be presented by members of the public.

During the week prior to and including the date of such meeting, copies of said Ordinance will be made available to the general public who shall request the same at the office of the Clerk to the Board of Chosen Freeholders, 164 West Broad Street, Bridgeton, New Jersey.

RESULT:INTRODUCED [UNANIMOUS]Next: 11/28/2017 6:00 PM
MOVER:James F. Quinn, Freeholder
SECONDER:Carol Musso, Freeholder
AYES:Carman Daddario, Carol Musso, James F. Quinn, James R. Sauro, Joseph V. Sparacio, Darlene Barber, Joseph Derella