Minutes: April 28, 2011

The Regular Meeting of the Township Council of the Township of Vernon was convened at 6:05 p.m. on Monday, April 28, 2011 in the Vernon Municipal Center, 21 Church Street, Vernon, New Jersey with Mayor Sally Rinker presiding.

Statement of Compliance

Adequate notice of this meeting had been provided to the public and the press on January 5, 2011, and was posted on the bulletin board in the Municipal Building in accordance with the Open Public Meetings Act, N.J.S.A. 10:4-6.

Roll Call of Members

Present were Council Members Brian Lynch, Valerie Seufert, Harry Shortway, and Mayor Sally Rinker.

Also present were Township Manager Jerry Giaimis, Township Attorney Robert McBriar (standing in for Mr. Ursin), Engineer Cory Stoner, and Financial Analyst Bob Benecke. Council Member Richard Carson was absent.

Resolution to Go into Executive Session

At 6:14 p.m. Mayor Sally Rinker asked for a motion to go into Executive Session. Council Member Lynch made a motion to close the meeting to the public and enter into executive session. Motion seconded by Council Member Shortway with all members voting in favor.

The Municipal Clerk read the following resolution to go into executive session:

WHEREAS, Section 8 of the Open Public Meetings Act, N.J.S.A. 10:4-6 permits the exclusion of the public in certain circumstances; and

WHEREAS, this public body is of the opinion that such circumstances presently exist;

NOW, THEREFORE, BE IT RESOLVED by the Township Council of the Township of Vernon as follows:

1. The public shall be excluded from discussion of and action upon the hereinafter specified subject matter.
2. The general nature of the subject matters to be discussed are:
   1. Main Street Associates
   2. Municipal Services Reimbursement
   3. Auction/Sale of Twp. Property Block 124.17 Lot 11
   4. SCMUA
3. It is anticipated that the above-stated subject matter will be made available upon final decision.
4. 4. This resolution shall take effect immediately.

The Township Council entered into Executive Session at 6:07p.m.

The meeting was reopened to the public at 7:10p.m. Present were Council Members Valerie Seufert, Harry Shortway, and Mayor Sally Rinker. Richard Carson was absent.

Also present were Township Manager Jerry Giaimis, Township Attorney Robert McBriar (standing in for Mr. Ursin), Cory Stoner, and Bob Benecke.

Salute to the Flag

The Mayor led the assemblage in the salute to the flag.

Presentations

• Julie Buruchian was presented with a plaque honoring her for achieving the Girl Scout Gold Award. Mayor Rinker noted the honor that this award represents (equal to the Eagle Scout Award for Boy Scouts). The Mayor read the proclamation.
• Warren Burgess was presented with a plaque honoring him for his many years of service, including his time as the former animal control officer. The Animal Shelter will bear his name. Mayor Rinker read the proclamation.
• Eva Ferlauto was presented with a plaque honoring her for her work as a foster parent. Ms. Ferlauto was recognized for her years of work in foster care. The Mayor read the proclamation.

All 3 people were congratulated.

Mr. Giaimis noted that Police Officer John Boenitz (listed on the agenda for a presentation) was a low-key guy and was not in attendance. Mr. Giaimis advised that he would be honored by the Chief at another time. Mr. Shortway noted his positive experience in working with Officer Boenitz when he, himself, was a fellow officer.

Economic Development Advisory Committee gave a PowerPoint presentation, led by Jean Murphy and Pat Seger. A survey had been sent out to all the business owners to get a feel for the types of businesses, who owns vs. leases, how long they have been at their current location, how many wished to move or stay, and other related information. Two common issues were noted—there is a problem with the current sign ordinance, and there are various zoning concerns. Most businesses are happy being in Vernon.

Council Member Seufert noted that she had recently spoken to Mr. Ursin about the sign ordinance.

Council Member Carson joined the meeting by speaker-phone at this time. (7:38pm)

A business owner spoke about how he would like to expand at his current location. He suggested a “loyalty shopping program” and then explained what that was.

Council Member Shortway felt it could work in Vernon. The business owner advised that he would need a minimum of 20 businesses to start the program.

Council Member Lynch noted that the Animal Shelter recently held a rabies clinic with about 300-400 dogs. He thanked all the staff and volunteers who came out to make the clinic a success, including Dr. Tim Binghamton, Deputy Clerk Angie Bates, and former employee Kerrie Scott.

Mayor Rinker advised that the agenda would be switched around a bit to get some business done and to accommodate Council Member Seufert who might not be able to stay until the end of the meeting as she was recovering from surgery.

Approval of Minutes

February 14, 2011—Regular Meeting Minutes

Moved: Brian Lynch
Seconded: Valerie Seufert

A roll call vote was taken:
Ayes: Richard Carson, Brian Lynch, Valerie Seufert, Sally Rinker
Nays: None
Abstain: Harry Shortway

December 28, 2010—Executive Session Minutes

Moved: Valerie Seufert
Seconded: Brian Lynch

A roll call vote was taken:
Ayes: Richard Carson, Valerie Seufert, Brian Lynch, Sally Rinker
Nays: None
Abstain: Harry Shortway

January 10, 2011—Executive Session Minutes

Moved: Brian Lynch
Seconded: Valerie Seufert

A roll call vote was taken:
Ayes: Richard Carson, Valerie Seufert, Brian Lynch, Sally Rinker
Nays: None
Abstain: Harry Shortway

January 24, 2011—Executive Session Minutes

Moved: Valerie Seufert
Seconded: Brian Lynch

A roll call vote was taken:
Ayes: Richard Carson, Valerie Seufert, Brian Lynch, Harry Shortway, Sally Rinker
Nays: None
Abstain:

February 28, 2011—Executive Session Minutes

Moved: Brian Lynch
Seconded: Harry Shortway

A roll call vote was taken:
Ayes: Richard Carson, Brian Lynch, Harry Shortway, Sally Rinker
Nays: None
Abstain: Valerie Seufert

April 11, 2011—Executive Session Minutes

Moved: Brian Lynch
Seconded: Sally Rinker

A roll call vote was taken:
Ayes: Richard Carson, Brian Lynch, Sally Rinker
Nays: None
Abstain: Valerie Seufert, Harry Shortway

First Reading on Proposed Ordinances

Mayor Sally Rinker read Ordinance #11-12 by title only.

Ordinance #11-12: Ordinance of the Township of Vernon, County of Sussex, State of New Jersey, regarding the establishment of a municipal utilities authority

Council Member Seufert made a motion to approve Ordinance #11-12 upon introduction, seconded by Council Member Shortway.

Council Member Lynch asked if Council was waiting for more information.

Mayor Rinker noted that more information could be given at a work session by the Finance Committee. However though she was in favor of this MUA in general, she would prefer meeting with the Finance Committee in the interim.

Mayor Rinker made a motion to introduce Ordinance #11-12 but to hold a meeting in the interim before considering adoption of the Ordinance. Seconded by Council Member Seufert. All agreed to hold a work session. Council Member Lynch felt that Mr. Ursin should be there. Mr. Ursin thought it might be best to table the Introduction of the Ordinance at this time. Mayor Rinker was ready to move to table the ordinance.

Bob Benecke expressed concern with tabling the ordinance which would negatively impact the SCMUA issue. He advised that he would be okay with introducing the ordinance as is, holding a meeting, and then making any necessary changes before adoption.

Mayor Rinker made a motion to introduce Ordinance 11-12 and then hold a work session meeting on the Ordinance. Seconded by Council Member Seufert.

A roll call vote was taken:
Ayes: Richard Carson, Brian Lynch, Valerie Seufert, Harry Shortway, Sally Rinker
Nays: None
Ordinance #11-12 was approved as introduced. Public Hearing to be scheduled for May 12, 2011.

Mr. Giaimis suggested holding off on Introduction of Ordinance #11-13 until further information later this evening from the engineer.

Second Reading, Public Hearing on Proposed Ordinances

Mayor Rinker read Ordinance #11-08 by title only. First reading was held on April 11, 2011.

Ordinance #11-08: Bond ordinance appropriating $1,484,000. and authorizing the issuance of $1,412,000. bonds or notes of the township, for various improvements or purposes for emergency services authorized to be undertaken by the Township of Vernon, in the County of Sussex, New Jersey

Motion: Valerie Seufert
Seconded: Harry Shortway

Mayor Rinker opened the meeting for Public Hearing on this ordinance.

Gary Martinsen—felt the Bond Ordinance should go forward.

Tom McClachrie—re-stated his belief that any debt over $500,000 should be put out for public referendum.

There being no further comments from the public, the Mayor closed the Public Hearing.

Council Member Seufert thanked the Council, the Fire Departments, and the DPW for their hard work to make the bonding as low as possible.

Council Member Shortway noted his understanding of Mr. McClachrie’s position, but stated that the Fire Chiefs needed this equipment for public safety.

A roll call vote was taken:
Ayes: Richard Carson, Valerie Seufert, Harry Shortway, Sally Rinker
Nays: None
Abstain: Bryan Lynch
Ordinance #11-08 was adopted.

Mayor Rinker read Ordinance #11-10 by title only. First reading was held on March 14, 2011.

Ordinance #11-10: An ordinance of the Township of Vernon, County of Sussex, State of New Jersey authorizing the sale of certain property owned by the township and not required for public purposes and more commonly known as Block 124.17 Lot 11

Mr. Giaimis explained that the property would go up for public auction and that notices would go out as well.

Motion: Valerie Seufert
Seconded: Brian Lynch

Mayor Rinker opened the meeting for Public Hearing on this ordinance.

Tom McClachrie—asked to clarify if residents would be notified. Mr. Giaimis advised that only the residents of adjacent properties would be notified.

There being no further comments from the public, the Mayor closed the Public Hearing.

A roll call vote was taken:
Ayes: Richard Carson, Brian Lynch, Valerie Seufert, Harry Shortway, Sally Rinker
Nays: None
Abstain:
Ordinance #11-10 was adopted.

Public Hearing on the 2011 Municipal Budget Township of Vernon

Resolution #11-77: A Resolution to Read the 2011 Municipal Budget by Title Only

WHEREAS, N.J.S.A. 40A:4-8 provides that the budget may be read by title only at the time of the public hearing if a resolution is passed by not less than a majority of the full governing body, providing that at least one week prior to the date of hearing, a complete copy of the budget has been made available for public inspection in the free public library, if any, located within the municipality and in the free county or regional library located within the municipality; and

WHEREAS, if there is no county or regional library located within the municipality, then it must be provided to the county or regional library of the county where the municipality is located; and

WHEREAS, the public officer delegated the responsibility for delivering copies to said libraries has completed a certification and forwarded same to the governing body attesting that such copies and deliveries were made and that copies have been made available by the Clerk to each person requesting same; and

WHEREAS, the conditions required by N.J.S.A. 40A:4-8 have been satisfied for the 2011 Municipal Budget by Township Officials.

NOW, THEREFORE BE IT RESOLVED, by the Township Council of Vernon, New Jersey that the 2011 Municipal Budget shall be read by title only at the Public Hearing on April 28, 2011.

This Resolution shall take effect immediately upon adoption according to law

Motion: Valerie Seufert
Seconded: Harry Shortway

Council Member Lynch asked about the line item for wages and salaries for Council at $16,000—had provisions been made to adjust for the new Council. Mr. Giaimis advised that there were no provisions made. The Council Member asked about what could be done for a full-time Mayor. Mr. Giaimis advised that a salary ordinance would take 2 months and would give Council time to address these issues.

A roll call vote was taken:
Ayes: Richard Carson, Brian Lynch, Valerie Seufert, Harry Shortway, Sally Rinker
Nays: None
Abstain:
Resolution #11-77 was adopted.

Overview of 2011 Municipal Budget

Mr. Giaimis thanked Mr. Zuckerman and Bob Benecke for their assistance in putting the budget together, as well as the Fire Departments and DPW for their efforts. He noted that the 2011 Municipal budget follows the tradition of falling below state-mandated caps governing both appropriations and tax levy increases. In 2009 the total was $22,049,056; in 2010 it was $22,301,477; and in 2011 it will be $22,257,159. He pointed out that the municipal government is a service-based organization, with approximately 65% of the municipal budget providing funding for the salaries and benefits of the Vernon Township employees. Over the years, the Township has reduced its workforce by eliminating full-time positions through both reductions in force as well as attrition. He advised that we would continue to address increasing service demands through the exploration of shared services, privatization when possible, and embracing technology where appropriate. Overall, the budget for 2011 reflects a .20% reduction in proposed appropriations from the 2010 budget, despite several major appropriation increases for health insurance premiums, reserve for uncollected taxes, capital improvement program, PFRS police pensions, and PERS municipal employee pensions. Accordingly, the Township’s 2011 budget increase over the prior year is less than 1.5%. Despite having to achieve more with less, he noted that we were working to maintain excellent service levels. On the revenue side of the budget, he noted that Vernon has experienced a period of years in which a number of revenue categories have been reduced due to the recessionary economy. The 2 biggest reductions were reflected in local revenues and miscellaneous revenues. Mr. Giaimis summed up his report noting that the 2011 budget will enable the township to continually meet the public’s demand and need for services. He added that the proposed budget is structured in a fiscally responsible manner to ensure the financial well being of our municipal government.

Open to Public Discussion

Jack McLaughlin of Highland Lakes—asked about the Municipal Reimbursement program, noting that in the 2010 budget $600,000 was listed for 2009 expenses. He advised that, to date, only $527,000 had been paid, despite $800,000 being spent by the communities for these plowing costs. He asked how the disputed amounts would be paid if the communities prevail in any lawsuit on this issue. Mr. Giaimis advised that if litigation comes up, the amounts would have to be paid in whatever manner available (i.e. bonding, going out for an emergency; etc.) Mr. McLaughlin noted a large gap in payment vs. requests for 2009 monies—he asked about this year’s budget for 2009 and 2010 payments. He also asked about health services that had been transferred to the County and what happened with the associated fees (septic, food licenses, etc.)—did the Township retain the fees. Mr. Giaimis advised that we did. Mr. McLaughlin also asked about revenues/expenses for the health services.

Robert Oliver—asked if the Council was suggesting/planning to increase to 150% of reimbursement. He also asked what was anticipated for surplus in the 2011 budget. Mr. Benecke advised that the anticipated surplus was $630,000. Mr. Benecke and Mr. Oliver discussed the surplus issues.

Jack McLaughlin—asked to address a comment made by Mr. Oliver that he had been grandstanding. He advised that his actions were not grandstanding at all. Council Member Lynch suggested a sub-committee could be formed with the lake communities and the attorney to discuss the matter further. Mayor Rinker thought a work session would be a good idea.

Robert Oliver—clarified his position on the matter. The Mayor suggested that the Financial Advisory Committee should also attend such a work session. All agreed.

Council Member Carson signed off of the phone at this time.

A resident spoke about ice damage and erosion in certain areas of the Township, and asked if funds were available to address these issues. He was advised that the State had determined that the threshold had not been met for a State of Emergency to be declared and the relative funding. Bob Benecke noted that the Municipal Services Act covered such problems, and explained how emergencies could be handled.

Doreen Edwards—felt that the State should have been notified about the ice damage on their behalf. Council Member Seufert noted that the State had advised that the area was not large enough to receive relief, despite the Mayor’s efforts. Council Member Lynch advised about the process as Department OEM. Ms. Edwards asked about the status of the Canistear Road project. Mr. Giaimis advised that the Engineer would address that project later in the meeting.

Diane Wexler—was concerned with the way she was treated when the storm damage happened.

Dan Fells—noted that he is a resident, as well as a fireman in Allendale. He advised that Allendale got a grant for a new fire truck, and wondered why Vernon couldn’t do the same. Council Member Lynch advised that a grant was received for new air paks. Mr. Giaimis noted that he would be applying for as many grants as possible. Mr. Fells was glad that the Fire Departments were willing to compromise by lowering their requests.

Tom McClachrie—spoke about the budget versus the tax levy, including the impact on taxes paid out and delinquent taxes, and the average home value. Bob Benecke addressed Mr. McClachrie’s issues. Mr. McClachrie asked about deferred pension payments and the Canistear Road project.

Jamie Rickey—noted that the ballots for the school board elections didn’t arrive until the day before the election and hoped the May election ballots would arrive sooner.

There being no further comments from the public, the Mayor closed the Public Hearing.

Resolution #11-78: Self-Examination of 2011 Municipal Budget Resolution [as required by DCA]

WHEREAS, N.J.S.A. 40A:4-78b has authorized the Local Finance Board to adopt rules that permit municipalities in sound fiscal condition to assume the responsibility, normally granted to the Director of the Division of Local Government Services, of conducting the annual budget examination; and

WHEREAS, N.J.A.C. 5:30-7 was adopted by the Local Finance Board on February 11, 1997; and

WHEREAS, pursuant to N.J.A.C. 5:30-7.2 through 7.5, the Township of Vernon has been declared eligible to participate in the program by the Division of Local Government Services, and the Chief Financial officer has determined that the local government meets the necessary conditions to participate in the program for the 2011 budget year.

NOW THEREFORE BE IT RESOLVED by the governing body of the Township of Vernon that in accordance with N.J.A.C. 5:30-7.6a & 7.6b and based upon the Chief Financial Officer’s certification, the governing body has found the budget has met the following requirements:

1. That with reference to the following items, the amounts have been calculated pursuant to law and appropriated as such in the budget:
   1. Payment of interest and debt redemption charges
   2. Deferred charges and statutory expenditures
   3. Cash deficit of preceding year
   4. Reserve for uncollected taxes
   5. Other reserves and non-disbursement items
   6. Any inclusions of amounts required for school purposes.
2. That the provisions relating to limitation on increases of appropriations pursuant to N.J.S.A. 40A:4-45.2 and appropriations for exceptions to limits on appropriations found at N.J.S.A. 40A:4-45.3 et seq., are fully met (complies with CAP law).
3. That the budget is in such form, arrangement, and content as required by the Local Budget Law and N.J.A.C. 5:30-4 and 5:30-5.
4. That pursuant to the Local Budget Law:
   1. All estimates of revenue are reasonable, accurate and correctly stated,
   2. Items of appropriation are properly set forth
   3. In itemization, form, arrangement and content, the budget will permit the exercise of the comptroller function within the municipality.
5. The budget and associated amendments have been introduced and publicly advertised in accordance with the relevant provisions of the Local Budget Law, except that failure to meet the deadlines of N.J.S.A. 40A:4-5 shall not prevent such certification.
6. That all other applicable statutory requirements have been fulfilled.

BE IT FURTHER RESOLVED that a copy of this resolution will be forwarded to the Director of the Division of Local Government Services upon adoption.

Motion: Valerie Seufert
Seconded: Harry Shortway

A roll call vote was taken:
Ayes: Brian Lynch, Valerie Seufert, Harry Shortway, Sally Rinker
Nays: None
Abstain:
Resolution #11-78 was adopted.

Resolution #11-79: Certification of Approved Budget

NOW THEREFORE BE IT RESOLVED, by the governing body of the Township of Vernon, County of Sussex, State of New Jersey, that the Approved Budget is hereby certified and complies with the requirements of law, and approval is given pursuant to N.J.S.A. 40A:4-78(b) and N.J.A.C. 5:30-7;

BE IT FURTHER RESOLVED that the municipality has met the eligibility requirements of N.J.A.C. 5:30-7.4 and 7.5, and that the Chief Financial Officer has completed the local examination in compliance with N.J.A.C. 5:30-7.6.

Motion: Valerie Seufert
Seconded: Harry Shortway

A roll call vote was taken:
Ayes: Brian Lynch, Valerie Seufert, Harry Shortway, Sally Rinker
Nays: None
Abstain:
Resolution #11-79 was adopted.

(see Budget adoption—#11-80 below)

Motion: Valerie Seufert
Seconded: Harry Shortway

A roll call vote was taken:
Ayes: Brian Lynch, Valerie Seufert, Harry Shortway, Sally Rinker
Nays: None
Abstain:
Resolution #11-80 was adopted.

Public Comments

Mayor Rinker opened the meeting for public comment.

Council Member Seufert left the meeting at this time. 9:00 p.m.

Phyllis MacPeek—felt that more information needed to be published/posted for the public about the recycling center. Mr. Giaimis advised that this was already being handled.

Doreen Edwards—asked about drop-off of bulk pick-up. She also advised that the Police Department and the A&P were holding a 2-hr period for people to turn in old prescriptions.

A resident asked if the DPW had found a roll-off truck.

Mayor Rinker asked Mr. Giaimis to look into getting more of this information out there.

Jessi Paladini—had several items to discuss:

• noted that Revered Review (thanks to Jessica Zummo) had live chat, live streaming;
• Inside Vernon featured a League of Women Voters voting forum;
• She was concerned about the drapes—they were being poorly treated;
• the Historical Society glass case in the lobby had been damaged (broken shelf)—she asked that people have more respect for the Municipal Center;
• HVAC—she noted she had filed an OPRA request for repairs on the system, and was shocked that $200,000 had been spent to fix it and it still was not working.

She asked for a status report on the system. Mr. Giaimis advised that the engineer would speak about this issue during the Manager’s report.

Gary Martinsen—noted the EDAC presentation raised some concerns, especially with the sign ordinance. He felt that the work session should have been cancelled.

Mary Ellen Vischiconti—asked Mr. McBriar for a legal opinion about tampering with election materials, specifically removing or destroying election signs. Mr. McBriar advised that the Police Department should be contacted. He had no comment on any ELEC aspect of it. Ms. Vischiconti spoke about the Canistear Road project—she was concerned about the Lake Wanda road drainage from paving of Canistear Road in that area. She asked the engineer to look at that area.

Seeing no one else from the public wishing to speak, Mayor Sally Rinker closed the public portion of the meeting.

Township Manager’s Report

Mr. Giaimis handed over his portion of the meeting to the engineer, Cory Stoner. Mr. Stoner discussed the HVAC system. He explained what had been done and the new bid process. He noted that the current system has components that are 30 years old, which have been consistently breaking down since 2006. In 2010 he was working to repair the system to working order with some success (which included cleaning, maintenance, and electrical). As for the bid process, the base bid is for the chillers and then the alternate bid was for the boilers with all 3 prices being very similar. He advised that he would like the Council to at least award the base bid due to time constraints as it takes about 6 weeks to order the chillers. Mr. Giaimis noted that the base bid amount was budgeted for in the bond ordinance. Mr. Stoner continued that if Council agreed with going ahead with the boilers as well, the ordinance on the agenda to re-allocate $100,000 from another (earlier) bond ordinance would cover the alternate bid amount.

There was a brief discussion on the viability of the current HVAC system and which way to go with awarding the bid or not and/or amending the prior ordinance.

Resolution #11-81 Option #1: Authorizing the Award of Contract for the HVAC System Mechanical Upgrades at the Vernon Township Muncipal Building

WHEREAS, there is a need for upgrades to the HVAC systems in the Vernon Township Municipal Building;

WHEREAS, these issues have been evaluated and analyzed by both the Township Engineer and outside consultants;

WHEREAS, the Township has issued specifications and contract documents soliciting formal bids for the necessary work;

WHEREAS, the bids were due and opened on April 21, 2011 at 10 a.m.;

WHEREAS, the Township Engineer has reviewed the bids and recommended that the award of the Base Bid for Air-Cooled Central Chiller Replacement be made at this time to Envirocon, L.L.C. of Hackettstown, New Jersey, the lowest responsive bidder;

WHEREAS, due to budgetary constraints, the Township Engineer has recommended that the Alternate Bid for Gas-Fired Central Boiler Plant Replacement be rejected and not awarded at this time.

NOW THEREFORE IT BE RESOLVED by the Township Council of the Township of Vernon that the Mayor and Clerk are authorized to enter into a contract with Envirocon, L.L.C. for the work specified in the bid proposals as the Base Bid for Air-Cooled Central Chiller Replacement in the total amount of $238,700.00. The Alternate Bid for Gas-Fired Central Boiler Plan Replacement listed on the bid proposal is rejected and not awarded at this time.

Motion: Harry Shortway
Seconded: Brian Lynch

A roll call vote was taken:
Ayes: Brian Lynch, Harry Shortway, Sally Rinker
Nays: None
Abstain:
Resolution #11-81 with Option 1 was adopted.

Mayor Rinker asked to have an investigation of the HVAC system with a service check on the boilers, not to exceed $1,000.00.

Motion: Sally Rinker
Seconded: Brian Lynch
All members present were in favor.

Mr. Giaimis continued the Manager’s Report on the Canistear Road project, noting that there was $400,000 budgeted in the bond, $250,000 from a grant, and $200,000 from the traffic impact fees. The proposed project consists of about 2/3 of the entire roadway (about 4 miles) to be completed. Mr. Stoner handed out a spreadsheet and map of the roadway. Mr. Stoner gave an overview of his analysis of the roadway and how he determined the best way to proceed with this project. He noted the section of roadway that had just undergone a “test” using the cold-in-place reclamation method. Mr. Giaimis advised that he would be applying for a DOT grant for the remainder of the roadway.

Mayor Rinker inquired about how much more it would be to finish the roadway. Mr. Stoner advised that it would be about $300,000 for milling and resurfacing of the final 1/3 section to create the least impact on drainage with driveways (a more residential area).

Mayor Rinker asked that the Manager and Engineer go ahead with the rest of Canistear Road

Motion: Sally Rinker
Seconded: Harry Shortway

Cory Stoner noted that he had looked into the roadway markings on Breakneck Road and related costs: for a double yellow line, a solid white line on the outer edges, and dashed lines up the roadway would cost about $6,000.00. For reflectors in the roadway it would cost an additional $4,000.00. He advised that he would try to include this into the second phase of the Canistear project.

Mayor Rinker asked to amend the motion to direct the Manager and Engineer to put a bid together for 4 miles of Breakneck Road with line striping and reflectors from County Rte. 515 to just over the crest.

Motion: Sally Rinker
Seconded: Harry Shortway

A roll call vote was taken:
Ayes: Brian Lynch, Harry Shortway, Sally Rinker
Nays:
Motion carried as amended.

Mr. Giaimis asked for direction for a Resolution on the Municipal Reimbursement issue.

Mr. Stoner was thanked for his report.

Township Attorney’s Report

Mr. Ursin had nothing to report.

Resolutions Requiring Separate Action

Resolution #11-75: Authorizing the Approval of Bills List

BE IT RESOLVED that the following bills listed are hereby approved:

Moved: Harry Shortway
Seconded: Brian Lynch

A roll call vote was taken:
Ayes: Brian Lynch, Harry Shortway, Sally Rinker
Nays: None
Resolution #11-75 was approved.

Resolution #11-76: Authorizing Agreement to Extend Contract to Acquire Real Property between the Township of Vernon and Main Street Associates, Inc., for an Additional Ninety (90) Days

WHEREAS, the Township of Vernon, a municipal corporation of the State of New Jersey with offices located at 21 Church Street, Vernon, New Jersey 07462 (the “Township”) and Main Street Associates, Inc., a corporation of the State of New Jersey with offices located at 15 Church Street, Vernon, New Jersey 07462 (“MSA”), entered into a contract to acquire real property dated September 8, 2003, a copy of which is attached to this Resolution as Exhibit A; and

WHEREAS, the contract provided for each party to perform certain obligations concerning the Town Center Project; and

WHEREAS, many of the obligations are ongoing and not yet complete; and

WHEREAS, both the Township and MSA wish to mutually extend the term of the contract for an additional ninety (90) days pursuant to the terms and conditions as substantially set forth in the Agreement to Extend Contract to Acquire Real Property attached to this Resolution as Exhibit B.

NOW, THEREFORE, BE IT RESOLVED by the Council of the Township of Vernon, County of Sussex, State of New Jersey as follows:

1. The Mayor is hereby authorized to execute the Agreement to Extend Contract to Acquire Real Property between the Township and Main Street Associates, Inc., substantially in the form as attached to the Resolution as Exhibit B.
2. Notice of this Resolution shall be published in accordance with law as necessary.
3. The within Resolution and subject Contract shall be on file and available for public inspection in the office of the Municipal Clerk.
4. This Resolution shall take effect immediately upon passage and publication in accordance with law, if required.

Moved: Brian Lynch
Seconded: Harry Shortway

A roll call vote was taken:
Ayes: Brian Lynch, Harry Shortway, Sally Rinker
Nays: None
Resolution #11-76 was approved.

Resolution #11-82: Resolution Authorizing the Issuance of Not Exceeding $1,571,000 Bond Anticipation Notes of the Township of Vernon, in the County of Sussex, New Jersey

BE IT RESOLVED by the Township Council of the Township of Vernon, in the County of Sussex, New Jersey, as follows:

ARTICLE I Pursuant to a bond ordinance of the Township of Vernon, in the County of Sussex (herein called “local unit”) entitled: “Bond ordinance appropriating $1,650,000, and authorizing the issuance of $1,571,000 bonds or notes of the Township, for various improvements or purposes authorized to be undertaken by the Township of Vernon, in the County of Sussex, New Jersey”, finally adopted on March 28, 2011 (#11-7), Bond Anticipation Notes of the local unit in a principal amount not exceeding $1,571,000 shall be issued for the purpose of temporarily financing the improvement or purpose described in Section 3 of said bond ordinance, including (to any extent necessary) the renewal of any Bond Anticipation Notes heretofore issued therefor.

ARTICLE II The following matters in connection with said Bond Anticipation Notes are hereby determined:

1. All notes issued hereunder shall mature at such times as may be determined by the chief financial officer or the interim chief financial officer (the “chief financial officer”) of the local unit, provided that no note issued pursuant to Section 1 hereof shall mature later than (i) one year from the date of the first such note issued pursuant to the respective ordinances referred to in said Sections, and (ii) three years from the date of the first note issued pursuant to each such respective ordinance unless the local unit shall have paid and retired amounts of such notes sufficient to allow it, in accordance with provisions of Section 40A:2-8 of the Local Bond Law, to renew a portion thereof beyond the third anniversary date of the first of such notes;
2. All notes issued hereunder shall bear interest at such rate or rates as may be determined by the chief financial officer of the local unit; and
3. The notes shall be in the form prescribed by resolution heretofore adopted by the governing body of this local unit determining the form of Bond Anticipation Notes issued pursuant to the Local Bond Law, and any such notes may be signed or sealed by officers of the local unit in any manner permitted by Section 40A:2-25 of said Local Bond Law notwithstanding that said form or resolution may otherwise provide.

ARTICLE III The chief financial officer of the local unit is hereby authorized and directed to determine all matters in connection with said notes not determined by this or a subsequent resolution, and the chief financial officer’s signature upon said notes shall be conclusive as to such determinations.

ARTICLE IV The chief financial officer of the local unit is hereby authorized to sell said Bond Anticipation Notes from time to time at public or private sale in such amounts as the chief financial officer may determine at not less than par and to deliver the same from time to time to the purchasers thereof upon receipt of payment of the purchase price plus accrued interest from their dates to the date of delivery thereof and payment therefor.

ARTICLE V Any instrument issued pursuant to this resolution shall be a general obligation of the local unit, and the local unit’s faith and credit are hereby pledged to the punctual payment of the principal of and interest on said obligations and, unless otherwise paid or payment provided for, an amount sufficient for such payment shall be inserted in the budget and a tax sufficient to provide for the payment thereof shall be levied and collected.

ARTICLE VI The chief financial officer of the local unit is authorized and directed to report in writing to the governing body at the meeting next succeeding the date when any sale or delivery of notes pursuant to this resolution is made, such report to include the amount, description, interest rate and maturity of the notes sold, the price obtained and the name of the purchaser.

ARTICLE VII The chief financial officer of the local unit is hereby authorized and directed to do all other matters necessary, useful, convenient or desirable to accomplish the delivery of said notes to the purchasers thereof as promptly as possible, including (i) the preparation, execution and dissemination of a Preliminary Official Statement and Final Official Statement with respect to said notes, (ii) preparation, distribution and publication, if necessary, of a Notice of Sale with respect to said notes, (iii) execution of a Continuing Disclosure Undertaking, with respect to said notes in accordance with Rule 15c2-12 promulgated by the Securities and Exchange Commission and (iv) execution of an arbitrage and use of proceeds certificate certifying that, among other things, the local unit, to the extent it is empowered and allowed under applicable law, will do and perform all acts and things necessary or desirable to assure that interest paid on said notes is not included in gross income under Section 103 of the Internal Revenue Code of 1986, as amended.

ARTICLE VIII This resolution shall take effect immediately.

Mr. Giaimis advised that this Resolution was authorization to go out for a bond sale.

Moved: Harry Shortway
Seconded: Brian Lynch

A roll call vote was taken:
Ayes: Brian Lynch, Harry Shortway, Sally Rinker
Nays: None
Resolution #11-82 was approved.

First Reading on Proposed Ordinances

Ordinance #11-13: Ordinance amending a bond ordinance of the Township of Vernon, in the County of Sussex, New Jersey, heretofore adopted on August 13, 2007 (#07-36), as amended

Mayor Sally Rinker read Ordinance #11-13 by title only.

Motion: Harry Shortway
Seconded: Brian Lynch

A roll call vote was taken:
Ayes: Brian Lynch, Harry Shortway, Sally Rinker
Nays: None
Ordinance #11-13 was approved as introduced. Public Hearing to be scheduled for May 12, 2011.

A discussion on the Great Seal of Vernon followed with a proposed change for the left picture of the train.

Open to Public

Gary Martinsen—Noted that the test section on Canistear Road was a surprise. He also mentioned that just because there was money unused from a 2007 ordinance doesn’t mean it has to be used now.

Closed to Public

There being no one else wishing to be heard, Mayor Rinker closed the meeting to public discussion.

Adjournment

There being no further items of business to be conducted on the Regular Meeting agenda, a motion for Adjournment was made by Council Member Lynch. Motion seconded by Council Member Shortway, with all members voting in favor.

The Regular Meeting of the Township Council of the Township of Vernon was adjourned at 10:35p.m.

Respectfully submitted,
Susan S. Nelson, RMC, CMR
Municipal Clerk

Minutes approved: July 1, 2011