A special meeting of the East Amwell Township Committee came to order at 7:00 PM. Present were Mayor Peter Kneski and Committee members Patricia Cregar, Timothy Martin, Larry Tatsch. Deputy Mayor Linda Lenox was absent. Township Administrator Timothy Matheny and Treasurer/CFO Jane Luhrs were also in attendance.
In compliance with the Open Public Meetings Act, a copy of notice of this meeting was filed in the Clerk's Office, posted on the bulletin board, and sent to the Hunterdon County Democrat, Times of Trenton, and Star Ledger on March 26, 2009. The purpose of this meeting is to meet with the Township Administrator and the Treasurer/CFO to discuss the 2009 budget and to meet with Farmland/Open Space Preservation Committee representatives to enter into executive session to discuss land acquisition and budgetary considerations.
The public is invited to attend and comment at the open portion only. Action may or may not be taken.
Farmland/Open Space representatives, Glorianne Robbi and Dick Ginman, were present, along with D & R Greenways representative Bill Rawlyk during part of the executive session.
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RESOLUTION # 60 -08
WHEREAS, the Open Public Meetings Act, P.L. 1975, Chapter 231 permits the exclusion of the public from a meeting in certain circumstances; and
WHEREAS, East Amwell Township Committee is of the opinion that circumstances presently exist; and
WHEREAS, the governing body of the Township of East Amwell wishes to discuss land acquisition and budgetary considerations; and
WHEREAS, minutes will be kept and once the matter involving the confidentiality of the above no longer requires that confidentiality, then minutes can be made public;
NOW, THEREFORE, BE IT RESOLVED that the public be excluded from this meeting.
By Order of the Township Committee,
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Peter Kneski, Mayor
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Motion by Mr. Tatsch, seconded by Mr. Martin, and carried unanimously to approve the resolution.
Executive session began at 7:03 p.m.
The special meeting resumed at 7:55 p.m.
Mrs. Luhrs announced that the State has received East Amwell Township's request for the pension deferral. Tonight's meeting will finalize the budget, and she will get it to the auditor for review in time for introduction on April 9. She provided a packet of information with a cover sheet listing the following items: Possible Changes to the Operating Budget; Open Space Trust; Clean Communities Grant-Electronics Day; Capital Budget (current, five year, road signs, Clawson house and barn), and authorization to roll over $1,000,000 Bond Anticipation Notes due May 22, 2009.
Mrs. Luhrs continued, with the following highlights: The proposed budget tonight shows the municipality being $860 under the levy cap, and once Auditor Case reviews the budget, it is anticipated that $800 will be added to the budget to stay as close to the cap as possible for a greater effect on next year's budget. Last year's local tax rate was $.14 and this year's will be $.1477; a tax point is $78,583 in 2009. As an example, on a house assessed at $450,000, $.14 cents would equate to $630.00 and $.1477 would equate to $664.65. As a comparison, Mrs. Luhrs referenced the proposed school budget, which is up from $.2.8 cents last year to 3.5% this year. She provided specific information on the increase in school taxes with an increase of $123 (from $3,495 in 2008 to $3,618 in 2009) as opposed to the $34.65 increase in local taxes in 2009. Mrs. Luhrs reminded the governing body that in 2008 there was a flat tax rate due to the new levy cap introduced last year. She cautioned about using a percentage when explaining the budget to the public, i.e., 5.5% increase as compared to the School's 3.5% increase. She recommended using the .14 and .1477 cent increase as a better explanation, and comments were exchanged about the example of taxes on the $450,000 house provided this evening.
Mayor Kneski commended Mrs. Luhrs for "the excellent job" in preparing the budget and "pulling it together." He will have to prepare the budget message to accompany the document. Mr. Tatsch recommended that the message explain to the public that there was no new spending, but the loss in revenue affected the budget. Mrs. Luhrs added that a lower tax collection rate and loss of 4% state aid were also valid reasons. The Township will be making up the 4% loss in state aid by deferring the same amount in pensions, and there may be an option to pay back the deferral in November or thereafter.
The $19,000 in deferments was used for roads and other lines, as outlined on page two of the handouts, "Budget Changes": 5% was returned to General Government and further appropriations were added up to $5,235 to consider website maintenance; 5% was reinstated in Roads OE and additional funding up to $10,650 will help to pay for M & R materials, which are estimated at $28,000; the Auditor OE line was reduced by $300 for the actual figure for services; $1,000 was taken out of the Revenue - Tax Bills line since estimated tax bills will not be necessary; UCC Salaries, based on a cut of 2.5 hours per week, will be reduced by $1,147; Recreation Field Maintenance will come out of the Open Space Trust Fund rather than the Recreation Committee budget for a reduction of $2,365; there is an increase of $520 in the Administrator's deferred comp plan for a total of $4,292 still available.
Mayor Kneski recommended using the remaining funds for road sweeping, and discussion took place, with the following highlights: The DPW Superintendent did get a quote, and there is funding in the budget; sweeping intersections and cul-de-sacs should be a priority as well as roads with inlets (to meet new Stormwater Management regulations); there was sweeping done in 2008.
The Clerk asked about funding for a floodplains ordinance, which is a requirement of the Federal Emergency Management Agency (FEMA). The engineer has been asked for input about this. Mayor Kneski said that there is already an ordinance in place since 1984 and may only need to be updated; information from the engineer will be sought.
Mr. Martin also felt that the remaining money should be put into roads.
Mrs. Luhrs spoke about The Ridge at Back Brook tax appeal, stating that the official notice has not yet been received. There will be approximately $84,000 credit on their 2008 taxes, which will not be collected this year, and it will affect next year's budget, i.e., it will impact the cash at the end of 2009 and the surplus.
Mrs. Luhs also provided an updated Appropriations Summary.
The Clean Communities Grant was discussed; this year's total allocation is $9,255. There was already $2,500 put into the 2009 budget for this line item, and a balance from last year's grant of $430 gives a total of $12,185. Estimated 2009 expenses were listed as $6,400 for clean up day, a reduction to 7 more recycling days at $530 per day for $3,710, and a rough estimate of $1,500 for an electronics recycling day, if the Township chooses to move ahead on it. Mr. Martin did not support re-advertising the electronics clean up day. Comments were made about the Hunterdon County Electronic Collection Day on March 28, with record turn-out; the consensus was that $1,500 was not a realistic figure and there would be insufficient funding to hold an event this year. Keeping the public aware without giving vacillating information is important. The decision was made to postpone a local electronics collection day this year. Mrs. Luhrs recommended holding the event later than April next year, i.e., after the Clean Communities funding is allocated. By saving the $1,500 in this year's budget, it would be a good down-payment on next year's electronics day.
Mrs. Luhrs provided an updated capital budget request sheet and the five-year capital plan as a working tool. The governing body reviewed the revised budget request sheet, as follows:
Open Space easement costs will be increased to $1,000,000 in bonding, based on discussions with F/OSPC members in executive session this evening. Soft costs will be increased from $31,000 to $40,000 coming from the Open Space Tax.
Recreation Committee's previous request for a two year commitment of $15,000 for the creation of new fields will remain in the budget; funding will come from the Open Space Tax.
Under Roads, the ordinances for road equipment ($18,200), road projects ($95,000) and office equipment ($20,000) have been introduced.
Mrs. Luhrs asked about a line item for road signs, and discussion took place, including the following: there is a line under OE for replacement signs; the recent memo from Engineer O'Neal pertains to the 105 signs for marking the four roads for which the NJ DOT did speed studies in 2005; the engineer cannot sign off on the road being properly marked until the signs are installed; the cost for signs may vary, depending on size with a maximum cost per sign of $100; Committee members discussed specific roads which may already have speed signs; the signs are for Snydertown Road, Mountain Road, Welisewitz Road, and Stony Brook Road; Mr. Martin inquired about how roads in the vicinity of his home could be marked for speed - a road study would have to be done; Mayor Kneski felt that the critical markings would be the speed signs themselves - however, being in compliance with state requirements for enforcement was stressed by Mr. Matheny; Mrs. Luhrs reminded the governing body that the capital projects sheet is a tool, and by putting the $10,000 in the budget for signs, the Committee can decide at a later time how to proceed on implementation; there was a consensus of opinion to put $10,000 in this line item.
Mrs. Luhrs asked about the funding for the Clawson House and barn. There is $57,305 in an existing ordinance for the barn, which is insufficient to cover costs; if a decision is made to go forth, Mrs. Luhrs will cancel the original ordinance and write a new one. Mr. Matheny had some estimates, with the lowest estimate at $90,000. He contacted Oliver Buildings to get information on reducing costs by material changes while keeping the barn "free or low maintenance."
Mr. Martin felt that the costs to rehabilitate the house were prohibitive; making repairs on a piecemeal basis would not be prudent. The barn may be justified, and it would be an asset when work on the house eventually takes place (see 3/18/09 minutes for background comments). Mr. Tatsch agreed with Mr. Martin's rationale for not funding the house rehabilitation at this time. He would like to see the Township pursue grant options in an attempt to get at least one half of the necessary house funding through grants to defray costs. Mrs. Cregar asked where the barn would be located; it will be built behind the existing house. Mr. Tatsch provided anecdotal information about an historic dwelling in Clinton, where over $1,000,000 was necessary to repair it.
Mrs. Luhrs noted that there is still some funding in an ordinance approved for stabilization of the house; Mr. Matheny reminded the governing body that this money was used to remove the back portion of the house, fix the roof, and stabilize the house.
Committee members discussed the high estimates (i.e., $90,000 or more) for the 30' x 40' barn, which must meet State Historic Preservation Office (SHPO) approval. Mr. Tatsch and Mr. Martin provided information on costs for building their own barn and garage. Committee members recalled the intent for building the barn on a slab as a two-story facility with over-hangs; it would be used for Township storage and for an area where Boy Scouts and others can retreat during inclement weather. The consensus of the governing body was to take the funding for the barn out of the budget and to have Mr. Matheny get a better understanding of the specs for the building for consideration at a later time, i.e., perhaps next year. The house will not be in this year's budget either.
Mrs. Cregar said that the Clawson Park Advisory Committee would like to see a professionally done trail sign at the park, outlining the trail routes and lengths. Mrs. Luhrs and Mr. Matheny stated that her committee should decide what they want to purchase and fill out a requisition form to do so. Mrs. Stahl also reminded the Committee that the original plans called for a bulletin board at the park to post news, e.g., park regulations, reservation information, etc. Mrs. Cregar may borrow the measuring wheel from the Township Assessor to mark the trail lengths.
The Township Committee looked at the five year capital plan for 2009; Mrs. Luhrs also provided the 2008 five year plan as back ground information.
Open Space Funding will be adjusted to $1,000,000 in 2009, based on the discussions with F/OSPC this evening. 2010 will show $500,000 and 2011 - 2013 will show $300,000 in that line. Various Road Projects will be $281,000 for 2009; 2010 - 2013 will have $500,000 in the line. Road Equipment in 2009 will have $18,200; 2010-2013 will have $75,000 in the event new equipment or trucks are required over the course of time. A new line for Road Signs will have $10,000 in 2009, $5,000 in 2010, and nothing in 2011 - 2013. Clawson Park items will be eliminated. Building Renovations will have $35,000 in 2009, $25,000 in 2010, $100,000 in 2011, $25,000 in 2012, and $25,000 in 2013, based on the possibility of installing solar power in 2011 using grants and energy credits. Office equipment will show $20,000 in 2009, and $25,000 in 2010 - 2013.
Mrs. Luhrs explained that the only other item to consider is COAH (Affordable Housing). Mr. Tatsch attended the March 31 Housing Summit, speaking favorably about Keynote Speaker Philadelphia Mayor Nutter. Mr. Tatsch had an opportunity to speak with Jim Robbins about what was necessary to meet the State's requirements for certification.
Mrs. Luhrs explained that administrative costs may only amount to 20% of cumulative developer's fees collected, i.e., Mr. Robbins' salary and Planner Banisch's expenses. Fee collection is down, and some of Mr. Robbins' salary may have to be budgeted. Comments were made about COAH's moratorium on commercial fees, which are 2.5%; municipalities will still qualify for the credits without fees, and there is some "push back" from the local municipalities.
Mr. Tatsch advised that Mr. Robbins explained to him (at the recent Housing Summit) that the municipality will have to provide a resolution that the municipality will bond if they exceed their housing funds; some discussion took place about crafting the resolution with a "not to exceed" clause. Mr. Tatsch provided specific information on the negotiations for the Easter Seals house, e.g., if the total cost is $350,000, the municipality may have to bond for $150,000 of the cost, and this would have to be approved by COAH.
The Clerk will send an email to Mr. Robbins asking what is necessary from the governing body in response to COAH's letter about certification; the municipality's response is due on April 25, and the last Township Committee meeting prior to that date is April 23.
Mrs. Luhrs placed $500 in the 2009 budget to keep the COAH line open. She again provided information on a deficit in the account and the requirement to use only 20% for administrative costs. Planner Banisch's bills were discussed, including payment for the work done in 2008 to submit the Housing and Fair Share Plan to COAH. The Planner will be asked whether his billing for the previous work is complete and what his expenses may be in 2009. A recommendation was made to put $100 in COAH OE.
Mr. Robbins' salary was discussed, i.e., he receives over $8,000 as Municipal Housing Liaison, and there may be a need for Administrative Agent assistance. The letter from the state calls for a manual for accessory apartments, among other items. The Clerk reminded the governing body that the ordinance for the Municipal Housing Liaison indicates that this employee is the Administrative Agent unless someone is specifically appointed. Mr. Robbins will be asked to provide information on outstanding COAH issues, on the response to COAH which is being prepared, and estimated costs for 2009.
Mrs. Cregar asked about the meeting with Hunterdon County representatives last week on the Wertsville Road bridges. Mayor Kneski highlighted the meeting, including the following: there were some concessions made on both sides, the municipality will have input into the colors and stone facing for the bridge; Mr. Tatsch explained that the plans showed that the curves will exist but in a smoother pattern, and the bridge and guardrails "will be nicer" than Manners Road. All agreed that there was some satisfaction on both sides.
Mrs. Luhrs asked for authorization to roll over the $1,000,000 Bond Anticipation Notes (BANS), which are due on May 22, 2009. A motion was made by Mr. Martin, seconded by Mr. Tatsch, and it was carried unanimously to approve the Treasurer's request to roll over the BANS.
There being no further business, a motion was made by Mr. Martin, seconded by Mrs. Cregar, and it was carried unanimously to adjourn the meeting at 9:30 p.m.
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Teresa R. Stahl, RMC/CMC
Municipal Clerk