A special meeting of the East Amwell Township Committee came to order at 7:30 PM. Present were Mayor Peter Kneski, Deputy Mayor Linda Lenox, and Committee members Patricia Cregar, Timothy Martin, and Larry Tatsch. Treasurer/CFO Jane Luhrs was 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 May 7, 2009 and published in the Hunterdon County Democrat on May 14, 2009. The purpose of this meeting is to hold the public hearing on the 2009 Budget and to award the 2009 M & R Materials contract.
The public is invited to attend and comment. Action may or may not be taken.
The meeting began with the Pledge of Allegiance to the American Flag.
The meeting was open to the public for comments; there being no members in attendance, a motion was made by Ms. Lenox, seconded by Mrs. Cregar, and it was carried unanimously to close to the public.
2009 EAST AMWELL TOWNSHIP BUDGET PUBLIC HEARING
As proof of publication, the Clerk displayed the legal notice from the April 30, 2009, issue of the Hunterdon County Democrat. The budget was introduced at a special meeting on April 16, 2009, and copies have been available to the public since that time.
Treasurer/CFO Luhrs explained that there was a slight increase from last year's taxes of 14 cents to .14.91 cents, i.e., less than a cent. There were challenges this year, i.e., the loss of revenues, including state aid. The Township can only anticipate what it took in during 2008, and revenues were down. Additionally, the Township was only able to utilize $375,000 in surplus, while $485,000 was used last year. This all equated to the loss in operations.
Appropriations were also cut from a general appropriation last year of $4,079,000 to $2,849,000 in 2009. This included the fact that the Township paid off $800,000 in debt, and the rest included a cut in the DPW Superintendent hiring, cut in capital improvements, and other cuts which could be made. Mrs. Luhrs explained that the budget met both the state caps, which was another challenge.
Ms. Lenox asked how close to the caps the Township came. Mrs. Luhrs explained that the Township is right at the 4% tax levy, and it is well below the allowed 3.5% cap; going right to the 4% tax levy will be beneficial for next year's budgeting, if this levy percentage is still around next year.
Mr. Tatsch commented on problems with the ratable level in the municipality. He asked, assuming that there are not a lot of foreclosures and based on the assessment for The Ridge at Back Brook, would the figure be the same next year. Mrs. Luhrs said that Tax Assessor Busher advised that there were 16 tax appeals, but not all of them were granted by the County, and there were no "big ones," only in the range of $10,000-20,000 in value change. Mrs. Luhrs further explained that the assessment reduction for The Ridge is already in the budget this year, so the rate would be steady. It was explained that the Township took the hit and cut back this year, and in succeeding years, the rate should remain “more steady.” Mrs. Luhrs also stated that there was no other tax payer in the same category as The Ridge.
Mr. Tatsch asked about the collection rate for 2009; Mrs. Luhrs stated that the information would have to come from the Tax Collector. Mr. Tatsch previously spoke with the Collector and was advised that collections are "down a bit, but nothing dramatic." Mrs. Luhrs also noted an increase in returned checks for insufficient funds, but taxpayers "are making good" on these checks.
Mayor Kneski commented on an article about the state budget, wherein the State Treasurer talked about revisiting revenues next year. A statement was made that state aid would not be further reduced; it was unclear if this meant this year or next year. If it did refer to next year, the Township Committee can be proactive in planning for the future and in making decisions. Mr. Tatsch read the League article also, and it indicated that the state was cutting aid to distressed cities, but this did not apply to East Amwell Township. Mrs. Luhrs agreed that the article showed that extraordinary aid and CMPTRA (state aid) would still be provided.
Mayor Kneski publicly thanked Jane Luhrs, Terri Stahl, Tim Matheny, and the rest of the East Amwell Staff for their hard work this year in keeping the tax rate as low as possible, considering the reduction in state aid and other issues that the Township faced this year. He asked that the Clerk extend the Township Committee's appreciation to the staff.
Mrs. Luhrs concluded that the hard part will be living within the budget.
Motion by Mr. Tatsch, seconded by Ms. Lenox, and it was carried unanimously to open to the public for comments on the 2009 budget.
Frances Gavigan, 123 Wertsville Road, asked about the different caps, including the one which was under the maximum amount; she asked if this would the part of the budget where funding for the rescue squad would be given. Mrs. Luhrs explained that if operations were raised any more, the municipality would not have been able to make the levy cap. She explained the two caps, noting that operations had to be cut to make the levy cap on the amount to be raised by taxes; she noted the difficulties in grappling with both caps, including only raising taxes by 4% with the levy cap. She stated that if this levy cap did not exist, "things would have been different" in the budgeting process.
Ms. Gavigan asked that the Township Committee consider procedures "so folks don't fall off the radar." She commented on Flemington-Raritan Rescue Squad differences with the local squad, on the importance of helping the local squad, and the effect that a paid squad would have on a budget and ambulance service, including having residents charged hundreds of dollars for ambulance service. She realized the difficult struggles that the Township Committee dealt with during budgeting.
Mayor Kneski stated that if CMPTRA funding is not cut next year, "we can be visionary in doing things." He commented on not knowing how much aid the municipality would get this year and the difficulties in looking at areas of the budget to cut in "big chunks," i.e., there was no where to pull large numbers, except in employee salaries, insurance, and pension. He commented positively on future budgeting.
Ms. Gavigan suggested advising Recreation that this would be the last year of free playground, noting that the economy was not getting better. She mentioned a news article about Union Township closing their construction department and contracting with the state.
Motion by Mrs. Cregar, seconded by Mr. Tatsch, and it was carried unanimously to close to the public.
The Clerk read the budget resolution on pages 41-42 of the budget.
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RESOLUTION #81-09
Adoption of the 2009 Budget
(As Attached to this Set of Minutes)
By Order of the Township Committee,
_______________________________
Peter Kneski, Mayor
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Motion by Mr. Martin, seconded by Mr. Tatsch, and it was carried unanimously by roll call vote to approve the resolution to adopt the 2009 budget: Mr. Martin, yes; Mr. Tatsch, yes; Mrs. Cregar, yes; Ms. Lenox, yes; Mr. Kneski, yes.
Self Examination Resolution: Mrs. Luhrs explained that the state allows the municipalities the option of self-examination with state review only every third year. The Township qualifies for self-examination again this year (second year in a three year cycle), but would not have qualified if pension deferral or extraordinary aid had been requested. Mr. Tatsch asked if this resulted in any audit savings; Mrs. Luhrs said no.
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RESOLUTION #82-09
EAST AMWELL TOWNSHIP
SELF EXAMINATION OF BUDGET RESOLUTION
WHEREAS, N.J.S.A. 40A: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 East Amwell has been declared eligible to participate in the program by the Division of the 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 2009 budget year;
NOW, THEREFORE, BE IT RESOLVED by the governing body of the Township of East Amwell that in accordance with N.J.A.C. 5:30-7.6a and 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:
a. Payment of interest and debt redemption charges
b. Deferred charges and statutory expenditures
c. Cash deficit of preceding year
d. Reserve for uncollected taxes
e. Other reserves and non-disbursement items
f. 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:
a. All estimates of revenue are reasonable, accurate and correctly stated
b. Items of appropriation are properly set forth
c. 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 (if applicable) 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. 40A4-5 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 Division of Local Government Services upon adoption.
By Order of the Township Committee,
__________________________
Peter Kneski, Mayor
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Motion by Mr. Tatsch, seconded by Mrs. Cregar, and it was carried unanimously to approve the resolution.
AWARD OF 2009 M & R MATERIALS CONTRACT
Mrs. Stahl referred to the memo prepared by Engineer O'Neal regarding the M & R Materials contract. There were two bidders for the materials, Trap Rock Industries, who bid the full contract ($21,744.50 for bituminous and $12,012.50 for stone), and Flemington Bituminous, who bid the I-4 Mix only ($24,123). The bid specs also contained an escalation clause for asphalt. Mr. O'Neal's recommendation was to award the bid, based on lower price, to Trap Rock Industries. Attorney Judy Kopen reviewed the bids, and she found the Trap Rock Industries submission to be satisfactory. Treasurer Luhrs provided her 5/21/09 certification of funds in the total amount of $33,757.00.
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RESOLUTION #83-09
BE IT RESOLVED by the Township Committee of the Township of East Amwell, in the County of Hunterdon, State of New Jersey that based on the engineer's recommendation and analysis of bids for the 2009 M & R Materials, the following contract be awarded:
Trap Rock Industries
P. O. Box
Kingston, NJ
In the amount up to $33,757.00
For the Purchase of 2009 M & R Materials
For the Contract Period Shown in the Bids
By Order of the Township Committee,
_________________________
Peter Kneski, Mayor
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Motion by Mrs. Cregar, seconded by Mr. Tatsch, and it was carried unanimously by roll call vote to approve the resolution: Mr. Martin, yes; Mr. Tatsch, yes; Mrs. Cregar, yes; Ms. Lenox, yes; Mr. Kneski, yes.
Motion by Mr. Tatsch, seconded by Ms. Lenox, and carried unanimously to open to the public for comments.
Frances Gavigan, 123 Wertsville Road, commented on having a list of bridges and culverts from Hunterdon County. She further commented on looking through various budgets for county projects this past year to determine factual information, which will be shared with Delaware and others. She explained that there is a movement of communities working together to save money and not be "strong-armed." She mentioned a stone ramp up to a field on Wertsville Road. She will send a letter to the editor "and see what happens." She thanked the Township Committee for their support.
Motion by Mr. Tatsch, seconded by Ms. Lenox, and it was carried unanimously to close to the public.
There being no further business, a motion was made by Mr. Martin, seconded by Ms. Lenox, and it was carried unanimously to adjourn the meeting at 7:50 p.m.
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Teresa R. Stahl, RMC/CMC
Municipal Clerk