Bill Text: NJ A4877 | 2024-2025 | Regular Session | Introduced


Bill Title: Replaces definition of "management committee" with "board of authority commissioners" and makes various changes to existing law concerning administration of regional authority.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-09-26 - Introduced, Referred to Assembly State and Local Government Committee [A4877 Detail]

Download: New_Jersey-2024-A4877-Introduced.html

ASSEMBLY, No. 4877

STATE OF NEW JERSEY

221st LEGISLATURE

 

INTRODUCED SEPTEMBER 26, 2024

 


 

Sponsored by:

Assemblyman  LOUIS D. GREENWALD

District 6 (Burlington and Camden)

 

 

 

 

SYNOPSIS

     Replaces definition of "management committee" with "board of authority commissioners" and makes various changes to existing law concerning administration of regional authority.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act concerning the development and operation of rehabilitation and reentry centers established by regional authorities and amending P.L.2023, c.346.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    Section 2 of P.L.2023, c.346 (C.40A:67-2) is amended to read as follows:

     2.    As used in P.L.2023, c.346 (C.40A:67-1 et seq.):

     "Authority" means a regional rehabilitation and reentry center authority established pursuant to section 3 of P.L.2023, c.346 (C. 40A:67-3).

     "Bonds" means any bonds, interim certificates, notes, debentures, or other obligations issued by the authority pursuant to P.L.2023, c.346 (C.40A:67-1 et seq.).

     "Center" means a regional rehabilitation and reentry center developed, maintained, and operated by an authority pursuant to section 3 of P.L.2023, c.346 (C.40A:67-3).

     "Inter-county agreement" or "agreement" means an agreement as provided in section 3 of P.L.2023, c.346 (C.40A:67-3), defining the rights and responsibilities of the authority and its members, as may be amended.

     "Local Finance Board" means the Local Finance Board in the Division of Local Government Services in the Department of Community Affairs.

     ["Management committee"] "Board of authority commissioners" or ["committee"] "board" means a [management committee] "board of authority commissioners" established pursuant to section 4 of P.L.2023, c.346 (C.40A:67-4).

(cf: P.L.2023, c.346, s.2)

 

     2.    Section 3 of P.L.2023, c.346 (C.40A:67-3) is amended to read as follows:

     3.    a.  [One] Two or more county governing bodies, may, by adoption of [an ordinance or resolution, or] parallel ordinances or resolutions, as appropriate, establish a regional rehabilitation and reentry center authority to develop, construct, maintain, and operate a regional rehabilitation and reentry center.  Upon adoption of the parallel ordinances or resolutions, the counties shall negotiate and agree to a proposed inter-county agreement for the operation of the authority.  The counties that enter into the inter-county agreement may amend the agreement as provided in subsection c. of this section.

     b.    Copies of a proposed inter-county agreement shall be submitted to the Local Finance Board for review and consideration pursuant to sections 4 and 5 of P.L.1983, c.313 (C.40A:5A-4 and C.40A:5A-5).  The Local Finance Board shall approve or deny the agreement and file its approval or denial with the clerk of the board of commissioners of each county seeking to enter the agreement.  If the Local Finance Board does not deny the proposed agreement within 60 days of the receipt of a complete application, or an extended period to which the applicant counties may agree, the proposed agreement shall be deemed approved and the authority shall be established in accordance with the terms of the agreement.

     c.     A county may request to become a member of the authority by negotiating an amended inter-county agreement with the authority, through the [management committee] board of authority commissioners.  Upon entry into a proposed amended inter-county agreement, the authority shall submit the proposed amended inter-county agreement to the Local Finance Board for approval or denial of the proposed amended agreement.  If the Local Finance Board does not deny a proposed amended agreement within 60 days of the receipt of a complete application, or an extended period to which the applicant counties may agree, the proposed amended agreement shall be deemed approved.

(cf: P.L.2023, c.346, s.3)

 

     3.    Section 4 of P.L.2023, c.346 (C.40A:67-4) is amended to read as follows:

     4.    An inter-county agreement made pursuant to section 3 of P.L.2023, c.346 (C.40A:67-3) shall provide:

     a.     the name and purpose of the authority and the functions and services to be provided by the authority;

     b.    the establishment and organization of a governing committee for the authority, which shall be known as the [management committee] board of authority commissioners, in which the powers of the authority shall be vested.  The [management committee] board of authority commissioners shall be comprised of one representative from each county who shall:

     (1)   be annually appointed by the board of commissioners of the county;

     (2)   hold the position for a period of one year, commencing on January 1 of each year; and

     (3)   be authorized to choose a designee to execute the duties of their position;

     c.     if there are an even number of counties, the county with the greatest number of inmates and pretrial detainees to be housed at the center at its opening and for any subsequent year the greatest number housed at the center as of November 1 in the year prior, shall appoint an additional [committee] board member for a term of one year, commencing January 1 of each year;

     d.    the manner of selection of a head warden of the regional rehabilitation and reentry center and any related satellite facilities and the wardens that shall represent each county;

     e.     the manner of selection and duties of the director, deputy director, treasurer, chief financial officer, and secretary, who all shall serve a term of one year commencing January 1 of each year, and the selection of any other officers or authority staff, as determined by the [committee] board;

     f.     the voting requirements for action by the [committee] board, including the requirements for how many members constitute a quorum;

     g.    the duties of the [committee] board, which shall include the obligation to comply with the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.) except as otherwise provided in P.L.2023, c.346 (C.40A:67-1 et seq.), and the laws of this State and, in addition, with every provision in the inter-county agreement creating the authority on its part to be kept or performed;

     h.    in the event of a [committee] board vacancy, the vacancy shall be filled by a majority vote of the [management committee] board at the next meeting following the date of vacancy on an interim basis, until the time that the appointing board of county commissioners makes a formal appointment to the [committee] board for the remainder of the term;

     i.     the manner in which counties may withdraw from participation in the inter-county agreement and the proportional responsibility, if any, of a withdrawing county for authority debt issued prior to withdrawal;

     j.     provisions for the disposition, division, or distribution of any property or assets of the authority on dissolution subject to section 20 or 21 of P.L. 1983,c.313 (C.40A:5A-20 or C.40A:5A-20 21); and

     k.    [the terms of the inter-county agreement and the method, if any, by which the inter-county agreement may be rescinded or terminated; however, the inter-county agreement shall not be rescinded or terminated so long as the authority has bonds outstanding, unless provision for full payment of the bonds, by escrow or otherwise, has been made pursuant to the terms of the bonds or the resolution, trust indenture, or security instrument securing the bonds; and

     l.]   that the [management committee] board shall conduct meetings in conformity with the "Senator Byron M. Baer Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.) and shall meet at least once during each quarter of the calendar year, with special meetings convened by the director or upon the request of at least two [committee] board members, with at least 48 hours'

 notice by telephone or email to all members of the [management committee] board.

(cf: P.L.2023, c.346, s.4)

 

     4.    Section 6 of P.L.2023, c.346 (C.40A:67-6) is amended to read as follows:

     6.    An authority shall be a public body politic and corporate, established as an instrumentality exercising public and essential governmental functions to provide for the public health and welfare.  The authority shall have the duties, privileges, immunities, rights, liabilities, and disabilities of a public body politic and corporate and shall have taxing power.  The authority shall be a "contracting unit" for purposes of the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.), shall have perpetual succession until termination or dissolution in accordance with the agreement, and shall have the powers to:

     a.     adopt and have a common seal and to alter the same at pleasure;

     b.    sue and be sued;

     c.     acquire, own, rent, hold, lease, as lessor or lessee, use and sell or otherwise dispose of, mortgage, pledge, or grant a security in, any real or personal property, commodity, or service or interest therein;

     d.    plan, develop, acquire, construct, reconstruct, operate, manage, dispose of, participate in, maintain, repair, extend, or improve a center or satellite facility, and act as agent, or designate one or more other persons employed by or contracting with the center to act as its agent, in connection with the planning, acquisition, construction, operation, maintenance, repair, extension, or improvement of the center, and provision to the members of rehabilitation and reentry services, to meet the needs of the members and the State, which shall include the hiring of experts to perform a population review and projected bed needs;

     e.     make and execute additional contracts and other instruments necessary or convenient to the exercise of its powers;

     f.     employ [agents] correctional police officers and other employees, without regard to the provisions of Title 11A, Civil Service, of the New Jersey Statutes, but does not preclude employees from entering or becoming party to a collective bargaining agreement;

     g.    contract with any person, entity, or public agency within or outside the State of New Jersey for the construction or operation of the center, or for any interest or share therein, on terms and for a period of time as its [committee] board shall determine;

     h.    incur indebtedness through the issuance of bonds, provide for and secure the payment of any bonds and the rights of the holders thereof, and to purchase, hold, and dispose of any bonds;

     i.     accept gifts or grants of real or personal property, money, material, labor, or supplies solely for the purposes and exclusive use and benefit of the authority, and to make and perform those agreements and contracts as may be necessary or convenient in connection with the procuring, acceptance, or disposition of the gifts or grants;

     j.     make and enforce by-laws or rules and regulations for the management and regulation of its business and affairs and for the use, maintenance, and operation of its properties and to amend its by-laws;

     k.    do and perform any acts and things authorized by P.L.2023, c.346 (C.40A:67-1 et seq.), through or by means of its own officers, agents, and employees, or by contract with any person;

     l.     enter into contracts, execute instruments, and do and perform all things necessary, convenient, or desirable for the purposes of the authority, or to carry out any power expressly authorized under P.L.2023, c.346 (C.40A:67-1 et seq.);

     m.   join organizations, including private or trade organizations, which the [committee] board has deemed to be beneficial to the accomplishment of the authority's purposes;

     n.    invest any funds held in reserve or sinking funds, or any funds not required for immediate disbursement, including the proceeds from the sale of any bonds, in those obligations, securities, and other investments as the authority deems to be proper and are authorized pursuant to law; and

     o.    [introduce an annual budget by January 26th of each year and adopt a budget by February 25th of each year.  Procedures] establish procedures for budget introduction and adoption, which shall be made pursuant to the ["Local Budget Law," N.J.S.40A:4-1 et seq.] "Local Authorities Fiscal Control Law," (C.40A:5A-1 et seq.), and which shall be subject to the cap on calculation of adjusted tax levy by local units pursuant to N.J.S.40A:4-45.45, and shall include the following:

     (1)   an amount to be raised by taxation, which shall be conveyed to the Board of Taxation in each participation county within 15 days of the adoption of the budget;

     (2)   the chief financial officer of the authority shall certify the Average Daily Population (ADP) of the inmates from each participating county, for the previous year, by February 1st of each year;

     (3)   based on the ADP and, if determined by a separate formula, the apportionment of any debt service pursuant to the inter-county agreement, the chief financial officer of the authority shall certify each county's proportional share of inmates for the previous year.  By February 15th of each year, the proportional share for each county shall be conveyed to the appropriate County Board of Taxation, to be used to calculate the amount of taxes to be levied in each of the participating counties.  These taxes shall be assessed, levied, and collected within the respective taxing districts in the manner prescribed by law; and

     (4)   in each local budget year in which the function of a county jail is transferred from the county government to the authority, the county shall deduct from its final appropriations upon which its permissible county tax levy is calculated, the amount which the county expended for that function during the last full budget year it was included in the county budget.

(cf: P.L.2023, c.346, s.6)

 

     5.    Section 8 of P.L.2023, c.346 (C.40A:67-8) is amended to read as follows:

     8.    Upon adoption of a bond resolution, the [management committee] board of authority commissioners, on behalf of the authority, shall have power to incur indebtedness, borrow money, and issue bonds for the purpose of financing the construction or operation of the center and any satellite facilities to meet the needs of its members or of funding or refunding the bonds issued pursuant to P.L.2023, c.346 (C.40A:67-1 et seq.).  The bonds shall be authorized by the bond resolution and may be issued in one or more series and shall bear the date or dates, mature at a time or times not exceeding 40 years from the date thereof or through the date for the expected dissolution of the authority pursuant to the agreement, whichever occurs first, bear interest at a rate or rates within a maximum rate as permitted by law, be in a denomination or denominations, be in a form, either coupon or registered, carry conversion or registration privileges, have a rank or priority, be executed in a manner, be payable from sources in a medium of payment at a place or places within or without the State, and be subject to the terms of redemption, with or without a premium, as the bond resolution may provide.

(cf: P.L.2023, c.346, s.8)

 

     6.    Section 10 of P.L.2023, c.346 (C.40A:67-10) is amended to read as follows:

     10.  An authority shall file a copy of a bond resolution adopted by the [management committee] board of authority commissioners in its office and in the office of the clerk of the board of commissioners, and may publish, in a newspaper published or circulating in each county's community, a notice stating the fact and date of adoption of the bond resolution and the places where the authority has filed the bond resolution for public inspection, the date of the first publication of the notice, and that an action or proceeding in a court questioning the validity or proper authorization of bonds provided for by the bond resolution, or the validity of any covenants, agreements, or contract provided for by the bond resolution, shall commence within 20 days after the first publication of the notice.  If the notice shall be published and if no action or proceeding questioning the validity of the establishment of the authority or the validity or proper authorization of bonds provided for by the bond resolution referred to in the notice, or the validity of any covenants, agreements, or contract provided for by the bond resolution shall be commenced or instituted within 20 days after the first publication of the notice, then the residents, taxpayers, and owners of property in each of the counties, and all other persons, shall be barred and foreclosed from instituting or commencing any action or proceeding in any court, or from pleading any defense to any action or proceedings, questioning the validity of the establishment of the authority, the validity or proper authorization of the bonds, or the validity of the covenants, agreements, or contracts.  The authority shall be conclusively deemed to have been validly established and to be authorized to transact business and exercise powers as an authority pursuant to P.L.2023, c.346 (C.40A:67-1 et seq.), and the bonds, covenants, agreements, and contracts shall be conclusively deemed to be valid and binding obligations in accordance with their terms and tenor.

(cf: P.L.2023, c.346, s.10)

 

     7.    Section 12 of P.L.2023, c.346 (C.40A:67-12) is amended to read as follows:

     12.  Neither the members of the [committee] board nor any person executing bonds issued pursuant to P.L.2023, c.346 (C.40A:67-1 et seq.) shall be liable personally on the bonds by reason of their issuance.  Bonds or other obligations issued pursuant to P.L.2023, c.346 (C.40A:67-1 et seq.) shall not be a debt or liability of the State, and bonds or other obligations issued by the authority shall not be a debt or liability of the State, of any local unit, of any county, or of any municipality, and shall not create or constitute any indebtedness, liability, or obligation of the State of any local unit, of any county, or of any municipality, either legal, moral, or otherwise, and nothing in P.L.2023, c.346 (C.40A:67-1 et seq.) shall be construed to authorize the authority to incur indebtedness on behalf of or to obligate the State, any local unit, county, or municipality.

(cf: P.L.2023, c.346 s.12)

 

     8.    Section 21 of P.L.2023, c.346 (C.40A:67-21) is amended to read as follows:

     21.  An authority shall conduct an annual audit of its accounts pursuant to N.J.S.40A:5A-15, and for this purpose shall employ a certified public accountant or a registered municipal accountant, licensed pursuant to the laws of the State.  The audit shall be completed and filed with the authority within four months after the close of its fiscal year and the authority shall file a certified duplicate with the Director of the Division of Local Government Services in the Department of Community Affairs within five days after the original report is filed with the authority.

(cf: P.L.2023, c.346, s.21)

     9.    This act shall take effect immediately.

 

 

STATEMENT

 

     This bill amends existing law establishing a regional authority to develop and operate a rehabilitation and reentry center.  The bill renames the "management committee" as the "board of authority commissioners" and requires two or more counties to enter into an agreement establishing the regional authority.

     The bill also makes certain changes to: 1) time considerations concerning applications to the Local Finance Board, 2) provisions related to withdrawal from and dissolution of authorities under the bill, and 3) provide for certain financial apportionments for debt service.  The bill further allows for a registered municipal accountant to conduct an audit of the authority and makes specific reference to the employment of correctional police officers.

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