Bill Text: NJ A6039 | 2018-2019 | Regular Session | Introduced
Bill Title: Eliminates requirement of voter approval for fire district capital projects and debt issuances.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2019-12-05 - Introduced, Referred to Assembly Homeland Security and State Preparedness Committee [A6039 Detail]
Download: New_Jersey-2018-A6039-Introduced.html
Sponsored by:
Assemblyman RONALD S. DANCER
District 12 (Burlington, Middlesex, Monmouth and Ocean)
SYNOPSIS
Eliminates requirement of voter approval for fire district capital projects and debt issuances.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning the approval of fire district capital projects and debt issuances and amending various parts of the statutory law.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. N.J.S.40A:14-84 is amended to read as follows:
40A:14-84. a. [For a fire district that holds its annual election at a time other than at the time of the general election, the legal voters, at a regular meeting or at a special meeting called by the commissioners of the fire district, may vote to raise money for a firehouse, fire engines, apparatus, or other appliances for the extinguishment of fires and acquire lands or buildings or erect buildings for the housing of such equipment, or other buildings, including but not limited to, administrative, communications, or training buildings, or buildings for the maintenance of fire apparatus, in an amount not exceeding 5 mills on the dollar of the last assessed valuation of the property in the fire district. The amount so voted for shall be included in the next succeeding annual budget of the fire district under the section for capital appropriations. Voting shall be open between the hours of 6:00 P.M. to 9:00 P.M., but the board may designate a later closing hour on the same day, and the board shall take any necessary action to ensure the secrecy and privacy of the casting of votes.
Any such special meeting shall be called on 10 days' notice by the board of fire commissioners, to be posted in five public places in the district, setting forth the time, place and object of the meeting and the legal voters shall determine the amount of money to be raised.] (Deleted by amendment, P.L. , c. ) (pending before the Legislature as this bill)
b. (1) [For a fire district that holds its annual election at the time of the general election, the] The board of fire commissioners of a fire district, at a regular meeting or at a special meeting called by the commissioners of the fire district, may, by resolution adopted by a vote of not less than 2/3 of the full membership thereof, raise money for a firehouse, apparatus, appliances, land or buildings in connection therewith for fire extinguishing purposes, including but not limited to administrative or training buildings, in an amount not exceeding 5 mills on the dollar of the last assessed valuation of the property in the fire district. The amount so adopted shall be included in the next succeeding annual budget of the fire district under the section for capital appropriations.
(2) (a) Prior to such meeting, the resolution, or a summary thereof, shall be published together with notice of the time and place of the meeting, the opportunity of the public to be heard at the meeting, and the availability of copies of the resolution to the members of the general public of the fire district from the date following such publication up to and including the date of the meeting. If a summary is published, the summary shall contain a clear and concise statement prepared by the clerk of the board of fire commissioners setting forth the purpose of the resolution and the amount to be raised by the additional levy being authorized.
(b) If the resolution is to be adopted at a regular meeting, the clerk of the board of fire commissioners shall, at least 10 days prior to the date of the meeting, post the information required to be published pursuant to this subsection in five public places in the fire district, and shall advertise this information in a newspaper, published in the fire district, if any, otherwise in a newspaper circulating in the district.
(c) If the resolution is to be adopted at a special meeting, the clerk shall, at least 21 days prior to the date of the meeting, post the information required to be published pursuant to this subsection in five public places in the fire district, and shall advertise this information in a newspaper, published in the fire district, if any, otherwise in a newspaper circulating in the district. The clerk shall, not more than 20 days and at least 10 days prior to the date of the meeting, again advertise this information in that newspaper.
(3) (a) All interested persons shall be given an opportunity to be heard at a meeting subject to the provisions of this section.
(b) Copies of a resolution shall be made available to the members of the general public of the fire district who shall request such copies from the date following publication of the resolution up to and including the date of the meeting.
(cf: P.L.2017, c.206, s.20)
2. N.J.S.40A:14-85 is amended to read as follows:
40A:14-85. The board of fire commissioners of a fire district may purchase a firehouse, fire engines, apparatus, or other appliances for the extinguishment of fires and acquire lands or buildings or erect buildings for the housing of such equipment, or other buildings, including but not limited to, administrative, communications, or training buildings, or buildings for the maintenance of fire apparatus, at a cost not exceeding $60,000.00 or 2% of the assessed valuation of the taxable property in the district, whichever amount is larger. The money may be raised by a bond issue, or through the creation of any other debt or liability, including, but not limited to, through a lease-purchase agreement. Any such bond issue, debt, or liability shall be authorized by a resolution adopted by a vote of not less than 2/3 of the full membership of the board of fire commissioners specifying the amount and the purpose thereof. The resolution shall be inoperative unless [and until it shall have been submitted to and approved by the legal voters within said fire district at the annual election held for the election of commissioners and appropriation of money for fire extinguishing purposes, or at a special election for such purpose.
The resolution shall be written or printed and the election shall be upon notice stating the time and place. If said election is to be the annual one, the notices shall be posted by the clerk of the board of fire commissioners in 10 public places, at least 10 days prior to the date of the election. The board of commissioners and the clerk, in their or his discretion, may advertise the election in a newspaper, published in the fire district, if any, otherwise in a newspaper published in the county of said district and circulating in such district. When a special election is specified notices shall be posted in 10 public places, at least 21 days prior to the date of election, and the clerk of said board shall advertise said notice in such a newspaper at least twice prior to the election date] prior to the date of the meeting at which the resolution is scheduled for consideration, the resolution, or a summary thereof, shall be published together with notice of the time and place of the meeting, the opportunity of the public to be heard at the meeting, and the availability of copies of the resolution to the members of the general public of the fire district from the date following such publication up to and including the date of the meeting. If a summary is published, the summary shall contain a clear and concise statement prepared by the clerk of the board of fire commissioners setting forth the purpose of the resolution and the amount to be raised by the bond issue, debt, or liability.
If the resolution is to be adopted at a regular meeting, the clerk of the board of fire commissioners shall, at least 10 days prior to the date of the meeting, post the information required to be published pursuant to this section in five public places in the fire district, and shall advertise this information in a newspaper, published in the fire district, if any, otherwise in a newspaper circulating in the district.
If the resolution is to be adopted at a special meeting, the clerk shall, at least 21 days prior to the date of the meeting, post the information required to be published pursuant to this section in five public places in the fire district, and shall advertise this information in a newspaper, published in the fire district, if any, otherwise in a newspaper circulating in the district. The clerk shall, not more than 20 days and at least 10 days prior to the date of the meeting, again advertise this information in that newspaper.
All interested persons shall be given an opportunity to be heard at a meeting subject to the provisions of this section.
Copies of a resolution shall be made available to the members of the general public of the fire district who shall request such copies from the date following publication of the resolution up to and including the date of the meeting.
(cf: P.L.2017, c.206, s.21)
3. N.J.S.40A:14-86 is amended to read as follows:
40A:14-86. [The legal voters, at any election held for the purpose of raising money by issuance of bonds, shall vote by ballot on the question. The election shall be conducted in the same manner as other fire district elections.]
If a [majority of the legal voters voting on the question favor the issuance of such bonds the] board of fire commissioners [shall be authorized to issue them.
Said] adopts a resolution authorizing the issuance of bonds pursuant to N.J.S.40A:14-85, the bonds shall be serial bonds issued in the corporate name of the fire district, in the authorized amount, not exceeding in the aggregate $60,000.00 or 2% of the assessed valuation of the taxable property of the district, whichever amount is larger. They shall be in the amounts and payable at the time directed, with interest at any rate of interest that the board of fire commissioners may approve and which shall be payable semi-annually. The bonds shall not be issued for longer than a 30-year period. They shall be signed by the manual or facsimile signature of the chairman of the board of fire commissioners and attested by the manual or facsimile signature of the clerk, and may be attested by a registrar or authenticating agent. The bonds shall be coupon bonds or registered bonds and shall be issued at such price or prices, not less than par, as the board of fire commissioners shall determine. The bonds shall be sold at public or private sale for the best obtainable price.
(cf: P.L.1983, c.381, s.1)
4. Section 1 of P.L.1981, c.188 (C.40A:14-86.1) is amended to read as follows:
1. The board of fire commissioners of a fire district, following the [authorization by voters of] adoption of a resolution authorizing the issuance of bonds pursuant to [N.J.S. 40A:14-86] N.J.S.40A:14-85, may by resolution borrow money and issue negotiable notes in anticipation of the bond issue. Any note shall be designated a "bond anticipation note" and shall contain a recital that it is issued in anticipation of the issuance of bonds. Such notes may be issued for a period not to exceed 1 year, and may be renewed from time to time not to exceed 1 year; but all such notes, including renewals, shall mature and be paid not later than the third anniversary of the date of the original notes; provided, however, that no notes shall be renewed beyond the first anniversary date of the original notes unless an amount of such notes, at least equal to the first legally payable installment of the bonds in anticipation of which the notes are issued is paid and retired on or before the second anniversary date, and if the notes are renewed beyond the second anniversary date of the original notes, a like amount is paid or retired on or before the third anniversary date from funds other than the proceeds of obligations; except that the notes shall mature and be paid not later than the first day of the fifth month following the close of the third fiscal year next following the date of the original notes, provided that, in addition to amounts paid and retired pursuant to this section, an amount of such notes equal to not less than the first legally payable installment of the bonds in anticipation of which the notes are issued has been paid and retired not later than the end of the third fiscal year from funds other than the proceeds of obligations.
The period of usefulness as defined in N.J.S.40A:2-22 of any purpose for which bonds are issued shall include the period during which notes issued in anticipation of such bonds are outstanding, including all renewals thereof.
Funds derived from the issuance of fire district bonds may be used to redeem notes issued in anticipation of the bond issue.
(cf: P.L.1981, c.188, s.1)
5. This act shall take effect immediately.
STATEMENT
This bill would eliminate the requirement that the voters of a fire district approve capital projects and bond issuances. Under the bill, the board of fire commissioners of a fire district, regardless of the date of its annual election, may, by resolution adopted by a vote of not less than 2/3 of its full membership, authorize a capital project. Current law allows fire districts that hold their annual election on the date of the general election to approve the undertaking of a capital project in this manner but require fire districts that hold their annual election on another date to obtain approval to undertake a capital project from the legal voters of the fire district. Under the bill, prior to adoption of a resolution authorizing a capital project, a fire district would be required to provide notice of the resolution to the general public and afford the public an opportunity to be heard at a duly noticed public meeting. This procedure is currently in place for fire districts that hold their annual election on the date of the general election.
Current law requires all fire districts to obtain voter approval before a board of fire commissioners may authorize the issuance of a bond or other debt to fund a capital project. The bill would eliminate the requirement of voter approval and instead require a board of fire commissioners to adopt a resolution authorizing the issuance of debt by a vote of not less than 2/3 of its full membership, after providing notice of the resolution to the general public and affording the public an opportunity to be heard at a duly noticed public meeting.
