HomeMy Public PortalAboutOrd. 19-15AN
wrbinanrt
No. 19-15 of tht
19rrrvug4 of Ca rteret,
Councilman Presents the following Ordinance Seconded by Councilman,
AN ORDINANCE OF THE BOROUGH OF
CARTERET, IN THE COUNTY OF MIDDLESEX,
STATE OF NEW JERSEY, APPROVING AND
AUTHORIZING THE ENTERING INTO,
EXECUTION AND DELIVERY OF A LEASE AND
AGREEMENT WITH THE MIDDLESEX COUNTY
IMPROVEMENT AUTHORITY RELATING TO THE
ISSUANCE OF COUNTY - GUARANTEED CAPITAL
EQUIPMENT AND IMPROVEMENT REVENUE
BONDS, SERIES 2019 OF THE MIDDLESEX
COUNTY IMPROVEMENT AUTHORITY
WHEREAS, the Middlesex County Improvement Authority (the "Authority") is
authorized to issue its bonds pursuant to the provisions of the County Improvement
Authorities Law, chapter 183 of the Laws of New Jersey of 1960, as amended and
supplemented (N.J.S.A. 40:37A -44 et seq.) (the "County Improvement Authorities Law "),
and other applicable provisions of law; and
WHEREAS, the Authority has determined to issue its revenue bonds for the
purpose of financing the lease of certain items of capital equipment to various
municipalities located in the County of Middlesex, State of New Jersey (the "County")
including the County and the Authority (the "2019 Program "); and
WHEREAS, the Borough of Carteret, in the County of Middlesex, State of New
Jersey (the "Municipality") has determined to participate in the 2019 Program and to lease
various items of capital equipment (the "Equipment ") from the Authority for use by various
departments within the Municipality; and
WHEREAS, there has been prepared and submitted to the Municipality the form of
the Lease and Agreement (the "Lease "), to be entered into by and between the Authority
and the Municipality, which Lease has been approved by the Authority and which is
attached hereto as Exhibit A, providing for the acquisition and leasing of certain Equipment
from the Authority, which Equipment is described in Exhibit B attached hereto and
incorporated by reference herein. All terms used herein and not otherwise defined shall
have the same meanings ascribed to such terms under the Lease.
NOW THEREFORE, BE IT ORDAINED AND ENACTED BY THE
GOVERNING BODY OF THE BOROUGH OF CARTERET, IN THE COUNTY OF
MIDDLESEX, STATE OF NEW JERSEY (not less than two- thirds of all members
thereof affirmatively concurring) AS FOLLOWS:
Section 1. Pursuant to section 78 of the County Improvement Authorities Law,
N.J.S.A. 40:37A -44 et �gq., the Municipality is hereby authorized and directed to enter into
and implement the provisions of the Lease, which Lease provides for the leasing by the
Municipality of certain Equipment acquired with the proceeds of County- Guaranteed
Capital Equipment and Improvement Revenue Bonds, Series 2019 (the 'Bonds ") to be
issued by the Authority under a resolution of the Authority to be adopted by the Authority
entitled, "Resolution of the Middlesex County Improvement Authority Authorizing the
Issuance of County- Guaranteed Capital Equipment and Improvement Revenue Bonds" (the
"General Bond Resolution "). The Lease, in the form submitted herewith in Exhibit A (a
copy of which is on file in the office of the Clerk of the Municipality), is hereby approved
with such changes, amendments or modifications as may be approved by counsel or bond
counsel to the Municipality and bond counsel to the Authority and the County.
Section 2. The full faith and credit of the Municipality are hereby pledged to the
punctual payment of the obligations set forth in the Lease authorized by this ordinance,
including without limitation, (i) all Basic Rent and other Rent obligations of the
NO. 19-15
PAGE 2
Municipality under the Lease, including Authority Administrative Expenses and
Additional Rent, (ii) all amounts due and owing to the County as a result of payments made
by the County on behalf of the Municipality under the Lease pursuant to the County
Guarantee, including County Guarantee Costs and (iii) all direct and indirect costs of the
Authority and the County related to the enforcement of the Lease and the County Guarantee
((i), (ii) and (iii) collectively, the "Lease Payment Obligation "). The Lease Payment
Obligation under the Lease shall be a direct, unlimited and general obligation of the
Municipality, not subject to annual appropriation by the Municipality pursuant to the
County Improvement Authorities Law, and unless paid from other sources, the
Municipality shall be obligated to levy ad valorem taxes upon all the taxable property
within the jurisdiction of the Municipality for the payment of the Lease Payment Obligation
under the Lease without limitation as to rate or amount.
Section 3. The Mayor or other duly Authorized Municipal Representative (as
defined in the Lease) is hereby authorized and directed to execute the Lease on behalf of
the Municipality in the form as attached hereto in Exhibit A and the Clerk of the
Municipality is hereby authorized and directed to attest to such signature and affix the seal
of the Municipality thereto and the Lease is authorized to be delivered to the Authority.
All representatives, officials and employees of the Municipality are hereby authorized and
directed to enforce and to implement provisions of the Lease.
Section 4. The following additional matters are hereby determined, declared,
recited and stated:
(1) The maximum Lease Payment Obligation for which the Municipality shall
be obligated hereunder, which, inter alia, will be used for the payment of principal of and
interest on the Bonds of the Authority shall not exceed the sum necessary to (a) acquire the
Municipality's Equipment described in Exhibit B attached hereto which will be subject to
the Lease, (b) pay principal of and interest on the Bonds allocated to the Municipality and
used to acquire the Municipality's Equipment, and (c) pay the Municipality's share of the
costs of issuance, Authority Administrative Expenses, Additional Rent, County Guarantee
Costs and all other amounts required to be paid by the Municipality under the Lease.
(2) The Bonds shall mature within the useful life set opposite the respective
purposes or improvements set forth in Exhibit B .
(3) The Lease Payment Obligation authorized herein shall remain effective
until the Municipality's share of the Bonds shall have been paid in full in accordance with
their terms and/or when all obligations of the Municipality under the Lease have been
satisfied, notwithstanding the occurrence of any other event, including, but not limited to,
the termination of the Lease with respect to some or all of the Equipment leased thereunder.
(4) The Equipment described in Exhibit B are hereby approved to be leased from
the Authority in accordance with the terms of the Lease, with such changes, amendments
or modifications as may be approved by counsel or bond counsel to the Authority.
Section 5. To the extent the Municipality is an "Obligated Person" (as defined
under the Rule (as hereinafter defined)), the Municipality hereby agrees to comply with the
requirements of Rule 15c2 -12 (the "Rule ") promulgated by the Securities and Exchange
Commission pursuant to the Securities Exchange Act of 1934, as amended and
supplemented, including the secondary market disclosure requirements contained therein,
and agrees to covenant to such compliance in the Lease. The Mayor, Clerk, Chief Financial
Officer or other Authorized Municipal Representative are each hereby authorized and
directed to execute and deliver a Continuing Disclosure Agreement, approve and "deem
final" the Official Statement of the Authority and the preliminary form thereof to the extent
the information contained therein relates to the Municipality, and to execute and deliver all
certificates, documents and agreements to the Authority in connection therewith, and to
file budgetary, financial and operating data of the Municipality on an annual basis and
notices of certain enumerated events as required to comply with, and in accordance with,
the provisions of the Rule.
Section 6. The Mayor, Clerk, Chief Financial Officer or Authorized Municipal
Representative are each hereby authorized and directed to execute and deliver any and all
NO. 19-15
PAGE 3
certificates, documents and instruments and to do and cause to be done any and all acts and
things necessary or proper for carrying out the execution and delivery of the Lease, the
leasing of the Equipment, which is to be the subject of the Lease, and all related transactions
contemplated by this ordinance.
Section 7. Upon the payment of all amounts referenced in Section 4(3) herein, the
full faith and credit pledge of the Municipality as to its Lease Payment Obligation
authorized herein shall cease to exist.
Section 8. The provisions of this ordinance are severable. To the extent any clause,
phrase, sentence, paragraph or provision of this ordinance shall be declared invalid, illegal
or unconstitutional, the remaining provisions shall continue to be in full force and effect.
Section 9. This ordinance shall take effect twenty (20) days after final adoption
and publication hereof in accordance with applicable law.
ADOPTED ON FIRST READING
DATED: - _IjM 90 , 2019
Kathleen M. Barney,
Clerk of the Borough of Carteret
ADOPTED ON SECOND READING
DATED: _ . J� 11 , 2019
Kathleen M. Barney,
Clerk of the Borough of Carteret
DO NOT U SE SPACE BELOW THIS LINE
RECORD OF COUNCIL VOTE
COUNCILMAN
YES
NO
NV
A.B.
COUNCILMAN
YES
NO
NV
A.B.
B ELLM
X
JCRAL
X
DIAZ
KF M
X
DIIIMCIO
X
NAPLES
X - Indicate Vote AB - Absent NV - Not Voting XOR - Indicates Vote to Overrule Veto
Adopted on first reading of the Counci of the Borough of Carteret, N.7., on
Adopted on second re to • ing n h/ 11, 2019
JUDE! 20. 2019
APPRO ED BY
ON
M R /
i
MUNICIPAL CL RK
Exhibit B
Middlesex County Improvement Authority
2019 Capital Equipment and Improvement Financing Program
Project List
Carteret Borough
Project Est. Cost Useful Life
LOAN
None
Subtotal
LEASE
Performing Arts Center Furniture and Fixtures
Performing Arts Center Furniture and Fixtures
Subtotal
0.00 5 Years
$0.00
$1,185,579.00 5 Years
$814,421.00 10 Years
$2,000,000.00
Loan Total: $0.00
Lease Total: $2,000,000.00
Carteret Borough Total Projects: $2,000,000.00
AFFIDAVIT OF PUBLICATION
The following is a true copy of an Ordinance or Resolution of
the Borough of Carteret that has appeared in the Home News
Tribune, a newspaper which is printed in Freehold, New
Jersey and published in Neptune, in said County and State and
of general circulation in said county. One 1 time(s), once in
each issue as follows:
June 27, 2019
a t
Kathleen M. Barney, MMC1�
Municipal Clerk
ORDINANCE #19 -15
BOROUGH OFCARTERET
PUBLIC NOTICE
Sworn and subscribed before
me this day of .7 k1
NOTICE OF PENDING LEASE ORDINANCE AND SUMMARY
The lease ordinance, the summary terms of which are included
herein, was introduced and passed upon first reading at a meeting
of the was body of the Borough of Carteret, in the County of
Middlesex State of New Jersey, on June 20, 2019. It will be further
considered for final passage, after public hearing thereon, at a
meeting of the governing body to be held at the Municipal
Building, in the County of Middlesex, on July 11, 2019 at 6:00 p.m.
During the week prior to and up to and including the date of such
meeting copies of the full ordinance will be available at no cost and
during regular business hours, at the Clerk's office for the members
of the general public who shall request the same. The summary of
the terms of such lease ordinance follows:
Title: AN ORDINANCE OF THE BOROUGH OF CARTERET IN THE
COUNTY OF MIDDLESEX, STATE OF NEW JERSEY, APPROVING AND
AUTHORIZING THE ENTERING INTO, EXECUTION AND DELIVERY OF
A LEASE AND AGREEMENT WITH THE MIDDLESEX COUNTY
IMPROVEMENT AUTHORITY RELATING TO THE ISSUANCE OF
COUNTY- GUARANTEED CAPITAL EQUIPMENT AND IMPROVEMENT
REVENUE BONDS, SERIES 2019 OF THE MIDDLESEX COUNTY
IMPROVEMENT AUTHORITY
Purpose(s): Lease certain Equipment (described in Exhibit B to the
Lease Ordinance) from, and approve the entering into of a lease
agreement with, the Middlesex County Improvement Authority
Appropriation: Amount sufficient to amortize the lease payment
obligations
Bonds/Notes
Authorized: None
Grants (if any)
Appropriated: None
Section 20 Costs: Costs of issuance to be allocated pro rata
Useful Life: The Bonds shall mature within the useful life set
opposite the respective purposes or improvements set forth in the
attached Exhibit B.
Kathleen M. Barney,
Clerk of the Borough of Carteret
Middlesex County Improvement Authority
2019 Capital Equipment and Improvement Financing Program
Project List
Carteret Borough
Project
Est. Cost .
Useful Life
LOAN
None
$0.00
5 Years
Subtotal
$0.00
LEASE
Performing Arts Center
Furniture and Fixtures
$1,185,579.00
5 Years
Performing Arts Center
Furniture and Fixtures
$814 ,421.00
10 Years
Subtotal
$2,000,000.00
Loan Total: $0.00
awca Tnt.1 1 2_ non _000. 00
CARMELA POGOR7_ELSKi
NOTARY FUBLC OF NEW Jr: ISEY
My cmr.6 on Eow 912712022
AFFIDAVIT OF PUBLICATION
Publisher's Fee $66.00 Affidavit $35.00
State of New Jersey }SS.
Middlesex County
Personally appeared
Of the Home News Tribune, a newspaper printed in Freehold, New Jersey and published in East Brunswick,
in said County and State, and of general circulation in said county, who being duly sworn, deposeth and saith
that the advertisement of which the annexed is a true copy, has been published in the said newspaper
1 times, once in each issue as follows:
06/27/19 A.D 2019
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Ad Number: 0003645351
Ad Number: 0003645351 Run Dates: 06/27/19
ORDINANCE #19 -15
BOROUGH OF CARTERET
PUBLIC NOTICE
NOTICE OF PENDING LEASE ORDINANCE AND SUMMARY
The lease ordinance, the summary terms of which are included
herein, was introduced and passed upon first reading at a meeting
of the governing body of the Borough of Carteret, in the County of
Middlesex State of New Jersey, on June 20, 2019. It will be further
considered for final passage, after public hearing thereon, at a
meeting of the governing body to be held at the Municipal
Building, in the County of Middlesex, on July 11, 2019 at 6:00 p.m.
During the week prior to and up to and including the date of such
meeting copies of the full ordinance will be available at no cost and
during regular business hours, at the Clerk's office for the members
of the general public who shall request the same. The summary of
the terms of such lease ordinance follows:
Title: AN ORDINANCE OF THE BOROUGH OF CARTERETIN THE
COUNTY OF MIDDLESEX, STATEOF NEW JERSEYAPPROVING AND
AUTHORIZING THE ENTERINGINTO, EXECUTIONAND DELIVERYOF
A LEASE AND AGREEMENT WITH THE MIDDLESEX COUNTY
IMPROVEMENT AUTHORITY RELATING TO THE ISSUANCE OF
COUNTY - GUARANTEED CAPITAL EQUIPMENT AND IMPROVEMENT
REVENUE BONDS, SERIES 2019 OF THE MIDDLESEX COUNTY
IMPROVEMENT AUTHORITY
Purpose(s): Lease certain Equipment (described in Exhibit B to the
Lease Ordinance) from, and approve the entering into of a lease
agreement with, the Middlesex County Improvement Authority
Appropriation: Amount sufficient to amortize the lease payment
obligations
Bonds /Notes
Authorized: None
Grants (if any)
Appropriated: None
Section 20 Costs: Costs of issuance to be allocated pro rata
Useful Life: The Bonds shall mature within the useful life set
opposite the respective purposes or improvements set forth in the
attached Exhibit B.
Kathleen M. Barney,
Clerk of the Borough of Carteret
Middlesex County Improvement Authority
2019 Capital Equipment and Improvement Financing Program
Project List
Carteret Borough
Project Est. Cost Useful Life
LOAN
None
$0.00 5 Years
Subtotal
LEASE
Performing Arts Center
Furniture and Fixtures
$1,185,579.00 5 Years
Performing Arts Center
Furniture and Fixtures
$814,421.00 10 Years
Subtotal
$2,000,000.00
Loan Total: $0.00
Lease Total: $2,000,000.00
Carteret Borough
Total Projects: $2,000,000.00
($66.00)
3645351 -01
AFFIDAVIT OF PUBLICATION
Publisher's Fee $60.72 Affidavit $35.00
STATE OF NEW JERSEY
Middlesex County
Personally appeared
Of the Home News Tribune, a newspaper printed in Freehold, New Jersey and published in East Brunswick,
in said County and State, and of general circulation in said county, who being duly sworn, deposeth and saith
that the advertisement of which the annexed is a true copy, has been published in the said newspaper
1 times, once in each issue as follows:
07/23/19 AD 2019
Notary Public. tate of Wisconsin, County of - Brown
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Ad Number: 0003692895 Run Dates: 07/23/19
ORDINANCE 419 -15
BOROUGH OF CARTERET
PUBLIC NOTICE
LEASE ORDINANCE STATEMENT AND SUMMARY
The lease ordinance, the summary terms of which are included
herein, has been finally adopted by the governing body of the Bor-
ough of Carteret, in the County of Middlesex, State of New Jersey
on July 11, 2019 and the twenty (20) day period of limitation within
which a suit, action or proceeding questioning the validity of such
ordinance can be commenced, as provided in the Local Bond Law,
has begun to run from the date of the first publication of this state-
ment. Copies of the full ordinance are available at no cost and dur-
ing regular business hours, at the Clerk's office for members of the
general public who request the same. The summary of the terms of
such lease ordinance follows:
Title: AN ORDINANCE OF THE BOROUGH OF CARTERET, IN THE
COUNTY OF MIDDLESEX, STATE OF NEW JERSEYAPPROVING AND
AUTHORIZING THE ENTERINGINTO, EXECUTIONAND DELIVERYOF
A LEASE AND AGREEMENT WITH THE MIDDLESEX COUNTY IM-
PROVEMENTAUTHORITY RELATINGTO THE ISSUANCEOF COUNTY -
GUARANTEED CAPITAL EQUIPMENT AND IMPROVEMENT REVENUE
BONDS, SERIES2019 OF THE MIDDLESEX COUNTY IMPROVEMENT
AUTHORITY
Purpose(s): Lease certain Equipment (described in Exhibit B to the
Lease Ordinance) from, and approve the entering into
of a lease
agreement with, the Middlesex County Improvement Authority
Appropriation: Amount sufficient to amortize the lease payment
obligations
Bonds /Notes
Authorized: None
Grants (if any)
Appropriated: None
Section 20 Costs: Costs of issuance to be allocated pro rata
Useful Life: The Bonds shall mature within the useful life
set oppo-
site the respective purposes or improvements set forth
in the at-
tached Exhibit B.
Kathleen M. Barney,
Clerk of the Borough of Carteret
Middlesex County Improvement Authority
2019 Capital Equipment and Improvement Financing Program
Project List
Carteret Borough
Project Est. Cost Useful Life
LOAN
None $0.00
5 Years
Subtotal $0.00
LEASE
Performing Arts Center Furniture
and Fixtures $1,185,579.00
5 Years
Performing Arts Center Furniture
and Fixtures $814,421.00
10 Years
Subtotal $2,000,000.00
Loan Total: $0.00
Lease Total: $2,000,000.00
Carteret Borough Total Projects $2,000,000.00
($60.72)
03692895 -01
AFFIDAVIT OF PUBLICATION
The following is a true copy of an Ordinance or Resolution of
the Borough of Carteret that has appeared in the Home News
Tribune, a newspaper which is printed in Freehold, New
Jersey and published in Neptune, in said County and State and
of general circulation in said county. One 1 time(s), once in
each issue as follows:
July 23, 2019 Y� � �_,
Kathleen M. Barney, MMC
Municipal Clerk
Sworn and subscribed 4efore
me this t day of J L'I ! v
g POGO M ivo �' O y F � NEV p � � L�j,
ORDINANCE #19 -15
BOROUGH OF CARTERET
PUBLIC NOTICE
LEASE ORDINANCE STATEMENT AND SUMMARY
The lease ordinance, the summary terms of which are included
herein, has been finally adopted by the governing body of the Bor-
ough of Carteret, in the County of Middlesex w Jersey
, State of Ne
on July 17, 2079 and the twenty (20) day period of limitation withisucn
which a suit, action or proceeding questioning the validity of h
ordinance can be commenced, as provided in the Local Bond Law,
me% begun opies of the full ordinance o ordin nte the re available at no cost and dur-
ing regular business hours, at the Clerk's office for members of the
general public who request the same. The summary of the terms of
such lease ordinance follows:
Title: AN ORDINANCE OF THE BOROUGH OF CARTERET, IN THE
COUNTY OF MIDDLESEX, STATE OF NEW JERSEY, APPROVING AND
AUTHORIZING THE ENTERING INTO, EXECUTION AND DELIVERY D
A LEASE AND AGREEMENT WITH THE MIDDLESEX COUNTY IM-
PROVEMENT AUTHORITY RELATING TO THE ISSUANCE OF COUNTY -
GUARANTEED CAPITAL EQUIPMENT AND IMPROVEMENT REVENUE
BONDS, SERIES 2019 OF THE MIDDLESEX COUNTY IMPROVEMENT
AUTHORITY
Purpose(s): Lease certain Equipment (described in Exhibit B to the
Lease Ordinance) from, and approve the entering into of a lease
agreement with, the Middlesex County Improvement Authority
Appropriation: Amount sufficient to amortize the lease
obligations payment
Bonds /Notes
Authorized: None
Grants (if any)
Appropriated: None
Section 20 Costs: Costs of issuance to be allocated pro rata
Useful Life: The Bonds shall mature within the useful life set oppo-
site the respective purposes or improvements set forth in the at-
tached Exhibit B.
Kathleen M. Barney,
Clerk of the Borough of Carteret
Middlesex County Improvement Authority
2019 Capital Equipment and Improvement Financing Program
Project List
Carteret Borough
Project Est. Cost
Useful Life
LOAN
None $0.00
Subtotal $0.00 5 Years
LEASE
Performing Arts Center Furniture
and Fixtures $1,185,579.00
Performing Arts Center Furniture 5 Years
and Fixtures $814,421.00 10 Years
Subtotal $2,000,000.00
Loan Total: $0.00
Lease Total: $2,000,000.00
Carteret Borough Total Projects $2,000,000.00
($60.72)