HomeMy Public PortalAboutOrd. 23-22ONNMUMU
No. #23-22 of fhE
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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 2023 OF THE MIDDLESEX
COUNTY IMPROVEMENT AUTHORITY
WHEREAS, the Middlesex County Improvement Authority (the "Authority") is
authorized by 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 sec.) (the "Act")
to provide within the County of Middlesex, State of New Jersey (the "Comity"), or any
beneficiary county, public facilities for use by the State of New Jersey, the County or any
municipality in the County or any beneficiary county, or any two (2) or more or any
subdivisions, departments, agencies or instrumentalities of any of the foregoing for any of
their respective govermuental purposes; and
WHEREAS, the Authority is authorized by the Act to lease to any governmental unit or
person, all or any part of any public facility, including but not limited to, capital
equipment, for such consideration and for such period or periods of time and upon such
other terms and conditions as it may fix and agree upon; and
WHEREAS, the Authority has determined pursuant to the Act to finance the various
capital improvements to be undertaken by and the acquisition, installation and,. as
applicable, subsequent leasing of certain capital equipment, including but not limited to
police and passenger vehicles (the "Equipment'), to various governmental entities within
the County, including the County and the Authority (the "2023 Program"); and
WHEREAS, such capital equipment will be financed through the issuance of County -
Guaranteed Capital Equipment And improvement Revenue Bonds, Series 2023 (the
"Series 2023 Bonds"); and
WHEREAS, the Borough of Carteret, in the County of Middlesex, State of New Jersey
(the "Municipality") has determined to participate in the 2023 Program and to lease
certain capital equipment set forth in Exhibit A attached hereto and incorporated by
reference herein (the "Equipment') from the Authority pursuant to the terms and
conditions set forth in the hereinafter defined Lease; 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 on file in
the office of the Clerk of the Municipality, providing for the acquisition and leasing of
the Equipment from the Authority; and
WHEREAS, all terns 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:
No. #23-22
PAGE 2 of 3
Section 1. Pursuant to Section 35 of the Act (N.J.S.A. 40:37A-78), the
Municipality is hereby authorized and directed to enter into and perform the Lease, which
Lease provides for the leasing of the Equipment acquired with the proceeds of the Series
2023 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" (as the same may be amended and supplemented from
time to time, the "General Bond Resolution"). The Lease, in the form 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 Rent obligations of the
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 Guaranty, including County Guaranty Costs and (iii) all direct and indirect costs
of the Authority and the County related to the enforcement of the Lease and the County
Guaranty ((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
Act, 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 thereunder without limitation as to rate or
amount.
Section 3. The Mayor or other 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 on file in the office of the Clerk of the Municipality 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, infer alla, will be used for the payment of principal of and
interest on the Series 2023 Bonds of the Authority shall not exceed the sum necessary to
(a) acquire the Municipality's Equipment which will be subject to the Lease, (b) pay
interest on the Series 2023 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 Guaranty Costs and all
other amounts required to be paid by the Municipality under the Lease.
(2) The Series 2023 Bonds allocated to the Municipality shall mature within
five (5) years from the date of issue.
(3) The Lease Payment Obligation authorized herein shall remain effective
until all the Series 2023 Bondsshall 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 police vehicles and capital
equipment leased thereunder.
(4) The Equipment is hereby approved to be leased from the Authority in
accordance with the terns of the Lease, with such changes, amendments or modifications
as may be approved by counsel or bond counsel to the Authority.
NO. #23-22
pAOg 3 of 3
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 150-12 (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 other Authorized
Municipal Representative are each hereby authorized and directed to execute and deliver
any and all 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 S. The provisions of this ordinance are severable. To the extent any
clause, pluase, 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 in accordance with applicable law.
DO NOT USE
RECORD OF COUNCIL VOTE
COUNCILMAN
YES
NO
NV
A.B.
COUNCILMAN
YES
NO
NV
A.B.
BELI.INO
JollaX
DIAZ
X
KRUM
X
DIMASCIO
X
NAPLES
X
X-Indicate Vote AB -Absent NV -Not Voting XOR -Indicates Vote to Overrule Veto
Adopted on first reading of the Council of the Borough of Carteret, N.J., on July 27 r 2024
Adopted on second reading after hearing on E1 ust�
PIP
ON // SI MAY°
tt
MUNIC] ALCL RK
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:
August 1, 2023
otary rpblic of New Jersey
Sworn and subscribed before
me this 1-4' day of
i
Ca mela Pogor a sJci, C
Municipal Clerk
Purpose(s): Lease police vehicles (described in Exhibit A below) from
and approve the entering into of a lease agreement with the
Middlesex County Improvement Authority
Appropriation: $150,000
Bonds/Notos Authorized: WA (Bonds will be Issued by :the
Middlesex County Improvement Authority. to finance the:
acquisition of the police vehicles,
Grant Appropriated;None
Section 20 Costs; N/A
Useful Life: N/A (Lease term Is 5 years)
Carmela p.gorzolski, Munldpal Clerk
Exhibit A
Middlesex County Improvementnt AutFinhority
2023 Capital Equipment and Improvemeancing Program
Pro/ect List
Cmrterat .rough
Project
Est. Cost Useful Life
FIVE YEAR PROJECTS
None.
$0.00 5 Years
` Subtotal
$0.00
Leas.
Police
Vehicles
55150 000.00 5 Years
Subtotal.
$150,000.00
Five Year Projects Subtotal: $150,000.00
Loan Total:
fs000
Lease Total:
5I R0,000.00
Total Borrowing:
$150,000.00
($51.48):
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:
August 17, 2023
Municipal Clerk
of New Jersey
n v-
Sworn and Subscribed before mn .REVENU 1111 1n DEECAPITA
EIIII
me this I % day of s' D IMPROVEMENTAUTHORITY23 O
Purpose(.): Lease police vehicles
antl approve the entering into o'
Middlesex County Improvement.
Exhibit
Middlesex County Impro
2023 Capital Equipment and imp
Project Li.
.'Carteret 0or
Project
FIVE YEAR PROJECTS
Loan
None
Subtotal
Lease
Police Vehicles
'Subtotal
unty of Middlesex, 'State 'of New
20 day period of Ilmitation
seeding uestlonin the validity of
imenced,qas provided fn the Local
n the date of the first: publication
full lease ordlmmn . are available
Ines. hours at the Clerk's office for
c who shall request the same. The
e ordlnance follows:
IOROUGH OF CARTERET. IN THE
7F: NEW JERSEY, APPROVING AND
"0,'EXECUTION AND DELIVERY OF
"HE MIDDLESEX COUNTY
LATING TO THE ISSUANCE OFY
EQUIPMENT AND IMPROVEMENT
THE MIDDLESEX COUNTY
!bed In Exhibit A below) from
e agreement with the
rity
it Authority
ant Financing Program
A
Useful
Est. Cost
Life
$0.00
5 Years
0.00
11150_000.00
5 Years