[Adopted 12-15-1971 by Ord. No. 631R as Ch. 31 of the 1971
Code]
The salaries and compensation of all officers
and employees of the Borough of Fanwood shall be as set forth in the
annual Salary Ordinance and/or Resolution.
A copy of the current Salary Ordinance and/or
Resolution shall be kept on file in the office of the Borough Clerk
for examination and inspection by the public.
[Added 9-13-2011 by Ord. No. 11-11R]
A. Introduction.
(1) The Local Finance Board of the State of New Jersey (LFB) has adopted
rules regarding "Electronic Disbursement Controls for Payroll Purposes"
in order to provide formal authority for municipalities to engage
third-party payroll services/disbursing services to disburse funds
to payroll agencies.
(2) In order to have a payroll service provide disbursement services,
the Mayor and Council of the Borough must approve such a third-party
having access to Borough funds and assigning responsibility to a Borough
official to oversee the process and approve all contracts or extensions.
B. Purpose; definitions.
(1) It is the Borough's intent to abide by the requirements of N.J.S.A.
52:27D-20.1 and N.J.A.C. 5:30-17.1 et seq., governing electronic disbursement
controls and payroll purposes.
(2) As used in this section, the following terms shall have the meanings
indicated:
APPROVAL OFFICER
The person within the Borough responsible for authorizing
and supervising the activities of the payroll service.
C. Authorization.
(1) The Borough is authorized to use a payroll service to prepare payment
documentation, take possession of Borough funds and make such disbursements
itself on behalf of the Borough.
(2) The following payroll service providers shall be required to comply
with these regulations.
(a)
Payroll service providers who use their own customized programming
process to execute disbursements for the Borough; and
(b)
Payroll service providers who use a third-party processor to
execute disbursements for the Borough.
D. Borough requirements.
(1) The appointment of a payroll service shall be made pursuant to the
Local Public Contracts Law and shall require the payroll service to
perform the following services, not by way of limitation: data collection,
agency report preparation, calculation of withholding, direct deposit
of payroll disbursements, and/or transfer of Borough funds to the
payroll service provider's account for subsequent disbursement of
payment.
(2) Any renewal or extension of the contract with the payroll service
shall be pursuant to the Local Public Contracts Law.
(3) The Borough's Chief Financial Officer shall serve as the approval
officer and shall be responsible for authorizing and supervising the
activities of the payroll service and be charged with the reconciliation
and analysis of all general ledger accounts affected by the activities
of the service.
(4) The Borough, in its sole discretion, may provide in the contract
with the payroll service that the payroll service shall be permitted
to hold Borough funds pending transmittal to a payee.
E. Payroll service requirements.
(1) The payroll service shall satisfy all of the following requirements:
(a)
Report any irregularities that may indicate potential fraud,
noncompliance with appropriate laws, dishonesty or gross incompetence
on the part of the approval officer.
(b)
Report circumstances that could jeopardize the payroll service's
ability to continue operations or otherwise to interrupt the services
provided by the service to the Borough.
(2) The payroll service shall satisfy the requirements of N.J.A.C. 5:30-17.5,
requiring that the approval officer be assured that the payroll service
has its own internal controls and will appropriately guard against
theft and other adverse conditions.
(3) Contracts which are entered into pursuant to this section of the
Borough Code and the laws authorizing such a contracts shall comply
with the requirements of N.J.A.C. 5:30-17.6, which sets out a series
of mandatory contractual terms and conditions.
F. Establishment of service. The Mayor and Council shall by resolution
authorize the Mayor and Borough Clerk to enter into a contract for
payroll services.
[Adopted 7-15-2014 by Ord. No. 14-11S]