[HISTORY: Adopted by the Township Committee of the Township of Chesterfield as indicated in article histories. Amendments noted where applicable.]
[Adopted 9-8-1994 as Ord. No. 1994-8]
No insurance company authorized to issue fire insurance policies in this state shall pay any claims in excess of $2,500 on any real property located within the Township of Chesterfield unless or until the insured person or entity submits an official certificate of search for municipal liens pursuant to N.J.S.A. 54:5-12, certifying that all taxes, assessments or other municipal liens or charges, including any and all demolition costs incurred by the municipality, levied and assessed and due and payable against said property have been paid, or secures a certified copy of a resolution adopted pursuant to § 126-4 of this article.
The official certificate of search may, from time to time, be altered, by the bonded official responsible for preparing such certificates in order to correct any errors or omissions or to add any municipal liens or related charges due and payable subsequent to the preparation of the official certificate.
Unless a resolution is received in accordance with § 126-4 of this article by the insurance company writing the fire insurance policy on property in the Township of Chesterfield, such insurance company is hereby directed and required, prior to the payment of any claims for fire damages in excess of $2,500, to pay to the township the amount of the liens appearing on the official certificate and such other recorded liens or related charges as may be certified to the insurance company; provided, however, that if an appeal is taken on the amount of any lien or charge, other than an appeal on the assessed valuation of real property pursuant to N.J.S.A. 54:3-21, the insurance company shall withhold 75% of the full amount of the lien or charge being contested pending termination of all proceedings, at which time such moneys and all interest accruing thereon at a rate paid on interest-bearing accounts in banking institutions in the state shall be disbursed in accordance with the final order or judgment of the court.
The governing body of the Township of Chesterfield may enter into agreement with the owner of any fire-damaged property to pay in full all delinquent taxes, assessments or other municipal liens or charges by installments pursuant to N.J.S.A. 54:5-19 or for the redemption of the tax sale lien by installment payments pursuant to Article VII, Chapter 5, Title 54, of the Revised Statutes if the governing body of the Township of Chesterfield is satisfied that the claim for fire damages is to be used to restore or improve the fire-damaged property. An insurance company receiving a certified copy of a resolution of agreement from the governing body is authorized to make full payment on the claim to the insured person or entity.
A municipal claim made in accordance with the provisions of this article shall be paramount to any other claims on the proceeds of the fire insurance policy, except the claim of the holder of a mortgage on the fire-damaged property where the fire insurance policy at the time of the loss listed the mortgagee as a named insured, in which event the claim of the mortgagee to the proceeds shall be paramount to the municipal lien under this article only to the extent of the amount due and payable to the mortgagee under the mortgage documents.
This article is adopted under and in accordance with P.L. 1978, c. 184, Section 1 et seq. (N.J.S.A. 17:36-8 et seq.), and any amendments and supplements thereto and any regulations promulgated pursuant thereto, and anything herein contained to the contrary shall be controlled by said legislative enactment and regulations.
[Adopted 12-29-2022 by Ord. No. 2022-19[1]]
[1]
Editor's Note: This article, adopted as Ch. 155, was renumbered to maintain the organization of the Code.
This section implements the provisions of P.L. 2022, c. 92, requiring business owners, owners of rental units, and owners of owner-occupied multifamily units to maintain certain liability insurance minimums, and requiring the creation of a municipal business insurance registry.
A. 
Except as provided in Subsection B, business owners or owners of rental units located in the Township of Chesterfield must maintain liability insurance for negligent acts and omissions at a policy minimum of $500,000 for combined property damage and bodily injury to or death of one of more persons in any one accident or occurrence.
B. 
Owners of multifamily dwellings located in the Township of Chesterfield with four or fewer units, of which one unit is owner-occupied, must maintain liability insurance for negligent acts and omissions at a policy minimum of $300,000 for combined property damage and bodily injury to or death of one of more persons in any one accident or occurrence.
A. 
Owners subject to the minimum liability insurance requirements provided in this article must annually register a certificate of insurance issued by the owner's insurance company to demonstrate compliance with § 126-8.
B. 
To complete annual registration, the owner must file following documents with the Township Clerk or the Clerk's designee:
(1) 
A valid certificate of insurance supplied by the insurance company that issued the policy;
(2) 
Business name, if applicable;
(3) 
Name of business owner or property owner;
(4) 
Address of business or property;
(5) 
Date of issuance and expiration of insurance policy;
(6) 
Contact information for business or property owner; and
(7) 
$20 administrative fee.
Upon satisfaction of the registration requirements in § 126-9, the Township Clerk shall issue a certificate of registration to the owner. This certificate of registration shall act as proof of compliance with this article. A certificate of registration shall be valid for one calendar year from the date of issuance.
If an owner fails to maintain the required level of insurance or fails to file annual registration, the Township may impose a fine against the owner of not less than $500 but no more than $5,000 by way of summary proceeding pursuant to N.J.S.A. 2A:58-10.