No insurance company shall pay any claim in
excess of $2,500 for fire damage on any real property located within
the Township of West Milford pursuant to any fire insurance policy
issued or renewed after the adoption of this chapter and after its
filing with the State Commissioner of Insurance, except as follows:
A. The insured individual 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, levied and assessed and due and payable against said property,
have been paid; and
B. The insured person or entity has submitted a certification
acknowledged by a notary public commissioned in the State of New Jersey
that all demolition costs have been paid or that demolition is not
required; or
C. The Township provides the insurer with a certified
resolution pursuant to which the Township has entered into an agreement
with the owner of the fire-damaged property to pay in full all delinquent
taxes, assessments or other municipal liens by installments pursuant
to N.J.S.A. 54:5-19 for the redemption of any tax sale lien by installment
payments pursuant to N.J.S.A. 54:5-65 et seq., or the payment by installment
of any anticipated costs of demolition.
Any request for an official certificate of search
for municipal liens pursuant to this chapter shall specify that the
search concerns fire-damaged property.
The Township's claim made in accordance with
the provisions of this chapter shall be paramount to any other claims
on the proceeds of the fire insurance policy, except as provided in
N.J.S.A. 17:36-12, as it may be amended from time to time.
In the event that an appeal is taken on the
amount of any lien or charge, other than an appeal based upon the
assessed valuation of real property pursuant to N.J.S.A. 54:3-21,
the insurance company shall comply with the procedures set forth in
N.J.S.A. 17:36-10 as it may be amended from time to time.