No insurance company shall pay any claim in excess of $2,500 for fire damages on any real property located within the Borough, when such claim is payable in connection with a fire insurance policy issued or renewed after the adoption of this chapter, until such time as anticipated demolition costs and all taxes and assessments and all other municipal liens or charges due and payable appearing on the official certificate of search shall have been paid either by the owner of such real property or by the insurance company pursuant to §
196-3 of this chapter. Notwithstanding the foregoing, the Borough may enter into an agreement with an owner for the payment of delinquent taxes, assessments or municipal liens in installments in accordance with §
196-2 of this chapter.
The Borough may enter into an agreement with the owner of any
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,
or for the redemption of any tax sale lien by installment payments
as provided by law, or for the payment in full of any anticipated
costs of demolition by installment, if the governing body is satisfied
that the claim for fire damages is to be used to restore or improve
the fire-damaged property. A certified copy of a resolution by the
governing body shall authorize an insurance company to make full payment
on the claim to the insured party.