Township of Readington, NJ Contracts

A firm; a corporation; professional corporation; partnership; limited liability company; organization; association; and any other manner and kind of business entity;

Any person who owns 10% or more of the equity of ownership or income interests in a person or entity as defined in Subsections A and B above and their spouses and child/children;

All partners or officers of such an entity, in the aggregate, and their spouses and child/children;

Any person, subcontractor, subsidiary, corporation, firm partnership, limited liability company, organization or association who has received or indefeasibly acquired the right to receive, from a person described in Subsection A above, more than $100,000 in compensation or income of any kind (including, by way or illustration, and not limitation: wages, salaries, sums paid to independent contractors, benefits, dividends, profit-sharing, pension contributions, deferred contributions, stock, stock options or gifts) in any twelve-month period prior to the award of, or during the term of, a contract subject to this article; and

All persons who are an "affiliate" of a business entity as defined in Subsections A, B and D above, as such term is used in 11 U.S.C. 101(2).

CAMPAIGN COMMITTEE

Every candidate for Readington Township elective municipal office; every candidate committee established by or for the benefit of a candidate for the Township of Readington elective municipal office; every joint candidate committee established in whole or in part by or for the benefit of a candidate for Readington Township elective municipal office; every political party committee of the Township of Readington; every political party committee of the County of Hunterdon; and every political committee, continuing political committee, or other form of association or organization that regularly engages in the support of candidates for the Township of Readington municipal or County of Hunterdon elective offices or Readington Township municipal or Hunterdon County political parties or political party committees. The terms in the foregoing paragraph have the meaning prescribed in N.J.A.C. 19:25-1.7.

CONTRACT FOR PROFESSIONAL OR EXTRAORDINARY SERVICES

All contracts for professional services and extraordinary unspecifiable services as such terms are used in N.J.S.A. 40A:11-5.

CONTRIBUTION

Has the meaning prescribed in N.J.A.C. 19:25-1.7. By way of illustration, and not limitation, this definition includes pledges, loans and in-kind contributions.

§ 11-2 Prohibition of awarding public contracts to certain contributors.

To the extent that it is not inconsistent with state or federal law, the Township of Readington and any of its departments, instrumentalities or purchasing agents shall not enter into any agreement or otherwise contract to procure professional services, as such term is defined at N.J.S.A. 40A:11-2(6) and used at N.J.S.A. 40A:11-5(1)(a)(i), and/or banking, insurance or other consulting service (hereinafter "professional services") nor extraordinary unspecified services, as such term is defined at N.J.S.A. 40A:11-2(7) and used at N.J.S.A. 40A:11-5(1)(a)(ii), and/or media, public relations, lobbying, parking garage management or other consulting and/ or management service (hereinafter "extraordinary unspecified services") from any business entity if such business entity has solicited or made any contribution to a candidate, candidate committee or joint candidates committee of any candidate for elective municipal office in Readington Township or a holder of a public office having ultimate responsibility for the award of a contract, or to any Readington Township or Hunterdon County political committee or political party committee, or to any continuing political committee or political action committee that regularly engages in the support of Readington Township municipal or Hunterdon County elections and/or Readington Township municipal or candidates, candidates committees, joint candidate committees, political committees, political parties, political party committees, (hereinafter "PAC"), in excess of the thresholds specified in Subsection C within one calendar year immediately preceding the date of the contract or agreement.

No business entity who submits a proposal for, enters into negotiations for, or agrees to any contract or agreement with the Township of Readington or any of its departments or instrumentalities, for the rendition of professional services or extraordinary unspecified services shall knowingly solicit or make any contribution to a candidate, candidate committee or joint candidate committee of any candidate for elective municipal office in the Township of Readington, or a holder of any public office having ultimate responsibility for the award of a contract, or to any Readington Township or Hunterdon County political committee or political party committee, or any PAC between the time of first communication between that business entity and the municipality regarding a specific agreement for professional services or extraordinary unspecified services, and the later of the termination of negotiations or rejection of any proposal, or the completion of the performance or specified time period of that contract or agreement.

The monetary thresholds of this article are maximum of $300 per calendar year each for any purpose to any candidate or candidate committee for mayor or governing body, or $500 per calendar year to any joint candidates committee for mayor or governing body, or $300 per calendar year to a political committee or political party committee of the Township of Readington; $500 maximum per calendar year to a Hunterdon County political committee or political party committee; and $500 maximum per calendar year to any PAC. However, for each business entity party to a contract for professional or extraordinary unspecified services as defined in Subsection A, or engaged in negotiations for a contract defined in Subsection A, when such business entity's contribution is aggregated with all persons defined in § 11-1, Definitions, above, by virtue of their affiliation to that business entity party, a maximum of $2,500 to all Readington Township candidates, candidate committees, joint candidate committees, and holders of public office having ultimate responsibility for the award of a contract, all Readington Township political committees and political party committees as described herein combined, without violating Subsection A of this section.

For purposes of this section, the office that is considered to have ultimate responsibility for the award of the contract shall be the Readington Township Committee, if the contract requires approval or appropriation from the governing body.

Rules regarding subcontractors. No person may be awarded a subcontract to perform under a contract subject to this article, if the subcontractor would be disqualified by Subsection A from receiving the contract at the time that the subcontract is awarded; nor may any person who would be disqualified by Subsection A from receiving the contract perform substantially all of the obligations described in a contract for professional or extraordinary services that is subject to this article.

§ 11-3 Contract renewal.

No contract subject to this article may be renewed, extended or materially modified unless the resulting renewal, extension, or modification would be allowable under the provisions of this article if it were an initial contract.

§ 11-4 Contribution statement by business entity.

Prior to awarding any contract or agreement to procure professional services or extraordinary unspecified services from any business entity, the Township of Readington or its purchasing agents and departments, as the case may be, shall receive a sworn statement from said business entity which is the intended recipient of said contract that he/she/it has not made a contribution in violation of § 11-1 of this article. The Township of Readington, its purchasing agents and departments shall be responsible for informing the Readington Township Committee that the aforementioned sworn statement has been received and that the business entity is not in violation of this article, prior to awarding the contract or agreement.

The business entity shall have a continuing duty to report to the Township of Readington any contributions that constitute a violation of this act that are made during the negotiation, proposal process or duration of a contract. The Township of Readington, its purchasing agents and departments shall be responsible for informing the governing body within 10 business days after receipt of said report from the business entity, or at the next Readington Township meeting following receipt of said report from the business entity, whichever comes first.

The certification required under this subsection shall be made prior to entry into the contract or agreement with the Township of Readington, or prior to the provision of services or goods, as the case may be, and shall be in addition to any other certifications that may be required by any other provision of law.

§ 11-5 Return of excess contributions.

A business entity that is a party to a contract for professional services or extraordinary unspecified services may a cure violation of § 11-2 of this article, if, within 30 days after the date on which the applicable ELEC report is published, said business entity notifies the municipality in writing and seeks and received reimbursement of the contribution from the recipient of such contribution.

§ 11-6 Exemptions.

The contribution limitations prior to entering into a contract in § 11-2(a) do not apply to contracts which are awarded to the lowest responsible bidder after public advertising for bids and bidding therefor within the meaning of N.J.S.A. 40A:11-4, or are awarded in the case of emergency under N.J.S.A. 40A:11-6. There is no exemption for contracts awarded pursuant to a fair and open process under N.J.S.A. 19:44A-20 et seq.

§ 11-7 Violations and penalties.

It shall be a material breach of the terms of the Readington Township agreement or contract for professional services or extraordinary unspecified services when a business entity that is a party to such agreement or contract has:

(1)

Made or solicited a contribution in violation of this article;

(2)

Knowingly concealed or misrepresented a contribution given or received;

(3)

Made or solicited contributions through intermediaries for the purpose of concealing or misrepresenting the source of the contribution;

(4)

Made or solicited any contribution on the condition or with the agreement that it will be recontributed to a candidate, candidate committee or joint candidates committee of any candidate for elective municipal office in the Township of Readington, or a holder of public office having ultimate responsibility for the award of a contract, or any Readington Township or Hunterdon County political committee or political party committee, or any PAC;

(5)

Engaged or employed as a lobbyist or consultant with the intent or understanding that such lobbyist as consultant would make or solicit any contribution which, if made or solicited by the professional business entity itself, would subject that entity to the restrictions of this article;

(6)

Funded contributions made by third parties, including consultants, attorneys, family members, and employees;

(7)

Engaged in any exchange of contributions to circumvent the intent of this article; or

(8)

Directly or indirectly, through or by any persons or means, done any act which if done directly would subject that entity to the restrictions of this article.

Furthermore, any business entity that violates Subsection A(1) through (8) shall be disqualified from eligibility for future Readington Township contracts for a period of four calendar years from the date of the violation.

Any person who knowingly, purposely, or recklessly violates any provision of this article or who conspires with another person to violate any provision of this article, or who, with the purpose of promoting or facilitating a violation of this article, solicits another person to commit it, or aids or agrees, or attempts to aid another person in planning or committing it, shall be subject to punishment including fines and/or imprisonment as fixed by law for violations of the ordinances of the Township of Readington.