This article is intended to ensure a pro rata share allocation
of the costs for off-tract improvements necessitated by new development.
As a condition of final subdivision or site plan approval, the
Planning Board may require an applicant for development ("Developer")
to pay its pro rata share of the cost of providing reasonable and
necessary circulation improvements, and water, sewerage, and drainage
facilities, including land and easements, located off-tract of the
property limits of the subdivision or development, but necessitated
or required by the development. "Reasonable and necessary" improvements
are those which bear a rational nexus to the needs created by, and
benefits conferred upon, clearly, directly, and substantially related
to the development in question. The Planning Board shall provide in
its resolution of approval the basis of the required improvements.
The capacity and design of proposed improvements shall be based upon
the circulation plan element and utility service plan element of the
adopted master plan. The proportionate or pro rata amount of the cost
of such facilities within a related or common area shall be based
on the following criteria.
The Planning Board shall determine as part of its approval process
whether the off-site improvement is to be constructed by the township
or the Developer. The Planning Board shall not render such determination
until it receives the decision of the Township Governing Body as to
whether it will undertake construction of the improvement in issue.
The Planning Board shall determine as part of its approval process,
with assistance from the Township Consulting Engineer, as to whether
the Developer's proportionate payment for the off-tract improvement
shall be a cash deposit to the township, or by another form of bond
or guarantee. In the event the payment is in the form of a bond or
other type guarantee, same must be in form acceptable to the Township
Solicitor.
Where the proposed off-tract improvement is to be undertaken
by the township, the monies required for the improvements shall be
deposited in a specially designated interest-bearing account established
by the Treasurer of the township. The Treasurer shall maintain a record
indicating by whom and in what amount each contribution has been made
for said off-tract improvement. The Treasurer shall apportion interest
on the account to each specific contribution as its balance relates
to the total balance. All construction costs related to the off-tract
improvement shall be paid by the Treasurer from this account. In the
event any balance remains subsequent to the completion of the improvement,
any Developer who has contributed to the account for that specific
improvement shall be entitled to a pro rata refund, provided that
a written petition is made to the township for such refund within
one year of completion of the off-tract improvement. Any monies remaining
following said one year time period which have not been refunded shall
be applied in general to the township's capital improvement budget
account. If the off-tract improvement is not commenced within fifteen
(15) years of deposit, all monies and interest earned shall be returned
to the applicant.
The Planning Board may, as a condition of any approval, require
the applicant to install a public improvement of greater size or capacity
than required to service the applicant's project. Such approval shall
provide that the applicant is entitled to reimbursement to a maximum
amount equal to the difference between the amount of such cost and
expense paid by the Developer and the Developer's pro rata share of
the cost of such improvement. In such a case, the township shall determine
all property specially benefitted by the improvement and of the value
of the special benefit to each such property in accordance with the
provision set forth hereinabove. The township shall then assess all
properties, other than the property of the Developer, specially benefitting
from installation of any off-tract improvement in a manner similar
to that for local improvements. Principal amounts received by the
township from such assessments, together with interest from property
owners who have elected to pay for said assessments over a period
of years, shall be credited to the real estate account of the Developer's
property. In the case where there has been an apportionment of cost
against the township for the required off-tract improvement then the
township shall pay its portion of costs to the Developer not more
than four (4) months after the completed improvements have been approved
by the Township Engineer. In the event of any default in payment of
an assessment levied by the township as set forth hereinabove, then
the township shall exercise its remedies as elsewhere provided; and,
if thereafter the balance of principle and interest due upon the subject
assessment has not been fully satisfied by payment to the township
and credit thereof given to the real estate account of the Developer's
property, then the township shall forthwith pay said balance remaining
due to the Developer, or his successor in interest.
[Amended 7-25-90 by Ord. No. 0-13-90]
The Developer shall enter into an Off-Tract Improvement Agreement
with the township setting forth the terms and conditions for construction
of the off-tract improvements required to service the applicant's
project as further set forth in the Preliminary Approval Resolution
of the Township Planning Board. Final approval shall not issue to
the Developer until such time as the Off-Tract Improvement Agreement
has been executed by the Developer and the township.