[Adopted 6-11-2018 by Ord. No.
18-07]
It is the intent and purpose of this article to:
A.
Authorize the Borough to finance public facilities through the levying
and collection of special assessments;
B.
Provide a mechanism for the Borough to levy and collect special assessments
from property to recover the cost of providing public facilities that
peculiarly benefit the property upon which they are imposed;
C.
Define the procedural and substantive requirements for special assessments
and special assessment districts for capital costs and service charges
of public facilities covered in the plan element of the Borough;
D.
Shift the financing of public facilities from all taxpayers to those
who specifically benefit from such public facilities; and
E.
Authorize the Borough to establish special assessment districts and
levy special assessments for the purpose of providing public facilities
to benefit property owners in such designated special assessment districts.
As used in this article, the following terms shall have the
meanings indicated:
A plan adopted pursuant to N.J.S.A. 40:48-1 et seq.
Any construction or expansion of a building or structure,
any change in the use of a building or structure, or any land use
change that affects the Borough's need for public facilities.
The Borough Council of the Borough of Merchantville.
That share, or portion, of the value of the total public
facilities and service which specially and peculiarly benefits the
property upon which it is imposed, and in no event shall such share
or portion be in excess of the benefits such property receives by
reason of such improvement.
Capital improvements for sidewalks, consistent with the Merchantville
Sidewalk Replacement Program, that have a life expectancy of at least
20 or more years.
The performance by employees, consultants, or agents of functions,
operations, design, engineering, planning and maintenance, and repair
activities in order to provide public facilities.
A charge imposed upon property located within a designated
special assessment district by the Borough of Merchantville to pay
for public facilities and services which peculiarly and specially
benefit the property upon which they are imposed.
The district in which public facilities and services are
to be provided and in which special assessments and charges may be
levied and collected pursuant to this article to pay for those public
facilities and services.
Consistent with the provisions of this article, the Borough
may adopt provisions authorizing the government to establish, and
subsequently merge or abolish those created hereunder, special assessment
districts for any part or all of the area of such local government,
within which may be provided public facilities and services from funds
derived from service charges, special assessments, or other charges
within such special assessment district.
A.
For the purpose of providing public facilities and services, and
capital improvements for sidewalks, consistent with the Merchantville
Sidewalk Replacement Program, within any special assessment district,
the Borough may levy and collect service charges, special assessments,
or other charges within such special assessment district, and borrow
and expend money, issue bonds, revenue certificates, and other obligations
of indebtedness, which powers shall be exercised in such manner, and
subject to such limitations, as may be provided by general law, in
furtherance of the provision of the public facilities and services
authorized by this article.
B.
The provisions of this article shall not affect nor limit any other
provisions of law authorizing or providing for the furnishing of public
facilities and services or the raising of revenue for these purposes.
The Borough may use the provisions of this article instead of, or
in conjunction with, any other method of financing part or all of
the cost of providing the public facilities and services authorized
under this article.
A special assessment district must meet the following requirements:
A.
Public facilities and services for which special assessments are
levied and collected must peculiarly and specially benefit the property
upon which the special assessments are imposed, and capital improvements
for sidewalks, consistent with the Merchantville Sidewalk Replacement
Program.
B.
Special assessments levied and collected pursuant to a designated
special assessment district must not exceed a proportionate share
of the benefits received by the property upon which the special assessments
are imposed.
C.
The proportionate share of the benefits received by the property
upon which a special assessment is imposed shall be calculated and
apportioned by using any equitable means of assessment and apportionment
which the Borough Council of a local government may prescribe, including,
but not limited to, square footage, front-footage, increased value,
number of dwelling units, distance from the public facility, traffic
generation or other impact generation factors, or any combination
thereof.
A.
Initiation of proceeding. Proceedings for the establishment of a
special assessment district may be instituted by the Borough Council
when a written request is made, by the Mayor, describing the boundaries
of the territory which is proposed for inclusion in the special assessment
district and specifying that the special assessment district will
provide capital improvements for sidewalks, consistent with the Merchantville
Sidewalk Replacement Program.
B.
Ordinance establishing special assessment district. Within 20 days
after the Mayor's written request for the institution of proceedings
for the establishment of a special assessment district is filed, the
Borough Council shall adopt an ordinance establishing a special assessment
district in the form hereinafter specified.
C.
Contents of ordinance. Proceedings for the establishment of a special
assessment district shall be instituted by the adoption of an ordinance
establishing the special assessment district which shall:
(1)
State that a special assessment district is established under the
terms of this article and describe the proposed boundaries for inclusion
in the special assessment district.
(2)
State the name proposed for the special assessment district in substantially
the following form: "_____ Special Assessment District."
(3)
State that capital improvements for sidewalks, consistent with the
Merchantville Sidewalk Replacement Program, are proposed to be provided
within the special assessment district pursuant to this article.
(4)
State that, except to the extent that funds are otherwise available
and committed, a special assessment sufficient to pay for all such
public facilities and services will be annually levied and collected
within such special assessment district.
(5)
The ordinance shall specify the rate, method and length of time for
the payment of the special assessment in sufficient detail to allow
each property owner participating in the program to estimate the annual
amount that he or she will have to pay.
D.
Boundaries of district. In establishing the boundaries of a special
assessment district, the Borough Council may alter the exterior boundaries
of a special assessment district to include less territory than that
described in the Mayor's written request, and notice of the public
hearing, but it may not include any territory not described in the
in the Mayor's written request.
E.
Types of public facilities and services provided. The type of public
facilities to be provided in a special assessment district shall be
specified in the ordinance to be limited to capital improvements for
sidewalks, consistent with the Merchantville Sidewalk Replacement
Program, to those property owners who choose to participate in the
program.
The special assessment may be collected in the same manner as
ordinary ad valorem property taxes are collected and may be subject
to the same penalties and the same procedure and sale in case of delinquency
as provided for ad valorem property taxes, or another procedure may
be adopted if the Borough Council of the Borough prefers. The Tax
Collector or the appropriate Borough official responsible for collecting
the special assessments may deduct a service charge for the reasonable
administrative costs incurred in collecting the special assessment.
Any special assessments collected pursuant to this article may
only be used, in whole or in part, for public facilities and services
authorized by this article or for the payment of the principal and
interest of bonds, revenue certificates, and other obligations of
indebtedness for such public facilities and services.
After the adoption of the ordinance establishing a special assessment
district, and approving the levying and collection of the special
assessments for public facilities and services as provided by this
article, and as soon as a contract for the public facilities and services
has been finally let, the Borough Council may, by resolution or ordinance,
authorize the issuance of bonds, revenue certificates, or other indebtedness
in an amount not in excess of the aggregate amount of the liens levied
for such public facilities and services. Any debt issued against the
bond ordinance for the purpose of financing the sidewalk program will
be repaid, in full (principal and interest), by the special assessment
levies and no other general funds of the Borough.
A special assessment shall be payable at the time and in the
manner indicated in the ordinance providing for the special assessment;
shall remain a lien, co-equal with the lien of all state, county,
district, and municipal taxes, superior in dignity to all other liens,
titles, and claims until paid; and shall bear interest at a rate not
to exceed 18% per year. However, the special assessments may be paid
without interest at any time within 30 days after the public facility
is completed and a resolution accepting the same has been adopted
by the Borough.
