There is hereby created and established in the Borough, and
in accordance with New Jersey statutes, a public utility for budgetary
purposes. The name by which this utility shall be known is the "Borough
of Carteret Sewer Utility" (hereinafter, the "utility"). For budgetary
and accounting purposes, the utility shall be a separate entity.
The utility, which constitutes an agency of the Borough, exercising
public and essential governmental functions, shall have all the powers
necessary and convenient to carry out and effectuate the purpose and
the provisions of the New Jersey statutes.
It shall be the function of the utility to budget and account
for the system; to enforce the Borough's laws and regulations
concerning sewer service; to raise money necessary to pay for the
lands, buildings, equipment and facilities or other rights or interest
therein acquired for the system, and for improving and equipping the
same; to construct, reconstruct, alter, provide, renew and maintain
the system or other structures and equipment and provide for the care,
custody and control thereof in the operation of the utility; to pay
or make provision for the payment of the reasonable expenses in each
fiscal year of the utility; and to pay to those persons entitled (hereto
the interest and principal on notes and bonds of the utility, and
to deposit and accumulate reserve funds or reserves. The utility shall
monitor the system operator's responsibilities to preserve, care
for, lay out, construct, maintain, improve and operate lands, buildings,
equipment and facilities used for the provision of the system.
The utility shall be governed by and in accordance with the
laws of the State of New Jersey, the ordinances, the Borough Code,
and the resolutions adopted by the Borough, and administrative directives.
The Borough shall amend its ordinances to effectuate the establishment
of a sewer utility.
The financial affairs of the utility shall be governed in accordance
with the statutes applying to the financial affairs of a municipality
and utilities in general.
The utility may, from time to time, acquire such real property
and/or equipment in the name of the Borough as may be authorized by
the Borough Council in accordance with the laws of the State of New
Jersey.
The Borough shall have the full authority to appoint and employ
all necessary employees for the utility. Salaries of the employees
will be in accordance with classification and salary ordinances duly
adopted by the Borough Council. Portions of salaries of existing employees
may be prorated based on the amount of time spent on system operations
compared to the employees' full-time Borough responsibilities.
The utility shall have authority to charge and collect monies
for the use of the system, whether they be user charges, rental fees,
or lease payments, and to use these monies to defray the cost of acquisition
of lands, buildings, equipment and facilities, rights and interests
therein, to equip the facilities, to pay the utility's current
expenses and to pay the interest and principal on notes and bonds,
and to establish a surplus in an amount sufficient to provide for
the reasonable anticipation of any contingency that may affect the
operating of the utility.
The utility shall be under the administration, operation and
control of the Superintendent of the Department of Sewerage.