BOROUGH OF HILLSDALE

 

ORDINANCE NO. 09-08

(Introduction)

 

Title: AN ORDINANCE TO AMEND CHAPTER 12 ENTITLED “CONTRACTS, PUBLIC PROFESSIONAL SERVICE” CONCERNING THE BOROUGH POLICY FOR THE AWARDING OF PUBLIC PROFESSIONAL SERVICE CONTRACTS

 

WHEREAS, New Jersey Statutes permit a governing body to enter into professional service agreements and exempt such agreements from public bidding requirements; and

 

WHEREAS, it had become common for professional service providers to make substantial political contributions to the election campaigns of the local government elected officials who are ultimately responsible for awarding professional service contracts; and

 

WHEREAS, substantial local political contributions from professionals receiving discretionary contracts from the elected officials who receive such contributions may raise reasonable concerns on the part of taxpayers as to their trust in the process of local government, if not the quality or the cost or services received; and

 

WHEREAS, pursuant to N.J.S.A. 40A:11-5 and N.J.S.A 40:48-2, municipalities have the right to establish rules and procedures for contracting with professional business entities; and

 

WHEREAS, the Mayor and Council of the Borough of Hillsdale have noted that state and county politicians have recognized this problem but have not taken the appropriate steps to insure that political contributions to election campaigns will not influence the awarding of professional services contracts; and

 

WHEREAS, the Mayor and Council of the Borough of Hillsdale on July 13, 2004 passed ordinance 04-14, to address this problem, establishing a Borough policy for the awarding of public contracts accordingly; and

 

WHEREAS, it was anticipated that there may be some professional business entities which would attempt a legalistic adherence to the letter of the law, rather that the spirit of the Ordinance.  It was the declared intent of the Mayor and Council of this Municipality to remain vigilant to recognize any and all attempts to subvert the underlying purposes for which that Ordinance was adopted.

 

NOW, THEREFORE, BE IT ORDAINED, by the Mayor and Council of the Borough of Hillsdale that the policy of the Borough of Hillsdale concerning public professional contracts be made more effective through amending certain of its terms; and

 

BE IT FURTHER ORDAINED, that Chapter 12 entitled “Contracts, Public Professional Service” of the “Revised General Ordinances Borough of Hillsdale” is hereby amended and supplemented in order to make more effective the Borough policy for the awarding of public professional services contracts as follows:

 

Amend and Supplement

That Chapter 12 of the Code, which applies to the awarding of professional contracts of the Borough of Hillsdale, is hereby amended by the following changes (Additions are indicated by underline, deletions are indicated by strikethrough.):

 

Chapter 12: CONTRACTS, PUBLIC PROFESSIONAL SERVICE

 

§ 12-1. Prohibition on awarding public contracts to certain contributors.

A. Any other provision of law to the contrary notwithstanding, the Borough or any of its purchasing agents or agencies or those of its independent authorities, as the case may be, shall not enter into an agreement or otherwise contract to procure services from any professional business entity, if that entity has solicited or made any contribution of money, or pledge of a contribution, including in-kind contributions, to a campaign committee of any candidate or holder of the public office having ultimate responsibility for the award of the contract, or to any municipal or county party or political committee or Political Action Committee, or any other entity which has contributed to candidates for the governing body of Hillsdale within the current calendar year or the two prior calendar years in excess of the thresholds specified in Subsection D within two one calendar years immediately proceeding the date of the contract agreement. 

B. No professional business entity which enters into negotiations for or agrees to any contract or agreement with the Borough or any department or agency thereof or of its independent authorities for the rendition of professional services shall knowingly solicit or make any contributions of money, or pledge of a contribution, including in-kind contributions, to any candidate or holder of the public office having ultimate responsibility for the award of the contracts, or to any municipal or county party committee, or Political Action Committee, or any other entity which has contributed to candidates for the governing body of Hillsdale within the current calendar year or the two prior calendar years, between the time of the first communications between the business entity and the Borough regarding a specific professional services agreement and the later of the termination of negotiations or the completion of the contract or agreement. 

C. For the purposes of this chapter, a "professional business entity" seeking a public contract means an individual, including the individual's spouse, if any, and any child living at home; person; firm; corporation; professional corporation; partnership; organization; or association. The definition of a business entity includes all principals who own 10% or more of the equity in the corporation or business trust, partners, and officers in the aggregate employed by the entity as well as any subsidiaries directly controlled by the business entity. 

D. Any individual meeting the definition of "professional business entity" under this section may annually contribute a maximum of $400 each for any purpose to any candidate, for Mayor and Council, or $400 to any municipal or county party committee or Political Action Committee, or any other entity which has contributed to candidates for the governing body of Hillsdale within the current calendar year or the two prior calendar years, without violating Subsection A of this section. However, any group of individuals meeting the definition of "professional business entity" under this section, including such principals, partners, and officers of the entity in the aggregate, may not annually contribute for any purpose in excess of $1,000.00 $1,600 to all municipal candidates and office holders with the ultimate responsibility for the award of the contract, and all municipal or county political parties or Political Action Committee, or any other entity which has contributed to candidates for the governing body of Hillsdale within the current calendar year or the two prior calendar years combined, without violating Subsection A of this section. 

E. For the purpose of this section, the office that is considered to have ultimate responsibility for the award of the contract shall be the governing body of the Borough of Hillsdale if that contracts requires approval or appropriation from the governing body. 

 

§ 12-2. (Under this Ordinance, No Changes are to be made to this section).

 

§ 12-3. (Under this Ordinance, No Changes are to be made to this section).

 

§ 12-4. (Under this Ordinance, this section is to be deleted in its entirety).

 

§ 12-4. Return of excess of contributions.  

 

A professional business entity, or Borough of Hillsdale candidate or officeholder, or Borough or Bergen County Party Committee may cure a violation of § 12-1 if, within 15 days after receipt and/or within 15 days after the general, primary and/or special election, as appropriate and whichever is earlier, the professional business entity notifies the Borough Council in writing and seeks and receives reimbursement of a contribution from the municipal candidate or municipal or Bergen County political party.

 

§ 12-5. (Under this Ordinance, No Changes are to be made to this section).

 

Severability

If any section, subsection, paragraph, sentence, clause, phrase, or word contained in this ordinance shall be declared invalid for any reason whatsoever, such decision shall not affect the remaining portions of this ordinance, which shall remain in full force and effect and to this end the provisions of this ordinance are hereby declared to be severable.

 

Repealer

All other ordinances of the Borough, or parts thereof, which are in conflict with this ordinance are hereby repealed to the extent of such conflict.

 

Effective Date

This ordinance shall take effect immediately after final passage, approval and publication of notice thereof, as required by law.

 

Council member

Motion

Second

Yes

No

Absent

Abstain

Arnowitz, Max

 

 

 

 

 

 

DeJoseph, Jonathan

 

 

 

 

 

 

Giancarlo, Michael

 

 

 

 

 

 

Hanlon, Marie

 

 

 

 

 

 

Schiavone, Donna

 

 

 

 

 

 

Weinstein, Andrew

 

 

 

 

 

 

 

 

This ordinance will be considered for a public hearing and final passage on May 5, 2009.