JULY 23, 2007

PAULSBORO. N.J.

5:00 P.M.

SPECIAL MEETING

Council Chamber:

Mayor Burzichelli presided at a Special Work Session Meeting of Council, held on the above date and place.

Members present were: Haynes, Giovannitti, Hamilton, Kidd, Morina, Tedeski. Absent: None.

Mayor Burzichelli stated that Borough Clerk VanScoy is on vacation and Administrator Salvatore would be filling in for her.

Mayor Burzichelli called the meeting to order.

Mayor Burzichelli read the opening statement regarding the Open Public Meetings Act.

Mayor Burzichelli opened the floor to the public.

Kathy Reistle, West Broad and Elizabeth Streets, questioned how much was appropriated to the Police Department, why the Officers move on and why the Borough always needs additional Officers.

Mayor Burzichelli stated the Police Budget is roughly a third of the Municipal Budget give or take a little bit and there is occasional the moving of personnel for a couple of reasons which are retirement, the younger people may have better opportunities for advancement and move on. That is always a problem with a small department because there is only so much advancement they could have and occasionally there is disciplinary actions where is just isn’t the right fit.

Ms. Reistle questioned why it takes so long for Officers to respond when they are called.

Mayor Burzichelli stated it is only natural that when someone calls there is nothing more important the world happening to that person then what is happening to that person at that moment and nobody can ever move fast enough so that span of time sometimes seem longer than it is and other times someone will call at times when the Police are in the middle of other things as well. That is why the Dispatcher is asking what is taking place in order to juggle their priorities to be able to respond.

Ms. Reistle felt her situation was a priority situation and she was just a little disappointed at the response time.

There wasn’t any further public participation.

PUBLIC HEARING: 5:00 P.M.:

R. #108.07: 2007 BUDGET:

Haynes moved and Hamilton seconded to open the meeting to the public. All were in favor of the motion.

Ms. Reistle questioned the total amount of the budget.

Mayor Burzichelli stated it is $7.5 million dollars.

Ms. Reistle questioned where all that money is appropriated?

Mayor Burzichelli stated some of it is salaries, some of it is health insurance, pension payments, the Police Department is roughly a third or more, loans that have to be paid from equipment that were bought over time, the Borough is still paying for this Municipal Building and the cost to operate such as the cost of gasoline and diesel fuel plays a part. But the growth this year was in the heightened pension plan which will be larger next year, the Borough was fortunate the health insurance was not a great factor, raises this year contractually was in the $51,000 - $52,000 range. All of it adds up.

Ms. Reistle stated she is looking out for the low income families such as her mother who is on Social Security and it is tough when the budget is raised.

Mayor Burzichelli informed Ms. Reistle to make sure her mother gets all the tax benefits that will help her get relief and to make sure she gets all the forms filed and filled out. Ms. Reistle is to make sure her mother takes advantage of it.

There wasn’t any further public participation.

Haynes moved and Giovannitti seconded to close the meeting to the public. All were in favor of the motion.

Haynes moved and Giovannitti seconded to adopt the 2007 Budget. Roll call: Ayes: Haynes, Giovannitti, Hamilton, Morina, Tedeski. Nays: Kidd. Motion carried.

Receipt of 2006 Audit. Haynes moved and Hamilton seconded to receive and file the 2006 audit report. All were in favor of the motion.

Mayor Burzichelli introduced Auditor Nick Petroni.

Auditor Petroni stated the audit shows that the Municipality is in pretty stable condition as far as the Borough’s surplus levels and what was applied to the budget. He knows there are issues with redevelopment and things that are going to occurring in the municipality that will have some impact and move forward. As far as what Auditor Petroni has found this year, there were only four findings. He didn’t think there was anything in the audit that couldn’t be corrected.

Mayor Burzichelli questioned if anything stood out in the Audit findings or anything the Governing Body should be more concerned about.

Auditor Petroni stated he didn’t think so and he has discussed the findings with the Administrator. He’s been taking corrective action in his role as both Administrator and Chief Financial Officer. The Administrator will probably answer them in his corrective action plan.

Mayor Burzichelli discussed the Port pilot program, funds the Borough will be receiving and how it would affect the budget.

Auditor Petroni stated the revenue the Borough is going to receive as on the revenue side of the budget is not going to affect your spending limitations or spending caps at all. He discussed the levy CAPS. There will actually be two CAPS next year. There will be the 3 ½% spending limitations that the Borough has been living with for the past two years and additionally there is going to be a CAP on how much the Borough can raise from taxation. There will be exemptions to that. For instance the pension will be coming from inside the CAP next year. He further discussed the CAPS for next year and how it would affect the Borough. The pilot money coming in will have an impact on allowing the Borough to hopefully reduce the amount or stabilize the amount that the Borough will need to raise from taxation. It will help on the revenue side, on the total amount to be raised by taxation.

Mayor Burzichelli questioned the status of next year.

Auditor Petroni stated it is a little early to tell because the way the formula is there is some relief for health insurance, health insurance to the extent that it exceeds 4% but not to exceed the amount of the statewide average. The way the formula works the CAP is tied to the State health benefits average increase and no one knows what that is yet.

There was further discussion regarding the CAP levies and the effect it will have on the budget next year.

R. #123.07: RESOLUTION REQUIRING THE GOVERNING BODY OF THE BOROUGH OF PAULSBORO TO ADOPT THE ANNUAL AUDIT PURSUANT TO N.J.S.A. 40A:5-4. Haynes moved and Hamilton seconded to adopt R. #123.07. Roll call: Ayes: Haynes, Giovannitti, Hamilton, Kidd, Morina, Tedeski. Nays: None. Motion carried.

R. #124.07: RESOLUTION AUTHORIZING AN AGREEMENT FOR A VALUATION EXPERT FOR THE CITGO ASPHALT TAX APPEAL FOR THE BOROUGH OF PAULSBORO. Haynes moved and Hamilton seconded to adopt R. #124.07. Roll call: Ayes: Haynes, Giovannitti, Hamilton, Kidd, Morina, Tedeski. Nays: None. Motion carried.

R. #125.07: RESOLUTION AWARDING CONTRACT TO TSB ASSOCIATES OF TURNERSVILLE, NEW JERSEY FOR THE STORMWATER IMPROVEMENTS FOR JESSUP STREET, CHESTNUT STREET AND NEW STREET IN THE BOROUGH OF PAULSBORO. Haynes moved and Hamilton seconded to adopt R. #125.07.

Administrator Salvatore discussed the bids that were received for the stormwater improvements for Jessup Street, Chestnut Street and New Street. He further discussed the funding for this project.

Roll call: Ayes: Haynes, Giovannitti, Hamilton, Kidd, Morina, Tedeski. Nays: None. Motion carried.

There wasn’t any further Borough business.

Haynes moved and Hamilton seconded to adjourn the meeting at 5:45 p.m. All were in favor of the motion.

This is a brief summary of the Special Meeting of the Mayor and Council of the Borough of Paulsboro held on July 23, 2007 and should not be considered a verbatim transcript of the meeting.

Respectfully submitted,

_____________________________ _____________________________

Kathy A. VanScoy, RMC/CMC John J. Burzichelli, Mayor

Borough Clerk