[HISTORY: Adopted by the Mayor and Council
of the Borough of Oceanport as indicated in article histories. Amendments
noted where applicable.]
[Adopted 9-20-2018 by Ord. No. 991]
The purpose and intent of these regulations is to abide by the
requirements of N.J.S.A. 52:27D-20.1 and N.J.A.C. 5:30-17.1 et seq.,
governing electronic disbursement controls for payroll purposes.
As used in this article, the following terms shall have the
meanings indicated:
The individual statutorily responsible for supervising the
accounts and finances of a local unit, and shall include any certifying
and approval officer appointed pursuant to N.J.S.A. 40A:5-17a, any
individual appointed in accordance with N.J.S.A. 18A:19-4.1, or such
individual in similar capacity legally appointed by the governing
body of a local unit.
Any written agreement entered into by a local unit and a
disbursing organization for the purposes authorized in these rules.
A demand deposit bank account owned by the local unit and
funded solely for use by a disbursing organization in performing its
duties and responsibilities in accordance with the contract.
Any payment of moneys, including any transfer of funds, by
any means, to the dedicated cash account established for use by a
disbursing organization.
Includes transmittals, remittance forms, tax returns, releases,
filings, reports, and tapes supporting the disbursement of funds.
The object and result of all preparations and calculations
for, and the disbursement of, salaries and wages, all withholdings
therefrom, and additional liabilities related thereto.
Such service or services of the type described in these rules.
Such service or services may include the processing and disbursing
of payroll and payroll agency obligations.
An organization engaged either directly or indirectly to
perform any of the services indicated in these rules.
Any activity that, in accordance with sound fiscal practices,
affects the general books of entry, ledgers, records, or logs of a
local unit.
A.
The Borough of Oceanport, Monmouth County, is authorized to use a
payroll service to prepare payment documentation, take possession
of Borough funds, and make such disbursements itself on behalf of
the Borough.
B.
The following payroll service providers shall be required to comply
with these regulations:
A.
The appointment of a payroll service shall be pursuant to the Local
Public Contracts Law, N.J.S.A. 40A:11-1 et seq., and shall require
the contractor to do the following, not by way of limitation: data
collection, agency report preparation, calculation of withholding,
direct deposit of payroll disbursements, and/or transfer of Borough
funds to contractor's account for subsequent disbursement of
payment.
B.
Any renewal or extension of a contract under these regulations shall
be by resolution.
C.
The Chief Financial Officer is hereby appointed the approval officer
and is responsible for authorizing and supervising the activities
of the payroll service and shall further be charged with the reconciliation
and analysis of all general ledger accounts affected by the activities
of the disbursing organization.
D.
If required by the contract between the Borough and the payroll service,
the payroll service is permitted to hold Borough funds pending transmittal
to a payee.
A.
A payroll service must meet all of the following requirements:
(1)
Report any irregularities that may indicate potential fraud, noncompliance
with appropriate laws, dishonesty or gross incompetence on the part
of the approval officer.
(2)
Report circumstances that could jeopardize its ability to continue
operations or otherwise interrupt the services provided to the Borough.
B.
A payroll service must meet the requirements of N.J.A.C. 5:30-17.5,
requiring that the approval officer be assured that the servicer has
its own internal controls, and appropriately guard against theft and
other adverse conditions.
C.
All contracts entered into pursuant to these regulations and the
laws authorizing the same shall comply with the requirements of N.J.A.C.
5:30-17.6, which sets out a series of mandatory contractual terms
and conditions.
Upon the adoption of these regulations, the Borough Administrator
and Purchasing Agent, with the assistance of the Chief Financial Officer
and the Borough Attorney, as necessary, are hereby authorized and
directed to enter into a contract for payroll service in accordance
with all local public contracting laws and N.J.A.C. 5:30-17. Appointment
of the payroll service shall be by separate resolution of the Borough.
