Ocean City, NJ
Cape May County
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Table of Contents
Table of Contents
[Ord. #95-23, § 1]
a. 
Special Improvement District (sometimes also referred to as "District") shall mean an area within the City of Ocean City designated by ordinance as an area in which a special assessment shall be imposed on all properties within the District for the purposes of promoting the economic and general welfare of the District and the City.
b. 
District Management Corporation shall mean Business and Neighborhood Development Association Inc. (B.A.N.D.), an entity incorporated pursuant to N.J.S.A. 151:1-1 et seq. and designated by ordinance to receive all funds collected by a special assessment on all properties within the District as authorized by ordinance and the provisions of N.J.S.A. 40:56-65 et seq.
[Ord. #95-23, § 2]
The governing body finds:
a. 
That the area within the City of Ocean City described in Schedule A[1] of this chapter will benefit from being designated as a Special Improvement District;
[1]
Editor's Note: Schedule A, referred to herein may be found on file in the office of the City Clerk attached to Ordinance No. 95-23.
b. 
That a District Management Corporation would provide administrative and other services to benefit the businesses, employees, residents and consumers in the Special Improvement District, and assist the City in promoting economic growth and employment;
c. 
That a special assessment shall be imposed and collected by the City, with the regular property tax payment or payments in lieu of taxes or otherwise, and that all, or a portion, of these payments shall be transferred to the District Management Corporation to effectuate the purposes of this chapter and the provisions of N.J.S.A. 40:56-65 et seq. and to exercise the powers given to it by this chapter.
d. 
That it is in the best interest of the City and the public to create a Special Improvement District and to designate a District Management Corporation;
e. 
That the business community should be encouraged to provide self-help and self-financing programs to meet local business needs, goals and objectives.
[Ord. #95-23, § 3; Ord. #96-19, § 1]
a. 
There is hereby created and designated within the City of Ocean City a Special Improvement District to be known as the Ocean City Special Improvement District consisting of the properties designed and listed on Schedule A attached hereto.[1] The Special Improvement District shall be subject to special assessments imposed by the City of Ocean City for the purposes of promoting the economic and general welfare of the District and the City.
[1]
Editor's Note: Schedule A, referred to herein may be found on file in the office of the City Clerk attached to Ordinance No. 95-23.
b. 
Properties within the Special Improvement District, shall be subject to special assessments as determined from time to time by the governing body, except for the following:
1. 
Any property which is exempt from local property tax;
2. 
Single family homes, duplexes, triplexes and multiple family buildings to and including six (6) units, including such properties in condominium form of ownership;
3. 
Fishing piers;
4. 
Owner occupied primary residences located above first floor commercial uses.
[Ord. #95-23, § 4]
a. 
Operation, Promotion and Maintenance of District. The improvements will involve annual costs in addition to the initial cost of construction. These annual operation, promotion and maintenance costs to services peculiar to the District, as distinguished from services normally provided by the City, will provide benefits primarily to the properties included within the District rather than to the City as an entity. These annual costs shall be assessed and taxed to the benefited properties pursuant to the provisions of this chapter and N.J.S.A. 40:56-65, et seq.
b. 
Development, Construction or Acquisition Costs. All costs of development, construction and acquisition relating to improvements to the District shall be financed and assessed to properties especially benefited thereby. The City, may, by separate ordinance or by amendment to this chapter, provide that improvements and facilities hereinafter acquired or developed shall be operated and maintained and the costs taxed to the benefited properties.
c. 
Any delinquency in the payment of assessments established hereunder shall be treated in the same manner as delinquent real property taxes.
[Ord. #95-23, § 5]
a. 
The District Management Corporation shall consist of seven (7) or more members, a majority of whom shall be owners or occupants of properties located in the Special Improvement District. At least one (1) member of the governing body shall be a member of the District Management Corporation, and the Mayor shall appoint an additional member of the District Management Corporation.
[Ord. #95-23, § 6]
The nonprofit corporation, Business and Neighborhood Development Association Inc. (B.A.N.D.), is hereby designated as the District Management Corporation for the District. This management corporation shall have all power necessary and requisite to effectuate its purposes, including but not limited to the powers to:
a. 
Adopt bylaws for the regulation of its affairs and the conduct of its business, to prescribe rules, regulations and policies, in connection with the performance of its functions and duties.
b. 
Employ such persons as may be required, and fix and pay their compensation from funds available to the corporation.
c. 
Apply for, accept, administer and comply with the requirements respecting an appropriation of funds or a gift, grants or donation of property or money.
d. 
Make and execute agreements which may be necessary or convenient to the exercise of the powers and functions of the Corporation, including contracts with any persons, firm, corporation, governmental agency or other entity.
e. 
Administer and manage its own funds and accounts and pay its own obligations.
f. 
Borrow money from private lenders for periods not to exceed one hundred eighty (180) days and from governmental entities for that or longer periods.
g. 
Fund the improvement of the exterior appearance of properties in the District through grants or loans.
h. 
Fund the rehabilitation of properties in the District.
i. 
Accept, purchase, sell, lease or manage property in the District.
j. 
Enforce the conditions of any loan, grant, sale or lease made by the Corporation.
k. 
Provide security, sanitation and other services to the District supplemental to those provided normally by the City.
l. 
Undertake improvements designed to increase the safety or attractiveness of the District to businesses which may wish to locate there or to visitors to the District including, but not limited to, litter cleanup and control, landscaping, parking areas and facilities, recreational and rest areas and facilities, pursuant to pertinent regulations of the City of Ocean City.
m. 
Publicize the District and the businesses included within the District boundaries.
n. 
Recruit new businesses to fill vacancies in, and to balance the business mix of the District.
o. 
Organize special events in the District.
p. 
Address parking arrangement for the District.
q. 
Provide temporary holiday decorative lighting in the District.
r. 
The Corporation will be required to comply with all applicable ordinances and regulations of the City.
s. 
Notwithstanding the provisions of this chapter, the District Management Corporation shall notify the Mayor or his designee twenty (20) days prior to the execution of any contract for any capital improvement, construction, or reconstruction within the District where the cost of said improvement exceeds the contracting threshold amounts as set forth in N.J.S.A. 40A:11-3. In the event that it is reasonably anticipated that the cost of capital improvements, construction or reconstruction will exceed twenty (20%) percent of the total annual assessment of the District, the project shall be referred to the City. The City shall have the option of:
1. 
Preparing specifications for bid, receiving bids and executing contracts in accordance with its policies and in compliance with the Local Public Contracts Law; or
2. 
Deciding that it does not wish to prepare specifications for bids, receive bids and award contracts, and to allow the District Management Corporation to do so for the particular capital improvement or construction project. The decision to allow the District Management Corporation to pursue the capital improvement project must be set forth in a resolution adopted by the governing body.
[Ord. #95-23, § 7]
a. 
Within thirty (30) days after final adoption of this chapter and thereafter on or before November 1st of each succeeding year, the Mayor or his designee shall, with the assistance of the District Management Corporation, report to the governing body an estimate of costs of operating and maintaining and annually improving the Special Improvement District for the next fiscal year and an estimate of changes in the amounts of such costs which would follow upon the adoption of any addition or amendment to the plan recommended to or under consideration by the governing body. Such estimates shall be reasonably itemized and shall include a summary of the categories of cost, properly chargeable as follows:
1. 
The amount of such cost to be charged against the general funds of the municipality, which shall be that amount which the municipality would pay from its general funds for street maintenance and operation on a street of similar size and location not included in the Special Improvement District;
2. 
The cost to be charged and assessed against properties benefited in the District in proportion to benefits, which shall be the aggregate of costs of annual improvements to be made in the District during the ensuing year;
3. 
The amount of costs, if any, to be specifically assessed against properties in the District.
b. 
The governing body shall receive and consider such estimate and the items of cost, after notice and hearing before it or its appropriate committee, and shall approve the same with such amendments thereto as it shall find necessary and the amounts of each item of cost estimated shall be deemed appropriated and expendable to operate and maintain the Special Improvement District during the ensuing fiscal year.
c. 
The Municipal Assessor shall prepare an assessment role setting forth separately the amounts to be specially assessed against the benefited and assessable proper-ties in the district as recorded and listed in connection with the procedures described herein, and in proportion to the benefits. Description of the properties and the names of the then current owners of such properties shall be included in each annual assessment role. The assessment role, when prepared shall be filed in the office of the Municipal Clerk and there available for inspection. The governing body shall annually meet to consider objections to the amounts of such special assessments at least ten (10) days after Notice of Hearing has been published once in the official newspaper in Ocean City and mailed to the named owners of all properties proposed to be assessed. The notice shall set forth the time and place of the meeting and shall set forth the purpose of the meeting. When the governing body shall have approved the amounts of the special assessments set forth therein, the Municipal Clerk shall forthwith certify a copy of the assessment role with such changes, if any, to the County Tax Board.
d. 
For purposes of this section "Annual Improvements" shall mean and include any reconstruction, replacement or repair of trees and plantings, furniture, shelter and other facilities of a Special Improvement District, furnishing overhead and underground heating for snow removal or for the enjoyment of pedestrians and any other local improvement which benefits properties within the District. For the purpose of this section "costs" shall with respect to annual improvements to and the operation and maintenance of a Special Improvement District, mean costs of annual improvements. Fees of consultants employed by the governing body to assist in the planning and annual improvements; and all other costs incurred or to be incurred in connection with annual improvements to and operation and maintenance of the Special Improvement District.
e. 
Monies appropriated and collected on account of annual improvement costs and costs of operating and maintaining the Special Improvement District shall be credited to a special account. The governing body is authorized to incur the annual cost of improving, operating and maintaining a Special Improvement District during any fiscal year, though not specifically provided for by line item or other category in an approved estimate for such fiscal year, if in its discretion it shall be deemed necessary to provide for such annual improvements or operating or maintenance prior to the succeeding fiscal year and so long as the total amount of the account as approved for that year is not exceeded by that expenditure. Any balances to the credit of the account and remaining unexpended at the end of the fiscal year shall be reserved and applied toward the fiscal requirements of the succeeding year.
f. 
The Ocean City Department of Financial Management shall act as the paying agent for the District Management Corporation in accordance with agreements between the City and the District Management Corporation.
[Ord. #95-23, § 8]
a. 
The District Management Corporation shall submit a detailed annual budget for approval by resolution of the governing body. The budget shall be submitted with a report which explains how the budget contributes to goals and objectives for the district.
b. 
The budget shall be introduced, approved, amended and adopted by resolution passed by not less than a majority of the full membership of the governing body. The procedure shall be as follows:
1. 
Introduction and approval;
2. 
Public advertising;
3. 
Public hearing;
4. 
Amendments and public hearings, if required;
5. 
Adoption.
c. 
The process for introduction, approval, public hearing and adoption shall be in accordance with N.J.S.A. 40:56-84 et seq. as amended.
[Ord. #95-23, § 9]
a. 
The District Management Corporation shall cause an annual audit of its books, accounts and financial transaction to be made and filed with the governing body, and for that purpose the Corporation shall employ a Certified Public Accountant of the State of New Jersey. The annual audit shall be completed and filed with the governing body within four (4) months after close of the fiscal year of the Corporation and a certified duplicate copy of the audit shall be filed with the Director of the Division of Local Government Services in the Department of Community Affairs within five (5) days of the filing of the audit with the governing body. The District Management Corporation shall be responsible for the cost of preparation of the annual audit.
[Ord. #95-23, § 10]
The District Management Corporation shall, within thirty (30) days after the close of each fiscal year, make an annual report of how its activities for the preceding year met the goals and objectives of the District, to the governing body.
[Ord. #95-23, § 11]
a. 
The City will retain all of its powers and authority over the area designed as the District.
b. 
The City will have all powers necessary and requisite to effectuate the purposes of the chapter and of the District, including, but not limited to the power to provide for the control and regulation of:
1. 
The distribution and location of moveable furniture, sculpture or pedestrian traffic control de-vices, landscaping and other facilities belonging to the Special Improvement District.
2. 
The uses to be permitted in the Special Improvement District by occupants of abutting property, any transit or telephone utility, concessionaires, vendors and others, to serve the convenience and enjoyment of pedestrians and the location of such uses.
3. 
The issuance of permits to conduct any special activity consistent with the broad purposes of the Special Improvement District.
c. 
The City will not substitute District programs and services for programs and services currently supplied to the proposed District by the City, nor curtail currently proposed programs and services.
[Ord. #99-11, § 1]
The purpose of this section is to (a) promote economic growth and employment within the business district and in particular the Special Improvement District; (b) foster and encourage self-help programs to enhance the local business climate, and (c) authorize, permit and facilitate the City of Ocean City Special Improvement District and the designated district management corporation of the district to apply for and accept funds or loans from the State of New Jersey, Department of Community Affairs for public improvements as contemplated and defined by P.L. 1998, C.115.
[Ord. #99-11, § 2]
There is hereby created and designated within the City of Ocean City two (2) Downtown Business Zones that shall be described as that area bound by the Special Improvement District previously established by the governing Body of the City of Ocean City on December 14, 1995 by Ordinance 95-23. The two (2) zones shall be further identified by map A that delineates the zones within the SID District.
Map A is included as an attachment to this chapter.