A Combined meeting of the Township Council of the Township of Old Bridge was held on August 14, 2000 in the Municipal Complex. The meeting was called to order by Vice-president Butler at 7:46 p.m. who asked all present to participate in a salute to the flag which was followed by a short prayer.

Clerk Rose-Marie Saracino announced that this meeting is being held in conformance with the open public meetings act, notice has been given to the newspaper and notice of the meeting has been posted in public places. The next open public meeting of the council will be held on Monday August 28 at 7:30 p.m.

Roll call by Clerk Saracino showed the following answering present: Councilmen Cucchiara, Greene, Hoff, Redmond, Sohor, Testino, Vice-president Butler. Councilwoman Marinaccio and President Maher were absent.

Executive Session @ 7:48 p.m.

RESOLUTION #427

BE IT RESOLVED by the Township Council of the Township of Old Bridge, County of Middlesex, New Jersey that:

the public be excluded from this meeting pursuant to NJSA 10:4-13 for the discussion of the following matter or matters:

Labor Negotiations

BE IT FURTHER RESOLVED that this meeting shall reconvene in public session in ten minutes and that the minutes or other record of these discussions shall be available to be disclosed to the public in sixty (60) months unless a sooner date is determined by vote of the governing body at a public session.

Moved by Councilman Testino, seconded by Councilman Hoff and so ordered on the following roll call vote:

AYES: Councilmen Cucchiara, Greene, Hoff, Redmond, Sohor, Testino, Vice-president Butler.

NAYS: None.

ABSENT: Councilwoman Marinaccio, President Maher.

Meeting Reconvened in Public at 7:59 p.m.

Executive Session @ 8:00 p.m.

RESOLUTION #428

BE IT RESOLVED by the Township Council of the Township of Old Bridge, County of Middlesex, New Jersey that:

the public be excluded from this meeting pursuant to NJSA 10:4-13 for the discussion of the following matter or matters:

Discussion of Sale Terms for Barsel Property

Possible Acquisition of Cottrell Property

Conde Litigation

BE IT FURTHER RESOLVED that this meeting shall reconvene in public session in thirty minutes and that the minutes or other record of these discussions shall be available to be disclosed to the public in sixty (60) months unless a sooner date is determined by vote of the governing body at a public session.

Moved by Councilman Testino, seconded by Councilman Hoff and so ordered on the following roll call vote:

AYES: Councilmen Cucchiara, Greene, Hoff, Redmond, Sohor, Testino, Vice-president Butler.

NAYS: Councilmen Testino.

ABSENT: Councilwoman Marinaccio, President Maher.

Meeting Reconvened in Public @ 8:40 p.m.

PROCLAMATION

Celebration of India's Independence (BC)

Whereas, India, the largest democracy consisting of 950 million people, attained her independence from the British in 1947 through a non-violent movement led by Mahatma Gandhi and;

Whereas, India is now celebrating the 53rd Anniversary of her independence this year and;

Whereas, both the United States of America and India share many common goals and aspirations as sister democracies working together for the uplifting of their people and having formed long lasting bonds and;

Whereas, the State of New Jersey has the third largest population of immigrants from India in the United States of America and;

Whereas, the County of Middlesex has the largest population of immigrants from India in New Jersey, many of whom have made their home in Old Bridge.

Now, Therefore, I, Barbara L. Cannon, Mayor of Old Bridge Township do hereby recognize the bonds between the people of the United States and India and; in commemoration of the celebration of the 53rd Anniversary of India's Independence, do hereby proclaim August 15, 2000 as India Day in Old Bridge Township and will celebrate it in cooperation with the India Cultural Association of Central Jersey by proudly raising the flag of India on this day.

Mr. Kieran Desai: I would like to thank the Mayor and The Old Bridge Council for this wonderful honor.

Councilman Hoff: I was at the celebration yesterday and I am glad that you have settled in our community, you are a credit to the community.

Councilman Redmond: I was also there yesterday and it was an honor. I am glad that my children will get to grow up in a township where our cultures have become intertwined.

Vice-president Butler: I would like to congratulate you on your 53^rd anniversary of your independence. We are very happy that Old Bridge is the town you decided to settle in.

APPROVAL OF MINUTES

RESOLUTION #429

BE IT RESOLVED by the Township Council of the Township of Old Bridge, County of Middlesex, New Jersey that:

WHEREAS, the following minutes are hereby approved

July 10, 2000 Combined
July 10, 2000 Executive

Moved by Councilman Cucchiara, seconded by Councilman Redmond and so ordered on the following roll call vote:

AYES: Councilmen Cucchiara, Greene, Hoff, Redmond, Sohor, Testino, Vice-president Butler.

NAYS: None.

ABSENT: Councilwoman Marinaccio, President Maher.

Bill List

RESOLUTION #430

BE IT RESOLVED by the Township Council of the Township of Old Bridge, County of Middlesex, New Jersey that:

WHEREAS, the Business Administrator has the responsibility of approving all bills and vouchers subject to preaudit and control; and

WHEREAS, the Director of Finance is responsible for the preaudit, the disbursement of all monies and the control over all expenditures to ensure that the budget appropriations are not exceeded; and

WHEREAS, the Finance Committee of the Township Council has satisfied themselves in respect to the bill listing of August 14, 2000 that there exists a detailed bill or voucher supporting each payment and there is indication that goods or services have been received or rendered.

NOW, THEREFORE, BE IT RESOLVED by the Township Council of the Township of Old Bridge that the bill listing of August 14, 2000 as approved by the Business Administrator after preaudit and control by the Director of Finance and after review by the Finance Committee be spread on the minutes in the amount of $11,305,636.01(General Fund)

Moved by Councilman Testino, seconded by Councilman Sohor and so ordered on the following roll call vote:

AYES: Councilmen Cucchiara, Greene, Hoff, Redmond, Sohor, Testino, Vice-president Butler.

NAYS: None.

ABSENT: Councilwoman Marinaccio, President Maher.

Bill List

RESOLUTION #431

BE IT RESOLVED by the Township Council of the Township of Old Bridge, County of Middlesex, New Jersey that:

WHEREAS, the Business Administrator has the responsibility of approving all bills and vouchers subject to preaudit and control; and

WHEREAS, the Director of Finance is responsible for the preaudit, the disbursement of all monies and the control over all expenditures to ensure that the budget appropriations are not exceeded; and

WHEREAS, the Finance Committee of the Township Council has satisfied themselves in respect to the bill listing of August 14, 2000 that there exists a detailed bill or voucher supporting each payment and there is indication that goods or services have been received or rendered.

NOW, THEREFORE, BE IT RESOLVED by the Township Council of the Township of Old Bridge that the bill listing of August 14, 2000 as approved by the Business Administrator after preaudit and control by the Director of Finance and after review by the Finance Committee be spread on the minutes in the amount of $678,086.87(Payroll).

Moved by Councilman Hoff, seconded by Councilman Cucchiara and so ordered on the following roll call vote:

AYES: Councilmen Cucchiara, Greene, Hoff, Redmond, Sohor, Testino, Vice-president Butler.

NAYS: None.

ABSENT: Councilwoman Marinaccio, President Maher.

Bill List

RESOLUTION #432 DENIED

BE IT RESOLVED by the Township Council of the Township of Old Bridge, County of Middlesex, New Jersey that:

WHEREAS, the Business Administrator has the responsibility of approving all bills and vouchers subject to preaudit and control; and

WHEREAS, the Director of Finance is responsible for the preaudit, the disbursement of all monies and the control over all expenditures to ensure that the budget appropriations are not exceeded; and

WHEREAS, the Finance Committee of the Township Council has satisfied themselves in respect to the bill listing of August 14, 2000 that there exists a detailed bill or voucher supporting each payment and there is indication that goods or services have been received or rendered.

NOW, THEREFORE, BE IT RESOLVED by the Township Council of the Township of Old Bridge that the bill listing of August 14, 2000 as approved by the Business Administrator after preaudit and control by the Director of Finance and after review by the Finance Committee be spread on the minutes in the amount of $37,001.98 (Overtime).

Moved by Councilmen Cucchiara, seconded by Councilman Redmond and so DENIED on the following roll call vote:

AYES: Councilmen Butler, Cucchiara, Redmond.

NAYS: Councilmen Greene, Hoff, Sohor, Testino.

ABSENT: Councilwoman Marinaccio, President Maher.

Report of the Clerk

MONTHLY REPORT OF COLLECTIONSOF ROSE-MARIE SARACINO, CLERK

The following represents the collections I have made during the month of July 2000:

DOGS:

(2915 issued in July) 2924-3027 $763.00
2927, 2934, 2935, 2950, 2954, 2992, 3023 replacements $3.50
3022 No charge - seeing eye dog

CATS:
373-414 $297.00

LICENSE:

ICE CREAM
#213 Marios' Ices $25.00

VENDING:

Snack - $5.00 each
#92 Lakeridge Pool $5.00
#93 Glenwood Apartments $5.00

Food -$10.00
#73 Lakeridge Pool $10.00
#74 Glenwood Apartments $10.00

KENNEL
K-9 Konnection $25.00
Berg Animal Hosp $25.00

LIMOUSINE
Levin $35.00

$140.00

BINGO/RAFFLE
RA - 59-00 Temple Ohav Shalom $130.00
RA - 60-00 Old Bridge Soccer $40.00
RA - 61-00 Old Bridge Elks $500.00
RA - 62-00 Congregation Beth Ohr $10.00

$680.00

LIQUOR LICENSE
Transfer Application (Madison Inn) 1209-33-019-003 $4.00

SEARCH
20,21,-00 $20.00

MISCELLANEOUS:
Late Fees $297.00
Photocopies $14.75
Reimb for Polling Places $450.00

Total: $2,669.25

MOTION

to accept the report of the Clerk by Councilman Hoff, seconded by Councilman Cucchiara and so accepted on the following roll call vote:

AYES: Councilmen Cucchiara, Greene, Hoff, Redmond, Sohor, Testino, Vice-president Butler.

NAYS: None.

ABSENT: Councilwoman Marinaccio, President Maher.

Report of the Attorney

Attorney Ruggierio: We did receive from the federal court in Philadelphia (3^rd circuit) a briefing schedule for the North County appeal and we will be filing a brief in October.

MOTION

to accept the report of the Attorney by Councilman Hoff, seconded by Councilman Cucchiara and so accepted on the following roll call vote:

AYES: Councilmen Cucchiara, Greene, Hoff, Redmond, Sohor, Testino, Vice-president Butler.

NAYS: None.

ABSENT: Councilwoman Marinaccio, President Maher.

Preliminary Public Portion

Rita Peterson: I am here to speak about the effort of the Township in putting together a new Master Plan. I live in Oakwood and would like to have our zoning changed from R23 to R30. I would like a commitment from Town Council that our development gets changed to R30 and that Township to say it is a wetland by its zoning. Also, when there is a development built and you agree that there is a home owners association to oversee the common lands, I would like to see the legal or engineering departments over look the declaration. In reviewing the papers for Oakwood the audited report goes to Jackson NJ, even though that clerk in Jackson has never seen it.

Kaiser Jaffrey: I am the homeowner of the home of 15 Villanova Road that caught fire on Saturday. Most of the damage was because of the delay in the response of the fire department, we called 911 at 7:30 and the first fire engine came at 8:00. The Madison Park Fire Department is only 3 minutes away. When we needed them the most we didn't get a proper response. I just do not want this to happen to another family. I thank God that my family is alright and no one was killed. I know that an investigation in going on but I believe that we need to take concrete steps for this never to happen again.

Councilman Testino: I am requesting a report from the administration to see what happened. It is very hard to find fault in an all volunteer department. They say they weren't notified. I feel very glad that your family wasn't hurt. I drove by your home with my children and I pulled over and we went over our fire escape plan for our house. We would like to help in any way that we can.

Mr. Jaffrey: We have to rebuild our home. Can the township help?

Mayor Cannon: This is under investigation and I would also like to say that I am very glad that no one in your family was hurt. The report will document what happened and what problems existed so that this doesn't happen again. This report should be ready by the end of the week and I will share it with council. If there is anything that we can do, you can call my office.

Vice-president Butler: We have a policy in town regarding these emergencies and that is why you saw me Saturday to see if there was anything that we could do. I also received about 30 phone calls from Madison Park from residents that are very concerned about what happened to you.

Councilman Cucchiara: Didn't you have two fires?

Mr. Jaffrey: Yes, we were told to come back the next day to get our belongings.

Councilman Cucchiara: Yes I heard that the house had another fire at 3:00 in the morning.

Mr. Jaffrey: Yes we were very surprised when we returned in the morning and the house was gone.

GUEST

Bill Cruz and Linda Bush - Farmland Preservation Presentation (Middlesex County Planning Board) (TB)

Maps and leaflets and a video tape were presented to the Council. The video tape will be played on OBTV 70.

Mr. Cruz shows Farmland Preservation in Middlesex County from that map and describes various areas on the map. Mr. Cruz also stats that he and Ms. Bush are meeting with all the towns in Middlesex County for this presentation.

Ms. Bush states the importance of the preservation program to preserve farmland and that the land stays on the tax role. There is no negative impact on your taxes. You do not need additional infrastructure and generally a quality of life issue. If you preserve the farm, you still own the farm, you can farm. You just cannot use it for development. You secure the funds up front, you are paid the development value and can be used to expand the agricultural operation.

Once your farm is preserved, you are eligible for cost-sharing grants for soil and water conservation. You also have limited government protection for eminent domain, a preserved farm is very difficult for a public body to take, even for a future road widening. As a preserved farm water restriction may not be as restricted for you. The main program is an easement purchase program. This is a voluntary program that is done annually and the next time you can apply in the Spring. The landowner is paid the development value of the farm, that is determined by two independent appraisals. When your farm is preserved there is a restriction placed on your deed of easement and the restriction not to develop can never be changed. The first step in this process is to identify an agricultural development area, this is not a zoning tool cannot be used as such. Hopefully, Old Bridge will work with our County Board and come forward with an identification of lands that they would like to see in an agricultural development area. This would go before our board and they would set up a public hearing and then the board will review the minutes and make a recommendation, that would be sent to the state and they would certify those areas. That would allow the landowners to come to us next spring to participate in the program. This has been a very competitive process in the past, many more farms are interested in preserved Statewide than there have been funds They have been evaluated by the size of the farm, the quality of the soils, the participation of the township in the program and its location near other preserved farms. However, it has become less competitive now because there is a considerable amount of funds available through the Garden State Trust Fund Legislation. In the last year and a half all the farms that wanted to be preserved were. As part of this legislation, the zoning that will determine the value of your farm could be the zoning that was in place as of November 3, 1998, you can choose the zoning that is in place at the time of application or November 1998. The purpose for this is down zoning. The County maintains a monitoring program. We go out every year and make sure the you comply with the requirements of the program.

Mrs. Miller: Is there a certain number of acres that you need to apply?

Ms. Bush: The minimum is five acres, that is assuming that you are part of an agricultural development area. If you are not part of the area you can still be part of an agricultural development area, as an individual, then you would have to have a minimum of ten acres.

Ms. Miller: If you sell your property will it still be protected?

Ms. Bush: Yes, the deed restriction goes with the property.

Ms. Hauser: Has this been done in Old Bridge yet?

Ms. Bush: No, but we have been working with Old Bridge and our being here tonight is part of the process.

Ms. Hauser: Are there any in Middlesex?

Mr. Cruz: Yes in the County we have 2,300 acres in Middlesex County.

Councilman Redmond: We are in the process of revising the township master plan and the planning board approved the land use section of it. Hopefully we can get these areas in this farmland preservation program.

Mr. Seewald: Are there abuses in this act and have some of the wealthy farmers/politicians taken advantage of this act?

Ms. Bush: Not that we are aware of. We are not involved in the actual farm land assessment program, which maybe what you are referring to.

Ms. Seewald: Most people associate the word farmland with active farmers, is that the case?

Ms. Bush: In most cases but if a developer owned farmland and decided that he wanted to preserve it the county and state are very happy to have it.

Ms. Panos: Can landscapers qualify?

Ms. Bush: Yes, if it is a farmland assessed property, it qualifies.

Ms. Panos: I thought that Council passed something for farmland.

Mayor Cannon: That was for first reading last time.

Mr. Dwyer: How much per acre do you expect this will cost the Township of Old Bridge?

Ms. Bush: It will depend on the appraisals.

Mr. Cruz: We have two independent appraisals and then it goes to the county for review and then state for an additional review. Every property is different.

Ms. Bush: I can give you a range: the easements have ranged from $5,000.00 - $34,500.00 an acre.

Mr. Dwyer: How would the town go about budgeting this expense next year?

Ms. Bush: It takes longer than a year. If you applied in the Spring of 2000, the county board would have reviewed it in July and it would probably be a year and a half before the money would be needed to pay the land owner.

Mr. Cruz: The town wouldn't know what the share would be until it got to the state level.

Ms. Bush: You would have to see what lands in your area are going for. You would have at least six months to a year to get the money.

Mr. Dwyer: At that point, can the township opt out of the program?

Ms. Bush: It can and that only happened once.

Female Resident: We live adjacent to the water shed and I would like to know how this affects this. We are afraid that someone can come in and puts barns on the land.

Mr. Cruz: If there are municipal regulations that apply the land owner would have to conform to those.

Female Resident: Can you change your mind after you are accepted.

Ms. Bush: Yes, until you go to contract.

Ms. Panos: What would take precedence the farmland or wetland?

Ms. Bush: If they are restricted by law it could not be.

Mayor Cannon: You cannot farm on wetlands.

Female Resident: How long does it take for approval?

Ms. Bush: About a year and a half.

Mr. Rizzo: The map here is one that the county prepared for us of the farmlands. There are numbers and lists that go with it. The township council has passed a right to farm act which was of the first steps that we needed to do. We are in the process of passing a farm land preservation ordinance and the planning board is in the process of preparing it as a master plan element. This steps are necessary to get into this program. I will leave the map at the back of the room so you can see where your properties are.

Mr. Cruz: I would like to thank the council for this opportunity and look forward to seeing Old Bridge incorporated in the County's Farmland Preservation Plan.

HEARINGS

H-1 Release/Reduction Performance Guarantee - Huntington Hollow

Vice-president Butler: I understand that they have requested a two week extension for this hearing.

Mr. Iglesias: Two weeks is fine with me, I hope the weather cooperates.

Vice-president Butler: You can go longer, but if it goes longer than two weeks you have to renotice.

Ms. Michelle Hart: Attorney for the developer; If we go longer than two weeks we will renotice the residents.

MOTION

Moved by Councilman Testino to carry the hearing for two weeks without renotice or readvertising. If the hearing is not with in two weeks the developer will have to renotice and readvertise, seconded by Councilman Sohor and so carried on the following roll call vote:

AYES: Councilmen Cucchiara, Greene, Hoff, Sohor, Testino, Vice-president Butler.

NAYS: None.

ABSENT: Councilwoman Marinaccio, President Maher.

ABSENT PODIUM: Councilman Redmond.

H-2 Release/Reduction Performance Guarantee - Kinder-care Learning Center, Inc. (Attorney requests postponement until Monday, Sept. 18, 2000 at 8:00 P.M.) (They will renotice and readvertise)

No discussion.

ORDINANCE FOR SECOND READING

ORD. #30-00 Amend Cable Franchise Renewal Ordinance

SECTION 1. PREAMBLE

Cablevision of Raritan Valley, as successor to TKR Cable Company, has applied for renewal of its existing cable franchise within Old Bridge Township. The prior franchise granted to TKR Cable expired November 6, 1999. Although Cablevision of Raritan Valley failed to file a timely application for renewal, Old Bridge has held public hearings and has considered Cablevision's application. Various questions have been raised about the responsiveness to public concern, credibility and general reliability of TKR and Cablevision of Raritan Valley during the municipal phase of the application process. Nevertheless, the Township Council agrees to consent to renew with the Cablevision franchise for five (5) years with close monitoring of future performance and conduct.

SECTION 2. FINDINGS OF FACT

The Township Council of the Township of Old Bridge does hereby find and declare the following facts:

1. Cablevision of Raritan Valley filed a municipal consent application with the Office of Cable Television, Board of Public Utilities on or about March 3, 1999.

2. Cablevision of Raritan Valley is the fictitious name for CSC TKR, Inc., successor to TKR Cable and Cross Country Cable in connection with the subject cable franchise.

3. Certain specific areas as more specifically enumerated in the letter dated March 24, 2000 from Alayne Shepler, Business Administrator of the Township of Old Bridge, are within the franchise area and have lines extended to them, but do not receive the public educational governmental channels (two (2) channels) received by others in Old Bridge Township.

4. The franchisee and its predecessors have eliminated certain channels which are otherwise available on the Raritan Valley system to other cable subscribers in order to accommodate the public educational governmental channels (two (2) channels) of the Township of Old Bridge. This elimination is violative of the original franchise agreement and must be remedied immediately.

5. Cablevision of Raritan Valley does not provide public access channels or leased access channels to the residents and subscribers of Old Bridge Township. This deficiency must be remedied immediately. These channels are otherwise within the Cablevision of Raritan Valley system, except in Old Bridge.

6. The connection between Lombardi Field and the Old Bridge High School cable line has been disconnected by Cablevision and rendered inoperable by Cablevision. This must be restored immediately.

7. Certain significant misrepresentations were made to the Mayor and Township Council by Cablevision of Raritan Valley during the municipal approval process. Cablevision must improve its candor with municipal officials.

8. Given the speed at which technology is changing the nature of cable television, no more than a five (5) year renewal should be permitted.

9. The use of a five (5) year renewal period will enable the Township Council of Old Bridge Township to more closely monitor the performance of Cablevision of Raritan Valley.

SECTION 3. DEFINITION

For the purpose of this Ordinance the terms defined above shall have the meanings there indicated and the following additional terms shall have the following meanings:

(a) "Act" or "Cable Television Act" shall mean that statute of the State of New Jersey relating to cable television known as the Cable Television Act, N.J.S.A. 48:5A-1 et seq.

(b) "Application" shall mean Cablevision's application for Renewal of Municipal Consent, which application is on file in the Township Borough City Clerk's office and is incorporated herein by reference and made a part hereof, except as modified, changed, limited or altered by this Ordinance.

• "Board" shall mean the Board of Public Utilities of the State of New Jersey or its successor agency.

(d) "Township" shall mean the governing body of the Township of Old Bridge in the County of Middlesex, State of New Jersey.

(e) "Company" shall mean Cablevision of Raritan Valley, Inc. ("Cablevision") the grantee of rights under this Ordinance.

(f) "FCC" shall mean the Federal Communications Commission.

(g) "Federal Act" shall mean that federal statute relating to cable communications commonly known as the Cable Communications Policy Act of 1984, 47 U.S.C. Section 521 et seq.

(h) "Federal Regulations" shall mean those federal regulations relating to cable television services, 47 C.F.R. Section 76.1 et seq. (and, to the extent applicable, any other federal rules and regulations relating to cable television, including, but not limited to, those described in 47 C.F.R. Section 76.3) or as such regulations may be amended.

(I) "State" shall mean the State of New Jersey.

(j) "State Regulations" shall mean those regulations of the State of New Jersey, Board of Public Utilities relating to cable television. N.J.A.C. 14:17-1.1 et seq., or as such relations may be amended.

(k) "Cablevision" shall mean Cablevision of Raritan Valley, Inc.

(l) "TKR" shall mean the predecessor to Cablevision of Raritan Valley, Inc., TKR Cable, Inc.

SECTION 4. PUBLIC HEARING

A public hearing concerning the consent herein granted to Cablevision was held after proper public notice pursuant to the terms and conditions of the Act. The hearing was held and fully open to the public. The municipality received all public comments regarding the qualifications of Cablevision to receive this consent.

SECTION 5. BROAD DETERMINATIONS AS TO RENEWAL OF FRANCHISE

A. Substantial Compliance with Material Terms of Existing Franchise and Applicable Law:

Although sufficient fact-finding has occurred to support a Resolution of denial of the franchise and the Township Council is very concerned with the adequacy of the franchise's performance, the Township Council believes that increased monitoring of the franchise must occur within the future regarding the franchise's compliance with the material terms of the existing franchise and applicable law. The Council is also cognizant that meaningful competition may be brought about by charges in Federal law predicted for the year 2005. The franchise's failure to provide all channels on the Raritan Valley system is a serious breach of the existing franchise and applicable law.

B. Quality of Franchisee Service:

Sufficient fact-finding has also occurred on the issue of the quality of the franchisee's service. The Township Council is reluctant to endorse the quality of the franchisee's conduct toward Old Bridge subscribers. Anecdotal evidence convinces the Township Council that structured monitoring of the franchisee's signal quality, response to consumer complaints and billing practices should occur in the future.

C. Cable Operator's Financial, Legal and Technical Ability to Provide Services,

Facilities and Equipment;

The franchisee is found to have sufficient financial and technical ability to provide services. However, the Township Council is skeptical of the veracity of many statements and representations made by company representatives. The franchisee, or its related companies, have extended cable lines to areas of Old Bridge Township, but such areas do not receive the Township Public, Education and Government ("PEG") channels. Likewise, the franchisee has failed in its legal obligation to provide Old Bridge Township with the local origination channel and leased access channel space otherwise available on the Raritan Valley system for cable subscribers.

SECTION 6. GRANT OF AUTHORITY

The Township of Old Bridge hereby grants to Cablevision of Raritan Valley its non-exclusive consent to place in, upon, along, across, above, over and under its highways, streets, alleys, sidewalks, public ways and public places in the municipality poles, wires, cables and fixtures necessary for the maintenance and operation in the Township of a cable television system and for the provision of any communication service over the such system as may be authorized by federal or state regulatory agencies. Operation and construction, pursuant to such consent, is conditioned upon prior approval of the Board of Public Utilities.

SECTION 7. DURATION OF FRANCHISE

This consent granted herein shall be non-exclusive and shall be for a term of five (5) years from the date of issuance of a Certificate of Approval by the Board or December 31, 2005, whichever is the earlier date.

SECTION 8. EXPIRATION AND SUBSEQUENT RENEWAL

If Cablevision seeks successive consent, it shall, prior to the expiration of this consent, apply for a municipal consent and certificate of approval in accordance with N.J.S.A. 48:5A-11 and N.J.S.A. 48-16 and applicable State and Federal rules and regulations. The company shall also petition the board for approval authorizing continued operation during the period following expiration of the consent granted herein and until such a time that a decision is made by the Township and the board relative to the renewal of said consent.

SECTION 9. CONDITIONS FOR RENEWAL

The Township Council does hereby condition its consent upon the following terms, conditions and requirements:

1. Independent of the renewal process, Cablevision of Raritan Valley has voluntarily agreed to reimburse the Old Bridge governmental channel known as OB70 for its relocation expenses from Channel 6 to Channel 70. The sum of $4,500.00 is presently being processed to reimburse Old Bridge for these expenses including, but not limited to, promotion of the new channel for the municipal station. Old Bridge anticipates that the payment of this sum will be a moot point by the time of cable renewal. Nevertheless, at this time, the sum has not been paid and the payment of the $4,500.00 is included as a requirement of renewal.

2. The disruption caused by modifying the channel locations has cost the Board of Education some out-of-pocket expenses. Cablevision shall reimburse the actual out-of-pocket expenses of the Board of Education relating to the change of channel.

3. Should any channel realignment cause the Township governmental channel or the Board of Education educational channel to be relocated from their current location (Channels 70 and 71, respectively), Cablevision of Raritan Valley shall reimburse the cost associated with such relocation. Such costs shall include, but not be limited to, newspaper advertisements to the public providing information about the location of the new channel placement.

4. Cablevision of Raritan Valley shall provide tuners to individuals who are unable to receive Channel 70 or 71 because of the age of their television sets. Each television set which is connected within an individual's household to the cable system shall be equipped and able to receive the municipal government channel. In the event any such television or televisions within an individual's home require a tuner to receive the municipal governmental access channel, such tuner shall be provided without costs to subscribers by Cablevision for the duration of this franchise.

5. As a condition of renewal, Cablevision shall provide reimbursement to Old Bridge for those franchise fees (calculated at two (2%) percent of the extended basic service) for all areas serviced by Cablevision of Monmouth County during the prior franchise period together with any interest on such unpaid sums. Calculation of interest shall be in accordance with the rate of interests of judgments set forth in the New Jersey Court Rules. The Township of Old Bridge shall retain the right to audit the prior franchise period. No records for the period of the prior franchise shall be destroyed or discarded.

6. During the term of this franchise renewal, Cablevision of Raritan Valley shall pay franchise fees for all households receiving service from Cablevision of Monmouth Valley.

7. Within 100 days following the renewal of this franchise, the related company of Cablevision of Monmouth County which is operating within the boundaries of Old Bridge Township without a franchise, shall apply in the usual fashion to extend its operations to those areas which it presently serves. A fundamental requirement of such application will be an agreement by Cablevision of Monmouth County to carry the two public governmental educational access channels to residents within Old Bridge Township who are served by that system.

8. As a condition of the renewal of this franchise, Cablevision of Raritan Valley shall cooperate with the Township Finance Director in identifying the reason or reasons for the $15,000.00 to $20,000.00 drop in revenues which occurred for a period during the term of the last franchise. To the extent these inquiries lead to a conclusion that insufficient franchise fees were paid to Old Bridge, Cablevision of Raritan Valley shall pay such fees within sixty (60) days of notification by Old Bridge. The Township of Old Bridge retains the right to audit the prior franchise period. No records for this period shall be destroyed or discarded.

9. Notwithstanding any other provision of this consent to renewal, Cablevision of Raritan Valley shall take any and all steps necessary to provide public governmental educational access channels (2) which are viewed by all other subscribers on this system to those areas which are serviced by any cable television lines. Specifically, and without limitation, such requirements shall apply to: Naples Avenue, Columbus Avenue, Gordon Street, Biondi Street, Ticetown Road, Pension Road and Hawkins Road, since line extensions already exist to these areas. Old Bridge requires as a condition of this renewal that the Township television content, the Board of Education television content and any local access broadcasting be provided to Old Bridge Township residents who are subscribers to cable television.

10. Local origin and leased channel access available to other municipalities services by the Cablevision of Raritan Valley system are not presently available to Old Bridge Township residents. The elimination of local original access and leased access was unilateral and is unacceptable. Accordingly, the Cablevision of Raritan Valley system shall, within ninety (90) days following the renewal of this franchise, provide local origination access channels and leased access channels in the same manner and to the same extent provided to other municipalities within the Cablevision of Raritan Valley system.

11. The front of the billing statement sent to subscribers within Old Bridge Township will notify them of the location of the Ernston Road office. The reference to the Edison office on the front of the bill shall be eliminated.

12. The cable connection between the Old Bridge High School and Lombardi Field which was removed or rendered inoperable by Cablevision shall be restored within ninety (90) days following the renewal of this franchise. Installation will be a return feed with fiber optic to hub.

13. The following new equipment shall be provided to facilitate the broadcast of public governmental programming by Old Bridge Township:

1. WVCU 161 remote camera;

2. WVCU remote camera control;

3. SVRS PANA combo unit (10U) -- shoot in DV, has built-in SVHS/VHS recorder to edit/copy in either direction; and

4. 12' x 12' pipe grid and truss structure, plus lights and dimmer system substantially in the form attached to this Ordinance (see attached proposal of Shadowstone, Inc.).

14. If cable Internet service becomes available within the Cablevision of Raritan Valley system, cable Internet access shall be provided as follows: to all accredited schools within the municipality; to all library buildings within the municipality; to the Township Civic Center; to the Township Senior Citizen (Bush) Center; to the municipal building; to the Camp R.O.B.I.N. building. The Internet access provided shall be free of charge to these locations. With respect to the connections to the school, sufficient capacity shall be provided by any means necessary to allow for sufficient nodes to allow Internet access to all classrooms without a loss of speed within one (1) year of the availability on the Raritan Valley system.

15. Cablevision of Raritan Valley will install cable drops with fiber optic return feeds to hub at the Library, Civic Center and Senior Center.

16. No costs of providing any of the above listed items shall be listed on the cable subscriber's bill as separate charges.

17. Cablevision of Raritan Valley shall assure that there is a fiber optic cable interchange at the parkway entrance in Laurence Harbor when the fiber optic conduit is extended down the parkway by Cablevision or its related companies.

SECTION 10. FRANCHISE TERRITORY

The consent granted under this Ordinance in Cablevision shall apply to the entirety of the Township of Old Bridge. Cable providers having a legal relationship to Cablevision currently operating without lawful authority shall file applications for such authority within thirty (30) days following the adoption of this Ordinance.

SECTION 11. SERVICE AREA

Cablevision shall be required to proffer video programming service along any public right-of-way to any person's residence within the portion of the franchise territory, as described in the application for municipal consent, at tariffed rates for standard and nonstandard installation. Old Bridge Township does not have a filed map showing the service area. Such map shall be provided to the Township Clerk before the public hearings on this Ordinance.

Cablevision shall extend service along any public right-of-way outside its service area to those residences within the franchise territory which are located in areas that have a residential density of twenty-five (25) homes per mile or greater or areas with less than twenty-five (25) homes per mile where residents agree to share the costs of such extension in accordance with the line extension formula as provided by the company in its application for municipal consent.

SECTION 12. FRANCHISE FEE

Pursuant to the terms and conditions of the Cable Television Act, Cablevision shall pay to the Township, as an annual franchise fee, a sum equal to two (2%) percent of the actual gross revenues received from all recurring charges in the nature of subscription fees paid by subscribers for its cable television reception services in the Township. The franchise fee to be paid shall be calculated in the same manner presently used to calculate such fees. In the event applicable law hereinafter permits a larger franchise fee to be collected, but does not fix the amount thereof, the Township and Cablevision shall negotiate in good faith with respect to the amount thereof.

SECTION 13. FREE SERVICE

Cablevision shall provide, free of charge, one (1) standard installation and monthly cable television reception service and cable modem Internet service to all state or locally accredited public schools and all public libraries, as well as municipal buildings located within the Township and the Camp R.O.B.I.N. Building (municipal program for the developmentally disabled).

SECTION 14. CONSTRUCTION/SYSTEM REQUIREMENTS

Cablevision shall perform construction and installation of its plant and facilities in accordance with applicable State and Federal law. The company shall be subject to the following additional construction requirements with respect to the installation of its plant and facilities in the Township.

(a) In the event that the company or its agents shall disturb any pavement, street surfaces, sidewalks, driveways or other surfaces, the company shall, at its sole expense, restore and replace such disturbances in as good a condition as existed prior to the commencement of said work.

(b) If at any time during the period of this consent the municipality shall alter or change the grade of any street, alley or other way or place, the company, upon reasonable notice by the Township shall remove or relocate its equipment at its own expense.

(c) Upon request of a person holding a building or moving permit issued by the Township, the company shall temporarily move or remove appropriate parts of its facilities so as to permit the moving or erection of buildings or for the performance of other work. The expense of any such temporary removal or relocation shall be paid in advance to the company by the person requesting same. In such cases, the company shall be given not less than fourteen (14) days prior written notice in order to arrange for the changes required.

(d) During the exercise of its rights and privileges under this consent, the company shall have the authority to trim trees upon and overhanging streets, alleys, sidewalks and public places of the Township so as to prevent the branches of such trees from coming in contact with wires to the extent necessary to maintain proper clearance for the company's facilities.

SECTION 15. TECHNICAL AND CUSTOMER SERVICE STANDARDS

Cablevision shall comply with the technical and customer service standards established for the cable industry under applicable Federal and State laws, rules and regulations. Cablevision shall comply with the most stringent of such standards rather than the lest demanding standards.

SECTION 16. LOCAL OFFICE OR AGENT

Cablevision shall establish and maintain during the entire term of this consent a local area business office within Old Bridge Township (or at the present location, Ernston Road, Sayreville) for the purpose of receiving, investigating and resolving complaints regarding the quality of service, equipment malfunctions and similar matters. Said office shall be open daily during normal business hours and, in no event, less than 9:00 a.m. to 5:00 p.m., Monday through Friday, with the exception of holidays. The location of the said office shall be prominently listed on the front of each bill sent to Old Bridge subscribers.

SECTION 17. DESIGNATION OF COMPLAINT OFFICER

The Office of Cable Television is hereby designated as the complaint officer for the Township pursuant to the provision of N.J.S.A. 48:5A-26 and any complaints by local subscribers to cable television reception or service shall be field directly with the said office. All complaints shall be reviewed and processed in accordance with N.J.A.C. 14:17-6.5.

SECTION 18. LIABILITY INSURANCE

Cablevision agrees to maintain and keep in force and effect at its sole cost at all times during the term of this consent, sufficient liability insurance naming the Township as an insured and insuring against loss by any such claim, suit, judgment, execution or demand in the minimum amount of five million ($5,000,000.00) dollars for bodily injury or death to one person and one million dollars ($1,000,000.00) for bodily injury or death resulting from any one accident or occurrence stemming from or arising out of the company's exercise of its rights hereunder.

SECTION 19. PERFORMANCE BOND

Not later than forty-five (45) days after the effective date of this franchise, Cablevision shall obtain and maintain, at its sole cost and expense, during the entire term of this agreement, a bond to the municipality in the amount of twenty-five thousand dollars ($25,000.00). Such bond shall be to insure the faithful performance of its obligations provided in this franchise. The surety underwriting such bond shall be authorized to do business in the State of New Jersey and shall be treasury listed with the U.S. Department of the Treasury.

SECTION 20. RATES

A. The rates of the company shall be subject to regulation as permitted by Federal and State law.

B. Cablevision shall continue to implement a senior citizen discount in the amount of ten (10%) percent off the rate for the monthly basic level of cable television reception service to any person sixty-two (62) years of age or older, who subscribe to cable television reception services provided by the company, subject to the following:

(I) Such discount shall only be available to eligible senior citizens who do not share the subscription with more than one person in the same household who is less than 62 years of age.

(ii) Subscribers seeking eligibility for the discount must meet the income and residence requirements of the Pharmaceutical Assistance to Aged and Disabled (PAAD) program in the State pursuant to N.J.S.A. 30:4D-21.

(iii) The senior citizen discount herein relates only to the entry level basic rate of cable television reception service and shall not apply to any additional service, feature, or equipment offered by the company, including premium channels services and pay-per-view services.

SECTION 21. EMERGENCY USES

Cablevision shall be required to have the capability to override the audio portion of the system in order to permit the broadcasting of emergency messages by the Township pursuant to the State and Federal requirements. The company shall in no way be held liable for any injury suffered by the Township or any other person during an emergency for any reason if the municipality is unable to make full use of the system as contemplated herein. The Township/Borough/City shall utilize the state-approved procedures for such emergency uses.

SECTION 22. REMOVAL OF FACILITIES

Upon expiration termination or revocation of this Ordinance and/or the franchise, Cablevision, at its sole cost and expense and upon direction of the Board of Public Utilities, shall remove the cables and appurtenant devices constructed or maintained in connection with the services authorized herein.

SECTION 23. PUBLIC EDUCATIONAL AND GOVERNMENTAL ACCESS

A. Cablevision shall continue to make available the two (2) non-commercial public, educational, and governmental (PEG) access as described in the application for municipal consent historically provided.

B. Cablevision shall immediately discontinue use of the PEG access channel, or portion thereof, for non-PEG access programming. During the term of this franchise, Cablevision shall provide both PEG access channels as dedicated without any sharing of the said channels in order to fully implement the commitments made in the original Franchise Agreement. Further, Old Bridge subscribers shall not be denied any channels or programming available to other subscribers on the Cablevision of Raritan Valley system.

SECTION 24. INCORPORATION OF APPLICATION

All of the commitments contained in the application and any amendment thereto submitted in writing to the Township by the company except as modified herein, are binding upon Cablevision as terms and conditions of this consent. The application and any other writings submitted by Cablevision in connection with this consent are incorporated in this Ordinance by reference and made a part hereof, except as specifically modified, changed, limited or altered by this Ordinance, or to the extent that they conflict with State or Federal laws.

SECTION 25. CONSISTENCY WITH APPLICABLE LAWS

This consent shall be construed in a manner consistent with all applicable federal, state, and local laws.

SECTION 26. SEPARABILITY

If any section, subsection, sentence, clause, phrase, or portion of this Ordinance is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the validity of the remaining portion thereof.

SECTION 27. EFFECTIVE DATE

A. Except as set forth at subparagraphs B and C hereof, this Ordinance shall take effect on the earlier of the following dates: (1) on the date the Mayor affixes his/her signature thereto and returns same to the Municipal Council by delivering it to the Municipal Clerk pursuant to NJSA 40A:69A-41 or (2) on the tenth day following presentment to the Mayor of the Ordinance pursuant to NJSA 40:69A-41 applicable when the Mayor has failed to return the Ordinance; whichever occurs first.

B. If the Mayor vetoes the Ordinance (in the manner set forth at NJSA 40:69A-41), this Ordinance shall become effective upon the Township Council's vote to override the Mayor's veto.

C. Notwithstanding any other provision hereof, this Ordinance shall not take effect less than twenty (20) days after its final passage by the Council and approval by the Mayor, where such approval is required, unless the Council shall have also adopted a resolution declaring an emergency and at least two-thirds (2/3) of all the members of the Council vote in favor of such resolution.

Moved by Councilman Sohor, seconded by Councilman Cucchiara and so ordered on the following roll call vote:

AYES: Councilmen Butler, Greene, Redmond, Sohor, Testino.

NAYS: Councilmen Cucchiara, Hoff.

ABSENT: Councilwoman Marinaccio, President Maher.

Prior to the vote the following comments were made.

Vice-President Butler: Have we received everything we need to move forward on this?

Attorney Ruggierio: Yes.

Vice-president Butler opened the public portion.

Rory Moore: I am one of the contributors to this ordinance and I would like to suggest that you pass this ordinance. We have found out that in the year 2005 this will go to open wire, anybody will be allowed to attach to the cable wire. There were questions about some parts of town that were not covered and that became a moot point as of July 1, 2000, because you are now allowed to attach. Cablevision is asking for a 15 year contract and right now AOL is developing streaming TV through the Internet and it is possible that you will be able to log onto the Internet and get cable television anywhere in the world. The only way that can take place is if this contract is not extended passed the year 2005. There are towns in Washington that are now in litigation trying to access this, if we don't renew after the year 2005 we won't incur those litigation costs. I would like to recommend passage of this ordinance in its entirety.

Seeing no hands Vice-president Butler closed the public portion.

Councilman Hoff: I have been opposed to this since the beginning. I have never found that they have delivered services honestly. I am going to vote no on this.

Councilman Testino: This was not an easy ordinance to put together. The big carrot for Cablevision was the non-compete clause and we thought it was because of technology and now we have seen in Franklin where Cablevision itself has waged a war with RCN and that means that they knew they were taking on their competitors and they didn't want their competitors to come into their market and Old Bridge is a big market. Cablevision wanted a 15 year renewal and based on our Attorney's advise we knew we could do 5 years from the date of renewal and still meet this 2005 date. The main objective was to let Cablevision know that Old Bridge is looking for competitive providers and we want to be up to date on technology and that message is being delivered loud and clear. The lobbyist are coming out of the woodwork. We know that we will be in the administrative courts, they have already announced that they will be appealing this ordinance. I am hard-pressed to disagree with Mr. Hoff's logic that we should send a loud message by voting no. I think if RCN wants to come in and bid against Cablevision, we now have the availability with this ordinance.

Councilman Redmond: We would be hard-pressed not to pass this ordinance at this time because if we don't we lose any control that we had. They have already announced that they plan to appeal it, that shows that this is heading in the right direction. They are not happy with this ordinance and if they are not happy, then I am.

Councilman Sohor: I have been the loudest mouth on Cablevision and I think that under the circumstances this ordinance is the best that we can do at this point in time. We've incorporated into the ordinance things that are entitled to be provided to the residents. We have put together a defendable record showing Cablevision's misbehavior and generally lousy way they have treated the residents. I think that we need to pass this and move forward in the appeals process.

Vice-president Butler: This has been a long journey and I would like to thank the cable committee for putting this ordinance together.

ORD. #35-00 Bond Ordinance - Global Settlement Agreement

TOWNSHIP OF OLD BRIDGE, NEW JERSEY

ORDINANCE 35-00

BOND ORDINANCE PROVIDING FOR A PORTION OF THE COSTS OF CLOSURE, REMEDIATION AND RELATED ACTIVITIES WITH RESPECT TO THE GLOBAL LANDFILL LOCATED IN THE TOWNSHIP OF OLD BRIDGE, COUNTY OF MIDDLESEX, NEW JERSEY; APPROPRIATING THE SUM OF $875,000 THEREFOR; AUTHORIZING THE ISSUANCE OF GENERAL OBLIGATION BONDS OR BOND ANTICIPATION NOTES OF THE TOWNSHIP OF OLD BRIDGE, COUNTY OF MIDDLESEX, NEW JERSEY, IN THE AGGREGATE PRINCIPAL AMOUNT OF UP TO $831,250; MAKING CERTAIN DETERMINATIONS AND COVENANTS; AND AUTHORIZING CERTAIN RELATED ACTIONS IN CONNECTION WITH THE FOREGOING

BE IT ORDAINED by the Township Council of the Township of Old Bridge, County of Middlesex, New Jersey (not less than two-thirds of all the members thereof affirmatively concurring), pursuant to the provisions of the Local Bond Law, Chapter 169 of the Laws of 1960 of the State of New Jersey, as amended and supplemented ("Local Bond Law"), as follows:

Section 1. The purposes described in Section 7 hereof are hereby authorized as general improvements to be made or acquired by the Township of Old Bridge, County of Middlesex, New Jersey ("Township").

Section 2. It is hereby found, determined and declared as follows:

(a) the estimated amount to be raised by the Township from all sources for the purposes stated in Section 7 hereof is $875,000;

(b) the estimated amount of bonds or bond anticipation notes to be issued for the purposes stated in Section 7 hereof is $831,250; and

(c) a down payment in the amount of $43,750 for the purposes stated in Section 7 hereof is currently available in accordance with the requirements of Section 11 of the Local Bond Law, N.J.S.A. 40A:2-11.

Section 3. The sum of $831,250, to be raised by the issuance of bonds or bond anticipation notes, together with the sum of $43,750, which amount represents the required down payment, are hereby appropriated for the purposes stated in this bond ordinance ("Bond Ordinance").

Section 4. The issuance of negotiable bonds of the Township in an amount not to exceed $831,250 to finance the costs of the purposes described in Section 7 hereof is hereby authorized. Said bonds shall be sold in accordance with the requirements of the Local Bond Law.

Section 5. In order to temporarily finance the purposes described in Section 7 hereof, the issuance of bond anticipation notes of the Township in an amount not to exceed $831,250 is hereby authorized. Pursuant to the Local Bond Law, the Chief Financial Officer is hereby authorized to sell part or all of the bond anticipation notes from time to time at public or private sale and to deliver the same to the purchasers thereof upon receipt of payment of the purchase price plus accrued interest from their date to delivery thereof. The Chief Financial Officer is hereby directed to report in writing to the governing body at the meeting next succeeding the date when any sale or delivery of the bond anticipation notes pursuant to this Bond Ordinance is made. Such report must include the amount, the description, the interest rate and the maturity schedule of the bond anticipation notes sold, the price obtained and the name of the purchaser.

Section 6. The amount of the proceeds of the obligations authorized by this Bond Ordinance which may be used for the payment of interest on such obligations, accounting, engineering, legal fees and other items as provided in Section 20 of the Local Bond Law, N.J.S.A. 40A:2-20, shall not exceed the sum of $25,000.

Section 7. The improvements hereby authorized and the purposes for which said obligations are to be issued; the estimated costs of each said purpose; the amount of down payment for each said purpose; the maximum amount obligations to be issued for each said purpose and the period of usefulness of each said purpose within the limitations of the Local Bond Law are as follows:

Section 8. The supplemental debt statement provided for in Section 10 of the Local Bond Law, N.J.S.A. 40A:2-10, was duly filed in the office of the Clerk prior to the passage of this Bond Ordinance on first reading and a complete executed duplicate original thereof has been filed in the Office of the Director of the Division of Local Government Services in the Department of Community Affairs of the State of New Jersey. The supplemental debt statement shows that the gross debt of the Township, as defined in Section 43 of the Local Bond Law, N.J.S.A. 40A:2-43, is increased by this Bond Ordinance by $831,250 and that the obligations authorized by this Bond Ordinance will be within all debt limitations prescribed by said Local Bond Law.

Section 9. The full faith and credit of the Township are irrevocably pledged to the punctual payment of the principal of and interest on the bonds or bond anticipation notes authorized by this Bond Ordinance, and to the extent payment is not otherwise provided, the Township shall levy ad valorem taxes on all taxable real property without limitation as to rate or amount for the payment thereof.

Section 10. The Capital Budget is hereby amended to conform with the provisions of this Bond Ordinance to the extent of any inconsistency therewith, and the resolution promulgated by the Local Finance Board showing full detail of the amended Capital Budget and Capital Program as approved by the Director of the Division of Local Government Services, is on file with the Clerk and available for inspection.

Section 11. The Township hereby declares its intent to reimburse itself from the proceeds of the bonds or bond anticipation notes authorized by this Bond Ordinance pursuant to Income Tax Regulation Section 1.150-2(e), promulgated under the Internal Revenue Code of 1986, as amended ("Code"), for "original expenditures", as defined in Income Tax Regulation Section 1.150-2(c)(2), made by the Township prior to the issuance of such bonds or bond anticipation notes.

Section 12. The Township hereby covenants as follows:

(a) it shall take all actions necessary to ensure that the interest paid on the bonds or bond anticipation notes authorized by the Bond Ordinance is exempt from the gross income of the owners thereof for federal income taxation purposes, and will not become a specific item of tax preference pursuant to Section 57(a)(5) of the Code;

(b) it will not make any use of the proceeds of the bonds or bond anticipation notes or do or suffer any other action that would cause the bonds or bond anticipation notes to be "arbitrage bonds" as such term is defined in Section 148(a) of the Code and the Regulations promulgated thereunder;

(c) it shall calculate or cause to be calculated and pay, when due, the rebatable arbitrage with respect to the "gross proceeds" (as such term is used in Section 148(f) of the Code) of the bonds or bond anticipation notes;

(d) it shall timely file with the Ogden, Utah Service Center of the Internal Revenue Service, such information report or reports as may be required by Sections 148(f) and 149(e) of the Code; and

(e) it shall take no action that would cause the bonds or bond anticipation notes to be "federally guaranteed" within the meaning of Section 149(b) of the Code.

Section 13. The improvements authorized hereby are not current expenses and are improvements that the Township may lawfully make. No part of the cost of the improvements authorized hereby has been or shall be specially assessed on any property specially benefited thereby.

Section 14. All ordinances, or parts of ordinances, inconsistent herewith are hereby repealed to the extent of such inconsistency.

Section 15. In accordance with the Local Bond Law, this Bond Ordinance shall take effect twenty (20) days after the first publication thereof after final passage.

Moved by Councilman Sohor, seconded by Councilman Redmond and so ordered on the

following roll call vote:

AYES: Councilmen Cucchiara, Greene, Hoff, Redmond, Sohor, Testino, Vice President Butler.

NAYS: None.

ABSENT: Councilwoman Marinaccio, President Maher.

Vice-president Butler opened the public portion. Seeing no hands Vice-president Butler closed the public portion.

Prior to the vote the following comments were made.

Councilman Greene: I would like to know what the fiscal impact of this settlement is on the township's budget. Does this affect the capital budget that we have for the 2001 budget?

Mr. Shah: This $850,000.00 will go with the annual $3,000,000.00 that we usually have for capital projects. The $3,000,000.00 is a council-set threshold, you can adjust it. In terms of the financial impact you are looking at about $85,000.00 of principal payments plus interest of about 40 or 50 thousand so it is about $125,000.00 of debt service for this bond ordinance. Bill indicated that he is trying to get the entire amount covered by insurance, if that happens we will have no financial exposure.

Councilman Greene: The $125,000.00 principal and interest is an annual cost?

Mr. Shah: It is a declining interest rate, so the amount will go down. You can assume $125,000.00 for the first couple of years.

Councilman Greene: How long would the bonding be?

Mr. Shah: I suspect ten years.

Councilman Greene: I would like to see from Bill the prospects of recouping these costs from the insurance company.

Councilman Redmond: Based on the figures that you just gave us, Mr. Shah are we looking at a penny?

Mr. Shah: 1/3 of a penny.

Councilman Testino: I am shocked at the amount of time that we have spent on this. I don't know if there is any way around us paying for the cleanup other than suing our insurance company. If we went to trial some estimates for the cleanup are 35-40 million dollars. The council had no choice I think that the public needs to know that. We had an environmental problem that we needed to address that was not of this council's making.

Vice-president Butler: Can we recoup any of this from the insurance company.

Attorney Ruggierio: I expect to recoup every dime of this, there are deductibles of course. I am trying to confirm with our insurance company different things with insurance and it entails research into ancient documents. I am going to confirm that before I take a firm position. If I take a wrong position with respect to some carriers allocation then another carrier gets off the hook and I want to make sure that I am right in terms of the positions I am taking on who has to pay what share of this $850,000.00.

Vice-president Butler: So you may recoup the whole thing?

Attorney Ruggierio: That is my plan, except the deductible which may be around $10,000.00.

ORDINANCE FOR SECOND READING

TOWNSHIP OF OLD BRIDGE
ORDINANCE NO. 36-00

Ordinance Authorizing the Submission of the Proposition of Funding and Open Space Preservation Fund
by an Annual Levy to the Public in Referendum at the 2000 General Election

WHEREAS, open space, whether developed for recreational purposes such as sports facilities, or playgrounds, or as undeveloped parks and gardens enhance the quality of life for residents of the Township of Old Bridge and is in the public interest; and

WHEREAS, the N.J.S.A. 40:12-15.7 permits the Township Council to submit to the voters of the Township of Old Bridge a proposition authorizing the imposition of an annual levy for various open space preservation purposes; and

WHEREAS, such proposition must be submitted, by duly adopted Ordinance, to the County Clerk no later than August 25, 2000.

BE IT ORDAINED by the Township Council of the Township of Old Bridge, County of Middlesex, State of New Jersey, as follows:

Section 1. Purpose

This purpose of this Ordinance is to authorize the submission of a proposition to the voters of the Township of Old Bridge for the 2000 General Election authorizing the imposition of an annual levy for various open space preservation purposes.

Section 2: Ordinance

The Clerk of the Township of Old Bridge shall submit to the Middlesex County Clerk the following proposition to be decided by the voters of the Township of Old Bridge in the 2000 General Election:

"Shall the Township of Old Bridge impose an additional annual tax levy of $.02 per $100.00 of assessed real property value for a period of ten (10) years and the amounts raised by such levy be deposited into an "Old Bridge Township Open Space, Recreation and Farmland Preservation Trust Fund" and used exclusively for the following purposes:

1. The acquisition of lands for recreational and conservation purpose;

• The acquisition of farmland for farmland preservation purposes;
  
• The historic preservation of historic properties, structures, facilities, sites, areas, or objects, and the acquisition of such properties, facilities, sites, areas or objects for historic preservation purposes, and
  
• The payment of debt service on indebtedness issued or incurred by the municipality for any of the purposes set forth above.

INTERPRETIVE STATEMENT

The passage of this referendum would establish the "Old Bridge Township Open Space Recreation and Farmland and Historic Preservation Trust Fund". This fund would be used for open space preservation, farmland preservation, historic property preservation and the payment of debt service on indebtedness issued or incurred by the municipality for such preservation purposes. Fund monies may be used for outright acquisition of property or the acquisition of development rights. The fund monies would not be used for salaries, wages, maintenance of property, administrative expenses, office supplies, equipment and the like. The Township would annually levy a tax rate of two (2) cents per $100.00 of total Township assessed real property value for ten (10) tax years. As an example, at the two (2) cent rate, the owner of a property assessed at $125,000.00 would pay an additional $25.00 per year in property taxes.

Section 3. Inconsistent Ordinances

All ordinances or parts of ordinances inconsistent with or in conflict with this ordinance are hereby repealed to the extent of such inconsistency.

Section 4. Partial Invalidity.

If any section, paragraph, clause or provision of this ordinance shall