APPENDIX 30. MUNICIPAL SERVICES ACT Section 40:67-23.2 Definitions. 40:67-23.3 Services to be provided by municipalities. 40:67-23.4 Required insurance riders. 40:67-23.5 Reimbursement agreements. 40:67-23.6 Reimbursement schedule. 40:67-23.7 Dedication of streets for public use required. 40:67-23.8 Provision of additional services primarily serving public purpose. 40:67-23.2. Definitions. For the purposes of this act: a. “Condominium” means the form of real property ownership provided for under the “Condominium Act,” P.L. 1969, c. 257 (C. 46:8B-1 et seq.); b. “Cooperative” means a housing corporation or association wherein the holder of a share or membership interest in the corporation or association is entitled to possess and occupy, for dwelling purposes, a house, apartment, or other unit of housing owned by the corporation or association, or to purchase a unit of housing constructed or erected by the corporation or association; c. “Fee simple community” means a private community which consists of individually owned lots or units and provides for common or shared elements or interests in real property; d. “Horizontal property regime” means the form of real property ownership provided for under the “Horizontal Property Act,” P.L. 1963, c. 168 (C. 46:8A-1 et seq.); e. “Qualified private community” means a residential condominium, cooperative, fee simple community, or horizontal property regime, the residents of which do not receive any tax abatement or tax exemption related to its construction, comprised of a community trust or other trust device, condominium association, homeowners’ association, or council of coowners, wherein the cost of maintaining roads and streets and providing essential services is paid for by a not- for-profit entity consisting exclusively of unit owners within the community. No apartment building or garden apartment complex owned by an individual or entity that receives monthly rental payments from tenants who occupy the premises shall be considered a qualified private community. No “proprietary campground facility,” as defined in section 1 of P.L.1993, c.258 (C.45:22A-49), shall be considered to be a qualified private community. Adopted. L. 1989, c. 299, §1, effective January 12, 1990, and shall remain inoperative until January 1, 1991. Amended. L. 1993, c. 258, §10, effective August 16, 1993. 40:67-23.3. Services to be provided by municipalities. a. Except as otherwise provided in subsection b. of this section, the governing body of every municipality shall reimburse a qualified private community for the following services as provided in sections 4 and 5 of P.L.1989, c.299 (C.40:67-23.5 and C.40:67-23.6) or provide the following services within a qualified private community in the same fashion as the municipality provides these services on public roads and streets: (1) Removal of snow, ice and other obstructions from the roads and streets; APPENDIX 30 (2) Lighting of the roads and streets, to the extent of payment for the electricity required, but not including the installation or maintenance of lamps, standards, wiring or other equipment; and (3) Collection of leaves and recyclable materials along the roads and streets and the collection or disposal of solid waste along the roads and streets. b. Nothing in P.L.1989, c.299 (C.40:67-23.2 et seq.) shall require a municipality to operate any municipally owned or leased vehicles or other equipment, or to provide any of the services enumerated in subsection a. of this section, upon, along or in relation to any road or street in a qualified private community which either (1) is not accepted for dedication to public use or (2) does not meet all municipal standards and specifications for such dedication, except for width. c. The Director of the Division of Local Government Services in the Department of Community Affairs, for the purpose of calculating the allowable operating appropriations before exceptions pursuant to section 2 of P.L.1976, c.68 (C.40A:4-45.2), shall provide a cap base adjustment to the total general appropriations of the local budget year prior to the year in which the services are first provided by the municipality for the full amount appropriated pursuant to P.L.1989, c.299 (C.40:67-23.2 et seq.). Adopted. L. 1989, c. 299, §2, effective January 12, 1990, and shall remain inoperative until January 1, 1991. Amended. L. 1993, c. 6, §1, effective January 14, 1993. 40:67-23.4. Required insurance riders. A qualified private community shall be required to pay the cost of any insurance riders required by the municipality to enable municipal vehicles to operate on private roads and streets within the qualified private community. Adopted. L. 1989, c. 299, §3, effective January 12, 1990, and shall remain inoperative until January 1, 1991. 40:67-23.5. Reimbursement agreements. a. As provided in section 5 of this act [40:67-23.6] and in lieu of providing some or all of the services set forth in section 2 of this act [40:67-23.3], a municipality shall enter into a written agreement to annually reimburse the qualified private community in an amount not to exceed the cost that would be incurred by the municipality in providing those services directly. b. The amount to be reimbursed to the qualified private community shall be used by the qualified private community to pay for the service which the municipality chooses not to provide, and that amount shall be the actual cost to the qualified private community of providing that service, but not exceeding the amount which the municipality would have expended on that service if it were provided directly by the municipality to the qualified private community. c. An agreement entered into pursuant to this section shall provide for an accounting by the qualified private community of the use of the money paid over to it by the municipality, and for the refunding to the municipality of any payments in excess of the amounts actually expended or contractually committed by the qualified private community during the accounting period in order to provide for the services covered by the agreement. Adopted. L. 1989, c. 299, §4, effective January 12, 1990, and shall remain inoperative until January 1, 1991. 40:67-23.6. Reimbursement schedule. a. Pursuant to a reimbursement agreement entered into in lieu of providing some or all of the services set forth in section 2 of P.L.1989, c.299 (C.40:67-23.3), the municipality shall reimburse the qualified private community for a portion of the cost of providing services commencing in local budget year 1993 for municipalities operating on a calendar MUNICIPAL SERVICES ACT year basis and in local budget year 1994 for municipalities operating on a fiscal year basis in the following manner: 1993 or 1994, as appropriate,...... 20% of the total cost of services in 1993 or 1994, as appropriate 1994 or 1995, as appropriate,...... 40% of the total cost of services in 1994 or 1995, as appropriate 1995 or 1996, as appropriate,...... 60% of the total cost of services in 1995 or 1996, as appropriate 1996 or 1997, as appropriate,...... 80% of the total cost of services in 1996 or 1997, as appropriate The total cost of services in each local budget year shall be determined pursuant to section 4 of P.L.1989, c.299 (C.40:67-23.5). In local budget year 1997 or 1998, as appropriate, and for each local budget year thereafter, the municipality shall either provide the services pursuant to section 2 of P.L.1989, c.299 (C.40:67-23.3) or enter into a written agreement to annually reimburse the qualified private community in full pursuant to section 4 of P.L.1989, c.299 (C.40:67-23.5). b. Notwithstanding the schedule set forth in subsection a. of this section, any municipality that entered into a reimbursement agreement prior to January 1, 1993, shall be permitted to continue in accordance with the schedule in that reimbursement agreement. c. Appropriations by a municipality during the phase-in period in conformance with the implementation schedule set forth in subsections a. or b. of this section shall be considered appropriations mandated by State statute for the purposes of subsection cc. of section 3 of P.L.1976, c.68 (C.40A:4-45.3). The Director of the Division of Local Government Services in the Department of Community Affairs, for the purpose of calculating the allowable operating appropriations before exceptions, shall provide a cap base adjustment to the local budget year in which the 100% level is reached for the full amount appropriated pursuant to P.L.1989, c.299 (C.40:67-23.2 et seq.). Adopted. L. 1989, c. 299, §5, effective January 12, 1990, and shall remain inoperative until January 1, 1991. Amended. L. 1993, c. 6, §2, effective January 14, 1993. 40:67-23.7. Dedication of streets for public use required. A municipality shall be required to accept for dedication for public use, by a qualified private community, any road or street within the community that conforms to municipal specifications for public roads and streets. Adopted. L. 1989, c. 299, §6, effective January 12, 1990, and shall remain inoperative until January 1, 1991. 40:67-23.8. Provision of additional services primarily serving public purpose. Nothing in this act shall prevent a municipality from providing additional services, that primarily serve public purposes, to the residents of a qualified private community. The governing body of any municipality which prior to the operative date of this act has enacted an ordinance providing all the services or reimbursement provided by this act to a qualified private community may repeal the ordinance and implement the provisions of this act. Nothing in this act shall be construed as abrogating or superseding any agreement in effect pursuant to such an ordinance prior to the operative date of this act. Adopted. L. 1989, c. 299, §7, effective January 12, 1990, and shall remain inoperative until January 1, 1991.