Minutes: October 18, 2018

Call to Order

The regular meeting of the Vernon Township Municipal Utilities Authority (VTMUA) of the Township of Vernon was convened at 7:00 p.m. on Thursday, October 18, 2018 in the Vernon Municipal Center, 21 Church Street, Vernon, New Jersey.

Statement of Compliance

Adequate notice of this meeting had been provided to the public and the press on February 15, 2018 and was posted on the bulletin board in the municipal building in accordance with the Open Public Meetings Act, N.J.S.A. 10:4-6.

Roll Call

Thomas Buchney (On business)A
John PerryP
Edward SegerP
Edward SnookP
Kristin WheatonA
Paul Kearney Alt #1P
David McDermott Alt #2 (Due to a family obligation)A

Roll Call of Professionals

Executive Director John Scerbo, Attorney Richard Wenner, and Engineer Ceren Aralp were also present.

1. Open the Meeting for Public Comments

Edward Snook moved to open the meeting for public comment.
Paul Kearney seconded the motion.
All were in favor.

2. Close the Meeting to the Public

Seeing no one come forward, Edward Snook moved to close the meeting to the public.
Edward Seger seconded the motion.
All were in favor.

3. Consent Agenda

Resolution 18-43: Authorizing the Payment of Bills for September 20, 2018

Paul Kearney moved to approve the payment of bills.
Edward Seger seconded the motion.

Roll Call Vote:
Ayes: Edward Snook, Edward Segar, Paul Kearney, and John Perry
Nays: None

4. Approval of Minutes

Regular Meeting of September 20, 2018

Edward Seger moved to approve the September 20, 2018 minutes.
Paul Kearney seconded the motion

Discussion: None

Roll Call Vote:
Ayes: Edward Segar, Paul Kearney, and John Perry
Nays: None
Abstention: Edward Snook

5. Approval of Executive Session Minutes

March 16, 2017 (Eligible - Buchney, Perry, Snook, Seger, Wheaton, Kearney)
May 18 2017 (Eligible - Buchney, Perry, Snook, Seger, Wheaton, Kearney)
June 15 2017 (Eligible - Buchney, Snook, Seger, Kearney)
August 17, 2017 (Eligible - Buchney, Perry, Snook, Kearney)
January 18 2018 (Eligible - Buchney, Perry, Snook, Seger, Wheaton, Kearney, McDermott)
February 15, 2018 (Eligible - Buchney, Perry, Snook, Seger, Wheaton, Kearney, McDermott)
August 16, 2018 (Eligible - Perry, Snook, Seger, Wheaton, Kearney, McDermott)
Sept. 20, 2018 (Eligible - Buchney, Perry, Seger, Wheaton, Kearney, McDermott)

Edward Snook moved to table the approval of the executive session minutes to determine who would be eligible to vote.
Paul Kearney seconded the motion

Discussion: None

Roll Call Vote:
Ayes: Edward Snook, Edward Segar, Paul Kearney, and John Perry
Nays: None

6. Other Resolutions

Resolution 18-44: Appointing Risk Management Consultant

Executive Director John Scerbo said this resolution and Resolution 18-45 require the signatures of Attorney Richard Wenner, Recording Secretary Jessi Paladini, and Chairman John Perry. They are the standard required annual resolutions for the purpose of joining the statewide insurance broker. Edward Seger asked if there were other brokers they could use. John Scerbo said there are, and if the commissioners wish to put it out to bid he suggests they do it next year.

Edward Seger made the motion to approve.
Seconded by Edward Snook

Roll Call Vote:
Ayes: Edward Snook, Edward Segar, Paul Kearney, and John Perry
Nays: None

7. Resolution 18-45: Statewide Insurance Fund Appointing Fund Commissioner

The fund commissioner is Chairman John Perry and John Scerbo is the alternate.

Edward Seger made the motion to approve.
Seconded by Edward Snook

Roll Call Vote:
Ayes: Edward Snook, Edward Segar, Paul Kearney, and John Perry
Nays: None

8. Resolution 18-46: 2018 Budget Transfers

The VTMUA is at the point where its budget is showing a shortfall resulting from the Mountain Creek bankruptcy and nonpayment. Mr. Scerbo said he is not purchasing anything unless it is on an emergency basis.

Edward Seger made the motion to approve.
Seconded by Edward Snook

Roll Call Vote:
Ayes: Edward Snook, Edward Segar, Paul Kearney, and John Perry
Nays: None

9. Correspondence: None

10. Auditor’s Report

Mr. Scerbo passed out a letter from the auditor that raises an issue that they need to establish a meeting with town council members and budget representatives. The purpose of the meeting is to make a determination regarding how they are going to go forward to plug the gap in the budget in light of the Mountain Creek bankruptcy. The VTMUA needs to close out its 2018 budget, but they cannot do so because they are lacking money and have a deficit. Mr. Scerbo said the township would be required to fund the difference, and the Department of Community Affairs agrees. They need to discuss with the township how that is going to happen. Mountain Creek owes $918,000 for sewer fees. Part of that goes to the VTMUA and part of it goes to SCMUA.

11. Attorney’s Report

Attorney Richard Wenner said he had repeated unsuccessful attempts in contacting the VFW attorney and would discuss the matter further in executive session.

12. Engineer’s Report

No new applications or old business.

Engineer Ceren Aralp reported she reached out to the BPU but has not heard back from them. She also said she has nothing new to report on the wastewater management plan. She will begin working on the asset management plan and will discuss with Mr. Scerbo how to proceed with it with regard to the budget deficit. Mr. Scerbo said he has to protect the VTMUA finances right now. He said the money from iBank may not be used for any other purposes.

13. Executive Director’s Report

Executive Director John Scerbo reported his wife had fallen ill in the past two weeks and was hospitalized but is now home. She needs further medical care. Unfortunately, Mr. Scerbo himself needs medical attention and will need some time off. He will be out on November 20 and likely some days afterwards.

He also reported they are having difficulty with cell service at Pump Stations #1 and #3. The cellular service and the alarm system are dropping. They are trying to diagnose the problem.

14. Commissioners’ Comments

Edward Seger said he would like to know more about VTMUA costs. He said they really don’t have a tracking on the costs. John Scerbo said that’s not true. He said the commissioners get a list of expenses and budget numbers on a monthly basis that the CFO’s office produces and Mr. Scerbo gives to each of the VTMUA commissioners. The reports tell where the VTMUA stands financially in every account, what has been encumbered, and account balances. Mr. Seger said he would like to follow it more closely.

15. Chairman’s Comments

Chairman John Perry said out of courtesy to John Scerbo and his need for time off for medical reasons he would like to expedite things for him as soon as possible.

Mr. Perry asked for a motion to enter into executive session.

16. Executive Session

WHEREAS, the Open Public Meetings Act, N.J.S.A. 10:4-6 permits the exclusion of the public in certain circumstances; and

WHEREAS, this public body is of the opinion that such circumstances presently exist.

NOW, THEREFORE, BE IT RESOLVED by the Vernon Township Municipal Utilities Authority of the Township of Vernon as follows.

1. The public shall be excluded from discussion of and action upon the hereinafter-specified subject matter.

2. The general nature of the subject matter to be discussed is litigation.

Edward Snook moved to go into executive session at 7:35 p.m.
Edward Seger seconded the motion.

Roll Call Vote:
Ayes: Edward Snook, Edward Seger, Paul Kearney, and John Perry
Nays: None

17. Close Executive Session

Edward Seger moved to close executive session at 7:50 p.m.
Edward Snook seconded the motion.

Roll Call Vote:
Ayes: Edward Snook, Edward Seger, Paul Kearney, and John Perry
Nays: None

18. Return to Public Session

Edward Seger moved to return to public session at 7:50 p.m.
Edward Snook seconded the motion.

Roll Call Vote:
Ayes: Edward Snook, Edward Seger, Paul Kearney, and John Perry
Nays: None

Adjournment

No action was taken after Executive Session when the VTMUA went back onto public session.

Edward Snook moved to adjourn the meeting at 7:51 p.m.
Edward Seger seconded the motion.

Roll Call Vote:
Ayes: Edward Snook, Edward Seger, Paul Kearney, and John Perry
Nays: None

The meeting was adjourned at 7:51 p.m.

The next meeting of the VTMUA will be on November 8, 2018 at 7 p.m. at the senior center.

Transcribed and submitted by Jessica Paladini
Vernon Township MUA Secretary