[HISTORY: Adopted by the Mayor and Council of the Borough of Chester as indicated in article histories. Amendments noted where applicable.]
[Adopted by Ord. No. 82-12]
The following terms shall have the following meanings:
COMMISSIONER
State Commissioner of Insurance.
LIEN
Any lawful lien, including liens for taxes, special assessments, municipal charges, demolition and clearance costs and interest thereon arising by operation of law against real property in favor of the borough.
PUBLIC OFFICER
The Tax Collector, Borough of Chester.
REAL PROPERTY
Improved property upon which there is erected any residential, commercial or industrial building or other structure.
SPECIAL LIEN
A lien upon fire insurance proceeds created pursuant to this article and Chapter 184 of the laws of 1979.
No insurance company shall pay to or on behalf of any insured or other claimant any claim in excess of $2,500 for fire damage to or upon any real property located within the Borough of Chester pursuant to any fire insurance policy issued or renewed after the effective date of this section until such time as all taxes and assessments and all other municipal liens or charges due and payable shall have been paid by the owner of such real property or by the insurance company concerned. Except as otherwise herein set forth, the claim of the borough shall constitute a special lien against the proceeds of any such fire insurance policy and shall, as to such proceeds, be prior to all other liens and claims except the claim of any mortgagee of record named in such policy to the extent provided by law.
The provisions of this section shall not be deemed to or construed to alter, impair or affect the right of the Borough of Chester to acquire or enforce any other municipal lien against property as may otherwise be provided by law, but shall be in addition to any other such provision.
Any insurance company issuing fire insurance policies in the Borough of Chester is authorized to require prior to the payment of any such claim for fire damage in excess of $2,500 to any claimant for loss to real property therein, to pay to the municipality the amount of the liens for taxes, assessments or charges appearing on an official certificate of search pursuant to N.J.S.A. 54:5-12 as may be certified to the insurance company and the insured owner of the real property concerned by the public officer, such certificate of search to be without cost, fee or charge and to be provided to both the insurance company and the insured owner of the real property upon the written request of either within not more than five business days after receipt of such request; provided, however, that if an appeal is taken on the amount of any lien or charge, other than an appeal on the assessed valuation of real property pursuant to N.J.S.A. 54:3-21, the insurance company shall withhold 75% of the full amount of the lien or charge being contested pending termination of all proceedings, at which time such moneys, together with interest accruing thereon at the prevailing lawful rates for savings accounts, shall be disbursed in accordance with the final order or judgment of the court.
Notwithstanding any other provision of this section, the Mayor and Council of the Borough of Chester may at any time enter into an agreement with the owner of any fire damaged property to pay in full all delinquent taxes, assessments or other municipal liens by installments pursuant to N.J.S.A. 54:5-19 or for the redemption of the tax sale lien by installment payments pursuant to Article 7 of Chapter 5 of Title 54 of the Revised Statutes, if the Mayor and Council are satisfied that the claim for fire damages is to be used to restore or improve the fire damaged property. An insurance company receiving a certified copy of a resolution of agreement from the Mayor and Council of the borough is authorized to make full payment on the claim to the insured person.
The Clerk of the Borough of Chester is hereby authorized and directed to file a certified copy of this section with the State Commissioner of Insurance immediately upon its final adoption in accordance with law, by certified mail with return receipt obtained.
This section shall take effect after final reading and publication in accordance with law and upon filing thereof with the Commissioner, as shown in the certified mail return receipt therefor, which shall be deemed the effective date hereof.
[Adopted 3-7-2023 by Ord. No. 2023-01[1]]
[1]
Editor's Note: This ordinance was originally adopted as Chapter 183 but was renumbered to avoid duplicate numbering and to maintain the organizational structure of the Code.
A. 
The owner of a business or the owner of a rental unit or units, other than a multifamily home as set forth below, shall be required to maintain liability insurance for all negligent acts and omissions in an amount of no less than $500,000 for combined property damage and bodily injury to or death of one or more persons in any one accident or occurrence.
B. 
The owner of a multifamily home which is four or fewer units, one of which is owner-occupied, shall maintain liability insurance for negligent acts and omissions in an amount of no less than $300,000 for combined property damage and bodily injury to or death of one or more persons in any one accident or occurrence.
A. 
Any owner of a business or rental unit(s) required to maintain insurance as set forth in this article is required to register the certificate of such insurance coverage with the Borough Clerk as follows:
(1) 
Within 30 days of the date this article takes effect.
(2) 
Within 30 days of the date of establishment of said business or rental unit(s) within the Borough of Chester.
(3) 
On or before January 15 or each year following enactment of this article.
B. 
A new certificate will be required annually for each calendar year. All certificates shall be renewed no later than January 15 of each year. It shall be the responsibility of any owner conducting, operating, or engaging in any business covered by this requirement to apply for a certificate at the office of the Borough Clerk.
A. 
Any business owner, rental unit owner, or owner of a multifamily home that is four or fewer units, some of which is owner-occupied, located within the Borough of Chester shall file a completed municipal insurance registration form and certificate of insurance with the Borough Clerk and shall pay the required fee.
B. 
The Borough Clerk shall issue a municipal insurance registration certificate to any owner who files a completed municipal insurance registration form with a certificate of insurance demonstrating the required coverage and pays the required fee.
C. 
Upon receipt of the requirements of this section, the municipal insurance registration certificate shall be issued along with a copy of the completed municipal insurance registration form with an acknowledgement by the Borough Clerk that is has been properly filed.
A. 
In the event that two or more businesses occupy the same location, the owner shall be required to complete a separate municipal insurance registration form and obtain a separate certificate for each business.
B. 
In the event that the same owner conducts businesses at two or more locations, a separate business registration form and certificate shall be required for each location.
Every owner having a municipal insurance registration certificate for a business or rental unit or multifamily home of four or fewer units, one of which is owner-occupied, that ceases to operate, changes the principal activity in which it is engaged, changes its location and/or locations in the municipality, moves out of the municipality or changes owners and/or managers must submit written notice to the Borough Clerk within 30 days of such change. In the event of cessation of business or moving out of the municipality, the person having the certificate for a business must provide the names, address and home telephone number of the person or principal officer of the business to the Borough Clerk within 30 days of such event.
Issuance of a municipal insurance registration certificate by the Borough Clerk does not evidence compliance with other applicable rules, regulations, ordinances and statutes of the municipality, county and State of New Jersey, or other regulatory agencies having jurisdiction over the activities of the certificate holder.
The annual fee for registration of the certificate of insurance pursuant to this article is as set forth in Chapter 127 of the Borough Code. The fee is due at the time the certificate of insurance is to be registered with the Borough Clerk.
If the owner of a business or rental unit(s) subject to the registration requirements of this article is found to be in violation of these provisions, a fine of not less than $500 but no more than $5,000 may be assessed against the same through a summary proceeding in accordance with the provisions of in N.J.S.A. 2A:58-10 et seq.