Page 6 THE VILLADOM TIMES I • August 28, 2013 Franklin Lakes Borough sets goods and services purchase policy by Frank J. McMahon The Franklin Lakes Council has adopted a policy concerning the purchase of goods and services from borough employees, the mayor and council members, and borough volunteers. The policy prohibits the borough from purchasing goods or services from bor- ough employees, the mayor, members of the council, a business entity owned by an employee or member of the mayor and council, or from any business entity in which an employee or member of the mayor and council has an interest. The policy also prohibits the purchase of goods or services that are related to the department, board, committee, or activities of a volunteer, from a business entity owned by the volunteer, or from a business entity in which the volunteer has an interest. The provisions of this policy also per- tain to the immediate family of a borough employee, volunteer, or member of the mayor and council. Mayor Frank Bivona and the borough council discussed the need for this policy at a recent council meeting because the cur- rent practice of obtaining three proposals for small purchases of goods or services from employee-owned businesses has been found to be cumbersome. During that discussion, several mem- bers of the council voiced concern about the appearance of impropriety that is cre- ated if purchases are made from employee- owned businesses or businesses in which employees have an interest. Councilman Charles Kahwaty said he felt it would be helpful to have a “bright line” rule against it, but Councilman Frank Pedone voiced concern about the impact that such a strict policy might have on local volunteers. “It’s tough enough to get volunteers to coach or to fight fires,” Pedone said, “so why say that volunteers cannot bid on contracts? It could cost us the services of volunteers who are the backbone of the town.” Pedone said he agreed with prohibit- ing the purchase of goods or services from employees, but not from volunteers. Kahwaty said he did not know how many volunteers would be affected by the policy and he added, “If someone consents to be a volunteer to get work down the road that’s not the best motive.” Pedone responded that even one volun- teer would be too many. He suggested that the policy might permit purchases from volunteers as long as the volunteer is not involved in the department making the pur- chase. Bivona voiced the opinion that there should be “zero possibility” for council members to be involved in borough pur- chases, but agreed with Pedone’s sugges- tion to prohibit purchases from employees but permit purchases from volunteers’ busi- Temple (continued from page 4) temple to purchase the property, minus about 49,000 square feet which the temple has subdivided and will retain as a single- family residential lot. The borough will use the land to build housing for people with special needs, which will help satisfy part of the borough’s affordable housing obliga- tion. That contract was conditioned, however, on the state’s approval of the borough’s amended affordable housing spending plan which the borough received on July 3 even though the state had twice notified the bor- ough that it must return any money in its affordable housing trust fund that had been collected more than four years before, and which had not been expended or commit- ted. Bivona said the majority of council felt the borough had met all the requirements nesses if the purchase is not directly related to the department of the volunteer. Councilwoman Paulette Ramsey pointed out, however, that no other sur- rounding town has such an ordinance and those towns prohibit anything that has the appearance of impropriety. Borough Administrator Gregory Hart then suggested how the resolution could be amended to prohibit purchases from employees or members of the governing body while permitting them from busi- nesses owned by volunteers as long as the purchase does not involve the department, board, or committee on which the volun- teer serves. Kahwaty agreed to accept Hart’s sugges- tion, and the five members of the council present at the meeting voted unanimously to pass the resolution adopting the policy. of the definition set by the state to have expended or committed the $1,848,731 bal- ance in the borough’s affordable housing trust fund that the state claimed was at risk of being returned to the state if it was not expended or committed by the July 17, 2012 deadline set by the state. As a result, bor- ough officials decided to proceed with the closing. Donna McBarron, an attorney with the law firm of Jeffrey R Surenian and Asso- ciates, the borough’s affordable housing counsel, sent a letter to COAH on Aug. 2 confirming the borough’s position that the trust fund money had been committed by virtue of the legally enforceable agreement with the temple to spend trust fund monies. According to Borough Attorney William Smith, the Franklin Lakes Council believes the funds to purchase the temple property were, in fact, committed by virtue of the contract that was signed with the temple prior to the July 17, 2012 deadline set by COAH for those funds to be expended or committed.