A. Escrow fees: general provisions.

(1) In addition to the nonrefundable application fees, the applicant shall be required to establish one or more escrow accounts with the Township to cover the cost of professional services in connection with the review of said application, including but not limited to shorthand reporting and transcripts, review, inspection, testimony and reports of the Township Engineer, Township Planner, Township Attorney, Board Attorney and any other professionals whose services are deemed necessary with respect to processing the application by the approving agency in order to assure compliance with the provisions of this chapter. Said escrow fees shall be required for all applications for approval of preliminary and final site plans, preliminary and final subdivision, planned developments and variances of any type.

(2) At the time of submitting an application to the administrative officer for site plan or subdivision review, before either the Board of Adjustment or Planning Board, the applicant shall be required to make a deposit to the escrow account as hereinafter provided and execute an escrow agreement. The escrow agreement shall be in a form approved by the Planning Board Attorney or Attorney for the Board of Adjustment. All fees and escrow deposits must be paid prior to certification by the administrative officer that the application is complete. In the event that the amounts required to be posted by this chapter are not sufficient to cover the Township's professional charges associated with this application, the Planning Board or the Board of Adjustment shall request additional escrow funds.

(3) Following the approval of a major subdivision or site plan and prior to the commencement of construction, the applicant shall be required to make a further deposit to the . escrow account to provide sufficient escrow to pay for anticipated inspection fees and any anticipated additional professional review services.

(4) Whenever an amount of money in excess of $5,000 shall be deposited by an applicant with the Township for professional services employed by the municipality to review applications for development, for municipal inspection fees or to satisfy guarantee requirements, the money, until repaid or applied to the purposes for which it is deposited, including the applicant's portion of the interest earned thereon, except as otherwise provided herein, shall continue to be the property of the applicant and shall be held in trust by the municipality. Money deposited shall be held in escrow. The municipality receiving the money shall deposit it in a banking institution or savings and loan association in this State insured by an agency of the Federal government, or in any other fund or depository approved for such deposits by the state, in an account bearing interest at the minimum rate currently paid by the institution or depository on time or savings deposits. The municipality shall notify the applicant in writing of the name and address of the institution or depository in which the deposit is made and the amount of the deposit. The municipality shall not be required to refund an amount of interest paid on a deposit which does not exceed $100 for the year. If the amount of interest exceeds $100, that entire amount shall belong to the applicant and shall be refunded to him by the municipality annually or at the time the deposit is repaid or applied to the purposes for which it was deposited, as the case may be; except that the municipality may retain for administrative expenses a sum equivalent to no more than 33 1/3% of that entire amount, which shall be in lieu of all other administrative and custodial expenses. [Amended 8-13-1997 by Ord. No. 632-97R]

(5) Payment to professionals chargeable against escrow deposits. (Amended 8-13-1997 by Ord. No. 632-97R]

(a) The Chief Financial Officer of the municipality shall make all of the payments to professionals for services rendered to the municipality for review of applications for development, review and preparation of documents, inspections of improvements or other purposes. Such fees or charges shall be based upon a schedule established by resolution. The application review and inspection charges shall be limited only to professional charges for review of applications, review and preparation of documents and inspections of developments under construction and review by outside consultants when an application is of a nature beyond the scope of the expertise of professionals normally utilized by the municipality. The only costs that shall be added to any such charges shall be actual out of pocket expenses of any such professionals or consultants including normal and typical expenses incurred in processing applications and inspecting improvements. The municipality or approving authority shall not bill the applicant, or charge any escrow account or deposit authorized herein, for any municipal clerical or administrative functions, overhead expenses, meeting room charges, or any other municipal costs and expenses except as provided for in this section, nor shall a municipal professional add any such charges to his bill. If the salary, staff support and overhead for a municipal professional are provided by the municipality, the charge shall not exceed 200% of the sum of the products resulting from multiplying the hourly base salary, which shall be established annually by ordinance, of each of the professionals by the number of hours spent by the respective professional upon review of the application for development or inspection of the developer's improvements, as the case may be. For other professionals the charge shall be at the same rate as all other work of the same nature by the professional for the municipality when fees are not reimbursed or otherwise imposed on applicants or developers.

(b) If the municipality requires of the developer a deposit toward anticipated municipal expenses for the professional services, the deposit shall be placed in an escrow account. The amount of the deposit required shall be reasonable in regard to the scale and complexity of the development. The amount of the initial deposit required shall be established by ordinance. For review of applications of development proposing a subdivision, the amount of the deposit shall be calculated based on the number of proposed lots. For review of applications for development proposing a site plan, the amount of the deposit shall be based on one or more of the following: the area of the site to be developed, the square footage of buildings to be constructed, or an additional factor for circulation intensive sites, such as those containing drive-through facilities. Deposits for inspection fees shall be established in accordance with § 165-49A(8).

(6) Each payment charged to the deposit for review of applications, review and preparation of documents and inspection of improvements shall be pursuant to a voucher from the professional, which voucher shall identify the personnel performing the service, and for each date the services performed, the hours spent to 1/4 hour increments, the hourly rate and the expenses incurred. All professionals shall submit vouchers to the Chief Financial Officer of the municipality on a monthly basis in accordance with schedules and procedures established by the Chief Financial Officer of the municipality. If the services are provided by a municipal employee, the municipal employee shall prepare and submit to the Chief Financial Officer of the municipality a statement containing the same information as required on a voucher, on a monthly basis. The professional shall send an informational copy of all vouchers or statements submitted to the Chief Financial Officer of the municipality simultaneously to the applicant. The Chief Financial Officer of the municipality shall prepare and send to the applicant a statement which shall include an accounting of funds listing all deposits, interest earnings, disbursements and the cumulative balance of the escrow account. This information shall be provided on a quarterly basis, if monthly charges are $1,000 or less, or on a monthly basis if monthly charges exceed $1,000. If an escrow account or deposit contains insufficient funds to enable the municipality or the approving authority to perform required application reviews or improvement inspections, the Chief Financial Officer of the municipality shall provide the applicant with a notice of insufficient escrow or deposit balance. In order for work to continue on the development or the application, the applicant shall within a reasonable time period post a deposit to the account in an amount to be agreed upon by the municipality or approving authority and the applicant. In the interim, any required health and safety inspections shall be made and charged back against the replenishment of funds. [Amended 8-13-1997 by Ord. No. 632-97R]

(7) The following close-out procedure shall apply to all deposits and escrow accounts and shall commence after the Board has granted final approval and signed the subdivision plat or site plan, in the case of application review escrows and deposits, or after the improvements have been approved, in the case of improvement inspection escrows and deposits. The applicant shall send written notice by certified mail to the Chief Financial Officer of the municipality and the governing body and to the relevant municipal professional, that the application or the improvements as the case may be, are completed. After receipt of such notice, the professional shall render a final bill to the Chief Financial Officer of the municipality within 30 days, and shall send a copy simultaneously to the applicant. The Chief Financial Officer of the municipality shall render a written final accounting to the applicant on the uses to which the deposit was put within 45 days of receipt of the final bill. Any balances remaining in the deposit or escrow account, including interest shall be refunded to the developer along with the final accounting. [Amended 8-13-1997 by Ord. No. 632-97R]

(8) All professional charges for review of an application for development, review and preparation of documents or inspection of improvements shall be reasonable and necessary, given the status and progress of the application or construction. Review fees shall be charged only in connection with an application for development presently pending before the approving authority or upon review of compliance with conditions of approval, or review of requests for modification or amendment made by the applicant. A professional shall not review items which are subject to approval by any state governmental agency and not under municipal jurisdiction except to the extent consultation with a state agency is necessary due to the effect of state approvals in the subdivision or site plan. Inspection fees shall be charged only for actual work shown on a subdivision or site plan or required by an approving resolution. Professionals inspecting improvements under construction shall charge only for inspections that are reasonably necessary to check the progress and quality of the work and such inspections shall be reasonably based on the approved development plans and documents. [Amended 8-13-1997 by Ord. No. 632-97R]

(9) If the municipality or approving authority retains a different professional or consultant in the place of the professional originally responsible for development, application review or inspection of improvements, the municipality or the approving authority shall be responsible for all time and expenses of the new professional to become familiar with the application or the project, and the municipality shall not bill the applicant or charge the deposit or the escrow account for any such services. [Added 8-13-1997 by Ord. No. 632-97]

(10) For purposes of this section, the annual professional services agreement entered into with the professional shall constitute the schedule required pursuant to § 165-14A(5)(a). [Added 8-13-1997 by Ord. No. 632-97R]

(11) Dispute resolution procedure. [Added 8-13-1997 by Ord. No. 632-97R]

(a) An applicant shall notify in writing the governing body with copies to the Chief Financial Officer, and the professional whenever the applicant disputes the charges made by a professional for services rendered to the municipality in reviewing applications for development, review and preparation of documents, inspection of improvements or other charges. The governing body or its designee shall within a reasonable time period attempt to remediate any disputed charges. If the matter is not resolved to the satisfaction of the applicant, the applicant may appeal to the County Construction Board of Appeals any charge to an escrow account or a deposit by any municipal professional or consultant, or the cost of installation of improvements estimated by the Municipal Engineer. An applicant or his authorized agent shall submit the appeal in writing to the County Construction Board of Appeals. The applicant or his authorized agent shall simultaneously send a copy of the appeal to the municipality and any professional whose charge is the subject of the appeal. An applicant shall file an appeal within 45 days from receipt of the informational copy of the professional's voucher, except that if the professional has not supplied the applicant with an informational copy of the voucher, then the applicant shall file his appeal within 60 days from receipt of the municipal statement of activity against the deposit or escrow account. An applicant may file an appeal for an ongoing services of charges by a professional during a period not exceeding six months to demonstrate that they represent a pattern of excessive or inaccurate charges. An applicant making use of this provision need not appeal each charge individually.

(b) The County Construction Board of Appeals shall hear the appeal, render a decision thereon, and file its decision with a statement of the reasons therefor with the municipality not later than 10 business days following the submission of the appeal, unless such period of time has been extended with the consent of the applicant. The decision may approve, disapprove, or modify the professional charges appealed from. A copy of the decision shall be forwarded by certified or registered mail to the party making the appeal, the municipality and the professional involved in the appeal. Failure by the Board to hear an appeal and render and file a decision thereon within the time limits prescribed in this subsection shall be deemed a denial of the appeal for purposes of a complaint, application or appeal to a court of competent jurisdiction.

(c) During the pendency of any appeal, the municipality shall continue to process, hear and decide the application for development, and to inspect the development in the normal course, and shall not withhold, delay, or deny reviews, inspections, signing of subdivision plats or site plans, the reduction or the release of performance or maintenance guarantees, the issuance of construction permits or certificates of occupancy or any other approval or permit because an appeal has been filed or is pending under this section. The Chief Financial Officer of the municipality may pay charges out of the appropriate escrow account or deposit for which an appeal has been filed. If a charge is disallowed after payment, the Chief Financial Officer of the municipality shall reimburse the deposit or escrow account in the amount of any such disallowed charge or refund the amount to the applicant. If a charge is disallowed after payment to a professional or consultant who is not an employee of the municipality, the professional or consultant shall reimburse the municipality in the amount of any such disallowed charge.

B. No application for development shall be deemed complete unless and until an Escrow Fee Agreement has been signed by the applicant and submitted to the Administrative - -- -- Of.;ce:-together-with -the _nonrefundable application fees required in § 165-13 and the escrow fees required therein. [Amended 8-13-1997 by Ord. No. 632=978 3=25=1998-by-- - -Ord. No. 646-98]

C. Reserved. [Repealed 8-13-1997 by Ord. No. 632-97R]