Codey Reinstated as Borough Administrator

Corrections: While Borough Council President Jeannie Tsukamoto said the council and administration would be implementing changes to save money, it wasn't clear how many other council members support the possible cost-saving measures and whether they would actually be approved.

Madison is in Legislative District 27.

Ray Codey has been reinstated as Madison's borough administrator after spending more than three weeks in employment limbo.

The Madison Borough Council voted unanimously Wednesday night to reinstate Codey as borough administrator after officials identified alternative "management actions" that could lead to savings in the 2012 budget.

His reinstatement was met with applause from supporters who filled Council Chambers in for the special budget meeting.

Borough Council President Jeannie Tsukamoto said she expected management actions involving personnel or contracts would be coming in the near future to obtain savings comparable to those that were projected to be realized from cutting Codey. She said she discussed implementing the actions with Codey, and that Codey is very supportive of many of the ideas.

"Certainly we're going to do something in the very near future to make sure that we have recurring savings close to $200,000," Tsukamoto said. It wasn't clear how many other council members actually support the possible measures.

Those actions were discussed in executive session on Wednesday, but aren't yet able to be discussed publicly, Tsukamoto said.

Codey was not at the meeting, but Mayor Robert Conley said he spoke with Codey about returning to work, and Codey was prepared to return Thursday morning.

The resolution Wednesday also restores the assistant borough administrator position held by Jim Burnet, who was to assume Codey's responsibilities without a pay increase. In 2011, Codey was the highest-paid borough employee, earning about $154,000. Burnet earned $95,000.

The move to reinstate Coday followed an outcry from residents over .

So many people attended the March 12 Borough Council meeting to discuss the council's decision the remove Codey the meeting was moved to the across the street. More than a dozen residents, including current and former elected officials, protested Codey's dismissal at that meeting, while no one spoke in favor of the change.

Burnet, who had , at Wednesday's meeting provided a document that listed more than $1.6 million in items he said were savings derived from Madison's combined "BA / ABA" team, from actions such as changing to the state health insurance plan, creating the joint court and hiring dispatchers to have more officers on patrol.

He also stressed the role he said administrators play in recruiting and retaining corporations in town, and in negotiating contracts and settlements.

Tsukamoto said in her comments "many residents were not in favor of reducing an administrator position" and the council wanted "more time" to review and discuss the 2012 spending plan, which is why they at the March 12 meeting.

After seconding Councilman Don Links' motion to discuss the resolution to reinstate Codey on Wednesday, Tsukamoto said she had spoken with Codey the day before, including about the possible management actions.

Some identified savings were discussed publicly. About $30,000 was derived from refining health insurance and pension numbers in the preliminary budget, which is expected to be introduced on Monday, and another $23,000 in savings was realized by scrapping an appropriation for a new, part-time DPW employee. Hiring a part-time employee would have violated a collective bargaining agreement that would have required the new hire to work full time, Burnet said.

Conley credited the council with listening to residents, changing their course and recognizing the importance of good management.

Madison resident Bill Cole, who had said he was interested in recalling council members who voted to dismiss Codey, said the council's actions Wednesday meant his recall plans would be suspended.

Councilman Dr. Vincent Esposito and Councilwoman Carmela Vitale, who voted against removing Codey, thanked residents who attended meetings.

Vitale said recent weeks were an "emotional roller coaster for most of us and an educational experience as well."

Vitale said she would love to see the public input continue.

Links also thanked members of the public for expressing their views, and said he appreciates factual debates. But he said he was concerned by what he saw as personal attacks on some council members and some of their families.

He previously said he was offended that people would suggest the council voted to remove Codey last month for political reasons. Codey, a borough resident and administrator since 2007, is the cousin of Democratic state senator and former New Jersey Gov. Dick Codey. Dick Codey represents Madison and other District 27 towns in the state senate.

Councilman Robert Catalanello said his goal is to ensure people living in Madison don't have to leave because they can't afford the taxes. He said he was tired of what he sees as reckless spending and inadequate investments in the town's aging infrastructure.

"It seems we spent recklessly from surplus" and the spending caught up with the borough in the form of a negative watch from S&P, he said in his comments.

An S&P representative, in a recent discussion with him, Conley, Tsukamoto and Burnet, said the rating agency noted Madison has been spending down its surplus, Catalanello said.

Tsukamoto said the budget situation stems from a need to limit the tax hike, avoid water and electric rate increases and maintain services, while providing a significant appropriation for capital projects.

"We can no longer count on drawing down surplus or delaying payments," she said. "We can no longer focus on the current year in isolation without projecting our financial health over the next few years."

Councilman Robert Landrigan said he wasn't happy with what happened over the last few weeks, including the flow of information to the town and to the council.

"Do I think this meeting happening tonight is necessary? Absolutely," he said. "I believe this meeting should have happened a month ago."