Budget Flashcards
AFS due date
2/10
Introduce and Approve Budget
Earliest 1/1
Latest 2/10 (always extended)
Publication date
At least 10 days before hearing
3 days before 2nd hearing (if amended in 1st hearing)
Budget Hearing
28 days after approval
Adopt Budget Date
Earliest: 1/29
Latest: 3/20 *
Trouble Municipality Criteria
Default bond oblig.; state, county or school district unpaid for 2 years, cash deficit of preceding yr > 4% of total tax levy, bonds approp 25% of appropriations,
70% of tax collection
Local Budget Law
NJSA 40A:4-1
What must budget message contain at minimum (page 3c)
Explanation of the cap and a summary of appropriations appearing in both the inside and outside the cap sections for both appropriation CAP & Tax Levy CAP
Municipal Excess Liability System (MEL)
Gov entity that provides excess insurance and services
Contingent Expense appropriation can’t be more than __% of total appropriation’s for operating purposes
3%
Appropriation CAP
pg. 6-20
2.5% of previous yr final approp. or the municipal price deflator index, which ever is less. Can have 3.5% if pass ordinance. Can bank for up to 2 yrs diff b/w final appropr. subject to cap and 3.5%
Exceptions to CAP
Capital Expenditures, Debt Services, RUT, Deferred Charges, Grants, emergency temp appropriations
Public Hearing on Ammendment if:
- Increase or decrease any item of appropriation > 10%
- Increase amount to be raised by 5%
- Add new appropriation > 1% of total Approp
Adoption of Budget Vote
Majority of the full membership.
Not officially adopted w/out cert of approval by director
Filed w/ county bd of taxation
Items on Budget Standardized Worksheet
SOBB
- S and W
- OE
- Budget Info Sheet
- Budget Recapitulation Sheet
Temporary Budget
Adopted by resolution w/in 1st 30 days of CY
Total approp. must not exceed 26.25% of PY total budget approp (-) debt service, CIF, & public assistance
Emergency CY temporary Appropriation Vote
2/3 full memebership
NJSA 40A:4-1
NJAC 5:30
Budget Law
Regulation of the Division and Local Finance Board
Budget Message Minimum
Explanation of CAP
Summary of Appropriations both I/S and O/S of CAP
PERC
Public Employee Relations Commission
– Deals with labor relations for unions (public employee)
40A:4-87
Chapter 159
Resolution needed
Change of title or text
Up to DLGS
Official Budget Transfers
Last two months of year
Resolution: 2/3 FULL majority
No transfer may be made from:
Contingent, Def. Charges, RUT, DP, CIF, interest and redemption charges
Appropriation Reserve Transfers
First 3 months of year
2/3 vote
No transfers from Contingent, CIF, DP
Emergency Appropriation
2/3 vote; 1 year (raised full next year by tax)
Public Health, safety, welfare or temp housing/pub. assist
Financed through surplus or notes
If
Special Emergency (5 Year)
2/3 vote; Finances through surplus or special emergency notes
–Tax Map –Revaluations –Revision and Codification of Ordinance–Master Plans
Special Emergency (3 Year)
Damages to Roads or bridges by snow, ice or frost
Public exigencies caused by civil disturbance
Official Capital budget requirements
Capital Budget represents the CY of either a 3 or 6 year Cap. Improvement Program:
3 year: Population 10K
AFS
Due 2/10
Certified and Filed by CFO to DLGS
Modified Accural system is aka ______
Recognize revenue when _____
Recognize Exoenses when ______
OCBOA
realized in cash
obligation occured
Delinquent Tax Max anticipated amount
Delinquent on 1/1 * % of collection of Delinquent tax
TR =
TL/AV*100
TR means
# of dollars and cents per $100 of AV TL/AV = cents or points 26,000,000/400,000,000=.065 6.5 cents or 6.5 points .065 per $1.00 or 6.5 per $100
Procedures for adopting Budget
Introduce, Advertise, hearing, amendments, adopt
Rules for amendments to budget
No new advertise if change made by director
Can amend before or after hearing and submit to director
New budget hearing if budget amendment:
New item of approp > 1% of total approp
+/- any approp. > 10%
+ amnt to be raised >5%
Must adv and amend 3 days prior to hearing
Emergency Temp Appropriation vote
2/3 full majority ; 26.25% of py approp not including CIF, Public Service, Debt
4 Sections to budget
Operation of local unit (CF)
Operation of Utility
Dedicated Assessment Budget
Dedicated by rider
RUT should at least equal the sum of:
- Current budget approp (except RUT)
- Due to school, county, sate, sp. district
- Any other anticipated expenditure
Capital Budget
Needed if plan to go out for bond
6 yr plan if > 10,000 residents
3 years if
Appropriation limits for donations:
Bd of Fire Commissioners
Fire Co
First Aid
- Bd of Fire - 90 and 30k for each additional
- Fire Co - 25k
3, First Aide - 70K
