HOMMA

Question 1

TRUE or FALSE:

Due from State of NJ for Sr. Cit. deductions can be anticipated as a revenue in the current fund budget as non-cash surplus

Answer 1

TRUE

Need approval from DLGS for non-cash surplus.

Question 2

Trust assessment fund cash is first pledged to:

Answer 2

1. Retirement of serial bonds
2. General capital
3. General taxpayers

Question 3

Municipal Library is paid on a ______ Basis

Answer 3

Quarterly Basis

Question 4

TRUE OR FALSE

Budget transfers from the Capital Improvement Fund are not permitted.

Answer 4

True.

Capital improvement is outside CAP, can’t transfer our or in.

Question 5

Corrective Action Plan Consists of:

Answer 5

Finding/Condition; Recommendation; Explanation; Corrective action; Implementation Date

Question 6

When must the Corrective Action Plan must be completed?

Answer 6

60 days of receipt of the audit report

Question 7

Who mails out Local Assessment Bills

Answer 7

Tax Collector

Question 8

Who is the oversight of PERS and PFRS

Answer 8

NJ Department of Treasury

Question 9

Developer escrows with monthly charges over $1,000, CFO is required to:

Answer 9

Provide an accounting statement to the developer on a monthly basis.

Question 10

One tax point is equal to

Answer 10

One tenth-thousandth of the valuation (move decimal over 4 decimal places)

Question 11

LFB can intervene when:

Answer 11

1) Default on bonds
2) Tax collection rate less than 70%
3) Cash deficit of the tax levy in excess of 4% for 2 consecutive years

Question 12

TRUE OR FALSE

Resident requesting to inspect vouchers that were approved for payment at the most recent meeting, Inspection of vouchers must be made available for inspection immediately.

Answer 12

TRUE

Question 13

Financial Disclosure forms if:

Answer 13

Income > 2000
Gifts > 400
Property

Question 14

TRUE OR FALSE:

The supplemental debt statement is filed b/w the 1st and 2nd reading of a bond ordinance:

Answer 14

FALSE

Prior to introduction of the bond ordinance

Question 15

TRUE OR FALSE:

3 different bond ordinances are introduced at 1 public meeting only one supplemental debt statement required.

Answer 15

TRUE

Question 16

TRUE OR FALSE:

The anticipated revenue for receipts from delinquent taxes is limited to the amount of revenue realized in the previous year.

Answer 16

FALSE

It is based on sheet 26

Question 17

TRUE OR FALSE:

ADS is due upon introduction of a bond ordinance.

Answer 17

FALSE

SDS is due upon introduction of a bond ordinance

Question 18

TRUE OR FALSE

Fed single audit is required if fed grant expenditures => 750000.

Answer 18

TRUE

Question 19

TRUE OR FALSE

Cash management plan can be ammended any time

Answer 19

TRUE

Question 20

Net debt =

______ - _______

Answer 20

Gross debt - deductions

Question 21

Liquidity is: security that can be converted into _____

Answer 21

Cash

Question 22

Chairperson of the LFB

Answer 22

Director of DLGS

Question 23

Old escrow accounts escheat to :

Answer 23

State as unclaimed property

Question 24

TRUE OR FALSE

Interest on Utility Assessment Debt is appropriated in the current fund

Answer 24

FALSE

Raised in the utility operating fund

Question 25

``` 2/3 majority vote is required for which of the following: A.Cancelation of appropriations B. Chapter 159 C. Budget Transfer D.Petty cash. ```

Answer 25

C. Budget Transfers

Question 26

TRUE OR FALSE | In regard to use of PC-Cards, under no circumstances may a transaction exceed 15% of municipality bid threshold

Answer 26

FALSE

Question 27

TRUE OR FALSE: Pursuant to budget law, municipalities are permitted to overspend a legal line item appropriation if the overall current fund budget remains in a surplus position.

Answer 27

FALSE

Question 28

When a Municipality that carries statutory excess in reserve for an animal control fund @ YE, what happens to excess?

Answer 28

Excess is due to current fund and recorded as MRNA

Question 29

TRUE OR FALSE: | Director approves Budget

Answer 29

FALSE

Question 30

NJSA 40A:2-27

Answer 30

Public Sale (review statute)

Question 31

TRUE OR FALSE: | The unexpended balance of debt service must be cancelled by resolution and no bids were submitted.

Answer 31

FALSE

Question 32

TRUE OR FALSE: | An emergency note can be issued in anticipation of the collection of taxes in a fiscal year

Answer 32

FALSE | TANs are not emergency notes

Question 33

TRUE OR FALSE: | Capital Budget must be adopted by a majority of the governing body.

Answer 33

FALSE | 2/3's (look into, he's not sure)

Question 34

TRUE OR FALSE: | Municipalities are permitted to negotiate with a vendor, after 2 attempts, responses to bids were too high

Answer 34

True

Question 35

TRUE OR FALSE: If trust assessment fund cash is less than the required budgeted amount to retire debt service, a required appropriation in the CF budget is necessary to cover the deficit.

Answer 35

TRUE

Question 36

The number of miles of roads paved in terms of expenditure would be an example of which type of budgeting:

Answer 36

Performance based budgeting

Question 37

Maturity schedule for bonds does not have to be included in a bond ordinance?

Answer 37

True (this is a multiple choice question on test, not true false) (know contents of bond ordinance)

Question 38

Budget appropriation transfers during the last 2 months of yr, requires what vote:

Answer 38

2/3 of full membership

Question 39

TRUE OR FALSE: | DLGS approval does not need to be included in specs for banking services

Answer 39

True | this is a multiple choice question on test, not true false

Question 40

Prepaid Taxes does not create a deferred charge?

Answer 40

True | this is a multiple choice question on test, not true false

Question 41

Best practices which goes on municipal website? A. Past 3 years of adopted budgets B.CY proposed Budget and most recent financial statements and audits. C. All

Answer 41

ALL

Question 42

Equalized valuation represents:

Answer 42

The true value of all taxable property in the municipality.

Question 43

TRUE OR FALSE: | Derivatives not a permissible investment.

Answer 43

TRUE

Question 44

Budget transfers during last 2 months may not be made to:

Answer 44

Deferred charges, RUT, DP on improvements and CIF

Question 45

Period of usefulness can never exceed:

Answer 45

40 years

Question 46

Borrowing capacity is based on:

Answer 46

NET DEBT

Question 47

TRUE OR FALSE: | Patrol cars are bondable assets.

Answer 47

FALSE | But, Patrol SUVs are.

Question 48

Local Government Bonds may be sold privately, except when the total of bonds is greater than $________

Answer 48

1,000,000

Question 49

Eligible Shared services include:

Answer 49

Joint collection of taxes, joint municipal court, joint solid waste collection/disposal, health services

Question 50

TRUE OR FALSE DLGS must approve: Petty Cash, Change in title and text, dedicated by rider & emergency appropriations in excess of 3% of operating appropriations

Answer 50

TRUE

Question 51

T or F: Dedicated by rider must be accounted for in the current fund.

Answer 51

False

Question 52

T or F: Special improvement district budgets must be approved by the gov body.

Answer 52

True

Question 53

T or F:The budget message does not need to contain an explanation of appropriation and levy caps and a listing of appropriation split by CAP.

Answer 53

False | this was a multiple chouce

Question 54

Correct procedure to adopt a budget:

Answer 54

Intro & Approval, Pub adv, pub hearing, amendments, adv & public hearing on amend (if necessary), adoption

Question 55

If a muni does not have an ethics board:

Answer 55

Local finance board would act as ethics board

Question 56

What is the official budget required to be adopted?

Answer 56

Line item budget

Question 57

T or F: Payment of utility assessment bond principal is recorded as an expenditure in the utility assessment trust fund

Answer 57

True

Question 58

Which is not a proper way to distribute a tax overpayment? Apply to the amount to be raised by taxation

Answer 58

Apply to the amount to be raised by taxation

Question 59

T or F: Town administrator can be enrolled in defined contribution retirement plan (DCRP) as opposed to PERS

Answer 59

TRUE

Question 60

2010 CAP eliminated the add-on increases for the RUT Transitional Aid must demonstrate that user fees have been established for ______ _______, so that taxpayers are not subsidizing ___________ _________.

Answer 60

Discretionary Services Nonessential Programs

Question 61

T or F: Unexpended bond proceeds may not be appropriated to fund additional capital improvement projects with a shorter useful life

Answer 61

TRUE

Question 62

T OR F: Storm recovery reserve can be used for salt and sand purchases, snow removal and salaries and wages.

Answer 62

True

Question 63

The local assessment receivable for each parcel of property falls on the:

Answer 63

tax collector

Question 64

Trust assessment cash is first pledged to:

Answer 64

The retirement of bonds and notes.

Question 65

In what fund is gross utility debt reflected in?

Answer 65

Water capital

Question 66

Method of accounting for transactions:

Answer 66

Modified accrual basis

Question 67

When recording budget entry to set up budget, appropriations are :

Answer 67

Credit

Question 68

T or F: Dedication by rider added to a municipality’s budget must be accounted for in the current fund as opposed to the trust fund

Answer 68

FALSE

Question 69

T or F: Capital budget must be adopted by the majority of the gov body present

Answer 69

FALSE

Question 70

T or F: The summary of notice of a bond sale may not be advertised electronically

Answer 70

TRUE

Question 71

T OR F: Cancelation of a improvement authorization funded completely from the CIF may be returned to the fund balance account

Answer 71

FALSE

Question 72

T or F: 3 lowest bidders security must be returned within 60 days

Answer 72

FALSE

Question 73

Unexpended bond proceeds may not be appropriated to fund additional capital improvement projects with a ______ useful life

Answer 73

Shorter

Question 74

A dedication by rider can be made to budget based upon

Answer 74

The amount of revenue could not be reasonably estimated in advance

Question 75

Regulations concerning fiscal controls are established in:

Answer 75

NJAC 5:30

Question 76

Vote required To adopt budget

Answer 76

Majority vote of full membership of gov body

Question 77

Vote required to pass bond ordinance

Answer 77

2/3 full membership of gov body

Question 78

Vote required for budget transfer

Answer 78

2/3 full membership of gov body

Question 79

Appropriations CAP %

Answer 79

2. 5 % or index rate, whichever is higher. | 3. 5% if resolution passed by gov body

Question 80

When if first BAN payment due? Formula for first BAN Payment? Latest BANs can Mature by?

Answer 80

Due third anniversary date Principal/(life*2)-1 1st day, 5th month, following close of the 10th year (10/1/06 --> 5/1/17)

Question 81

Bond Ordinance Vote

Answer 81

2/3 vote of members of the governing body