Current through Register Vol. 56, No. 18, September 16, 2024
(a) This rule establishes procedures
applicable to the introduction and adoption of budgets for authorities other
than fire districts.
(b) The
governing body shall introduce and approve its annual budget by resolution,
passed by not less than a majority of the full membership.
(c) The budget shall set forth all the
anticipated revenues of the authority, including the following, where
applicable in comparison to the prior year:
1. Unrestricted net position that shall not
exceed the amount of working capital reduced by unrestricted assets not
ordinarily convertible into cash; or the estimated year-end balance of
unrestricted net position, whichever is the lower;
2. Rents, fees, and other charges that are
reasonably expected to be realized from users of facilities and/or services
provided by the authority;
3.
Amounts expected to be received from local unit or units pursuant to financing
agreements with respect to use, services, or provisions of a project, facility,
or public improvement of an authority or payments for debt service
therefor;
4. Interest on
investments and deposits (investments, certificates of deposit, savings
accounts, etc.) held for operating purposes as opposed to other
purposes;
5. Other income,
consisting of amounts reasonably expected to be collected from regular and
recurring sources;
6. Amounts
reasonably expected to be collected from unrestricted grants that may be used
to finance budget appropriations; and
7. Total anticipated revenues.
(d) The budget shall set forth all
of the appropriations of the authority including the following, where
applicable for the current and prior year:
1.
Administrative and operating expenses, including personnel salary and wage and
fringe benefits, as well as maintenance and repair of facilities and
improvements;
2. Provision for bond
principal maturing during the budget year;
3. Provision for note principal maturing
during the budget year;
4.
Provision for future plant reconstruction and replacement, consisting of
amounts determined by management to provide a reserve fund for future fund for
future plant reconstruction and replacement;
5. Contribution to the Public Employees'
Retirement System;
6. Contribution
to the Social Security System;
7.
Contribution to the Unemployment Compensation Insurance fund;
8. Addition to the Renewal and Replacement
and Operations and Maintenance Reserves;
9. Provision for interest accruing during the
fiscal year on debt issued and outstanding;
10. Provision for deficit of the preceding
fiscal year and anticipated deficit of the current fiscal year;
11. Provision for amortization of intangible
assets;
12. Provision for
uncollectible accounts;
13. Capital
outlay for property, plant, and equipment acquisitions expected to be paid from
the operating budget;
14.
Unrestricted net position utilized; and
15. Total appropriations.
(e) The authority shall transmit
three certified copies of the budget to the Director at least 60 days prior to
the end of the current fiscal year, together with all relevant information and
documentation as prescribed in this section or as otherwise may be required by
the Director. Upon implementation of the Financial Automation Submission
Tracking (FAST) system, or such other automated system as may be implemented by
the Director, the authority shall electronically submit the certified budget to
the Director at least 60 days prior to the end of the current fiscal year,
together with all relevant information and documentation as prescribed in this
section or as otherwise may be required by the Director. The Director shall
have the discretion to require the submission of one or more certified paper
copies of the budget, together with all relevant information and documentation
as prescribed in this section or as otherwise may be required by the Director,
parallel to electronic submission.
(f) The following information and
documentation shall accompany the budget:
1.
A computation of the projected balance of unrestricted net position;
2. The schedule of rates, fees, and charges
in effect or proposed and computation of revenue reasonably expected to be
realized;
3. A computation of the
budgeted provision for doubtful accounts, including the method utilized and the
percentage to billings, compared with the most recent moving average of
uncollectible accounts to billings.
4. A computation of the amount of the
budgeted provision for future plant reconstruction or replacement.
5. Summary of applicable provisions of
service agreements and computation of amount due from each local unit and total
amount due under such provisions;
6. Computation or explanation of amounts
expected to be realized from other sources accompanied by copies of grant
agreements or other applicable agreements, if any;
7. Schedule of debt service (principal and
interest) for the prior adopted budget year, current proposed budget year, and
at least the next succeeding five years; and
8. Computation of an anticipated deficit or
net income for the current year.
(g) No authority budget shall be finally
adopted until the Director shall have approved the same. Final budget adoption
shall be by resolution passed by a majority of the full membership of the
authority governing body.
(h) The
budget shall be adopted not later than the beginning of the authority's fiscal
year, except that the governing body may adopt or amend the budget at any time
after the Director shall have approved the same.
1. Two certified copies of the budget as
adopted shall be transmitted by the authority to the Director within three days
after adoption. Upon implementation of the FAST system, or such other automated
system as may be implemented by the Director, the authority shall
electronically submit the certified budget, as adopted, to the Director within
three days after adoption. The Director shall have the discretion to require
the submission of one or more certified paper copies of the adopted budget,
together with all relevant information and documentation as prescribed in this
section or as otherwise may be required by the Director, parallel to electronic
submission.
2. One certified copy
of the budget as adopted shall be transmitted by the authority to each local
unit within three days after adoption.
(i) Upon adoption, the budget shall
constitute an appropriation for the purposes stated therein for the purposes of
the authority.
