N.J. Admin. Code § 6A:26-3.11

Current through Register Vol. 56, No. 12, June 17, 2024

Section 6A:26-3.11 - Initiation of other capital projects

(a) Other capital projects shall be reviewed by the Division based on the following criteria:

1. Whether they are consistent with the school district's approved LRFP;

2. The total amount of funds the school district intends to expend to complete the other capital project;

3. The type of facility to be constructed; and

4. Whether the facility, if it is to house students, conforms to educational adequacy requirements at 6A:26-5.2.

(b) Other capital projects that require educational adequacy reviews are subject to the provisions of N.J.A.C. 6A:26-5. Land acquisition projects shall be reviewed pursuant to N.J.A.C. 6A:26-7. Other capital projects shall conform to all other applicable statutes and regulations, including N.J.S.A. 18A:18A-1.1 et seq.

(c) A school district may annually transfer by district board of education resolution an unbudgeted fund balance up to one percent of the school district's annual budget certified for taxes or $ 50,000, whichever is higher, to capital outlay to fund other capital projects, except land acquisition projects, that received approval in accordance with (a) and (b) above. Once it exceeds the annual maximum-transfer amount, the school district shall receive approval for local funding for other capital projects as set forth below.

1. If the school district determines to issue school bonds to fund all or any part of the local funding, the school district shall proceed in accordance with (c)2 or 3 below, as applicable, and (c)4 below. If the school district determines to fund the entire local funding through a means other than school bonds, it shall obtain approval of necessary line-items in the budget, obtain separate approval of the expenditure of local funds, and make withdrawals from capital reserve in accordance with 6A:23A-4.1. A school district also may fund the local funding for additions or improvements to an existing facility or equipment through a lease-purchase agreement not in excess of five years' duration if the school district obtains voter or board of school estimate approval of the lease-purchase agreement in accordance with 18A:20-4.2(f) and N.J.A.C. 6A:26-10.

2. Whenever the district board of education in a Type I or Type II school district having a board of school estimate shall determine it is necessary to sell school bonds to raise money for the local funding for an other capital project, it shall estimate by district board of education resolution the amount necessary to be raised for such other capital project(s), itemizing the estimate to make it readily understandable. The district board of education secretary shall certify to each member of the school district's board of school estimate a copy of the resolution. The resolution shall include the amount needed to be raised by school bonds. If the board determines to use a combination of school bonds and other funding sources, the resolution shall also include the portion of the local funding to be raised through other funding sources, listing separately each source and the amount from the source. Gifts, grants, other private sources, and municipal surplus shall also be listed but only for informational purposes of evidencing their portion of total costs and not for authorizing their use.

3. Whenever the undertaking of an other capital project(s) to be funded by the proceeds of a school bonds issue is to be submitted to voters of a Type II school district at an annual or special school election for their approval, the district board of education shall frame and adopt the question(s) to be submitted so each other capital project is submitted as a separate question, or all or any of them are submitted as one question. The question shall state the other capital project(s) submitted, and the amounts to be raised for each other capital projects separately submitted or for each or all other capital projects jointly submitted, as the case may be. Any proposal for the purpose of land shall be sufficient to authorize its taking and condemning. If the district board of education determines to use a combination of school bonds and other funding sources, the question shall also include the portion of the local funding to be raised through other funding sources, listing separately each source and the amount from the source. Gifts, grants, other private sources, and municipal surplus shall also be listed but only for informational purposes of evidencing their portion of total costs and not for authorizing their use.

4. Whenever a State-operated school district shall determine it is necessary to sell school bonds to raise local funding for an other capital project, the school district shall estimate the amount necessary to be raised for the other capital project(s), itemizing the estimate to make it readily understandable. The State school district superintendent shall certify to each member of the school district's capital project review board a copy of the resolution. The resolution shall include the amount needed to be raised by school bonds. The Capital Project Review Board shall review the project in accordance with the procedures in 18A:7A-46.2. If the school district determines to use a combination of school bonds and other funding sources, the resolution shall also include the portion of local funding to be raised through other funding sources, listing separately each source and amount from that source. Gifts, grants, and other private taxpayer sources, along with municipal surplus, shall also be listed but only for the informational purposes of evidencing their portion of total costs and not for authorizing their use.

5. If the school district issues school bonds for an other capital project under (c)2, 3, or 4 above, the resolution or question to the voters shall specifically state that the other capital project is not eligible for State support. In the case of a school facilities project for which a school district determines not to seek State support, the resolution or question shall state as follows: "The other capital project to be funded herein was potentially eligible for State support, in whole or in part, at a minimum amount of 40 percent for eligible components of the project. However, (add name of school district) determined not to seek State support for this other capital project." If a school district has not received approval of its LRFP, the school district shall submit a request to amend its LRFP to include the other capital project. Approval of the amendment shall be required prior to the review of the other capital project.

N.J. Admin. Code § 6A:26-3.11

The following annotations apply to N.J.A.C. 6A:26-3.11 prior to its repeal by R.2013 d.145:
Amended by R.2001 d.367, effective 10/1/2001.
See: 33 N.J.R. 1809(a), 33 N.J.R. 3482(a).
In (a), substituted "preschool" for "three and/or four year old" and added 10; in (b), substituted "standards for early childhood education programs" for "early childhood expectations" in the first sentence; in (c), substituted "share" for "support"; rewrote (d); and in (e), substituted "share" for "support" in 6 and rewrote 7.
Amended by R.2004 d.214, effective 6/7/2004.
See: 36 N.J.R. 243(a), 36 N.J.R. 2733(b).
Rewrote the section.
Amended by R.2007 d.81, effective 3/19/2007.
See: 38 N.J.R. 4533(a), 39 N.J.R. 899(a).
Section was "ECPA district community early childhood education facilities projects". Inserted "school" preceding "district", "districts" and "district's" throughout.
The following annotations apply to N.J.A.C. 6A:26-3.11 subsequent to its recodification from N.J.A.C. 6A:26-3.12 by R.2013 d.145:
Amended by R.2001 d.367, effective 10/1/2001.
See: 33 N.J.R. 1809(a), 33 N.J.R. 3482(a).
Rewrote the section.
Amended by R.2004 d.214, effective 6/7/2004.
See: 36 N.J.R. 243(a), 36 N.J.R. 2733(b).
Rewrote the section.
Amended by R.2007 d.81, effective 3/19/2007.
See: 38 N.J.R. 4533(a), 39 N.J.R. 899(a).
Inserted "school" preceding "district" throughout; in (a)1, inserted "school" preceding "district's"; in the introductory paragraph of (c), inserted "school" preceding "districts" and "district's"; and in (c)2, substituted "Education Opportunity Aid, pursuant to N.J.A.C. 6A:10A" for "additional Abbott v. Burke State aid, pursuant to N.J.A.C. 6A:24-7.1 and/or 6A:10-3.1".
Recodified from N.J.A.C. 6A:26-3.12 and amended by R.2013 d.145, effective 12/16/2013.
See: 45 N.J.R. 1026(a), 45 N.J.R. 2557(a).
Rewrote the section. Former N.J.A.C. 6A:26-3.12, Initiation of other capital projects, recodified to N.J.A.C. 6A:26-3.11.