N.J. Admin. Code § 6A:26-3.6

Current through Register Vol. 56, No. 12, June 17, 2024
Section 6A:26-3.6 - Determination of final eligible costs for ROD school facilities projects
(a) Prior to a determination of final eligible costs, a school district that is not using the Development Authority for construction of a school facilities project may appeal to the Commissioner for an increase in the preliminary eligible costs that were approved pursuant to 6A:26-3.3 if the detailed plans and specifications prepared in accordance with 6A:26-5.4 by a licensed architect or engineer for the school facilities project indicate that the cost of constructing the portion of the school facilities project approved for State support exceeds by 10 percent or more the preliminary eligible costs for the project as determined by the Commissioner. The school district shall file its appeal within 30 days of the preparation of the detailed plans and specifications.
(b) The appeal shall outline the reasons why the preliminary eligible costs calculated for the school facilities project are inadequate, provide documentation to support such reasons, and estimate the amount of the adjustment that needs to be made to the preliminary eligible costs. Upon a determination that the appeal information is complete, the Commissioner shall forward the appeal information to the Development Authority for its review and recommendation.
(c) The Commissioner shall make a determination on the appeal within 30 days after receipt of the Development Authority's recommendation. If the Commissioner does not approve the adjustment to the preliminary eligible costs sought by the school district, the Commissioner shall issue in writing his or her findings setting forth the reasons for the denial and why the preliminary eligible costs as originally calculated, or an adjustment to the preliminary eligible costs that is smaller than sought by the school district, is sufficient.
(d) A school district that decides not to appeal the determination of preliminary eligible costs may request, at any time after approval of the school facilities project and determination of preliminary eligible costs, that the Commissioner determine final eligible costs for the project.
(e) Final eligible costs for the school facilities project shall be determined as follows:
1. The preliminary eligible costs shall become the final eligible costs if a school district does not appeal or unsuccessfully appeals the determination of preliminary eligible costs.
2. The final eligible costs shall be the preliminary eligible costs as adjusted by the Commissioner if a school district successfully appeals the determination of preliminary eligible costs pursuant to (b) above. In no case shall the adjustment to preliminary eligible costs be more than 10 percent.
(f) Following the determination of final eligible costs, the Division shall notify in writing the school district of the following:
1. The final eligible costs;
2. The total costs;
3. The State share or State debt service aid percentage;
4. The local share, if applicable;
5. Excess costs, if any; and
6. Additional costs, if any.
(g) A school district shall not seek approval of the local share or the total costs of a school facilities project receiving State debt service aid through a bond referendum for the school facilities project until the Division has notified the school district of the final eligible costs for the project. A school district may seek approval of the estimated local share in its annual budget prior to a determination of final eligible costs. If the local share estimate in the annual budget is less than the actual local share, the school district shall proceed in accordance with N.J.A.C. 6A:26-4. A school district may seek approval of local share utilizing capital reserve pursuant to N.J.A.C. 6A:23A-14.

N.J. Admin. Code § 6A:26-3.6

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), updated N.J.A.C. references; in (c), added "after receipt of the Authority's recommendation" in the first sentence; and rewrote (f) and (g).
Amended by R.2004 d.214, effective 6/7/2004.
See: 36 N.J.R. 243(a), 36 N.J.R. 2733(b).
In (f), inserted ", if any, and" at the end of 5 and added 6.
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.
Amended by R.2013 d.145, effective 12/16/2013.
See: 45 N.J.R. 1026(a), 45 N.J.R. 2557(a).
Section was "Determination of final eligible costs for nonauthority school facilities projects". Rewrote the section.