N.J. Stat. § 40A:5A-11

Current through L. 2024, c. 80.

Section 40A:5A-11 - Approval of budget

No authority budget subject to the provisions of subsection a. of section 10 of P.L. 1983, c.313 (C.40A:5A-10) shall be finally adopted until the director shall have approved same. In granting the approval, the director shall consider whether or not:

a. All estimates of revenue are reasonable, accurate and correctly stated;

b. Items of appropriation are properly set forth;

c. In itemization, form and content, the budget will permit the exercise of the comptroller function within the authority;

d. The schedule of rates, fees and charges then in effect will produce sufficient revenues, together with all other anticipated revenues, to satisfy all obligations to the holders of bonds of the authority, to meet operating expenses, capital outlays, debt service requirements, and to provide for such reserves, all as may be required by law, regulation or terms of contracts and agreements.

The director may require such documentation, records and other information, and undertake any audit or investigation, as the director may deem necessary in connection with the review.

If the director finds that all requirements of law and the rules and regulations of the Local Finance Board have been met, the director shall, within 45 days after receipt of the budget, approve it; otherwise the director shall within that time refuse to approve it. The director, in refusing to approve the budget, shall not substitute the director's discretion with respect to the amount of an appropriation when that amount is not made mandatory by law or regulation. If a budget fails to incorporate infrastructure improvements identified in an asset management plan required pursuant to section 7 of P.L. 2017, c. 133(C.58:31-7) or any regulations adopted by the Commissioner of Environmental Protection pursuant to P.L. 1977, c.74 (C.58:10A-1 et seq.) pertaining to asset management, as applicable, the director may order the inclusion of the improvements, along with any revenues or appropriations necessary to fund and effectuate the improvements. The director may order other measures as the director deems necessary to ensure the integrity of the authority's water infrastructure; however, the director may take into account the authority's fiscal circumstances in determining appropriate measures.

Any decision of the director in the course of budget review under this section may be appealed to the Local Finance Board in the manner generally provided by law.

N.J.S. § 40A:5A-11

Amended by L. 2021, c. 184, s. 12, eff. 7/22/2021.

Amended by L. 2015, c. 95,s. 19, eff. 8/10/2015.

L.1983, c.313, s.11.