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TOWNSHIP OF JACKSON
AUDIT REPORT FOR THE YEAR
ENDED DECEMBER 31, 2019
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EXHIBIT PAGE
# TOWNSHIP OF JACKSON COUNTY OF OCEAN
## TABLE OF CONTENTS
## PART I
PART I
Independent Auditor's Report
1
Independent Auditor's Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards
Financial Statements – Regulatory Basis:
Current Fund:
Statements of Assets, Liabilities, Reserves & Fund Balance – Regulatory Basis A 9
Statements of Operations and Changes in Fund Balance – Regulatory Basis A-1 11
Statement of Revenues – Regulatory Basis A-2 12
Statement of Expenditures – Regulatory Basis A-3 15
Trust Fund:
Statements of Assets, Liabilities, Reserves & Fund Balance – Regulatory Basis B 22
Statements of Operations and Changes in Fund Balance – Regulatory Basis B-1 24
Statement of Revenues – Regulatory Basis B-2 25
Statement of Expenditures – Regulatory Basis B-3 26
General Capital Fund:
Statements of Assets, Liabilities, Reserves & Fund Balance – Regulatory Basis C 27
Statement of Fund Balance C-1 28
Public Assistance Fund
Statements of Assets, Liabilities, Reserves & Fund Balance – Regulatory Basis D 29
General Fixed Assets Account Group:
Statements of Fixed Assets & Fund Balance – Regulatory Basis E 30
Payroll Fund:
Statements of Assets & Liabilities – Regulatory Basis F 31
Notes to Financial Statements
Supplemental Exhibits:
Current Fund:
Schedule of Cash & Cash Equivalents A-4 73
Schedule of Due from State - P.L. 1971, C.20 A-5 74
Schedule of Taxes Receivable & Analysis of Property Tax Levy A-6 75
Schedule of Tax Title Liens A-7 76
Schedule of Property Acquired for Taxes A-8 76
Schedule of Revenue Accounts Receivable A-9 77
Schedule of 2017 Appropriations Reserves A-10 78
Schedule of Accounts Payable A-11 81
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## TOWNSHIP OF JACKSON COUNTY OF OCEAN
## TABLE OF CONTENTS
EXHIBIT PAGE
Current Fund (continued):
Schedule of Reserve for Encumbrances A-12 81
Schedule of Prepaid Taxes A-13 82
Schedule of Tax Overpayments A-14 82
Schedule of County Taxes Payable A-15 83
Schedule of Local School District Tax Payable A-16 83
Schedule of Special District Taxes Payable A-17 84
Schedule of Due to State of New Jersey – Construction Fees A-18 84
Schedule of Due to State of New Jersey – Marriage Licenses A-19 84
Schedule of Reserve for Revaluation Program A-20 85
Schedule of Due to Municipal Open Space Trust Fund A-21 85
Schedule of Reserve for Garden State Trust Fund A-22 85
Schedule of Reserve for State Board of Taxation Appeals A-23 86
Schedule of Reserve for Master Plan A-24 86
Schedule of Reserve Other A-25 86
Schedule of Reserve for COAH State Plan A-26 87
Schedule of Reserve for FEMA Reimbursement A-27 87
Schedule of Reserve for Police Cars A-28 87
Schedule of Interfunds – Other Funds A-29 88
Schedule of Federal & State Grant Fund Due from Current A-30 89
Schedule of State & Federal Grants Receivable A-31 90
Schedule of State & Federal Grants Appropriated A-32 91
Schedule of State & Federal Grants Unappropriated A-33 93
Schedule of Reserve for Encumbrances A-34 93
Trust Fund:
Schedule of Cash - Treasurer B-4 97
Schedule of Due to State of New Jersey – Animal Control B-5 98
Schedule of Reserve for Animal Control Expenditures B-6 98
Schedule of Interfund – Current Fund B-7 99
Schedule of Due from County of Ocean – Community Development Block Grant B-8 99
Schedule of Various Reserves B-9 100
Schedule of Funds Held by Trustee - LOSAP B-10 101
Schedule of Reserve for Length of Service Award Program B-11 101
General Capital Fund:
Schedule of Cash & Cash Equivalents C-2 105
Analysis of Cash & Cash Investments C-3 106
Schedule of Deferred Charges to Future Taxation – Funded C-4 107
Schedule of Deferred Charges to Future Taxation – Unfunded C-5 108
Schedule of General Serial Bonds C-6 109
Schedule of Improvement Authorizations C-7 110
General Capital Fund (continued):
Schedule of Reserve for Encumbrances C-8 112
Schedule of Capital Improvement Fund C-9 112
Schedule of Reserve for Debt Service - Open Space Bonds C-10 113
Schedule of Reserve for Debt Service - Other C-11 113
Schedule of Reserve for Fire Damage - Annex Building C-12 113
Schedule of NJEIT Loan Payable C-13 114
Schedule of Bond Anticipation Notes C-14 115
Schedule of Bonds and Notes Authorized But Not Issued C-15 116
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## TOWNSHIP OF JACKSON COUNTY OF OCEAN
## TABLE OF CONTENTS
## EXHIBIT PAGE
Exhibit
PUBLIC ASSISTANCE FUND:
Schedule of Cash D-1 119
Schedule of Reserve for Public Assistance D-2 119
General Fixed Assets Fund:
Schedule of Investment in Fixed Assets E-1 123
PART II
Single Audit Section:
Independent Auditor's Report on Compliance for Each Major Program and On Internal Control Over Compliance Required by NJ OMB Circular 15-08 129
Schedule of Expenditures of State Financial Assistance Schedule 1 133
Notes to Schedule of Expenditures of State Financial Assistance 135
Schedule of Findings & Questioned Costs 137
Summary Schedule of Prior Audit Findings & Questioned Costs as Prepared by Management 142
PART III
Letter of Comments and Recommendations -Regulatory Basis
Officials in Office and Surety Bonds 145
General Comments 147
Other Comments 148
Recommendations 148
Acknowledgement 149
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*****
# INDEPENDENT AUDITOR'S REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
PART I
TOWNSHIP OF JACKSON
COUNTY OF OCEAN
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## INDEPENDENT AUDITOR'S REPORT
Honorable Mayor and Members
of the Township Council
Township of Jackson
Jackson, New Jersey
## Report on the Financial Statements
We have audited the accompanying statements of assets, liabilities, reserves and fund balance - regulatory basis of the various funds and account group of the Township of Jackson as of December 31, 2019 and 2018, and the related statements of operations and changes in the fund balance - regulatory basis for the years then ended, the related statements of revenues - regulatory basis, and statements of expenditures - regulatory basis for the year ended December 31, 2019 and the related notes to the financial statements, which collectively comprise the Township's basic financial statements as listed in the table of contents.
## Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles and practices prescribed by the Division of Local Government Services, Department of Community Affairs, State of New Jersey. Management is also responsible for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
## Auditor's Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and in compliance with audit requirements prescribed by the Division of Local Government Services, Department of Community Affairs, State of New Jersey. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.
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## Opinions
## Basis for Adverse Opinion on Accounting Principles Generally Accepted in the United States of America
As discussed in Note 1 to the financial statements, the Township prepares its financial statements using accounting practices that demonstrate compliance with regulatory basis of accounting and budget laws of the Division of Local Government Services, Department of Community Affairs, State of New Jersey, which is a basis of accounting other than accounting principles generally accepted in the United States of America, to meet the requirements of the State of New Jersey.
The effects on the financial statements of the variances between the regulatory basis of accounting described in Note 1 and accounting principles generally accepted in the United States of America, although not reasonably determinable, are presumed to be material.
## Adverse Opinion on Accounting Principles Generally Accepted in the United States of America
In our opinion, because of the significance of the matter discussed in the “Basis for Adverse Opinion on U.S. Generally Accepted Accounting Principles” paragraph, the financial statements referred to above do not present fairly, in accordance with accounting principles generally accepted in the United States of America, the financial position of the Township, as of December 31, 2019 and 2018, or the results of its operations and changes in fund balance for the years then ended.
## Unmodified Opinion on Regulatory Basis of Accounting
In our opinion, the financial statements referred to above present fairly, in all material respects, the assets, liabilities, reserves and fund balance - regulatory basis of the various funds of the Township, as of December 31, 2019 and 2018, and the results of its operations and changes in fund balance - regulatory basis of such funds for the years then ended, and the statements of revenues - regulatory basis, statements of expenditures - regulatory basis of the various funds, and general fixed assets group of accounts - regulatory basis, for the year ended December 31, 2019 in conformity with accounting principles and practices prescribed by the Division of Local Government Services, Department of Community Affairs, State of New Jersey as described in Note 1.
## Other Matters
## Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements referred to in the first paragraph as a whole. The supplemental schedules presented for the various funds and letter of comments and recommendations section are presented for purposes of additional analysis as required by the Division of Local Government Services, Department of Community Affairs, State of New Jersey and is not a required part of the basic financial statements. The schedule of expenditures and state financial assistance is presented for purposes of additional analysis as required by New Jersey OMB's Circular 15-08, Single Audit Policy for Recipients of Federal Grants, State Grants and State Aid is also presented for purposes of additional analysis and is not a required part of the basic financial statements.
The supplemental schedules presented for the various funds and the schedule of expenditures of state financial assistance are the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the financial statements. Such information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the information is fairly stated in all material respects in relation to the financial statements of each of the respective individual funds and account group taken as a whole.
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The supplementary data and letter of comments and recommendations section has not been subject to the auditing procedures applied in the audit of the financial statements, and accordingly, we do not express an opinion or provide assurance on it.
## Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated June 25, 2020 on our consideration of the Township's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Township's internal control over financial reporting and compliance.
Respectfully submitted,
HOLMAN FRENIA ALLISON, P.C.
Kevin P. Frenia
Certified Public Accountant
Toms River, New Jersey
RMA No. 435
Registered Municipal Accountant
June 25, 2020
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# INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
Honorable Mayor and Members
of the Township Council
Township of Jackson
County of Ocean
Jackson, New Jersey
We have audited, in accordance with the auditing standards generally accepted in the United States of America, the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States and audit requirements as prescribed by the Division of Local Government Services, Department of Community Affairs, State of New Jersey, the financial statements - regulatory basis of the Township of Jackson, as of and for the year ended December 31, 2019, and the related notes to the financial statements, which collectively comprise the Township's basic financial statements, and have issued our report thereon dated June 25, 2020. Our report indicated that the Township's financial statements were not prepared in accordance with accounting principles generally accepted in the United States of America but rather prepared in accordance with the regulatory basis of accounting prescribed by the Division of Local Government Services, Department of Community Affairs, State of New Jersey.
## Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the Township's internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Township's internal control. Accordingly, we do not express an opinion on the effectiveness of the Township's internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.
Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. We did identify certain
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deficiencies in internal control, described in the accompanying schedule of financial statement findings that we consider to be a significant deficiency as Finding No.'s 2019-001 & 2019-002.
## Compliance and Other Matters
As part of obtaining reasonable assurance about whether the Township's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed instances of noncompliance or other matters that are required to be reported under Government Auditing Standards and audit requirements as prescribed by the Division of Local Government Services, Department of Community Affairs, State of New Jersey and which are described in the accompanying schedule of financial statement findings as Finding No.'s 2019-001 & 2019-002.
We also noted certain other matters that are not required to be reported under Governmental Auditing Standards, that we reported to management in the accompanying letter of comments and recommendations section of this report as required by the Division of Local Government Services, Department of Community Affairs, State of New Jersey.
## Township of Jackson's Response to Findings
The Township of Jackson’s response to the findings identified in our audit is described in the accompanying schedule of financial statement findings. The Township’s response was not subjected to the auditing procedures applied in the audit of the financial statements and, accordingly, we express no opinion on it.
## Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the Township's internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards and audit requirements as prescribed by the Division of Local Government Services, Department of Community Affairs, State of New Jersey in considering the Township's internal control and compliance. Accordingly, this communication is not suitable for any other purpose.
Respectfully Submitted,
HOLMAN FRENIA ALLISON, P.C.
Kevin P. Frenia
Certified Public Accountant
Registered Municipal Accountant
RMA No. 435
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| BASIC FINANCIAL STATEMENTS |
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## TOWNSHIP OF JACKSON CURRENT FUND STATEMENTS OF ASSETS, LIABILITIES, RESERVES AND FUND BALANCE - REGULATORY BASIS DECEMBER 31, 2019 AND 2018
| REFERENCE | 2019 | 2018 |
| ASSETS |
| Regular Fund: |
| Cash -Treasurer | A-4 | $ 20,685,568.92 | $ 18,907,922.56 |
| Cash - Change Fund | A | 1,565.00 | 1,465.00 |
| Due from State of New Jersey: |
| Senior Citizen & Veteran Deductions | A-5 | 14,694.40 | 9,517.69 |
| Total Regular Fund | | 20,701,828.32 | 18,918,905.25 |
| Receivables & Other Assets With Full Reserves: |
| Delinquent Property Taxes Receivable | A-6 | 1,852,829.52 | 1,814,819.70 |
| Tax Title Liens Receivable | A-7 | 3,617,525.11 | 3,357,833.01 |
| Property Acquired for Taxes at Assessed Valuation | A-8 | 6,251,500.00 | 6,306,200.00 |
| Revenue Accounts Receivable | A-9 | 38,586.68 | 32,504.07 |
| Interfunds Receivable | A-29 | 31,768.07 | 1,189.21 |
| Total Receivables & Other Assets With Full Reserves | | 11,792,209.38 | 11,512,545.99 |
| Total Regular Fund, Receivables & Other Assets With Full Reserves | | 32,494,037.70 | 30,431,451.24 |
| State & Federal Grants: |
| Grants Receivable | A-31 | 661,435.10 | 255,199.51 |
| Due from Current Fund | A-30 | 173,065.00 | 1,084,108.11 |
| Total State & Federal Grants | | 834,500.10 | 1,339,307.62 |
| Total Assets | | $ 33,328,537.80 | $ 31,770,758.86 |
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LIABILITIES RESERVES & FUND BALANCE
# TOWNSHIP OF JACKSON CURRENT FUND STATEMENTS OF ASSETS, LIABILITIES, RESERVES AND FUND BALANCE - REGULATORY BASIS DECEMBER 31, 2019 AND 2018
REFERENCE 2019 2018
| Regular Fund: | | | |
| Liabilities: | | | |
| Appropriation Reserves | A-3,A-10 | $ 2,842,162.37 | $ 2,187,619.08 |
| Reserves for Encumbrances | A-12 | 1,289,928.20 | 1,383,951.00 |
| Accounts Payable | A-11 | 496,116.77 | 462,709.36 |
| Prepaid Taxes | A-13 | 804,260.61 | 811,065.83 |
| Tax Overpayments | A-14 | 36,308.09 | 31,100.33 |
| County Taxes Payable | A-15 | 203,529.85 | 69,159.46 |
| Due State of New Jersey - Construction Fees | A-18 | 9,782.00 | 18,327.00 |
| Due State of New Jersey - Marriage License Fees | A-19 | 1,675.00 | 1,700.00 |
| Reserve for Revaluation Program | A-20 | 5,743.40 | 5,743.40 |
| Reserve for Garden State Trust Fund | A-22 | 0.95 | 0.95 |
| Reserve for State Board of Taxation Appeals | A-23 | 313,782.95 | 313,782.95 |
| Reserve for Master Plan | A-24 | 4,384.98 | 23,106.23 |
| Reserve Other | A-25 | 2,117.88 | 2,117.88 |
| Reserve for COAH State Plan | A-26 | 915,250.00 | 915,250.00 |
| Reserve for FEMA Reimbursements | A-27 | 56,727.20 | 56,727.20 |
| Reserve for Police Cars | A-28 | 160,869.52 | 98,183.77 |
| Reserve for Skate Park | A | 2,118.00 | 2,118.00 |
| Interfund Payable | A-29 | 173,726.67 | 1,084,530.02 |
| Total Liabilities | | 7,318,484.44 | 7,467,192.46 |
| Reserve for Receivables & Other Assets | A | 11,792,209.38 | 11,512,545.99 |
| Fund Balance | A-1 | 13,383,343.88 | 11,451,712.79 |
| Total Regular Funds | | 32,494,037.70 | 30,431,451.24 |
| Federal & State Grants: | | | |
| Appropriated Reserves | A-32 | 786,513.44 | 568,988.66 |
| Unappropriated Reserves | A-33 | 21,970.83 | 17,481.58 |
| Reserves for Encumbrances | A-34 | 26,015.83 | 752,837.38 |
| Total State & Federal Grants | | 834,500.10 | 1,339,307.62 |
| Total Liabilities, Reserves & Fund Balance | | $ 33,328,537.80 | $ 31,770,758.86 |
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## TOWNSHIP OF JACKSON CURRENT FUND STATEMENTS OF OPERATIONS AND CHANGES IN FUND BALANCE FOR THE YEARS ENDED DECEMBER 31, 2019 AND 2018
| | 2019 | 2018 |
| Revenue & Other Income Realized: | | | |
| Fund Balance Utilized | A-2 | $ 3,703,000.00 | $ 3,703,000.00 |
| Miscellaneous Revenue Anticipated | A-2 | 8,506,943.54 | 9,119,370.71 |
| Receipts From Delinquent Taxes | A-2 | 1,768,316.38 | 1,571,974.85 |
| Receipts From Current Taxes | A-2 | 164,494,354.24 | 158,928,545.16 |
| Nonbudget Revenue | A-2 | 720,870.89 | 916,981.95 |
| Other Credits to Income: | | | |
| Unexpended Balance of Appropriation Reserves | A-10 | 2,113,006.47 | 1,945,394.66 |
| Cancelled Accounts Payable | A-11 | 55,626.45 | 158,376.70 |
| Prior Year Interfunds Liquidated | A-1 | - | 16,410.27 |
| Cancellation of Grant Appropriation Reserves | A-29 | 6,539.63 | 36,531.30 |
| Total Revenue & Other Income Realized | | 181,368,657.60 | 176,396,585.60 |
| Expenditures: | | | |
| Operations Within "CAPS": | | | |
| Salaries and Wages | A-3 | 20,504,054.25 | 19,765,045.54 |
| Other Expenses | A-3 | 12,026,735.66 | 12,085,159.35 |
| Deferred Charges & Statutory Expenditures Within "CAPS" | A-3 | 5,341,302.31 | 4,988,203.08 |
| Operations Excluded from "CAPS": | | | |
| Salaries and Wages | A-3 | 382,137.50 | 370,682.50 |
| Other Expenses | A-3 | 756,479.40 | 1,156,937.97 |
| Capital Improvements - Excluded from "CAPS" | A-3 | 110,000.00 | 450,000.00 |
| Municipal Debt Service Excluded From "CAPS" | A-3 | 3,743,674.44 | 3,685,207.83 |
| Local District School Taxes | A-16 | 93,216,775.00 | 89,966,447.00 |
| Fire District Taxes | A-17 | 6,673,098.00 | 6,404,942.00 |
| County Taxes | A-15 | 31,387,560.87 | 30,689,790.76 |
| Amount Due County for Added & Omitted Taxes | A-15 | 203,529.86 | 69,159.47 |
| Municipal Open Space Taxes | A-21 | 1,366,744.87 | 1,355,404.55 |
| Prior Year Interfunds Advanced | A-1 | 8,821.85 | - |
| Prior Year Senior Citizen Deductions Disallowed | A-5 | 7,630.81 | 4,669.18 |
| Cancellation of Grant Receivable | A-29 | 5,481.69 | 26,202.28 |
| Total Expenditures | | 175,734,026.51 | 171,017,851.51 |
| Statutory Excess to Fund Balance | | 5,634,631.09 | 5,378,734.09 |
| Fund Balance January 1 | A | 11,451,712.79 | 9,775,978.70 |
| Total | | 17,086,343.88 | 15,154,712.79 |
| Decreased by: Utilized as Revenue | A-2 | 3,703,000.00 | 3,703,000.00 |
| Balance December 31 | A | $ 13,383,343.88 | $ 11,451,712.79 |
The Accompanying Notes to the Financial Statements are an integral part of this Statement.
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## TOWNSHIP OF JACKSON CURRENT FUND STATEMENT OF REVENUES FOR THE YEAR ENDED DECEMBER 31, 2019
| ANTICIPATED BUDGET | ADDED PER N.J.S.40A:4-87 | REALIZED | EXCESS OR (DEFICIT) |
| Fund Balance Anticipated | $ 3,703,000.00 | $ - | $ 3,703,000.00 | $ - |
| Miscellaneous Revenue: | | | | |
| Licenses: | | | | |
| Alcoholic Beverages | 39,050.00 | - | 39,050.00 | - |
| Other | 31,000.00 | - | 29,979.00 | (1,021.00) |
| Fees & Permits | 185,000.00 | - | 246,231.61 | 61,231.61 |
| Fines & Costs: | | | | |
| Municipal Court | 475,000.00 | - | 503,001.53 | 28,001.53 |
| Interest & Cost on Taxes | 370,000.00 | - | 432,247.18 | 62,247.18 |
| Interest on Investments & Deposits | 330,000.00 | - | 947,192.36 | 617,192.36 |
| Housing & Commercial CCO's | 99,000.00 | - | 93,628.00 | (5,372.00) |
| Energy Receipts Taxes | 3,352,149.00 | - | 3,352,149.00 | - |
| Garden State Trust | 56,290.00 | - | 56,290.00 | - |
| Uniform Construction Code Fees | 1,301,000.00 | - | 1,512,258.74 | 211,258.74 |
| Shared Service Agreement - BOE | 104,040.00 | 70,365.72 | 174,405.72 | - |
| Clean Communities Program | - | 119,496.35 | 119,496.35 | - |
| Green Communities | - | 3,000.00 | 3,000.00 | - |
| Municipal Alliance on Alcoholism & Drug Abuse | - | 33,124.00 | 33,124.00 | - |
| Safe & Secure Communities Program | - | 28,805.00 | 28,805.00 | - |
| Body Armor Replacement Grant-State | 8,689.88 | - | 8,689.88 | - |
| Cops in Shops/College Fall Initiative | 4,840.00 | - | 4,840.00 | - |
| Cops in Shops | 4,400.00 | - | 4,400.00 | - |
| Alcohol Education and Rehabilitation Fund | 4,174.25 | - | 4,174.25 | - |
| Drunk Driving Enforcement Fund | 13,307.33 | - | 13,307.33 | - |
| Drive Sober or Get Pulled Over - Statewide Crackdown | - | 11,000.00 | 11,000.00 | - |
| Distracted Driving Crackdown - Text | - | 5,500.00 | 5,500.00 | - |
| Homeland Security | 18,000.00 | - | 18,000.00 | - |
| Click It or Ticket | - | 5,500.00 | 5,500.00 | - |
| Pedestrian Safety Grant | - | 6,270.00 | 6,270.00 | - |
| Handicapped Recreation Opportunities Grant | - | 15,000.00 | 15,000.00 | - |
| NJDOT Municipal Aid Program - Brewers Avenue | - | 375,000.00 | 375,000.00 | - |
| OC Office of Senior Services Information Assistance | - | 17,710.00 | 17,710.00 | - |
| Bulletproof Vest Program | - | 6,965.59 | 6,965.59 | - |
| Reserve for Debt Service - General Capital Fund | 158,000.00 | - | 158,000.00 | - |
| Reserve for Recycling - Trust Other Fund | 50,000.00 | - | 50,000.00 | - |
| Cablevision Franchise Fee | 231,728.00 | - | 231,728.00 | - |
| Total | 6,835,668.46 | 697,736.66 | 8,506,943.54 | 973,538.42 |
| Receipts from Delinquent Taxes | 1,250,000.00 | - | 1,768,316.38 | 518,316.38 |
| Amount to be Raised by Support of Municipal Budget: | | | | |
| Local Tax for Municipal Purposes Including Reserve for Uncollected Taxes | 33,001,310.41 | - | 34,269,959.22 | 1,268,648.81 |
| Budget Totals | 44,789,978.87 | 697,736.66 | 48,248,219.14 | 2,760,503.61 |
| Nonbudget Revenues | - | - | 720,870.89 | 720,870.89 |
| Total | $ 44,789,978.87 | $ 697,736.66 | $ 48,969,090.03 | $ 3,481,374.50 |
The Accompanying Notes to the Financial Statements are an integral part of this Statement.
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# TOWNSHIP OF JACKSON CURRENT FUND STATEMENT OF REVENUES FOR THE YEAR ENDED DECEMBER 31, 2019
## ANALYSIS OF REALIZED REVENUES
| Allocation of Current Tax Collections: | | |
| Revenue From Collections | $ | 164,494,354.24 |
| Net Revenue From Collections | 164,494,354.24 |
| Allocated to School, County, Municipal Open Space & Special Districts | 132,847,708.60 |
| Balance for Support of Municipal Budget Appropriations | 31,646,645.64 |
| Increased by Appropriation for Uncollected Taxes | 2,623,313.58 |
| Amount for Support of Municipal Budget Appropriations | $ | 34,269,959.22 |
| Receipts from Delinquent Taxes: | | |
| Delinquent Tax Collections | $ | 1,718,118.24 |
| Tax Title Lien Collections | 50,198.14 |
| Total | $ | 1,768,316.38 |
| Construction Code Official: | | |
| Construction Code Official: | | |
| Plumbing Fees & Permits | $ | 291,392.00 |
| Electrical Fees & Permits | 389,176.00 |
| Building Inspector Fees & Permits | 476,943.00 |
| Fire Inspection Fees & Permits | 97,872.00 |
| TCO, CCO & COMM | 24,564.00 |
| Building Fines & Penalties | 25,014.00 |
| Commercial CCO | 8,940.00 |
| Elevator Inspections | 200.00 |
| Housing Resale CCOS | 132,475.00 |
| Misc Other | 65,682.74 |
| Total Construction Code Official | $ | 1,512,258.74 |
| Other Fees & Permits: | | |
| Public Works | $ | 54,598.00 |
| Forester | 5,260.00 |
| Police Department | 27,192.59 |
| Zoning Board | 31,670.90 |
| Planning Board | 102,934.12 |
| Lien Search Fees | 10.00 |
| Vital Statistics | 24,566.00 |
| Total Other Fees & Permits | $ | 246,231.61 |
===== PAGE 22 =====
# TOWNSHIP OF JACKSON CURRENT FUND STATEMENT OF REVENUES FOR THE YEAR ENDED DECEMBER 31, 2019
## ANALYSIS OF NONBUDGET REVENUE
| Miscellaneous Revenue Not Anticipated: |
| Administration Fees | $ 323.00 |
| Administrative Fee - Senior Citizen's & Veteran's | 8,423.85 |
| Bid Fees | 575.00 |
| Clerk | 8,063.52 |
| Gas & Fuel Reimbursements | 42,322.31 |
| Grant | 7,500.00 |
| Health Insurance Dividend | 3,084.00 |
| Insurance Reimbursement | 173.08 |
| Land Sale/Auction | 23,057.41 |
| Miscellaneous | 1,458.80 |
| Motor Vehicle Inspection Fines | 5,101.17 |
| Non Sufficient Funds | 80.00 |
| Ocean County Rent of Polling Places | 1,400.00 |
| Planning & Zoning | 683.01 |
| Police Alarm Fines | 4,000.00 |
| Rental Registration | 116,700.00 |
| Resolution Fees | 6,000.00 |
| Shared Services | 8,037.62 |
| Subdivision Fees | 6,516.50 |
| Surcharge O/S Employment | 199,105.00 |
| Tax Collector Fees | 91,818.92 |
| Telephone Revenue | 37,716.76 |
| Tower Rental | 96,661.74 |
| Vacant Property Registration | 51,500.00 |
| Vending Machines | 569.20 |
| Total Miscellaneous Revenue Not Anticipated | $ 720,870.89 |
===== PAGE 23 =====
TOWNSHIP OF JACKSON CURRENT FUND STATEMENT OF EXPENDITURES FOR THE YEAR ENDED DECEMBER 31, 2019
| APPROPRIATIONS | EXPENDED | CANCELLED |
| BUDGET | BUDGET AFTER MODIFICATION | PAID OR CHARGED | ENCUMBERS | RESERVED |
| OPERATIONS - Within "CAPS" | | | | | | |
| General Government: | | | | | | |
| Administrative Executive: | | | | | | |
| Salaries and Wages | $281,586.77 | $292,048.52 | $282,457.97 | $- | $9,590.55 | $- |
| Other Expenses | 64,700.00 | 64,700.00 | 23,355.97 | 7,900.43 | 33,443.60 | - |
| Township Council: | | | | | | |
| Salaries and Wages | 44,340.00 | 44,340.00 | 43,534.21 | - | 805.79 | - |
| Other Expenses | 900.00 | 900.00 | 259.42 | 65.00 | 575.58 | - |
| Mayor: | | | | | | |
| Salaries and Wages | 29,500.00 | 29,500.00 | 29,499.96 | - | 0.04 | - |
| Other Expenses | 4,100.00 | 4,100.00 | 2,290.50 | - | 1,809.50 | - |
| Human Services: | | | | | | |
| Salaries and Wages | 110,495.71 | 109,995.71 | 91,289.29 | - | 18,706.42 | - |
| Other Expenses | 21,551.00 | 22,051.00 | 18,752.68 | 2,248.00 | 1,050.32 | - |
| Municipal Clerk: | | | | | | |
| Salaries and Wages | 274,080.69 | 286,130.36 | 263,926.98 | 2,373.63 | 19,829.75 | - |
| Other Expenses | 30,750.00 | 30,750.00 | 23,131.24 | 4,150.00 | 3,468.76 | - |
| Election: | | | | | | |
| Salaries and Wages | 3,500.00 | 3,500.00 | 3,046.77 | - | 453.23 | - |
| Other Expenses | 6,000.00 | 6,350.00 | 6,325.30 | - | 24.70 | - |
| Financial Administration: | | | | | | |
| Salaries and Wages | 344,825.82 | 357,761.04 | 331,487.23 | 2,558.51 | 23,715.30 | - |
| Other Expenses | 35,250.00 | 33,250.00 | 12,542.60 | 15,026.28 | 5,681.12 | - |
| Audit Services: | | | | | | |
| Other Expenses | 47,500.00 | 47,500.00 | - | 47,500.00 | - | - |
| Data Processing: | | | | | | |
| Salaries and Wages | 123,613.57 | 135,701.74 | 135,099.55 | - | 602.19 | - |
| Other Expenses | 69,447.50 | 69,447.50 | 34,987.30 | 24,930.99 | 9,529.21 | - |
| Collection of Taxes: | | | | | | |
| Salaries and Wages | 305,230.03 | 313,413.88 | 308,744.95 | 4,668.93 | - | - |
| Other Expenses | 39,385.00 | 39,385.00 | 19,651.61 | 5,085.33 | 14,648.06 | - |
| Assessment of Taxes: | | | | | | |
| Salaries and Wages | 378,018.17 | 380,128.43 | 368,814.18 | 6,517.54 | 4,796.71 | - |
| Other Expenses | 17,470.00 | 30,470.00 | 16,504.67 | 10,313.52 | 3,651.81 | - |
| Purchasing: | | | | | | |
| Salaries and Wages | 103,674.69 | 103,674.69 | 102,962.84 | 711.85 | - | - |
| Other Expenses | 34,846.88 | 34,846.88 | 33,533.20 | 1,085.41 | 228.27 | - |
| Legal Services & Costs: | | | | | | |
| Other Expenses | 495,000.00 | 495,000.00 | 380,718.00 | 28,355.00 | 85,927.00 | - |
The Accompanying Notes to the Financial Statements are an integral part of this Statement.
===== PAGE 24 =====
TOWNSHIP OF JACKSON CURRENT FUND STATEMENT OF EXPENDITURES FOR THE YEAR ENDED DECEMBER 31, 2019
| APPROPRIATIONS | EXPENDED | CANCELLED |
| BUDGET | BUDGET AFTER MODIFICATION | PAID OR CHARGED | ENCUMBERS | RESERVED |
| Engineering Services & Costs: | | | | | | |
| Salaries and Wages | 207,492.15 | 142,363.15 | 140,261.48 | 481.67 | 1,620.00 | - |
| Other Expenses | 135,600.00 | 200,729.00 | 78,646.39 | 64,085.23 | 57,997.38 | - |
| Historical Commission: | | | | | | |
| Other Expenses | 100.00 | 100.00 | - | - | 100.00 | - |
| Community Alliance-Alcoholism & Drugs: | | | | | | |
| Salaries and Wages | 1,140.00 | 1,140.00 | - | - | 1,140.00 | - |
| Other Expenses | 100.00 | 100.00 | - | 100.00 | - | - |
| Mayor's Community Advisory Board: | | | | | | |
| Other Expenses | 50.00 | 50.00 | - | - | 50.00 | - |
| Economic Development Advisory Board: | | | | | | |
| Other Expenses | 1,175.00 | 1,175.00 | - | - | 1,175.00 | - |
| Land Use Administration: | | | | | | |
| Planning/Zoning Boards: | | | | | | |
| Salaries and Wages | 236,559.49 | 242,182.70 | 236,474.58 | 2,417.49 | 3,290.63 | - |
| Other Expenses | 64,200.00 | 62,200.00 | 32,653.26 | 19,004.03 | 10,542.71 | - |
| Maintenance of Tax Maps: | | | | | | |
| Other Expenses | 20,000.00 | 11,000.00 | 767.50 | - | 10,232.50 | - |
| Code Enforcement - Other: | | | | | | |
| Rent Leveling Board: | | | | | | |
| Salaries and Wages | 3,145.00 | 3,145.00 | 900.00 | - | 2,245.00 | - |
| Other Expenses | 48,050.00 | 48,050.00 | 24,299.06 | 6,876.90 | 16,874.04 | - |
| Code Enforcement - Other: | | | | | | |
| Salaries and Wages | 318,202.24 | 320,921.12 | 309,538.47 | 1,856.77 | 9,525.88 | - |
| Other Expenses | 14,805.00 | 14,805.00 | 6,472.73 | 4,190.61 | 4,141.66 | - |
| Commercial Building Standards: | | | | | | |
| Salaries and Wages | 12,000.00 | 12,000.00 | 7,125.00 | - | 4,875.00 | - |
| Other Expenses | 1,100.00 | 1,100.00 | 213.00 | 292.74 | 594.26 | - |
| Unsafe Structures Committee | | | | | | |
| Other Expenses | 20,000.00 | 20,000.00 | - | - | 20,000.00 | - |
| Insurance: | | | | | | |
| General Liability | 758,930.00 | 758,930.00 | 749,620.40 | - | 9,309.60 | - |
| Workers Compensation | 516,000.00 | 516,000.00 | 515,128.00 | - | 872.00 | - |
| Employee Group Health | 4,500,000.00 | 4,500,000.00 | 4,068,584.45 | 514.29 | 430,901.26 | - |
| Health Benefit Waiver | 44,160.00 | 43,160.00 | 36,000.00 | - | 7,160.00 | - |
| Unemployment Trust Fund | 10,000.00 | 10,000.00 | - | - | 10,000.00 | - |
| Public Safety Functions: | | | | | | |
| Police Department: | | | | | | |
| Salaries and Wages | 12,021,571.60 | 12,026,887.32 | 11,502,605.48 | 9,041.62 | 515,240.22 | - |
| Other Expenses | 686,146.28 | 686,146.28 | 541,392.85 | 127,917.52 | 16,835.91 | - |
The Accompanying Notes to the Financial Statements are an integral part of this Statement.
===== PAGE 25 =====
TOWNSHIP OF JACKSON CURRENT FUND STATEMENT OF EXPENDITURES FOR THE YEAR ENDED DECEMBER 31, 2019
| APPROPRIATIONS | EXPENDED | CANCELLED |
| BUDGET | BUDGET AFTER MODIFICATION | PAID OR CHARGED | ENCUMBERSERED | RESERVED |
| Police Dispatch/911: | | | | | | |
| Salaries and Wages | 571,565.33 | 581,632.58 | 460,023.40 | - | 121,609.18 | - |
| Emergency Management: | | | | | | |
| Salaries and Wages | 12,368.80 | 12,368.80 | 6,655.94 | - | 5,712.86 | - |
| Other Expenses | 20,500.00 | 20,500.00 | 4,499.31 | - | 16,000.69 | - |
| Municipal Prosecutor: | | | | | | |
| Other Expenses | 50,000.00 | 50,000.00 | 36,679.13 | 3,333.37 | 9,987.50 | - |
| Juvenile Conference Committee: | | | | | | |
| Salaries and Wages | 1,300.00 | 1,300.00 | - | - | 1,300.00 | - |
| Other Expenses | 25.00 | 25.00 | - | - | 25.00 | - |
| Public Works Functions: | | | | | | |
| Streets & Roads Maintenance: | | | | | | |
| Salaries and Wages | 1,547,509.18 | 1,543,176.17 | 1,441,865.73 | 2,316.50 | 98,993.94 | - |
| Other Expenses | 251,325.00 | 251,325.00 | 148,862.00 | 84,515.48 | 17,947.52 | - |
| Snow Removal: | | | | | | |
| Other Expenses | 400,000.00 | 330,000.00 | 310,660.77 | 19,339.23 | - | - |
| Shade Tree Commission: | | | | | | |
| Salaries and Wages | 1,250.00 | 1,250.00 | 1,140.00 | - | 110.00 | - |
| Other Expenses | 7,550.00 | 7,550.00 | 4,928.60 | 193.50 | 2,427.90 | - |
| Solid Waste Collection: | | | | | | |
| Salaries and Wages | 151,524.62 | 153,128.69 | 132,721.51 | - | 20,407.18 | - |
| Other Expenses | 580,300.00 | 580,300.00 | 531,612.05 | 48,510.67 | 177.28 | - |
| Buildings & Grounds: | | | | | | |
| Salaries and Wages | 932,207.64 | 909,458.38 | 655,675.69 | - | 253,782.69 | - |
| Other Expenses | 201,500.00 | 231,500.00 | 159,594.19 | 57,389.13 | 14,516.68 | - |
| Vehicle Maintenance: | | | | | | |
| Salaries and Wages | 375,753.00 | 382,572.95 | 367,361.78 | - | 15,211.17 | - |
| Other Expenses | 264,050.00 | 264,050.00 | 179,380.21 | 60,677.73 | 23,992.06 | - |
| Community Services Act: | | | | | | |
| Other Expenses | 155,000.00 | 155,000.00 | - | 155,000.00 | - | - |
| Health & Human Services Functions: | | | | | | |
| Public Health Services: | | | | | | |
| Salaries and Wages | 7,500.00 | 7,500.00 | 7,499.90 | - | 0.10 | - |
| Other Expenses | 800.00 | 800.00 | 531.00 | - | 269.00 | - |
| Environmental Health Services-Environmental Commission: | | | | | | |
| Salaries and Wages | 1,300.00 | 1,300.00 | 1,205.00 | - | 95.00 | - |
| Other Expenses | 425.00 | 425.00 | 34.56 | - | 390.44 | - |
The Accompanying Notes to the Financial Statements are an integral part of this Statement.
===== PAGE 26 =====
TOWNSHIP OF JACKSON CURRENT FUND STATEMENT OF EXPENDITURES FOR THE YEAR ENDED DECEMBER 31, 2019
| APPROPRIATIONS | EXPENDED | CANCELLED |
| BUDGET | BUDGET AFTER MODIFICATION | PAID OR CHARGED | ENCUMBERS | RESERVED |
| Animal Control Services: | | | | | | |
| Salaries and Wages | 145,524.84 | 149,322.86 | 131,001.13 | 3,792.04 | 14,529.69 | - |
| Other Expenses | 42,350.00 | 42,350.00 | 26,042.12 | 9,008.05 | 7,299.83 | - |
| Going Green Committee: | | | | | | |
| Other Expenses | 100.00 | 100.00 | - | - | 100.00 | - |
| Parks & Recreation Functions: | | | | | | |
| Recreation Services & Programs: | | | | | | |
| Salaries and Wages | 145,086.18 | 147,495.44 | 129,853.35 | 1,680.41 | 15,961.68 | - |
| Other Expenses | 9,000.00 | 9,000.00 | 6,199.56 | 1,704.02 | 1,096.42 | - |
| Office for the Golden Age: | | | | | | |
| Salaries and Wages | 264,637.69 | 268,949.74 | 241,078.06 | 3,379.80 | 24,491.88 | - |
| Other Expenses | 24,975.00 | 24,975.00 | 20,337.37 | 2,868.96 | 1,768.67 | - |
| Handicapped Committee: | | | | | | |
| Salaries and Wages | 27,254.00 | 27,254.00 | 19,551.30 | - | 7,702.70 | - |
| Other Expenses | 7,300.00 | 7,300.00 | 4,371.42 | - | 2,928.58 | - |
| Park Maintenance: | | | | | | |
| Other Expenses | 23,000.00 | 93,000.00 | 22,369.46 | 67,995.26 | 2,635.28 | - |
| Municipal Court Functions: | | | | | | |
| Municipal Court: | | | | | | |
| Salaries and Wages | 364,514.00 | 366,079.05 | 297,628.20 | 4,128.21 | 64,322.64 | - |
| Other Expenses | 27,890.00 | 27,890.00 | 11,458.99 | 814.25 | 15,616.76 | - |
| Public Defender: | | | | | | |
| Other Expenses | 8,000.00 | 8,000.00 | 8,000.00 | - | - | - |
| Other Common Operating Functions: | | | | | | |
| Salary & Wage Adjustment: | | | | | | |
| Salaries and Wages | 164,220.00 | 19,029.55 | - | - | 19,029.55 | - |
| Postage & Photocopy: | | | | | | |
| Other Expenses | 71,000.00 | 70,650.00 | 57,944.00 | 6,188.07 | 6,517.93 | - |
| Accumulated Leave Compensation-Sick Trust: | | | | | | |
| Other Expenses | 180,000.00 | 180,000.00 | 180,000.00 | - | - | - |
| Utility Expenses & Bulk Purchases: | | | | | | |
| Electricity | 449,000.00 | 449,000.00 | 269,449.92 | 106,270.40 | 73,279.68 | - |
| Street Lighting | 360,000.00 | 360,000.00 | 354,112.04 | 5,887.96 | - | - |
| Telecommunication Costs | 60,000.00 | 60,000.00 | 45,476.05 | 681.88 | 13,842.07 | - |
| Natural Gas | 120,000.00 | 120,000.00 | 70,986.26 | 43,206.45 | 5,807.29 | - |
| Fuel & Petroleum Products | 575,000.00 | 575,000.00 | 281,149.60 | 101,045.76 | 192,804.64 | - |
| Landfill/Solid Waste: | | | | | | |
| Landfill/Solid Waste Disposal Costs: | | | | | | |
| Other Expenses | 227,000.00 | 252,000.00 | 211,635.09 | 40,190.82 | 174.09 | - |
The Accompanying Notes to the Financial Statements are an integral part of this Statement.
===== PAGE 27 =====
TOWNSHIP OF JACKSON CURRENT FUND STATEMENT OF EXPENDITURES FOR THE YEAR ENDED DECEMBER 31, 2019
| APPROPRIATIONS | EXPENDED | CANCELLED |
| BUDGET | BUDGET AFTER MODIFICATION | PAID OR CHARGED | ENCUMBERS | RESERVED |
| Legler Landfill - Postclosure Monitoring: Other Expenses | 33,500.00 | 33,500.00 | 29,080.98 | 4,419.02 | - | - |
| Uniform Construction Code-Appropriations Offset by Dedicated Revenues(NJAC5:23-4.17): | | | | | | |
| Construction Code Department: | | | | | | |
| Salaries and Wages | 1,112,192.04 | 1,127,402.38 | 828,350.16 | 3,069.88 | 295,982.34 | - |
| Other Expenses | 70,200.00 | 70,200.00 | 60,145.41 | 912.04 | 9,142.55 | - |
| Total Operations Including Contingent Within "CAPS" | 32,531,789.91 | 32,530,789.91 | 28,540,750.31 | 1,238,788.18 | 2,751,251.42 | - |
| Detail: | | | | | | |
| Salaries and Wages | 20,624,683.25 | 20,504,054.25 | 18,879,380.09 | 48,994.85 | 1,575,679.31 | - |
| Other Expenses | 11,907,106.66 | 12,026,735.66 | 9,661,370.22 | 1,189,793.33 | 1,175,572.11 | - |
| Deferred Charges & Statutory Expenditures | | | | | | |
| Municipal Within "CAPS": | | | | | | |
| Statutory Expenditures: | | | | | | |
| Public Employees' Retirement System | 998,667.00 | 998,667.00 | 998,667.00 | - | - | - |
| Social Security System (O.A.S.I.) | 1,530,401.65 | 1,530,401.65 | 1,446,713.14 | 3,770.30 | 79,918.21 | - |
| Police & Firemen's Retirement System | 2,800,048.00 | 2,800,048.00 | 2,800,048.00 | - | - | - |
| Defined Contribution Retirement Program | 10,000.00 | 11,000.00 | 9,678.03 | - | 1,321.97 | - |
| Public Employees' Retirement System: | | | | | | |
| Delayed Appropriation | 879.47 | 879.47 | 879.47 | - | - | - |
| Police and Firemen's Retirement System: | | | | | | |
| Delayed Appropriation | 306.19 | 306.19 | 306.19 | - | - | - |
| Total Deferred Charges & Statutory Expenditures Within "CAPS" | 5,340,302.31 | 5,341,302.31 | 5,256,291.83 | 3,770.30 | 81,240.18 | - |
| Total General Appropriations for Municipal Purposes Within "CAPS" | 37,872,092.22 | 37,872,092.22 | 33,797,042.14 | 1,242,558.48 | 2,832,491.60 | - |
| OPERATIONS - EXCLUDED FROM "CAPS" | | | | | | |
| Service Contracts: | | | | | | |
| Sewer & Water Purposes - MUA | 3,600.00 | 3,600.00 | 3,600.00 | - | - | - |
| Implementation of 911 Emergency: | | | | | | |
| Salaries & Wages | 190,521.78 | 190,521.78 | 190,521.78 | - | - | - |
The Accompanying Notes to the Financial Statements are an integral part of this Statement.
===== PAGE 28 =====
TOWNSHIP OF JACKSON CURRENT FUND STATEMENT OF EXPENDITURES FOR THE YEAR ENDED DECEMBER 31, 2019
| APPROPRIATIONS | EXPENDED | CANCELLED |
| BUDGET | BUDGET AFTER MODIFICATION | PAID OR CHARGED | ENCUMBERSERED | RESERVED |
| Relocation Assistance: | | | | | | |
| Other Expenses | 2,000.00 | 2,000.00 | - | - | 2,000.00 | - |
| LOSAP | 46,000.00 | 46,000.00 | - | 46,000.00 | - | - |
| Recycling Tonnage Tax | 10,000.00 | 10,000.00 | 7,959.51 | 1,369.72 | 670.77 | - |
| Shared Service Agreement-BOE/Police SRO | 104,040.00 | 174,405.72 | 174,405.72 | - | - | - |
| Supplemental Fire Services Programs: | | | | | | |
| Fire District Tax Obligations | 13,026.00 | 13,026.00 | 13,026.00 | - | - | - |
| Public & Private Programs Offset by Revenues: | | | | | | |
| OC Office of Senior Services-Information Assistance: | | | | | | |
| Salaries and Wages | - | 17,210.00 | 17,210.00 | - | - | - |
| Other Expenses | - | 500.00 | 500.00 | - | - | - |
| Safe & Secure Communities Program | - | 28,805.00 | 28,805.00 | - | - | - |
| Municipal Alliance on Alcohol & Drug Abuse: | | | | | | |
| County Grant | - | 33,124.00 | 33,124.00 | - | - | - |
| State of NJ Body Armor Grant | 8,689.88 | 8,689.88 | 8,689.88 | - | - | - |
| Clean Communities Grant | - | 119,496.35 | 119,496.35 | - | - | - |
| Green Communities | - | 3,000.00 | 3,000.00 | - | - | - |
| Drunk Driving Enforcement Fund | 13,307.33 | 13,307.33 | 13,307.33 | - | - | - |
| Matching Funds for Grants | 18,281.00 | 18,281.00 | 11,281.00 | - | 7,000.00 | - |
| Click It or Ticket | - | 5,500.00 | 5,500.00 | - | - | - |
| Distracted Driving Crackdown | - | 5,500.00 | 5,500.00 | - | - | - |
| Alcohol Education and Rehabilitation | 4,174.25 | 4,174.25 | 4,174.25 | - | - | - |
| Pedestrian Safety Grant | - | 6,270.00 | 6,270.00 | - | - | - |
| COPS in Shops Summer Shore Initiative | 4,400.00 | 4,400.00 | 4,400.00 | - | - | - |
| Cops in Shops - Fall Initiative | 4,840.00 | 4,840.00 | 4,840.00 | - | - | - |
| Drive Sober or Get Pulled Over | - | 11,000.00 | 11,000.00 | - | - | - |
| Federal Bureau of Justice Bulletproof Vest Partner | - | 6,965.59 | 6,965.59 | - | - | - |
| NJDOT Municipal Aid Grant | - | 375,000.00 | 375,000.00 | - | - | - |
| Homeland Security | 18,000.00 | 18,000.00 | 18,000.00 | - | - | - |
| Handicapped Recreation Opportunities Grant: | | | | | | |
| State Share | - | 15,000.00 | 15,000.00 | - | - | - |
| Total Operations Excluded from "CAPS" | 440,880.24 | 1,138,616.90 | 1,081,576.41 | 47,369.72 | 9,670.77 | - |
| Detail: | | | | | | |
| Salaries and Wages | 294,561.78 | 382,137.50 | 382,137.50 | - | - | - |
| Other Expenses | 146,318.46 | 756,479.40 | 699,438.91 | 47,369.72 | 9,670.77 | - |
===== PAGE 29 =====
TOWNSHIP OF JACKSON CURRENT FUND STATEMENT OF EXPENDITURES FOR THE YEAR ENDED DECEMBER 31, 2019
| APPROPRIATIONS | EXPENDED | CANCELLED |
| BUDGET | BUDGET AFTER MODIFICATION | PAID OR CHARGED | ENCUMBERSERED | RESERVED |
| Capital Improvements - Excluded from "CAPS": | | | | | | |
| Capital Improvement Fund | 110,000.00 | 110,000.00 | 110,000.00 | - | - | - |
| Total Capital Improvement Excluded from "CAPS" | 110,000.00 | 110,000.00 | 110,000.00 | - | - | - |
| Municipal Debt Service - Excluded from "CAPS": | | | | | | |
| Payment of Bond Principal | 3,240,000.00 | 3,240,000.00 | 3,240,000.00 | - | - | - |
| Interest on Bonds | 357,325.00 | 357,325.00 | 357,325.00 | - | - | - |
| Interest on Notes | 120,230.00 | 120,230.00 | 120,230.00 | - | - | - |
| Loan Repayment for Principal and Interest | | | | | | |
| Jet Vac/Sweeper | 26,137.83 | 26,137.83 | 26,119.44 | - | - | 18.39 |
| Total Capital Improvements, Municipal | | | | | | |
| Debt Service, Deferred Charges & | | | | | | |
| Judgements Excluded from "CAPS" | 3,743,692.83 | 3,743,692.83 | 3,743,674.44 | - | - | 18.39 |
| Total General Appropriations Excluded | | | | | | |
| from "CAPS" | 4,294,573.07 | 4,992,309.73 | 4,935,250.85 | 47,369.72 | 9,670.77 | 18.39 |
| Subtotal General Appropriations | 42,166,665.29 | 42,864,401.95 | 38,732,292.99 | 1,289,928.20 | 2,842,162.37 | 18.39 |
| Reserve For Uncollected Taxes | 2,623,313.58 | 2,623,313.58 | 2,623,313.58 | - | - | - |
| Total General Appropriations | $ 44,789,978.87 | $ 45,487,715.53 | $ 41,355,606.57 | $ 1,289,928.20 | $ 2,842,162.37 | $ 18.39 |
| Budget | | $ 44,789,978.87 | | | | |
| Added by N.J.S. 40A:4-87 | | 697,736.66 | | | | |
| Total | | $ 45,487,715.53 | | | | |
| Reserve for Uncollected Taxes | | | $ 2,623,313.58 | | | |
| Appropriated Reserves for Federal & State Grants | | | 692,063.40 | | | |
| Cash Disbursements | | | 38,040,229.59 | | | |
| Total | | | $ 41,355,606.57 | | | |
The Accompanying Notes to the Financial Statements are an integral part of this Statement.
===== PAGE 30 =====
## TOWNSHIP OF JACKSON TRUST FUND STATEMENTS OF ASSETS, LIABILITIES, RESERVES AND FUND BALANCE - REGULATORY BASIS DECEMBER 31, 2019 AND 2018
| REFERENCE | 2019 | 2018 |
| ASSETS |
| Animal Control Trust Fund: |
| Cash | B-4 | $ 129,968.32 | $ 115,961.64 |
| Total Animal Control Trust Fund | | 129,968.32 | 115,961.64 |
| Open Space Trust Fund: |
| Cash | B-4 | 5,324,575.09 | 4,797,099.11 |
| Total Open Space Trust Fund | | 5,324,575.09 | 4,797,099.11 |
| Trust Other Funds: |
| Cash | B-4 | 12,678,897.10 | 12,435,342.82 |
| Due from County of Ocean - Community Development Block Grant | B-8 | 273,704.02 | 277,890.03 |
| Total Trust Other Funds | | 12,952,601.12 | 12,713,232.85 |
| Length of Service Awards Program (LOSAP) |
| Investments Held by Trustee | B-10 | 182,857.61 | 114,399.98 |
| Total Assets | | $ 18,590,002.14 | $ 17,740,693.58 |
===== PAGE 31 =====
# TOWNSHIP OF JACKSON TRUST FUND STATEMENTS OF ASSETS, LIABILITIES, RESERVES AND FUND BALANCE - REGULATORY BASIS DECEMBER 31, 2019 AND 2018
| REFERENCE | 2019 | 2018 |
| LIABILITIES & RESERVES |
| Animal Control Trust Fund: |
| Due to State of New Jersey | B-5 | $ 2.40 | $ 16.80 |
| Due to Current Fund | A | 21,757.01 | - |
| Reserve for Animal Control Expenditures | B-6 | 108,208.91 | 115,944.84 |
| Total Animal Control Trust Fund | | 129,968.32 | 115,961.64 |
| Open Space Trust Fund: |
| Reserve for Open Space | B-1 | 5,324,575.09 | 4,797,099.11 |
| Total Open Space Trust Fund | | 5,324,575.09 | 4,797,099.11 |
| Trust Other Funds: |
| Various Reserves | B-9 | 12,943,251.73 | 12,712,465.55 |
| Interfund - Current Fund | B-7 | 9,349.39 | 767.30 |
| Total Trust Other Funds | | 12,952,601.12 | 12,713,232.85 |
| Length of Service Awards Program (LOSAP) |
| Reserve for LOSAP | B-11 | 182,857.61 | 114,399.98 |
| Total Liabilities & Reserves | | $ 18,590,002.14 | $ 17,740,693.58 |
===== PAGE 32 =====
## TOWNSHIP OF JACKSON OPEN SPACE TRUST FUND STATEMENTS OF OPERATIONS AND CHANGES IN FUND BALANCE FOR THE YEARS ENDED DECEMBER 31, 2019 AND 2018
| 2019 | 2018 |
| Revenue & Other Income Realized: | | |
| Amount to be Raised by Taxation | $ 1,357,923.75 | $ 1,352,343.81 |
| Added & Omitted Levy | 8,821.12 | 3,060.74 |
| Miscellaneous Revenue Not Anticipated | 107,802.83 | 31,541.12 |
| Total Revenue & Other Income Realized | 1,474,547.70 | 1,386,945.67 |
| Expenditures: | | |
| Development of Lands for Recreation & Conservation | B-3 | 100,000.00 |
| Debt Service | B-3 | 326,300.00 |
| Reserve for Future Use | B-3 | 520,771.72 |
| Total Expenditures | 947,071.72 | 762,730.59 |
| Statutory Excess to Fund Balance | 527,475.98 | 624,215.08 |
| Fund Balance January 1 | B | 4,797,099.11 |
| Balance December 31 | B | $ 5,324,575.09 |
===== PAGE 33 =====
# TOWNSHIP OF JACKSON OPEN SPACE TRUST FUND STATEMENT OF REVENUES - REGULATORY BASIS FOR THE YEAR ENDED DECEMBER 31, 2019
| ANTICIPATED | EXCESS OR |
| BUDGET | REALIZED | (DEFICIT) |
| Amount to be Raised by Taxation | $ 1,357,923.75 | $ 1,357,923.75 | $ - | |
| Added & Omitted Levy | - | 8,821.12 | | 8,821.12 |
| Miscellaneous Revenue Not Anticipated | - | 107,802.83 | | 107,802.83 |
| Total | $ 1,357,923.75 | $ 1,474,547.70 | $ 116,623.95 | |
===== PAGE 34 =====
## TOWNSHIP OF JACKSON OPEN SPACE TRUST FUND STATEMENT OF EXPENDITURES - REGULATORY BASIS FOR THE YEAR ENDED DECEMBER 31, 2019
| APPROPRIATIONS | EXPENDED |
| BUDGET | BUDGET AFTER MODIFICATION | PAID OR CHARGED | RESERVED |
| Development of Lands for Recreation and Conservation: | | | | |
| Other Expenses | $ 100,000.00 | $ 100,000.00 | $ 100,000.00 | $- |
| Total Development of Lands for Recreation and Conservation | 100,000.00 | 100,000.00 | 100,000.00 | - |
| Debt Service: | | | | |
| Payment of Bond Principal | 245,000.00 | 245,000.00 | 245,000.00 | - |
| Interest on Bonds | 81,300.00 | 81,300.00 | 81,300.00 | - |
| Total Debt Service | 326,300.00 | 326,300.00 | 326,300.00 | - |
| Reserve for Future Use | 931,623.75 | 931,623.75 | 520,771.72 | 410,852.03 |
| Total | $ 1,357,923.75 | $ 1,357,923.75 | $ 947,071.72 | $ 410,852.03 |
===== PAGE 35 =====
# TOWNSHIP OF JACKSON GENERAL CAPITAL FUND STATEMENTS OF ASSETS, LIABILITIES, RESERVES AND FUND BALANCE - REGULATORY BASIS DECEMBER 31, 2019 AND 2018
| ASSETS | REFERENCE | 2019 | 2018 |
| Cash & Cash Equivalents | C-2 | $ 6,398,995.71 | $ 5,550,019.78 |
| Deferred Charges to Future Taxation: | | | |
| Funded | C-4 | 12,221,234.12 | 15,726,336.95 |
| Unfunded | C-5 | 14,958,760.50 | 6,481,502.50 |
| Total Assets | | $ 33,578,990.33 | $ 27,757,859.23 |
| LIABILITIES, RESERVES & FUND BALANCE | | | |
| General Serial Bond | C-6 | $ 11,970,000.00 | $ 15,455,000.00 |
| NJEIT Loans Payable | C-13 | 251,234.12 | 271,336.95 |
| Bond Anticipation Notes | C-14 | 11,039,321.00 | 4,372,000.00 |
| Improvement Authorizations: | | | |
| Funded | C-7 | 808,307.55 | 1,432,747.94 |
| Unfunded | C-7 | 4,083,470.89 | 3,353,319.76 |
| Reserve for Encumbrances | C-8 | 4,091,875.18 | 1,047,949.11 |
| Capital Improvement Fund | C-9 | 4,686.83 | 426,385.08 |
| Reserve for Debt Service - Open Space Bonds | C-10 | 1,045,770.57 | 1,203,770.57 |
| Reserve for Debt Service - Other | C-11 | 167,044.59 | 78,070.22 |
| Reserve for Fire Damage - Annex Building | C-12 | 3,217.61 | 3,217.61 |
| Fund Balance | C-1 | 114,061.99 | 114,061.99 |
| Total Liabilities, Reserves & Fund Balance | | $ 33,578,990.33 | $ 27,757,859.23 |
There were Bonds & Notes Authorized but not issued on December 31, 2019 of $3,919,439.50 and on December 31, 2018 was $2,109,502.50.
===== PAGE 36 =====
TOWNSHIP OF JACKSON
GENERAL CAPITAL FUND
STATEMENT OF FUND BALANCE
FOR THE YEAR ENDED DECEMBER 31, 2019
Balance December 31, 2019 and 2018
$ 114,061.99
===== PAGE 37 =====
# TOWNSHIP OF JACKSON PUBLIC ASSISTANCE FUND STATEMENTS OF ASSETS AND RESERVES - REGULATORY BASIS DECEMBER 31, 2019 AND 2018
| ASSETS | REFERENCE | 2019 | 2018 |
| Cash & Cash Equivalents | D-1 | $ 28,451.76 | $ 27,790.57 |
| Total Assets | | $ 28,451.76 | $ 27,790.57 |
| RESERVES | | | |
| Reserve for Public Assistance | D-2 | $ 28,451.76 | $ 27,790.57 |
| Total Reserves | | $ 28,451.76 | $ 27,790.57 |
===== PAGE 38 =====
## TOWNSHIP OF JACKSON GENERAL FIXED ASSETS ACCOUNT GROUP STATEMENTS OF GENERAL FIXED ASSETS AND FUND BALANCE - REGULATORY BASIS DECEMBER 31, 2019 AND 2018
| ASSETS | REFERENCE | 2019 | 2018 |
| Land | E-1 | $ 56,320,100.00 | $ 56,320,100.00 |
| Building & Building Improvements | E-1 | 50,329,762.00 | 49,798,905.00 |
| Machinery & Equipment | E-1 | 14,637,384.00 | 14,296,035.00 |
| Total | | $ 121,287,246.00 | $ 120,415,040.00 |
| INVESTMENT IN FIXED ASSETS |
| Investment in Fixed Assets | E | $ 121,287,246.00 | $ 120,415,040.00 |
===== PAGE 39 =====
# TOWNSHIP OF JACKSON PAYROLL FUND STATEMENTS OF ASSETS AND LIABILITIES - REGULATORY BASIS DECEMBER 31, 2019 AND 2018
| ASSETS | 2019 | 2018 |
| Cash | $ 7,295.10 | $ 3,888.11 |
| Total Assets | $ 7,295.10 | $ 3,888.11 |
| LIABILITIES | | |
| Payroll Deductions Payable | $ 7,295.10 | $ 3,888.11 |
| Total Liabilities | $ 7,295.10 | $ 3,888.11 |
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*****
NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
TOWNSHIP OF JACKSON
COUNTY OF OCEAN
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# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 1. Summary of Significant Accounting Policies
## Description of Financial Reporting Entity
This report includes the financial statements of the Township of Jackson (the “Township”), within the County of Ocean, in the State of New Jersey and reflects the activities of the municipality which is under the control of the Mayor and Township Council. The financial statements of the Board of Education, First Aid Organization and Fire Districts are reported separately since their activities are administered by separate boards.
The Township’s governing body is also responsible for appointed the board members of the Jackson Municipal Utilities Authority, but the Township’s accountability for this organization does not extend beyond making the appointments.
Component Units - GASB Statement 14, as amended by GASB Statements 39, 61, 80, and 90, establishes criteria to be used in determining the component units, which should be included in the financial statements of a primary government. The financial statements of the Township are not presented in accordance with GAAP (as discussed below). Therefore, the Township had no component units as defined by GASB Statement No. 14, as amended by GASB Statements 39, 61, 80, and 90.
Basis of Accounting, Measurement Focus and Basis of Presentation - The financial statements of the Township contain all funds and account groups in accordance with the “Requirements of Audit” as promulgated by the State of New Jersey, Department of Community Affairs, Division of Local Government Services. The principles and practices established by the Requirements of Audit are designed primarily for determining compliance with legal provisions and budgetary restrictions and as a means of reporting on the stewardship of public officials with respect to public funds. Generally, the financial statements are presented using the flow of current financial resources measurement focus and modified accrual basis of accounting with minor exceptions as mandated by these “Requirements”. In addition, the prescribed accounting principles previously referred to differ in certain respects from accounting principles generally accepted in the United States of America applicable to local government units. The more significant differences are explained further in this note.
In accordance with the “Requirements”, the Township accounts for its financial transactions through the use of separate funds, which are described as follows:
Current Fund – This fund accounts for revenues and expenditures for governmental operations of a general nature, including federal and state grant funds.
Trust Funds – These funds account for receipts, custodianship and disbursement of funds in accordance with the purpose for which each reserve was created.
General Capital Fund – This fund accounts for receipt and disbursement of funds for the acquisition of general capital facilities, other than those acquired in the Current Fund.
Public Assistance Fund – This fund accounts for receipt and disbursement of funds that provide assistance to certain residents of the Township.
General Fixed Asset Account Group – The Fixed Asset Account Group of accounts is utilized to account for property, land, buildings, and equipment that have been acquired by other funds of the Township.
===== PAGE 44 =====
## TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 1. Summary of Significant Accounting Policies (continued)
Payroll Fund – This fund accounts for the receipt and disbursements of funds used to meet obligations to employees and payroll tax liability.
Budgets and Budgetary Accounting - The Township must adopt an annual budget for its Current Fund in accordance with N.J.S.A.40A:4 et seq. N.J.S.A.40A:4-5 requires the governing body to introduce and approve the annual municipal budget no later than February 10th of each year. At introduction, the governing body must fix the time and place for a public hearing on the budget and must advertise the time and place at least ten days prior to the hearing in a newspaper published and circulating in the municipality. The public hearing must not be held less than twenty-eight days after the date the budget was introduced. After the hearing has been held, the governing body may, by majority vote, adopt the budget or may amend the budget in accordance with N.J.S.A.40A:4-9. Amendments to adopted budgets, if any are detailed in the statements of revenues and expenditures.
An extension of the statutory dates for introduction, approval and adoption of the municipal budget may be granted by the Director of Local Government Services, with the permission of the Local Finance Board. Budgets are adopted on the same basis of accounting utilized for the preparation of the Township’s financial statements. Once a budget is approved it may be amended after November 1, by a resolution adopted by the governing body.
Cash, Cash Equivalents and Investments - Cash and Cash equivalents include petty cash, change funds and cash on deposit with public depositories. All certificates of deposit are recorded as cash regardless of the date of maturity. Under GAAP, investments are reported at fair value but under regulatory basis of accounting, investments are stated at cost. Therefore, unrealized gains or losses on investments have not been recorded.
New Jersey municipal units are required by N.J.S.A.40A:5-14 to deposit public funds in a bank or trust company having its place of business in the State of New Jersey and organized under the laws of the United States or of the State of New Jersey or in the New Jersey Cash Management Fund. N.J.S.A.40A:5-15.1 provides a list of investments, which may be purchased by New Jersey municipal units. In addition, other State statutes permit investments in obligations issued by local utilities and other state agencies.
N.J.S.A.17:9-41 et seq. establishes the requirements for the security of deposits of governmental units. The statute requires that no governmental unit shall deposit public funds in a public depository unless such funds are secured in accordance with the Governmental Unit Deposit Protection Act, which was enacted in 1970 to protect governmental units from a loss of funds on deposit with a failed banking institution in New Jersey. Public depositories include State or federally chartered banks savings banks or associations located in or having a branch office in the State of New Jersey, the deposits of which are federally insured. All public depositories must pledge collateral, having a market value at least equal to five percent of the average daily balance of collected public funds, to secure the deposits of Governmental Units. If a public depository fails, the collateral it has pledged, plus the collateral of all other public depositories, is available to pay the amount of their deposits to the Governmental Units.
The cash management plan adopted by the Township requires it to deposit funds in public depositories protected from loss under the provisions of the Act.
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# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 1. Summary of Significant Accounting Policies (continued)
Interfunds - Interfund receivables and payables that arise from transactions between funds are recorded by all funds affected by such transactions in the period in which the transaction is executed. Interfund receivables in the Current Fund are recorded with offsetting reserves, which are created by charges to operations. Income is recognized in the year the receivables are liquidated. Interfund receivables in the other funds are not offset by reserves.
Inventories and Supplies - The cost of inventories of supplies for all funds are recorded as expenditures at the time individual items are purchased. The costs of inventories are not included on the various statements of assets, liabilities, reserves and fund balance.
General Fixed Assets – Accounting for governmental fixed assets, as required by N.J.A.C.5:30-5.6, differs in certain respects from accounting principles generally accepted in the United States of America. In accordance with the regulations, all local units, including municipalities, must maintain a general fixed assets reporting system that establishes and maintains a physical inventory of nonexpendable, tangible property as defined and limited by the U.S. Office of Management and Budget Circular A-87 (Attachment B, Section 19), except that the useful life of such property is at least five years. The Township has adopted a capitalization threshold of $5,000.00, the maximum amount allowed by the Circular. Generally, assets are valued at historical cost; however, assets acquired prior to December 31, 1985 are valued at actual historical cost or estimated historical cost. In some instances, assets are valued at the assessed valuation of the property at the time of acquisition, which approximates fair value. No depreciation of general fixed assets is recorded. Donated general fixed assets are recorded at their acquisition value as of the date of the transaction. Interest costs relative to the acquisition of general fixed assets are recorded as expenditures when paid. Public domain ("infrastructure") general fixed assets consisting of certain improvements such as roads, bridges, curbs and gutters, streets and sidewalks and drainage systems are not capitalized. Expenditures for construction in progress are recorded in the capital funds until such time as the construction is completed and put into operation. The Township is required to maintain a subsidiary ledger detailing fixed assets records to control additions, retirements, and transfers of fixed assets. In addition, a statement of general fixed assets, reflecting the activity for the year, must be included in the Township's basic financial statements.
The regulations require that general fixed assets, whether constructed or acquired through purchase, grant or gift be included in the aforementioned inventory. In addition, property management standards must be maintained that includes accurate records indicating asset description, source, ownership, acquisition cost and date, the percentage of federal participation (if any), and the location, use, and condition of the asset. Periodically, physical inventories must be taken and reconciled with these records. All fixed assets must be adequately controlled to safeguard against loss, damage, or theft.
Foreclosed property – Foreclosed Property or “Property Acquired for Taxes” is recorded in the Current Fund at the assessed valuation when such property was acquired and is fully reserved. Ordinarily it is the intention of the Township to resell foreclosed property in order to recover all or a portion of the delinquent taxes or assessments and to return the property to a taxpayer basis. For this reason, the value of foreclosed property has not been included in the General Fixed Assets Account Group. If such property is converted to a municipal use, it will be recorded in the General Fixed Assets Account Group.
Deferred Charges – The recognition of certain expenditures is deferred to future periods. These expenditures or deferred charges are generally overexpenditures of legally adopted budget appropriations or emergency appropriations made in accordance with N.J.S.A.40A:4-46 et seq. Deferred charges are subsequently raised as items of appropriation in budgets of succeeding years.
===== PAGE 46 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 1. Summary of Significant Accounting Policies (continued)
Fund Balance – Fund Balance included in the Current Fund represent the amount available for anticipation as revenue in future year's budgets, with certain restrictions.
Revenues – are recorded when received in cash except for certain amounts, which are due from other governmental units. Revenue from Federal and State grants are realized when anticipated as such in the Township’s budget. Receivables for property taxes are recorded with offsetting reserves on the statement of assets, liabilities, reserves and fund balance of the Township’s Current Fund; accordingly, such amounts are not recorded as revenue until collected. Other amounts that are due the Township, which are susceptible to accrual are also recorded as receivables with offsetting reserves and recorded as revenues when received.
Property Tax Revenues – are collected in quarterly installments due February 1, May 1, August 1 and November 1. The amount of tax levied includes not only the amount required in support of the Township’s annual budget, but also the amounts required in support of the budgets of the County of Ocean and the Township of Jackson School District. Unpaid property taxes are subject to tax sale in accordance with statutes.
County Taxes – The municipality is responsible for levying, collecting and remitting County taxes for the County of Ocean. Operations is charged for the amount due the County for the year, based upon the ratables required to be certified to the County Board of Taxation by January 10th of the current year. In addition, operations is charged for the County share of Added and Omitted Taxes certified to the County Board of Taxation by October 10th of the current year and due to be paid to the County by February 15th of the following year.
School Taxes – The municipality is responsible for levying, collecting and remitting school taxes for the Township of Jackson School District. Operations are charged for the full amount required to be raised from taxation to operate the local school district July 1 to June 30.
Deferred School Taxes – School taxes raised in advance in the Current Fund for a school fiscal year (July 1 to June 30) which remain unpaid at December 31 of the calendar year levied may be deferred to fund balance to the extent of not more than 50% of the annual levy providing no requisition has been made by the school district for such amount.
Reserve for Uncollected Taxes – The inclusion of the “Reserve for Uncollected Taxes” appropriation in the Township’s annual budget protects the Township from taxes not paid currently. The Reserve, the minimum amount of which is determined on the percentage of collections experienced in the immediate preceding year, with certain exceptions, is required to provide assurance that cash collected in the current year will provide sufficient cash flow to meet expected obligations.
Expenditures – are recorded on the “budgetary” basis of accounting. Generally, expenditures are recorded when an amount is encumbered through the issuance of a numerically controlled purchase order or when a contract is executed as required by Technical Accounting Directive No. 85-1. When an expenditure is paid, the amount encumbered is simultaneously liquidated in its original amount. Encumbrances are offset by an account entitled to reserve for encumbrances. The reserve is classified as a cash liability under New Jersey municipal accounting. At December 31, this reserve represents the portion of appropriation reserves that has been encumbered and is subject to the same statutory provisions as appropriation reserves. Appropriations for interest payments on outstanding general capital bonds and notes are provided on the cash basis.
===== PAGE 47 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 1. Summary of Significant Accounting Policies (continued)
Appropriation Reserves – Appropriation reserves covering unexpended appropriation balances are automatically created at year-end and recorded as liabilities, except for amounts, which may be cancelled by the governing body. Appropriation reserves and reserve for encumbrances at current year end are available until December 31st of the succeeding year to meet specific claims, commitments or contracts incurred during the preceding year. Any unspent balances at this time are lapsed appropriation reserves and recorded as income.
Long-Term Debt - Long-Term Debt relative to the acquisition of capital assets, is recorded as a liability in the General Capital Fund. Where an improvement is a “local improvement”, i.e. assessable upon completion, long-term debt associated with that portion of the cost of the improvement to be funded by assessments is transferred to the Trust Fund upon the confirmation of the assessments or when the improvement is fully and permanently funded.
Compensated Absences – Expenditures relating to obligations for unused vested accumulated vacation and sick leave are not recorded until paid; however, municipalities may establish and budget reserve funds subject to NJSA 40A:4-39 for the future payment of compensated absences.
Recent Accounting Pronouncements – The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. GASB adopts accounting statements to be used by governmental units when reporting financial position and results of operations in accordance with accounting principles generally accepted in the United States of America (GAAP). The municipalities in the State of New Jersey do not prepare their financial statements in accordance with GAAP and thus do not comply with all of the GASB pronouncements. The following GASB pronouncement effective for the current year did have a significant impact on the Township’s financial statements.
Statement No. 91, Conduit Debt Obligations, provides a single method of reporting conduit debt obligations by issuers and eliminates diversity in practice associated with (1) commitments extended by issuers, (2) arrangements associated with conduit debt obligations, and (3) related note disclosures. In accordance with GASB Statement 95 noted below the requirements of this Statement will be effective for reporting periods subsequent to the date of this report. Management does not expect this Statement to have a material impact to the Municipality’s financial statements.
Statement No. 95, Postponement of The Effective Dates of Certain Authoritative Guidance, provides temporary relief to governments and other stakeholders in light of the COVID-19 pandemic. That objective is accomplished by postponing the effective dates of certain provisions in Statements and Implementation Guides that first became effective or are scheduled to become effective for periods beginning after June 15, 2018, and later.
### Note 2. Deposits and Investments
The Township is governed by the deposit and investment limitations of New Jersey state law.
## Deposits
Custodial Credit Risk Related to Deposits - Custodial credit risk is the risk that, in the event of a bank failure, the Township's deposits may not be returned. Although the Township does not have a formal policy regarding custodial credit risk, NJSA 17:9-41 et seq. requires that the governmental units shall deposit public funds in public depositories protected from loss under the provisions of the Governmental
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# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 2. Deposits and Investments (continued)
Unit Deposit Protection Act (GUDPA). GUDPA is a supplemental insurance program set forth by the New Jersey Legislature to protect the deposits of local governmental agencies. The program is administered by the Commissioner of the New Jersey Department of Banking and Insurance. Under the Act, the first $250,000 of governmental deposits in each insured depository is protected by FDIC. Public funds owned by the Township in excess of FDIC insured amounts are protected by GUDPA. However,
GUDPA does not protect intermingled trust funds such as salary withholdings, bail funds or funds that may pass to the Township relative to the happening of a future condition. Such funds are shown as Uninsured and Uncollateralized in the schedule below.
As of December 31, 2019, the Township’s bank balance of $45,677,500.02 was insured or collateralized as follows:
| Insured under FDIC and GUDPA | $ 27,461,388.23 |
| NJ Cash Management Fund | 60.19 |
| Uninsured and Uncollateralized | 18,216,051.60 |
| $ 45,677,500.02 |
## Investments
Fair Value Measurement – The fair value measurements of investments are required to be reported based on the hierarchy established by generally accepted accounting principles. Under GAAP, investments are required to be categorized based on the fair value of inputs of Levels 1, 2 and 3. Under Level 1 inputs, investments are required to be categorized based on quoted market prices in active markets for identical investments. Level 2 inputs are based primarily on using observable measurement criteria, including quoted market prices of similar investments in active and inactive markets and other observable corroborated factors. Level 3 inputs are assets measured at fair value on a recurring basis using significant unobservable measurement criteria based on the best information available.
Under regulatory basis of accounting, investments are measured at cost in the Township’s financial statements. However, had the financial statements been prepared in accordance with GAAP, the Township’s fair value, hierarchy level and maturities of its investments at December 31, 2019 would be as followed:
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# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 2. Deposits and Investments (continued)
| Carrying Value | Fair Value as of December 31, 2019 | Investment Maturities (in Years) |
| Level 1 | Level 3 | Total | Less Than 1 Year |
| Investment type | | | | | |
| Mutual Funds | $ 129,686.59 | $ 129,686.59 | $ - | $ 129,686.59 | $ 129,686.59 |
| Fixed Account | | | | | |
| Investment Contract | 53,171.02 | - | 53,171.02 | 53,171.02 | 53,171.02 |
| $ 182,857.61 | $ 129,686.59 | $ 53,171.02 | $ 182,857.61 | $ 182,857.61 |
| Fund | | | | | |
| Trust Fund - LOSAP | $ 182,857.61 | $ 129,686.59 | $ 53,171.02 | $ 182,857.61 | $ 182,857.61 |
| $ 182,857.61 | $ 129,686.59 | $ 53,171.02 | $ 182,857.61 | $ 182,857.61 |
Custodial credit risk related to Investments - This is the risk that in the event of the failure of the counterparty (e.g., broker-dealer) to a transaction, the Township will not be able to recover the value of its investment or collateral securities that are in the possession of another party. Other than the rules and regulations promulgated by N.J.S.A. 40A:5-15.1, the Township has no investment policy to limit exposure to custodial credit risk.
Interest rate risk - This is the risk that changes in interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. Other than the rules and regulations promulgated by N.J.S.A. 40A:5-15.1, the Township does not have a formal investment policy that limits investment maturities as a means of managing its exposure to fair value losses arising from increasing interest rates.
Credit risk - Credit risk is the risk that an issuer to an investment will not fulfill its obligation to the holder of the investment. This is measured by assignment of a rating by a nationally recognized rating organization. U.S. Government securities or obligations explicitly guaranteed by the U.S. government are not considered to have credit risk exposure. As of December 31, 2019, the Township’s investments had the following ratings:
Concentration of Credit Risk – Concentration of credit risk is the risk of loss attributed to the magnitude of a government’s investment in a single issuer. Other than the rules and regulations promulgated by N.J.S.A. 40A; 5-15.1, the Township’s investment policies place no limit in the amount the Township may invest in any one issuer. More than 5% of the Township’s investments are in mutual funds and fixed account investment contract. These investments represent 100% of the Township’s total investments.
===== PAGE 50 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 3. Property Taxes
The following is a three-year comparison of certain statistical information relative to property taxes and property tax collections for the current and previous two years.
| 2019 | 2018 | 2017 |
| Tax Rate | $ 2.342 | $ 2.283 | $ 2.227 |
| Apportionment of Tax Rate: | | | |
| Municipal | 0.486 | 0.478 | 0.473 |
| Municipal Open Space | 0.020 | 0.020 | 0.020 |
| County General | 0.463 | 0.454 | 0.431 |
| Local School | 1.373 | 1.331 | 1.303 |
Assessed Valuation
| Year | Amount |
| 2019 | $ 6,789,618,746.00 |
| 2018 | 6,761,719,027.00 |
| 2017 | 6,729,001,558.00 |
Comparison of Tax Levies and Collections
| Year | Cash | Percentage Of Collection |
| Tax Levy | Collections |
| 2019 | $ 166,803,053.60 | $ 164,494,354.24 | 98.61% |
| 2018 | 161,192,721.46 | 158,928,545.16 | 98.59% |
| 2017 | 156,848,375.95 | 154,686,163.07 | 98.62% |
Delinquent Taxes and Tax Title Liens
| Year | Tax Title\nLions | Delinquent\nTaxes | Total\nDelinquent | Percentage Of\nTax Levy |
| 2019 | $ 3,617,525.11 | $ 1,852,829.52 | $ 5,470,354.63 | 3.28% |
| 2018 | 3,357,833.01 | 1,814,819.70 | 5,172,652.71 | 3.21% |
| 2017 | 2,995,943.38 | 1,732,507.60 | 4,728,450.98 | 3.01% |
===== PAGE 51 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 3. Property Taxes (continued)
| Number of Tax Title Liens |
| Year | Number |
| 2019 | 151 |
| 2018 | 155 |
| 2017 | 163 |
The last tax sale was held on October 4, 2019.
### Note 4. Property Acquired By Tax Title Lien Liquidation
The value of properties acquired by liquidation of tax title liens based on the last assessed valuation of such properties as of December 31, was as follows:
| Year | | Amount |
| 2019 | < /td > < td style = 'text-align: center; word-wrap: break-word;' > 6,251,500.00 < /td > < /tr > < tr > < td style = 'text-align: center; word-wrap: break-word;' > 2018 < /td > < td style = 'text-align: center; word-wrap: break-word;' > < /td > < td style = 'text-align: center; word-wrap: break-word;' > 6,306,200.00 < /td > < /tr > < tr > < td style = 'text-align: center; word-wrap: break-word;' > 2017 < /td > < td style = 'text-align: center; word-wrap: break-word;' > < /td > < td style = 'text-align: center; word-wrap: break-word;' > 6,306,200.00 < /td > < /tr > < /table > ### Note 5. Fund Balances Appropriated The following schedule details the amount of fund balances available at the end of the current year and four previous years and the amounts utilized in the subsequent year'sbudgets: < table border = 1 style = 'margin: auto; word-wrap: break-word;' > < tr > < td style = 'text-align: center; word-wrap: break-word;' > < /td > < td style = 'text-align: center; word-wrap: break-word;' > BalancenDecember 31, < /td > < td style = 'text-align: center; word-wrap: break-word;' > Utilized innBudget ofnSucceeding Year < /td > < td style = 'text-align: center; word-wrap: break-word;' > Percentagenof FundnBalance Used < /td > < /tr > < tr > < td style = 'text-align: center; word-wrap: break-word;' > Year < /td > < td style = 'text-align: center; word-wrap: break-word;' > 13,383,343.88 | $ 4,808,000.00 | 35.93% |
| Current Fund: | 11,451,712.79 | 3,703,000.00 | 32.34% |
| 2017 | 9,775,978.70 | 3,703,000.00 | 37.88% |
### Note 6. Disaggregated Receivable and Payable Balances
There are no significant components of receivable and payable balances reported in the financial statements.
===== PAGE 52 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 7. Interfund Receivables, Payables and Transfers
The following interfund balances were recorded in the various statements of assets liabilities, reserves and fund balances at December 31, 2019:
| Fund | Inter fund Receivable | Inter fund Payable |
| Current Fund | $ 31,768.07 | $ 173,726.67 |
| State and Federal Grant Fund | 173,065.00 | - |
| Animal Control Trust | - | 21,757.01 |
| Trust Other Fund | - | 9,349.39 |
| $ 204,833.07 | $ 204,833.07 |
The interfund receivables and payables above predominately resulted from payment made by certain funds on behalf of other funds. All interfund balances are expected to be repaid within one year.
### Note 8. Fixed Assets
The following is a summary of changes in the General Fixed Assets Account Group for the year ended December 31, 2019.
| Balance\nDecember 31, | Balance\nDecember 31, |
| 2018 | Additions | Deletions | 2019 |
| Land | $ 56,320,100.00 | $ - | $ - | $ - | $ 56,320,100.00 | |
| Buildings and Improvements | 49,798,905.00 | 530,857.00 | - | - | 50,329,762.00 | |
| Machinery & Equipment | 14,296,035.00 | 605,269.00 | 263,920.00 | - | 14,637,384.00 | |
| $ 120,415,040.00 | $ 1,136,126.00 | $ 263,920.00 | $ 121,287,246.00 | | |
===== PAGE 53 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 9. Pension Obligations
### A. Public Employees' Retirement System (PERS)
Plan Description - The State of New Jersey, Public Employees' Retirement System (PERS) is a cost-sharing multiple-employer defined benefit pension plan administered by the State of New Jersey, Division of Pensions and Benefits (the Division). For additional information about PERS, please refer to Division's Comprehensive Annual Financial Report (CAFR) which can be found at http://www.state.nj.us/treasury/pensions/annual-reports.shtml.
The vesting and benefit provisions are set by N.J.S.A. 43:15A. PERS provides retirement, death and disability benefits. All benefits vest after ten years of service.
The following represents the membership tiers for PERS:
Tier Definition
1 Members who were enrolled prior to July 1, 2007
2 Members who were eligible to enroll on or after July 1, 2007 and prior to November 2, 2008
3 Members who were eligible to enroll on or after November 2, 2008 and prior to May 22, 2010
4 Members who were eligible to enroll on or after May 22, 2010 and prior to June 28, 2011
5 Members who were eligible to enroll on or after June 28, 2011
Service retirement benefits of 1/55th of final average salary for each year of service credit is available to tiers 1 and 2 members upon reaching age 60 and to tier 3 members upon reaching age 62. Service retirement benefits of 1/60th of final average salary for each year of service credit is available to tier 4 members upon reaching age 62 and tier 5 members upon reaching age 65. Early retirement benefits are available to tiers 1 and 2 members before reaching age 60, tiers 3 and 4 with 25 or more years of service credit before age 62 and tier 5 with 30 or more years of service credit before age 65. Benefits are reduced by a fraction of a percent for each month that a member retires prior to the age at which a member can receive full early retirement benefits in accordance with their respective tier. Tier 1 members can receive an unreduced benefit from age 55 to age 60 if they have at least 25 years of service. Deferred retirement is available to members who have at least 10 years of service credit and have not reached the service retirement age for the respective tier.
Basis of Presentation - The schedules of employer and nonemployer allocations and the schedules of pension amounts by employer and nonemployer (collectively, the Schedules) present amounts that are considered elements of the financial statements of PERS or its participating employers. Accordingly, they do not purport to be a complete presentation of the financial position or changes in financial position of PERS or the participating employers. The accompanying Schedules were prepared in accordance with U.S. generally accepted accounting principles. Such preparation requires management of PERS to make a number of estimates and assumptions relating to the reported amounts. Due to the inherent nature of these estimates, actual results could differ from those estimates.
===== PAGE 54 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 9. Pension Obligations (continued):
A. Public Employees' Retirement System (PERS) (continued):
Contributions - The contribution policy for PERS is set by N.J.S.A. 43:15A and requires contributions by active members and contributing employers. State legislation has modified the amount that is contributed by the State. The State's pension contribution is based on an actuarially determined amount, which includes the employer portion of the normal cost and an amortization of the unfunded accrued liability. Funding for noncontributory group insurance benefits is based on actual claims paid. For the fiscal year 2019, the State's pension contribution was less than the actuarial determined amount. The local employers' contribution amounts are based on an actuarially determined rate, which includes the normal cost and unfunded accrued liability. Chapter 19, P.L. 2009 provided an option for local employers of PERS to contribute 50% of the normal and accrued liability contribution amounts certified for payments due in State fiscal year 2009. Such employers will be credited with the full payment and any such amounts will not be included in their unfunded liability. The actuaries will determine the unfunded liability of those retirement systems, by employer, for the reduced normal and accrued liability contributions provided under this law. This unfunded liability will be paid by the employer in level annual payments over a period of 15 years beginning with the payments due in the fiscal year ended June 30, 2012 and will be adjusted by the rate of return on the actuarial value of assets. For the year ended December 31, 2019, the Township's contractually required contribution to PERS plan was $987,000.
Components of Net Pension Liability - At December 31, 2019, the Township’s proportionate share of the PERS net pension liability was $18,283,277.00. The net pension liability was measured as of June 30, 2019. The total pension liability used to calculate the net pension liability was determined using update procedures to roll forward the total pension liability from an actuarial valuation as of July 1, 2018, which was rolled forward to June 30, 2019. The Township’s proportion of the net pension liability was based on the Township’s actual contributions to the plan relative to the total of all participating employers’ contributions for the year ended June 30, 2019. The Township’s proportion measured as of June 30, 2019, was 0.1014695676% which was an increase of 0.0013170476% from its proportion measured as of June 30, 2018.
Balances at December 31, 2019 and December 31, 2018
| 12/31/2019 | 12/30/2018 |
| Actuarial valuation date (including roll forward) | June 30, 2019 | June 30, 2018 |
| Deferred Outflows of Resources | $ 2,994,982 | $ 4,531,660 |
| Deferred Inflows of Resources | 6,750,654 | 6,707,145 |
| Net Pension Liability | 18,283,277 | 19,719,532 |
| Township's portion of the Plan's total Net Pension Liability | 0.10147% | 0.10015% |
===== PAGE 55 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 9. Pension Obligations (continued):
A. Public Employees' Retirement System (PERS) (continued):
Pension Expense and Deferred Outflows/Inflows of Resources - At December 31, 2019, the Township’s proportionate share of the PERS expense, calculated by the plan as of the June 30, 2019 measurement date is $1,140,327.00. This expense is not recognized by the Township because of the regulatory basis of accounting as described in Note 1, but as previously mentioned the Township contributed $987,000 to the plan in 2019.
At December 31, 2019, the Township reported deferred outflows of resources and deferred inflows of resources related to PERS from the following sources:
| Deferred Outflows of Resources | Deferred Inflows of Resources |
| Differences between Expected and Actual Experience | $ 328,161 | $ 80,767 |
| Changes of Assumptions | 1,825,652 | 6,346,067 |
| Net Difference between Projected and Actual Earnings on Pension Plan Investments | - | 288,609 |
| Changes in Proportion and Differences between Township Contributions and Proportionate Share of Contributions | 841,169 | 35,211 |
| $ 2,994,982 | $ 6,750,654 |
The Township will amortize the above sources of deferred outflows and inflows related to PERS over the following number of years:
===== PAGE 56 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 9. Pension Obligations (continued):
A. Public Employees' Retirement System (PERS) (continued):
| Deferred Outflow of Resources | Deferred Inflow of Resources |
| Differences between Expected and Actual Experience | | |
| Year of Pension Plan Deferral: | | |
| June 30, 2014 | - | - |
| June 30, 2015 | 5.72 | - |
| June 30, 2016 | 5.57 | - |
| June 30, 2017 | 5.48 | - |
| June 30, 2018 | 5.63 | - |
| June 30, 2019 | 5.21 | - |
| Changes of Assumptions | | |
| Year of Pension Plan Deferral: | | |
| June 30, 2014 | 6.44 | - |
| June 30, 2015 | 5.72 | - |
| June 30, 2016 | 5.57 | - |
| June 30, 2017 | - | 5.48 |
| June 30, 2018 | - | 5.63 |
| June 30, 2019 | - | 5.21 |
| Net Difference between Projected and Actual Earnings on Pension Plan Investments | | |
| Year of Pension Plan Deferral: | | |
| June 30, 2014 | - | 5.00 |
| June 30, 2015 | - | 5.00 |
| June 30, 2016 | 5.00 | - |
| June 30, 2017 | 5.00 | - |
| June 30, 2018 | 5.00 | - |
| June 30, 2019 | 5.00 | - |
| Changes in Proportion and Differences between Contributions and Proportionate Share of Contributions Year of Pension Plan Deferral: | | |
| June 30, 2014 | 6.44 | 6.44 |
| June 30, 2015 | 5.72 | 5.72 |
| June 30, 2016 | 5.57 | 5.57 |
| June 30, 2017 | 5.48 | 5.48 |
| June 30, 2018 | 5.63 | 5.63 |
| June 30, 2019 | 5.21 | 5.21 |
===== PAGE 57 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 9. Pension Obligations (continued):
### A. Public Employees' Retirement System (PERS) (continued):
The following is a summary of the deferred outflows of resources and deferred inflows of resources related to PERS that will be recognized in future periods:
| Year Ending |
| Dec 31, | Amount |
| 2020 | $ (519,807) |
| 2021 | (931,957) |
| 2022 | (1,588,691) |
| 2023 | (653,510) |
| 2024 | (61,707) |
| $ (3,755,672) |
Actuarial Assumptions - The total pension asset/(liability) as of the measurement date was determined by using an actuarial valuation as noted in the table below, with update procedures used to roll forward the total pension liability to the measurement date. The actuarial valuations used the following actuarial assumptions:
| Inflation | |
| Price | 2.75% |
| Wage | 3.25% |
| Salary Increases: | |
| Through 2026 | 2.00 - 6.00% Based on Years of Service |
| Thereafter | 3.00 - 7.00% Based on Years of Service |
| Investment Rate of Return | 7.00% |
| Mortality Rate Table | |
| PERS | Pub-2010 General Classification Headcount weighted mortality with fully generational mortality improvement projections from the central year using Scale MP-2019 |
| PFRS | Pub-2010 Safety Classification Headcount weighted mortality with fully generational mortality improvement projections from the central year using Scale MP-2019 |
| Period of Actuarial Experience | |
| Study upon which Actuarial Assumptions were Based | July 1, 2014 - June 30, 2018 |
Pre-retirement mortality rates were based on the Pub-2010 General Below-Median Income Employee Mortality Table with an 82.2% adjustment for males and 101.4% adjustment for females, and with future improvement from the base year of 2010 on a generational basis. Post-retirement mortality rates were based on the Pub-2010 General Below-Median Income Healthy Retiree mortality table with a 91.4% adjustment for males and 99.7% adjustment for females, and with future improvement from the base year of 2010 on a generational basis. Disability retirement rates used to value disabled retirees were based on the Pub-2010 Non-Safety Disabled Retiree mortality table with a 127.7% adjustment for males and 117.2% adjustment for females, and with future improvement from the base year of 2010 on a generational basis. Mortality improvement is based on Scale MP-2019.
===== PAGE 58 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 9. Pension Obligations (continued):
### A. Public Employees' Retirement System (PERS) (continued):
The actuarial assumptions used in the July 1, 2018 valuation were based on the results of an actuarial experience study for the period July 1, 2014 to June 30, 2018. It is likely that future experience will not exactly conform to these assumptions. To the extent that actual experience deviates from these assumptions, the emerging liabilities may be higher or lower than anticipated. The more the experience deviates, the larger the impact on future financial statements.
Long-Term Expected Rate of Return - In accordance with State statute, the long-term expected rate of return on plan investments (7.00% at June 30, 2019) is determined by the State Treasurer, after consultation with the Directors of the Division of Investments and Division of Pensions and Benefits, the board of trustees and the actuaries. The long-term expected rate of return was determined using a building block method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class. These ranges are combined to produce the long-term expected rate of return by weighting the expected future real rates of return by the target asset allocation percentage and by adding expected inflation. Best estimates of arithmetic rates of return for each major asset class included in PERS's target asset allocation as of June 30, 2019 are summarized in the following table:
| Asset Class | Target Allocation | Long-Term Expected Real Rate of Return |
| Risk Mitigation Strategies | 3.00% | 4.67% |
| Cash Equivalents | 5.00% | 2.00% |
| U.S. Treasuries | 5.00% | 2.68% |
| Investment Grade Credit | 10.00% | 4.25% |
| High Yield | 2.00% | 5.37% |
| Private Credit | 6.00% | 7.92% |
| Real Assets | 2.50% | 9.31% |
| Real Estate | 7.50% | 8.33% |
| U.S. Equity | 28.00% | 8.26% |
| Non-U.S. Developed Markets Equity | 12.50% | 9.00% |
| Emerging Markets Equity | 6.50% | 11.37% |
| Private Equity | 12.00% | 10.85% |
Discount Rate - The discount rate used to measure the total pension liability was 6.28% as of June 30, 2019. The single blended discount rate was based on long-term expected rate of return on pension plan investments of 7.00%, and a municipal bond rate of 3.50% as of June 30, 2019 based on the Bond Buyer Go 20-Bond Municipal Bond Index, which includes tax-exempt general obligation municipals bonds with an average rating of AA/Aa or higher. The projection of cash flows used to determine the discount rate assumed that contributions from plan members will be made at the current member contribution rates and that contributions from employers will be based on 70% of the actuarially determined contributions for the State employer and 100% of actuarially determined contributions for the local employers. Based on those assumptions, the plan’s fiduciary net position was projected to be available to make projected future
===== PAGE 59 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 9. Pension Obligations (continued):
### A. Public Employees' Retirement System (PERS) (continued):
benefit payments of current plan members through 2057. Therefore, the long-term expected rate of return on plan investments was applied to projected benefit payments through 2057 and the municipal bond rate was applied to projected benefit payments after that date in determining the total pension liability.
Sensitivity of the Township’s proportionate share of the Net Pension Liability to Changes in the Discount Rate - The following presents the Township’s proportionate share of the net pension liability calculated using the discount rate as disclosed above, as well as what the Township’s proportionate share of the net pension liability would be if it were calculated using a discount rate that is 1-percentage-point lower (5.28%) or 1-percentage-point higher (7.28%) than the current rate:
| 1% Decrease (5.28%) | Current Discount Rate (6.28%) | 1% Increase (7.28%) |
| Township's Proportionate Share of the Net Pension Liability | $ 23,255,413 | $ 18,283,277 | $ 14,327,916 |
### B. Police and Firemen's Retirement System (PFRS)
Plan Description – The State of New Jersey, Police and Firemen's Retirement System (PFRS) is a cost-sharing multiple-employer defined benefit pension plan administered by the State of New Jersey, Division of Pensions and Benefits (the Division). For additional information about PFRS, please refer to the Division's Comprehensive Annual Financial Report (CAFR) which can be found at http://www.state.nj.us/treasury/pensions/annual-reports.shtml.
The vesting and benefit provisions are set by N.J.S.A. 43:16A. PFRS provides retirement as well as death and disability benefits. All benefits vest after ten years of service, except disability benefits which vest after four years of service.
The following represents the membership tiers for PFRS:
Tier
Definition
1 Members who were enrolled prior to May 22, 2010.
2 Members who were eligible to enroll on or after May 22, 2010 and prior to June 28, 2011
3 Members who were eligible to enroll on or after June 28, 2011
Service retirement benefits are available at age 55 and are generally determined to be 2% of final compensation for each year of creditable service, as defined, up to 30 years plus 1% for each year of service in excess of 30 years. Members may seek special retirement after achieving 25 years of creditable service, in which benefits would equal 65% (tiers 1 and 2 members) and 60% (tier 3 members) of final compensation plus 1% for each year if creditable service over 25 years but not to exceed 30 years. Members may elect deferred retirement benefits after achieving ten years of service, in which case benefits would begin at age 55 equal to 2% of final compensation for each year of service.
===== PAGE 60 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 9. Pension Obligations (continued):
B. Police and Firemen's Retirement System (PFRS) (continued):
Basis of Presentation - The schedule of employer and nonemployer allocations and the schedule of pension amounts by employer and nonemployer (collectively, the Schedules) present amounts that are considered elements of the financial statements of PFRS, its participating employers or the State as a nonemployer contributing entity. Accordingly, they do not purport to be a complete presentation of the financial position or changes in financial position of PFRS, the participating employers, or the State. The accompanying Schedules were prepared in accordance with U.S. generally accepted accounting principles. Such preparation requires management of PFRS to make a number of estimates and assumptions relating to the reported amounts. Due to the inherent nature of these estimates, actual results could differ from those estimates.
Contributions - The contribution policy for PFRS is set by N.J.S.A. 43:16A and requires contributions by active members and contributing employers. State legislation has modified the amount that is contributed by the State. The State's contribution amount is based on an actuarially determined rate which includes the normal cost and unfunded accrued liability. For fiscal year 2019, the State contributed an amount less than the actuarially determined amount. The Local employers' contribution amounts are based on an actuarially determined rate which includes the normal cost and unfunded accrued liability. Chapter 19, P.L. 2009 provided an option for local employers of PFRS to contribute 50% of the normal and accrued liability contribution amounts certified for payments due in State fiscal year 2009. Such employers will be credited with the full payment and any such amounts will not be included in their unfunded liability. The actuaries will determine the unfunded liability of those retirement systems, by employer, for the reduced normal and accrued liability contributions provided under this law. This unfunded liability will be paid by the employer in level annual payments over a period of 15 years beginning with the payments due in the fiscal year ended June 30, 2012 and will be adjusted by the rate of return on the actuarial value of assets. For the year ended December 31, 2019, the Township's contractually required contributions to PFRS plan was $2,981,857.
Net Pension Liability and Pension Expense - At December 31, 2019 the Township’s proportionate share of the PFRS net pension liability was $36,126,169. The net pension liability was measured as of June 30, 2019. The total pension liability used to calculate the net pension liability was determined using update procedures to roll forward the total pension liability from an actuarial valuation as of July 1, 2018, to the measurement date of June 30, 2019. The Township’s proportion of the net pension liability was based on the Township’s actual contributions to the plan relative to the total of all participating employers’ contributions for the year ended June 30, 2019. The Township’s proportion measured as of June 30, 2019, was 0.2952010415%, which was an increase of 0.0087942867% from its proportion measured as of June 30, 2018.
Balances at December 31, 2019 and December 31, 2018
| 12/31/2019 | 12/31/2018 |
| Actuarial valuation date (including roll forward) | June 30, 2019 | June 30, 2018 |
| Deferred Outflows of Resources | $ 3,143,305 | $ 4,763,241 |
| Deferred Inflows of Resources | 12,519,052 | 10,478,308 |
| Net Pension Liability | 36,126,169 | 38,755,556 |
| Township's portion of the Plan's total net pension Liability | 0.29520% | 0.28641% |
===== PAGE 61 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 9. Pension Obligations (continued):
B. Police and Firemen's Retirement System (PFRS) (continued):
Pension Expense and Deferred Outflows/Inflows of Resources – At December 31, 2019, the Township’s proportionate share of the PFRS expense, calculated by the plan as of the June 30, 2019 measurement date was $4,013,467. This expense is not recognized by the Township because of the regulatory basis of accounting as described in Note 1, but as previously mentioned the Township contributed $2,981,857 to the plan in 2019.
At December 31, 2019, the Township had deferred outflows of resources and deferred inflows of resources related to PFRS from the following sources:
| Deferred Outflows of Resources | Deferred Inflows of Resources |
| Differences between Expected and Actual Experience | $ | 304,951 | $ | 228,721 |
| Changes of Assumptions | | 1,237,879 | | 11,675,647 |
| Net Difference between Projected and Actual Earnings on Pension Plan Investments | | - | | 489,498 |
| Changes in Proportion and Differences between Township Contributions and Proportionate Share of Contributions | | 1,600,475 | | 125,186 |
| $ | 3,143,305 | $ | 12,519,052 |
The Township will amortize the above sources of deferred outflows and inflows related to PFRS over the following number of years:
===== PAGE 62 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 9. Pension Obligations (continued):
B. Police and Firemen's Retirement System (PFRS) (continued):
| Deferred Outflow of Resources | Deferred Inflow of Resources |
| Differences between Expected and Actual Experience | | |
| Year of Pension Plan Deferral: | | |
| June 30, 2014 | - | - |
| June 30, 2015 | - | 5.53 |
| June 30, 2016 | - | 5.58 |
| June 30, 2017 | 5.59 | - |
| June 30, 2018 | 5.73 | - |
| June 30, 2019 | - | 5.92 |
| Changes of Assumptions | | |
| Year of Pension Plan Deferral: | | |
| June 30, 2014 | 6.17 | - |
| June 30, 2015 | 5.53 | - |
| June 30, 2016 | 5.58 | - |
| June 30, 2017 | - | 5.59 |
| June 30, 2018 | - | 5.73 |
| June 30, 2019 | - | 5.92 |
| Net Difference between Projected and Actual Earnings on Pension Plan Investments | | |
| Year of Pension Plan Deferral: | | |
| June 30, 2014 | - | 5.00 |
| June 30, 2015 | - | 5.00 |
| June 30, 2016 | 5.00 | - |
| June 30, 2017 | 5.00 | - |
| June 30, 2018 | 5.00 | - |
| June 30, 2019 | - | 5.00 |
| Changes in Proportion and Differences between Contributions and Proportionate Share of Contributions Year of Pension Plan Deferral: | | |
| June 30, 2014 | 6.17 | 6.17 |
| June 30, 2015 | 5.53 | 5.53 |
| June 30, 2016 | 5.58 | 5.58 |
| June 30, 2017 | 5.59 | 5.59 |
| June 30, 2018 | 5.73 | 5.73 |
| June 30, 2019 | 5.92 | 5.92 |
===== PAGE 63 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 9. Pension Obligations (continued):
### B. Police and Firemen's Retirement System (PFRS) (continued):
The following is a summary of the deferred outflows of resources and deferred inflows of resources related to PFRS that will be recognized in future periods:
Year Ending
| Dec 31, | Amount |
| 2020 | $ (2,205,965) |
| 2021 | (2,815,033) |
| 2022 | (2,536,989) |
| 2023 | (1,318,128) |
| 2024 | (499,632) |
| $ (9,375,747) |
Special Funding Situation – Under N.J.S.A. 43:16A-15, local participating employers are responsible for their own contributions based on actuarially determined amounts, except where legislation was passed which legally obligated the State if certain circumstances occurred. The legislation which legally obligates the state is as follows: Chapter 8, P.L. 2000, Chapter 318, P.L. 2001, Chapter 86, P.L. 2001, Chapter 511, P.L., 1991, Chapter 109, P.L. 1979, Chapter 247, P.L. 1993 and Chapter 201, P.L. 2001. The amounts contributed on behalf of the local participating employers under this legislation is considered to be a special funding situation as defined by GASB Statement No. 68 and the State is treated as a non-employer contributing entity. Since the local participating employers do not contribute under this legislation directly to the plan (except for employer specific financed amounts), there is no net pension liability to report in the financial statements of the local participating employers related to this legislation.
Additionally, the State’s proportionate share of the PFRS net pension liability attributable to the Township is $5,704,391 as of December 31, 2019. The net pension liability was measured as of June 30, 2019. The total pension liability used to calculate the net pension liability was determined using update procedures to roll forward the total pension liability from an actuarial valuation as of July 1, 2018, to the measurement date of June 30, 2019. The State’s proportion of the net pension liability associated with the Township was based on a projection of the Township’s long-term share of contributions to the pension plan relative to the projected contributions of all participating members, actuarially determined. The State’s proportion measured as of June 30, 2019 was 0.2952010415%, which was an increase of 0.0087942867% from its proportion measured as of June 30, 2018, which is the same proportion as the Township’s. At December 31, 2019, the Township’s and the State of New Jersey’s proportionate share of the PFRS net pension liability were as follows:
| Township's Proportionate Share of Net Pension Liability | $ 36,126,169 |
| State of New Jersey's Proportionate Share of Net Pension Liability Associated with the Township | 5,704,391 |
5,704,391
$41,830,560
===== PAGE 64 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 9. Pension Obligations (continued):
### B. Police and Firemen's Retirement System (PFRS) (continued):
At December 31, 2019, the State’s proportionate share of the PFRS expense, associated with the Township, calculated by the plan as of the June 30, 2019 measurement date was $662,803.
Actuarial Assumptions - The total pension asset/(liability) as of the measurement date was determined by using an actuarial valuation as noted in the table below, with update procedures used to roll forward the total pension liability to the measurement date. The actuarial valuations used the following actuarial assumptions:
| Inflation | |
| Price | 2.75% |
| Wage | 3.25% |
| Salary Increases: | |
| Through all future years | 3.25 - 15.25% |
| Based on Years of Service |
| Investment Rate of Return | 7.00% |
| Mortality Rate Table | |
| PERS | Pub-2010 General Classification Headcount weighted mortality with fully generational mortality improvement projections from the central year using Scale MP-2019 |
| PFRS | Pub-2010 Safety Classification Headcount weighted mortality with fully generational mortality improvement projections from the central year using Scale MP-2019 |
| Period of Actuarial Experience | |
| Study upon which Actuarial Assumptions were Based | July 1, 2013 - June 30, 2018 |
Pre-retirement mortality rates were based on the Pub-2010 Safety Employee mortality table with a 105.6% adjustment for males and 102.5% adjustment for females, and with future improvement from the base year of 2010 on a generational basis. Post-retirement mortality rates were based on the Pub-2010 Safety Retiree Below-Median Income Weighted mortality table with a 96.7% adjustment for males and 96.0% adjustment for females, and with future improvement from the base year of 2010 on a generational basis. For beneficiaries (contingent annuitants), the Pub-2010 General Retiree Below-Median Income Weighted mortality table was used, unadjusted, and with future improvement from the base year of 2010 on a generational basis. Disability rates were based on the Pub-2010 Safety Disabled Retiree mortality table with a 152.0% adjustment for males and 109.3% adjustment for females, and with future improvement from the base year of 2010 on a generational basis. Mortality improvement is based on Scale MP-2019.
The actuarial assumptions used in the July 1, 2018 valuation were based on the results of an actuarial experience study for the period July 1, 2013 to June 30, 2018.
===== PAGE 65 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 9. Pension Obligations (continued):
### B. Police and Firemen's Retirement System (PFRS) (continued):
Long-Term Expected Rate of Return - In accordance with State statute, the long-term expected rate of return on plan investments (7.00% at June 30, 2019) is determined by the State Treasurer, after consultation with the Directors of the Division of Investments and Division of Pensions and Benefits, the board of trustees and the actuaries. The long-term expected rate of return was determined using a building block method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class. These ranges are combined to produce the long-term expected rate of return by weighting the expected future real rates of return by the target asset allocation percentage and by adding expected inflation. Best estimates of arithmetic rates of return for each major asset class included in PFRS's target asset allocation as of June 30, 2019 are summarized in the following table:
| Asset Class | Target Allocation | Long-Term Expected Real Rate of Return |
| Risk Mitigation Strategies | 3.00% | 4.67% |
| Cash Equivalents | 5.00% | 2.00% |
| U.S. Treasuries | 5.00% | 2.68% |
| Investment Grade Credit | 10.00% | 4.25% |
| High Yield | 2.00% | 5.37% |
| Private Credit | 6.00% | 7.92% |
| Real Assets | 2.50% | 9.31% |
| Real Estate | 7.50% | 8.33% |
| U.S. Equity | 28.00% | 8.26% |
| Non-U.S. Developed Markets Equity | 12.50% | 9.00% |
| Emerging Markets Equity | 6.50% | 11.37% |
| Private Equity | 12.00% | 10.85% |
Discount Rate - The discount rate used to measure the total pension liability was 6.85% as of June 30, 2019. The single blended discount rate was based on long-term expected rate of return on pension plan investments of 7.00%, and a municipal bond rate of 3.50% as of June 30, 2019 based on the Bond Buyer Go 20-Bond Municipal Bond Index, which includes tax-exempt general obligation municipals bonds with an average rating of AA/Aa or higher. The projection of cash flows used to determine the discount rate assumed that contributions from plan members will be made at the current member contribution rates and that contributions from employers and the nonemployer contributing entity will be based on 70% of the actuarially determined contributions for the State employer and 100% of actuarially determined contributions for local employers. Based on those assumptions, the plan’s fiduciary net position was projected to be available to make projected future benefit payments of current plan members through 2076. Therefore, the long-term expected rate of return on plan investments was applied to projected benefit payments through 2076 and the municipal bond rate was applied to projected benefit payments after that date in determining the total pension liability.
Sensitivity of the Township’s proportionate share of the Net Pension Liability to Changes in the Discount Rate - The following presents the Township’s proportionate share of the net pension liability calculated using the discount rate as disclosed above, as well as what the Township’s proportionate share of the net pension liability would be if it were calculated using a discount rate that is 1-percentage-point lower (5.85%) or 1-percentage-point higher (7.85%) than the current rate:
===== PAGE 66 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 9. Pension Obligations (continued):
B. Police and Firemen's Retirement System (PFRS) (continued):
| 1 % | Current | 1 % |
| Decrease | Discount Rate | Increase |
| (5.85 %) | (6.85 %) | (7.85 %) |
| Township's Proportionate Share of the Net Pension Liability | $ | 48,829,416 | $ | 36,126,169 | $ | 25,612,402 |
| State of New Jersey's Proportionate Share of Net Pension Liability associated with the Township | 7,710,258 | 5,704,391 | 4,044,247 |
| $ | 56,539,674 | $ | 41,830,560 | $ | 29,656,649 |
Related Party Investments - The Division of Pensions and Benefits does not invest in securities issued by the Township.
### Note 10. Postemployment Benefits Other Than Pensions
## General Information about the OPEB Plan
The State Health Benefit Local Government Retired Employees Plan (the Plan) is a cost-sharing multiple-employer defined benefit other postemployment benefit (OPEB) plan with a special funding situation. It covers employees of local government employers that have adopted a resolution to participate in the Plan. For additional information about the Plan, please refer to the State of New Jersey (the State), Division of Pensions and Benefits' (the Division) Comprehensive Annual Financial Report (CAFR), which can be found at https://www.state.nj.us/treasury/pensions/financial-reports.shtml.
The Plan provides medical and prescription drug to retirees and their covered dependents of the participating employers. Under the provisions of Chapter 88, P.L 1974 and Chapter 48, P.L. 1999, local government employers electing to provide postretirement medical coverage to their employees must file a resolution with the Division. Under Chapter 88, local employers elect to provide benefit coverage based on the eligibility rules and regulations promulgated by the State Health Benefits Commission. Chapter 48 allows local employers to establish their own age and service eligibility for employer paid health benefits coverage for retired employees. Under Chapter 48, the employer may assume the cost of postretirement medical coverage for employees and their dependents who: 1) retired on a disability pension; or 2) retired with 25 or more years of service credit in a State or locally administered retirement system and a period of service of up to 25 years with the employer at the time of retirement as established by the employer; or 3) retired and reached the age of 65 with 25 or more years of service credit in a State or locally administered retirement system and a period of service of up to 25 years with the employer at the time of
===== PAGE 67 =====
## TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 10. Postemployment Benefits Other Than Pensions (continued):
retirement as established by the employer; or 4) retired and reached age 62 with at least 15 years of service with the employer. Further, the law provides that the employer paid obligations for retiree coverage may be determined by means of a collective negotiations agreement.
In accordance with Chapter 330, P.L. 1997, which is codified in N.J.S.A 52:14-17.32i, the State provides medical and prescription coverage to local police officers and firefighters, who retire with 25 years of service or on a disability from an employer who does not provide postretirement medical coverage. Local employers were required to file a resolution with the Division in order for their employees to qualify for State-paid retiree health benefits coverage under Chapter 330. The State also provides funding for retiree health benefits to survivors of local police officers and firefighters who die in the line of duty under Chapter 271, P.L.1989.
Pursuant to Chapter 78, P.L, 2011, future retirees eligible for postretirement medical coverage who have less than 20 years of creditable service on June 28, 2011 will be required to pay a percentage of the cost of their health care coverage in retirement provided they retire with 25 or more years of pension service credit. The percentage of the premium for which the retiree will be responsible will be determined based on the retiree's annual retirement benefit and level of coverage.
## Basis of Presentation
The schedule of employer and nonemployer allocations and the schedule of OPEB amounts by employer and nonemployer (collectively, the Schedules) present amounts that are considered elements of the financial statements of its participating employers or the State as a nonemployer contributing entity. Accordingly, they do not purport to be a complete presentation of the financial position or changes in financial position of the participating employers or the State. The accompanying Schedules were prepared in accordance with U.S. generally accepted accounting principles. Such preparation requires management of the Plan to make a number of estimates and assumptions relating to the reported amounts. Due to the inherent nature of these estimates, actual results could differ from those estimates.
## Allocation Methodology
GASB Statement No. 75 requires participating employers in the Plan to recognize their proportionate share of the collective net OPEB liability, collective deferred outflows of resources, collective deferred inflows of resources, and collective OPEB (benefit) expense. The special funding situation’s and nonspecial funding situation’s net OPEB liability, deferred outflows of resources, deferred inflows of resources, and OPEB (benefit) expense are based on separately calculated total OPEB liabilities. For the special funding situation and the nonspecial funding situation, the total OPEB liabilities for the year ended June 30, 2019 were $5,637,151,775.00 and $8,182,092,807.00, respectively. The nonspecial funding situation’s net OPEB liability, deferred outflows of resources, deferred inflows of resources, and OPEB (benefit) expense are further allocated to employers based on the ratio of the plan members of an individual employer to the total members of the Plan’s nonspecial funding situation during the measurement period July 1, 2018 through June 30, 2019. Employer and nonemployer allocation percentages have been rounded for presentation purposes; therefore, amounts presented in the schedule of OPEB amounts by employer and nonemployer may result in immaterial differences.
===== PAGE 68 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 10. Postemployment Benefits Other Than Pensions (continued):
## Special Funding Situation
Under Chapter 330, P.L. 1997, the State shall pay the premium or periodic charges for the qualified local police and firefighter retirees and dependents equal to 80 percent of the premium or periodic charge for the category of coverage elected by the qualified retiree under the State managed care plan or a health maintenance organization participating in the program providing the lowest premium or periodic charge. The State also provides funding for retiree health benefits to survivors of local police officers and firefighters who die in the line of duty under Chapter 271, P.L.1989.
Therefore, these employers are considered to be in a special funding situation as defined by GASB Statement No. 75 and the State is treated as a nonemployer contributing entity. Since the local participating employers do not contribute under this legislation directly to the plan, there is no net OPEB liability, deferred outflows of resources or deferred inflows of resources to report in the financial statements of the local participating employers related to this legislation. However, the notes to the financial statements of the local participating employers must disclose the portion of the nonemployer contributing entities' total proportionate share of the collective net OPEB liability that is associated with the local participating employer.
The participating employer allocations included in the supplemental schedule of employer special funding allocations and the supplemental schedule of special funding amounts by employer for each employer are provided as each employer is required to record in their financial statements, as an expense and corresponding revenue, their proportionate share of the OPEB expense allocated to the State of New Jersey under the special funding situation and include their proportionate share of the collective net OPEB liability in their respective notes to their financial statements. For this purpose, the proportionate share was developed based on eligible plan members subject to the special funding situation. This data takes into account active members from both participating and non-participating employer locations and retired members currently receiving OPEB benefits.
Additionally, the State’s proportionate share of the OPEB liability attributable to the Township is $26,134,660.00 as of December 31, 2019. The OPEB liability was measured as of June 30, 2019. The total OPEB liability used to calculate the OPEB liability was determined using update procedures to roll forward the total OPEB liability from an actuarial valuation as of July 1, 2018, to the measurement date of June 30, 2019. The State’s proportion of the OPEB liability associated with the Township was based on a projection of the Township’s long-term share of contributions to the OPEB plan relative to the projected contributions of all participating members, actuarially determined. The State’s proportion measured as of June 30, 2019 was 0.4729639932%, which was a decrease of 0.0021200074% from its proportion measured as of June 30, 2018, which is the same proportion as the Township’s. At December 31, 2019, the Township’s and the State of New Jersey’s proportionate share of the OPEB liability were as follows:
$State of New Jerseyprimes$
$Proportionate~Share~of~OPEB~Liability$
$Ass o s c i a t e d w i t h t h e T o w n s h i p$
At December 31, 2019, the State’s proportionate share of the OPEB expense, associated with the Township, calculated by the plan as of the June 30, 2019 measurement date was $346,421.00.
===== PAGE 69 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 11. Municipal Debt
The following schedule represents the Township’s summary of debt, as filed in the Township’s Annual Debt Statement required by the Local Bond Law of New Jersey for the current and two previous years:
| 2019 | 2018 | 2017 |
| Issued: | | | |
| General: | | | |
| Bonds, Notes and Loans | $ 23,260,555.12 | $ 20,098,336.95 | $ 19,581,439.78 |
| Total Debt Issued | 23,260,555.12 | 20,098,336.95 | 19,581,439.78 |
| Authorized but not issued: | | | |
| General: | | | |
| Bonds, Notes and Loans | 3,919,439.50 | 2,109,502.50 | 4,372,731.50 |
| Total Authorized But Not Issued | 3,919,439.50 | 2,109,502.50 | 4,372,731.50 |
| Total Gross Debt | $ 27,179,994.62 | $ 22,207,839.45 | $ 23,954,171.28 |
| Deductions: | | | |
| General: | | | |
| Funds Temporarily Held | | | |
| to pay Bonds & Notes | 1,212,815.16 | 1,281,840.79 | 1,796,905.79 |
| Open Space Trust (40A:2-44h) | 2,565,000.00 | 2,810,000.00 | 3,460,000.00 |
| Total Deductions | 3,777,815.16 | 4,091,840.79 | 5,256,905.79 |
| Total Net Debt | $ 23,402,179.46 | $ 18,115,998.66 | $ 18,697,265.49 |
Summary of Statutory Debt Condition - Annual Debt Statement
The following schedule is a summary of the previous schedule and is prepared in accordance with the required method of setting up the Annual Debt Statement:
===== PAGE 70 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
Note 11. Municipal Debt (continued)
| Gross Debt | Deductions | Net Debt |
| Local School Debt | $ 55,530,973.00 | $ 55,530,973.00 | $- |
| General Debt | 27,179,994.62 | 3,777,815.16 | 23,402,179.46 |
| $ 82,710,967.62 | $ 59,308,788.16 | $ 23,402,179.46 |
Net Debt $23,402,179.46 divided by the average Equalized Valuation Basis per N.J.S.A 40A:2-2 as amended, $7,627,191,654.33, equals 0.307% New Jersey statute 40A:2-6, as amended, limits the debt of a Municipality to 3.5% of the last three preceding year's average equalized valuations of real estate, including improvements and the assessed valuation of Class II Railroad Property. The remaining borrowing power in dollars at December 31, 2019 is calculated as follows:
Borrowing Power Under N.J.S. 40A:2-6 as Amended
| 3 1/2% of Equalized Valuation Basis (Municipal) | $ 266,951,707.90 |
| Net Debt | 23,402,179.46 |
| Remaining Borrowing Power | $ 243,549,528.44 |
## General Debt
### A. Serial Bonds Payable
On July 23, 2014, the Township issued $5,845,000 of General Obligation Bonds. The General Obligation Bonds were issued at interest rates varying from 2.00% to 3.00% and mature in 2025.
On February 2, 2016, the Township issued $7,100,000 of General Bonds. The General Refunding Bonds were issued at interest rates varying from 2.00% to 4.00% and mature in 2028.
During 2016, the Township issued $5,858,000 of General Bonds. The General Obligation bonds were issued at interest rates varying from 2.00% to 4.00% and mature in 2023.
Principal and interest due on the outstanding bonds is as follows:
| Year | Principal | Interest | Total |
| 2020 | $ 3,520,000.00 | $ 341,575.00 | $ 3,861,575.00 |
| 2021 | $ 1,875,000.00 | $ 217,275.00 | $ 2,092,275.00 |
| 2022 | $ 1,890,000.00 | $ 156,475.00 | $ 2,046,475.00 |
| 2023 | $ 1,980,000.00 | $ 115,950.00 | $ 2,095,950.00 |
| 2024 | $ 885,000.00 | $ 71,450.00 | $ 956,450.00 |
| 2025-2028 | $ 1,820,000.00 | $ 106,062.50 | $ 1,926,062.50 |
| $ 11,970,000.00 | $ 1,008,787.50 | $ 12,978,787.50 |
===== PAGE 71 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 11. Municipal Debt (continued)
### B. Bond Anticipation Notes Payable – Short Term Debt
The following is a summary of bond anticipation notes payable accounted for in the General Capital Fund at December 31, 2019:
| Description | Date of Issue | Date of Maturity | Rate | Balance\nDecember 31, 2019 |
| Series 2019 A | 8/6/2019 | 2/13/2020 | 2.00% | $ 4,372,000.00 |
| Series 2019 A | 2/13/2019 | 2/13/2020 | 3.25% | 6,667,321.00 |
| | | | $11,039,321.00 |
### C. Bonds and Notes Authorized But Not Issued
As of December 31, 2019, the Township had $3,919,439.50 in various General Capital bonds and notes authorized but not issued.
### D. Loans Payable
New Jersey Environmental Infrastructure Trust
In 2017 the Township finalized one loan agreement with the State of New Jersey Department of Environmental Protection, pursuant to the 2017A-1 New Jersey Environmental Infrastructure Trust Financing Program.
The loan consists of two agreements, a Trust Loan Agreement of $145,000 to be repaid over a 14 year period at interest rates ranging from 3.00% to 5.00%, and a no interest Fund Loan Agreement of $148,175 to be repaid over a 14 year period. The proceeds of the loans are to provide for the acquisition of a Jet Vac and Sweeper for use by the Township.
| Year | Principal | Interest | Total |
| 2020 | 20,102.83 | 5,100.00 | $ 25,202.83 |
| 2021 | 20,102.83 | 4,600.00 | 24,702.83 |
| 2022 | 20,102.83 | 4,100.00 | 24,202.83 |
| 2023 | 20,102.83 | 3,600.00 | 23,702.83 |
| 2024 | 10,102.83 | 3,100.00 | 13,202.83 |
| 2025-2029 | 100,514.15 | 9,200.00 | 109,714.15 |
| 2030-2031 | 60,205.82 | 1,350.00 | 61,555.82 |
| $ 251,234.12 | $ 31,050.00 | $ 282,284.12 |
## Summary of Principal Debt
A summary of the changes in long-term and short term debt of the Township is as follows:
| Balance December 31, 2018 | Accrued/ Increases | Retired/ Decreases | Balance December 31, 2019 | Balance Due Within One Year |
| General Capital: | | | | | |
| General Bonds | $ 15,455,000.00 | $ - | $ 3,485,000.00 | $ 11,970,000.00 | $ 3,520,000.00 |
| Bond Anticipation Notes | 4,372,000.00 | 11,039,321.00 | 4,372,000.00 | 11,039,321.00 | 11,039,321.00 |
| Loans | 271,336.95 | - | 20,102.83 | 251,234.12 | 20,102.83 |
| Authorized but Not Issued | 2,109,502.50 | 8,558,508.00 | 6,748,571.00 | 3,919,439.50 | - |
| $ 22,207,839.45 | $ 19,597,829.00 | $ 14,625,673.83 | $ 27,179,994.62 | $ 14,579,423.83 |
===== PAGE 72 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 12. Deferred Compensation Salary Account
The Township offers its employees a Deferred Compensation Plan in accordance with Internal Revenue Code Section 457 which has been approved by the Director of the Division of Local Government Services. The Plan, available to all full time employees at their option, permits employees to defer a portion of their salary to future years. The deferred compensation is not available to participants until termination, retirement, death or unforeseeable emergency. Amounts deferred under Section 457 plans must be held in trust for the exclusive benefits of participating employees and not be accessible by the Township or its creditors. Since the Township does not have a fiduciary relationship with the Plan, the balances and activities of the Plan are not reported in the Township’s financial statements.
### Note 13. Accrued Sick, Vacation and Compensation Time
As discussed in Note 1 and in accordance with accounting principles prescribed by the State of New Jersey, the cash basis of accounting is followed for recording the Township’s liability related to unused vacation, sick pay and compensation time. The Township permits certain employees within limits to accumulate unused vacation, sick pay and compensation time, which may be taken as time off or paid at a later date at an agreed upon rate. In accordance with New Jersey accounting principles, this unused accumulated absences amount is not reported as a liability in the accompanying financial statements. It is estimated that accrued benefits for compensated absences are valued at $3,145,801.06 at December 31, 2019.
The Township has established a Trust Fund in accordance with NJSA 40A:4-39 to set aside funds for future payments of compensated absences. As of December 31, 2019, the Township has reserved in the Other Trust Fund $493,650.40 to fund compensated absences in accordance with NJSA 40A:4-39.
### Note 14. Risk Management
The Township is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors and omissions; injuries to employees; and natural disasters.
## Joint Insurance Pool
The Township is a member of the Municipal Excess Liability Joint Insurance Fund. The Fund provides the Township with the following coverage
| Worker's Compensation | $ 1,700,000 |
| General Liability | $ 20,000,000 |
| Employer's Liability | $ 1,700,000 |
| Auto Liability | $ 300,000 |
| Flood | $ 100,000,000 |
| Property/Boiler and Machinery | $ 125,000,000 |
| Public Officials Liability | $ 2,000,000 |
| Environmental Impairment Liability | $ 1,000,000 |
Contributions to the Funds are payable in one installment and are based on actuarial assumptions determined by the Funds' actuaries. The Fund publishes its own financial report for the year ended December 31, 2019 which can be obtained on the Fund's website.
===== PAGE 73 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 14. Risk Management (continued)
## New Jersey Unemployment Compensation Insurance
The Township has elected to fund its New Jersey Unemployment Compensation Insurance under the “Reimbursement Method”. Under this plan, the Township is required to reimburse the New Jersey Unemployment Trust Fund, dollar-for-dollar, for unemployment benefits paid to its former employees who were laid off or furloughed and charged to its account with the State. The Township is billed quarterly for amounts due to the State. The following is a summary of Township contributions, reimbursements to the State for benefits paid and the ending balance of the Township’s unemployment trust fund for the current and previous two years:
| Year | Contributions | Amount |
| Reimbursed | Ending Balance |
| 2019 | $ 33,242.63 | $ 26,759.74 | $ 307,572.48 |
| 2018 | 27,538.39 | 6,636.31 | 301,089.59 |
| 2017 | 26,451.98 | 5,830.69 | 280,187.51 |
### Note 15. Contingencies
## Grantor Agencies
The Township receives financial assistance from the State of New Jersey and the U.S. government in the form of grants. Entitlement to the funds is generally conditional upon compliance with terms and conditions of the grant agreements and applicable regulations, including the expenditure of the funds for eligible purposes. Substantially all grants, entitlements and cost reimbursements are subject to financial and compliance audits by grantors. As a result of these audits, costs previously reimbursed could be disallowed and require repayment to the grantor agency. As of December 31, 2019 the Township estimates that no material liabilities will result from such audits.
## Litigation
The Township is a defendant in several legal proceedings that are in various stages of litigation. It is believed that the outcome, or exposure to the Township, from such litigation is either unknown or potential losses, if any, would not be material to the financial statements.
## Tax Appeals
Losses arising from tax appeals are recognized at the time a decision is rendered by an administrative or judicial body; however, municipalities may establish reserves transferred from tax collections or by budget appropriation for future payments of tax appeal losses.
As of December 31, 2019 there were certain tax appeals on file against the Township related to 2015 through 2019 tax years. The Township has estimated the potential exposure to the Township from such appeals is approximately $313,782.95
===== PAGE 74 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 16. Tax Abatements
The Township is authorized by the New Jersey Housing and Mortgage Financing Act Law of 1983, N.J.S.A. 55:14K-1 et seq. (hereinafter “HMFA Law”), and a Resolution of the Council dated March 13, 2007, to enter into property tax abatement agreements for the purpose of attracting affordable housing. The exemption of the projects from real property taxation subject to this law shall not extend beyond the date on which the Agency Mortgage is paid in full, which according to the HMFA Law, may not exceed fifty (50) years.
For the year ended December 31, 2019, the Township abated property taxes totaling $254,272.09 under this program, including the following tax abatement agreement that exceeded 10 percent of the total, which is the percentage the Township considers to be material for purposes of individual disclosure:
| Recipient | Purpose | Amount Abated | Pilot Billings |
| Windsor Crescent LLC | Affordable Housing | $ 254,272.09 | $ 78,882.94 |
| | $ 254,272.09 | $ 78,882.94 |
### Note 17. Length of Service Awards Program
The Township’s length of service awards program (“LOSAP”) is reported in the Township’s trust fund Statement of Assets, Liabilities, Reserves and Fund Balance - Regulatory Basis. The LOSAP provides tax deferred income benefits to active volunteer firefighters and emergency medical personnel.
The tax deferred income benefits for the active volunteer firefighters and emergency medical personnel serving the residents the of the Township come from contributions made solely by the governing body of the Township, on behalf of those volunteers who meet the criteria of a plan created by that governing body. Participants should refer to the Plan agreement for a more complete description of the Plan’s provisions.
Contributions - If an active member meets the year of active service requirement, a length of service awards program must provide a benefit between the minimum contribution of $100 and a maximum contribution of $1,150 per year. While the maximum amount is established by statute, it is subject to periodic increases that are related to the consumer price index (N.J.S.A. 40A:14-185(f)). The Division of Local Government Services of the State of New Jersey will issue the permitted maximum annually. The Township elected to contribute $1,150.00 for the year ended December 31, 2019 per eligible volunteer, into the Plan, depending on how many years the volunteer has served. During the year ended December 31, 2019, the Township contributed a total of $59,211.00 to the plan. Participants direct the investment of the contributions into various investment options offered by the Plan. The Township has no authorization to direct investment contributions on behalf of eligible volunteers nor has the ability to purchase or sell investment options offered by the Plan. The types of investment options, and the administering of such investments, rests solely with the plan administrator.
Participant Accounts - Each participant’s account is credited with the Township’s contribution and Plan earnings, and charged with administrative expenses. The benefit to which a participant is entitled is the benefit that can be provided from the participant’s vested account. The Township has placed the amounts deferred, including earnings, in a trust maintained by a third-party administrator for the exclusive benefit of the plan participants and their beneficiaries. Such funds, although subject to the claims of the
===== PAGE 75 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 17. Length of Service Awards Program (continued)
Township’s creditors until distributed as benefit payments, are not available for funding the operations of the Township. The funds may also be used to pay the administrative fees charged by the Plan Administrator. Lincoln Financial Group (“Plan Administrator”), an approved Length of Service Awards Program provider, is the administrator of the Plan. The Township’s practical involvement in administering the Plan is essentially limited to verifying the eligibility of each participant and remitting the funds to the Plan Administrator.
Vesting - Benefits, plus actual earnings thereon, are one hundred percent (100%) vested after five (5) years of service.
Payment of Benefits - Upon retirement or disability, participants may select various payout options, which include lump sum, periodic, or annuity payments. In the case of death, with certain exceptions, any amount invested under the participant's account is paid to the beneficiary or the participant's estate. In the event of an unforeseeable emergency, as outlined in the Plan document, a participant or a beneficiary entitled to vested accumulated deferrals may request the local plan administrator to payout a portion of vested accumulated deferrals. During the year ended December 31, 2019 payouts of $16,306.82 were made to vested participants.
Forfeited Accounts – During the year ended December 31, 2019, no accounts were forfeited.
Plan Information - Additional information about the Township's length of service awards program can be obtained by contacting the Plan Administrator.
### Note 18. Subsequent Events
Management has reviewed and evaluated all events and transactions that occurred between December 31, 2019 and June 25, 2020, the date that the financial statements were available for issuance, for possible disclosure and recognition in the financial statements.
## Covid-19
In December 2019, an outbreak of a new strain of coronavirus, COVID-19, emerged in Wuhan, China. Within weeks, the number of those infected grew significantly, and beyond China's borders. As of the date of this report, the coronavirus is reported to have spread to over 80 countries, and the list is expected to continue to grow. The coronavirus outbreak is still evolving and its effects remain unknown. The Township is unable to predict how changing global economic conditions such as the COVID-19 coronavirus will affect the Township's operations.
## General Obligation Bonds
On January 14, 2020 a resolution authorizing the construction and/or acquisition of various general capital improvements, in the County of Ocean, and providing for the issuance of not to exceed $13,640,000 General Obligation Bonds. Interest rates vary from 2.00% to 4.00% and bonds will mature on February 1, 2033.
===== PAGE 76 =====
# TOWNSHIP OF JACKSON NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 18. Subsequent Events (continued)
## Pending Litigation
The Township is currently a Defendant in a number of lawsuits filed under the Religious Land Use and Institutional Persons Act (RLUIPA) in Federal Court as well as State Court. These allegations include asserted violations of Constitutional Rights. The Township does maintain insurance for these types of claims, and it is uncertain at this juncture if said coverage will be sufficient to cover any and all claims, etc. These matters range from having just been filed to ongoing discovery. The Township is vigorously defending against each of these allegations and is working to obtain amicable resolutions thereof in a way which would be advantageous to the Township and its' tax payers. At this juncture, it is impossible to determine or estimate the amount of any potential loss which would not be covered by insurance with respect to any of these claims.
===== PAGE 77 =====
SUPPLEMENTAL EXHIBITS
===== PAGE 78 =====
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===== PAGE 79 =====
## CURRENT FUND
===== PAGE 80 =====
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===== PAGE 81 =====
## TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF CASH AND CASH EQUIVALENTS FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 18,907,922.56 |
| Increased by Receipts: | | |
| Nonbudget Revenues | $ 720,870.89 | |
| Taxes Receivable | 164,972,656.65 | |
| Tax Title Liens | 50,198.14 | |
| Tax Overpayments | 94,004.02 | |
| Revenue Accounts Receivable | 7,826,161.14 | |
| Prepaid Taxes | 783,617.85 | |
| State of New Jersey (Ch.29, P.L.1971) | 415,942.48 | |
| Interfunds | 886,060.03 | |
| Reserve for Tax Appeals | 2,199.27 | |
| Reserve for Police Cars | 120,701.13 | |
| Due to State of New Jersey - Construction Fees | 52,993.00 | |
| Due to State of New Jersey - Marriage Licenses | 6,050.00 | |
| Total Receipts | 175,931,454.60 |
| Subtotal | 194,839,377.16 |
| Decreased by Disbursements: | | |
| 2019 Appropriations | 38,040,229.59 | |
| 2018 Reserved Appropriations | 1,257,004.06 | |
| Accounts Payable | 112,525.69 | |
| Tax Overpayments | 61,135.35 | |
| County Taxes Payable | 31,456,720.34 | |
| Local School District Tax | 93,216,775.00 | |
| Special District Taxes | 6,673,098.00 | |
| Municipal Open Space Trust Fund Taxes | 1,366,744.87 | |
| Change Fund | 100.00 | |
| Reserve for Police Cars | 58,015.38 | |
| Reserve for Tax Appeals | 2,199.27 | |
| Reserve for Master Plan | 18,721.25 | |
| Prepaid Taxes | 7,018.15 | |
| Due to State of New Jersey - Construction Fees | 61,538.00 | |
| Due to State of New Jersey - Marriage Licenses | 6,075.00 | |
| Interfunds | 1,815,908.29 | |
| Total Disbursements | 174,153,808.24 |
| Balance December 31, 2019 | $ 20,685,568.92 |
===== PAGE 82 =====
##### TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF DUE FROM STATE - P.L. 1971, C.20 FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ | 9,517.69 |
| Increased by: | | |
| Deductions per Tax Duplicate: | | |
| Senior Citizens | $ 52,250.00 | |
| Veterans | 370,250.00 | |
| Deductions Allowed by Tax Collector: | | |
| 2019 Senior Citizen Deductions | 1,500.00 | |
| 2019 Veteran Deductions | 8,500.00 | |
| | 432,500.00 |
| | 442,017.69 |
| Decreased by: | | |
| Received from State of New Jersey | 415,942.48 | |
| Deductions Disallowed by Tax Collector: | | |
| Current Year Senior Citizens & Veterans | 3,750.00 | |
| Prior Years Senior Citizens & Veterans | 7,630.81 | |
| | 427,323.29 |
| Balance December 31, 2019 | $ 14,694.40 |
===== PAGE 83 =====
TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF TAXES RECEIVABLE AND ANALYSIS OF PROPERTY TAX LEVY FOR THE YEAR ENDED DECEMBER 31, 2019
| YEAR | BALANCE DECEMBER 31, 2018 | 2019 LEVY | ADDED TAXES | COLLECTED | DUE FROM STATE OF NEW JERSEY | CANCELED | TRANSFERED TO TAX TITLE LIENS | BALANCE DECEMBER 31, 2019 |
| 2018 | 2019 | 2062.69 |
| 2016 | $ 3,019.92 | $- | $- | $- | $- | 2,062.69 | $- | 957.23 | $- | $- |
| 2017 | 17,954.02 | - | - | - | 10,133.93 | - | 3,000.55 | - | - | 4,819.54 |
| 2018 | 1,793,845.76 | - | - | - | 1,705,921.62 | 7,630.81 | 60,459.42 | 5,090.01 | 14,743.90 | |
| Total | 1,814,819.70 | - | - | - | 1,718,118.24 | 7,630.81 | 64,417.20 | 5,090.01 | 19,563.44 | |
| 2019 | - | 165,737,316.31 | 1,065,737.29 | 811,065.83 | 163,254,538.41 | 428,750.00 | 161,242.47 | 314,190.81 | 1,833,266.08 | |
| Total | $ 1,814,819.70 | $ 165,737,316.31 | $ 1,065,737.29 | $ 811,065.83 | $ 164,972,656.65 | $ 436,380.81 | $ 225,659.67 | $ 319,280.82 | $ 1,852,829.52 | |
ANALYSIS OF 2019 PROPERTY TAX LEVY
| General Purpose | $ 159,064,218.31 |
| Special District Tax | 6,673,098.00 |
| Added Taxes (54:4-63.1 et seq) | 1,065,737.29 |
| Total | $ 166,803,053.60 |
| TAX LEVY: |
| Local School Tax | $ 93,216,775.00 |
| County Taxes (Abstract) | $ 31,387,560.87 | |
| County Added & Omitted Taxes | 203,529.86 | 31,591,090.73 |
| Special District Taxes | | 6,673,098.00 |
| Municipal Open Space | | 1,366,744.87 |
| Local Tax for Municipal Purposes | 33,001,310.41 | |
| Add: Additional Taxes Levied | 954,034.59 | 33,955,345.00 |
| Total | $ 166,803,053.60 |
===== PAGE 84 =====
# TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF TAX TITLE LIENS FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | | $ 3,357,833.01 |
| Increased by: | | |
| Transfer from Taxes Receivable | $ 319,280.82 | |
| Interest & Costs on Taxes | $ 998.54 | |
| | 320,279.36 |
| | 3,678,112.37 |
| Decreased by: | | |
| Collections | 50,198.14 | |
| Cancellation | 10,389.12 | |
| | 60,587.26 |
| Balance December 31, 2019 | | $ 3,617,525.11 |
EXHIBIT A-8
SCHEDULE OF PROPERTY ACQUIRED FOR TAXES
FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 6,306,200.00 |
| Decreased by: | |
| Adjustment | 54,700.00 |
| Balance December 31, 2019 | $ 6,251,500.00 |
===== PAGE 85 =====
## TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF REVENUE ACCOUNTS RECEIVABLE FOR THE YEAR ENDED DECEMBER 31, 2019
| BALANCE DECEMBER 31, 2018 | ACCRUED IN 2019 | BALANCE DECEMBER 31, 2019 |
| Clerk: | | | | |
| Alcoholic Beverage Licenses | $ - | $ 39,050.00 | $ 39,050.00 | $ - |
| Other Licenses | - | 29,979.00 | 29,979.00 | - |
| Fees & Permits | - | 246,231.61 | 246,231.61 | - |
| Municipal Court: | | | | |
| Fines & Costs | 32,504.07 | 509,084.14 | 503,001.53 | 38,586.68 |
| Tax Collector: | | | | |
| Interest & Costs on Taxes | - | 432,247.18 | 432,247.18 | - |
| Interest on Investments & Deposits | - | 947,192.36 | 947,192.36 | - |
| Housing and Commercial CCO's | - | 93,628.00 | 93,628.00 | - |
| Energy Receipts Tax | - | 3,352,149.00 | 3,352,149.00 | - |
| Garden State Trust Fund | - | 56,290.00 | 56,290.00 | - |
| Uniform Construction Code Fees | - | 1,512,258.74 | 1,512,258.74 | - |
| Cablevision Franchise Fee | - | 231,728.00 | 231,728.00 | - |
| Shared Service Agreement - BOE | - | 174,405.72 | 174,405.72 | - |
| Reserve for Debt Service - General Capital Fund | - | 158,000.00 | 158,000.00 | - |
| Reserve for Recycling - Trust Other Fund | - | 50,000.00 | 50,000.00 | - |
| Total | $ 32,504.07 | $ 7,832,243.75 | $ 7,826,161.14 | $ 38,586.68 |
===== PAGE 86 =====
TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF 2018 APPROPRIATION RESERVES FOR THE YEAR ENDED DECEMBER 31, 2019
| BALANCE DECEMBER 31, 2018 | RESERVE FOR ENCUMBRANCES | BALANCE AFTER TRANSFERS | PAID OR CHARGED | BALANCE LAPSED |
| General Government: | | | | | |
| Administrative Executive: | | | | | |
| Salaries and Wages | $ 157.43 | $ - | $ 157.43 | $ - | $ 157.43 |
| Other Expenses | 1,466.79 | 11,303.40 | 12,770.19 | 12,770.19 | - |
| Human Services: | | | | | |
| Salaries and Wages | 2,466.77 | - | 2,466.77 | 1,153.11 | 1,313.66 |
| Other Expenses | 2,408.68 | 1,591.49 | 4,000.17 | 3,988.97 | 11.20 |
| Township Council: | | | | | |
| Salaries and Wages | 0.12 | - | 0.12 | - | 0.12 |
| Other Expenses | 402.24 | 240.00 | 642.24 | 240.00 | 402.24 |
| Election: | | | | | |
| Salaries and Wages | 290.94 | - | 290.94 | - | 290.94 |
| Municipal Clerk: | | | | | |
| Salaries and Wages | 21,572.78 | - | 16,572.78 | - | 16,572.78 |
| Other Expenses | 6,505.88 | 1,122.80 | 7,628.68 | 1,122.80 | 6,505.88 |
| Mayor Office: | | | | | |
| Salaries and Wages | 0.04 | - | 0.04 | - | 0.04 |
| Other Expenses | 2,266.00 | - | 2,266.00 | - | 2,266.00 |
| Financial Administration: | | | | | |
| Salaries and Wages | 24,580.76 | - | 20,080.76 | - | 20,080.76 |
| Other Expenses | 834.21 | 14,536.33 | 15,370.54 | 14,911.73 | 458.81 |
| Audit Services: | | | | | |
| Other Expenses | - | 45,800.00 | 45,800.00 | 45,800.00 | - |
| Data Processing: | | | | | |
| Salaries and Wages | 1,500.87 | - | 1,500.87 | - | 1,500.87 |
| Other Expenses | 5,612.07 | 447.48 | 6,059.55 | - | 6,059.55 |
| Collection of Taxes: | | | | | |
| Salaries and Wages | 2,579.04 | 2,139.37 | 4,718.41 | 4,481.22 | 237.19 |
| Other Expenses | 7,607.13 | 11,071.34 | 18,678.47 | 14,566.83 | 4,111.64 |
| Assessment of Taxes: | | | | | |
| Salaries and Wages | 15,397.74 | 2,068.16 | 17,465.90 | 5,055.77 | 12,410.13 |
| Other Expenses | 707.67 | 7,413.48 | 10,121.15 | 9,453.52 | 667.63 |
| Purchasing: | | | | | |
| Salaries and Wages | 2,225.82 | 1,294.50 | 3,520.32 | 2,563.61 | 956.71 |
| Other Expenses | 2,073.46 | 3,315.65 | 5,389.11 | 3,297.45 | 2,091.66 |
| Legal Services & Costs: | | | | | |
| Other Expenses | 47,495.90 | 37,073.46 | 114,569.36 | 114,569.36 | - |
| Engineering Services & Costs: | | | | | |
| Salaries and Wages | 12,947.67 | 2,411.39 | 5,859.06 | 5,819.13 | 39.93 |
| Other Expenses | 22,594.19 | 49,227.86 | 81,322.05 | 77,038.90 | 4,283.15 |
| Historical Commission: | | | | | |
| Other Expenses | 100.00 | - | 100.00 | - | 100.00 |
| Community Alliance-Alcoholism & Drugs | | | | | |
| Salaries and Wages | 1,140.00 | - | 1,140.00 | - | 1,140.00 |
| Other Expenses | 100.00 | - | 100.00 | - | 100.00 |
| Mayor's Community Advisory Board | | | | | |
| Other Expenses | 50.00 | - | 50.00 | - | 50.00 |
| Economic Development Advisory Board | 1,175.00 | - | 1,175.00 | - | 1,175.00 |
===== PAGE 87 =====
TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF 2018 APPROPRIATION RESERVES FOR THE YEAR ENDED DECEMBER 31, 2019
| BALANCE DECEMBER 31, 2018 | RESERVE FOR ENCUMBRANCES | BALANCE AFTER TRANSFERS | PAID OR CHARGED | BALANCE LAPSED |
| Planning/Zoning Boards: | | | | | |
| Salaries and Wages | 2,173.99 | 1,604.32 | 3,778.31 | 3,240.47 | 537.84 |
| Other Expenses | 12,600.90 | 2,910.79 | 22,511.69 | 20,782.98 | 1,728.71 |
| Maintenance of Tax Maps: | | | | | |
| Other Expenses | 13,074.50 | - | 13,074.50 | 6,209.00 | 6,865.50 |
| Rent Leveling Board: | | | | | |
| Salaries and Wages | 1,770.00 | - | 1,770.00 | 91.97 | 1,678.03 |
| Other Expenses | 12,596.60 | 4,270.85 | 16,867.45 | 5,666.85 | 11,200.60 |
| Code Enforcement - Other: | | | | | |
| Salaries and Wages | 32,988.57 | 1,352.52 | 26,341.09 | 1,337.31 | 25,003.78 |
| Other Expenses | 3,692.06 | 927.26 | 4,619.32 | 1,079.44 | 3,539.88 |
| Commercial Building Standards: | | | | | |
| Salaries and Wages | 2,000.00 | - | 2,000.00 | - | 2,000.00 |
| Other Expenses | 123.02 | 299.22 | 422.24 | 299.22 | 123.02 |
| Unsafe Structures Committee: | | | | | |
| Other Expenses | 20,000.00 | - | 20,000.00 | - | 20,000.00 |
| Insurance: | | | | | |
| General Liability | 12,235.32 | 58,622.43 | 70,857.75 | 70,857.75 | - |
| Workers Compensation | 116.27 | - | 116.27 | - | 116.27 |
| Insurance (continued): | | | | | |
| Employee Group Health | 349,908.80 | 1,476.20 | 343,885.00 | 530.88 | 343,354.12 |
| Health Benefit Waiver | 7,920.00 | - | 7,920.00 | 1,360.00 | 6,560.00 |
| Unemployment Trust Fund | 10,000.00 | - | 10,000.00 | - | 10,000.00 |
| Police Department: | | | | | |
| Salaries and Wages | 415,906.81 | - | 415,906.81 | 45,547.20 | 370,359.61 |
| Other Expenses | 40,938.56 | 155,212.03 | 196,150.59 | 173,503.31 | 22,647.28 |
| Police Dispatch/911: | | | | | |
| Salaries and Wages | 69,646.72 | - | 69,646.72 | 7,056.46 | 62,590.26 |
| Emergency Management: | | | | | |
| Salaries and Wages | 5,780.06 | - | 5,780.06 | 9.69 | 5,770.37 |
| Other Expenses | 3,777.63 | 14,999.41 | 18,777.04 | 15,429.42 | 3,347.62 |
| Municipal Prosecutor: | | | | | |
| Other Expenses | 10,000.01 | 3,333.36 | 13,333.37 | 3,333.37 | 10,000.00 |
| Juvenile Conference Committee | | | | | |
| Salaries and Wages | 1,300.00 | - | 1,300.00 | - | 1,300.00 |
| Other Expenses | 25.00 | - | 25.00 | - | 25.00 |
| Streets & Roads Maintenance: | | | | | |
| Salaries and Wages | 49,584.14 | 3,832.58 | 53,416.72 | 11,372.60 | 42,044.12 |
| Other Expenses | 36,882.79 | 60,524.02 | 95,406.81 | 63,924.07 | 31,482.74 |
| Snow Removal: | | | | | |
| Other Expenses | - | 537.75 | 537.75 | 458.00 | 79.75 |
| Shade Tree Commission: | | | | | |
| Salaries and Wages | 250.00 | - | 250.00 | - | 250.00 |
| Other Expenses | 4,773.50 | - | 4,773.50 | 567.00 | 4,206.50 |
| Solid Waste Collection: | | | | | |
| Salaries and Wages | 5,368.58 | - | 5,368.58 | - | 5,368.58 |
| Other Expenses | 1,269.78 | 47,396.00 | 48,665.78 | 47,395.00 | 1,270.78 |
| Buildings & Grounds: | | | | | |
| Salaries and Wages | 212,855.72 | | 203,855.72 | (555.07) | 204,410.79 |
| Other Expenses | 13,431.64 | 83,535.11 | 95,466.75 | 57,368.29 | 38,098.46 |
| Vehicle Maintenance: | | | | | |
| Salaries and Wages | 43,359.96 | - | 40,359.96 | - | 40,359.96 |
| Other Expenses | 39,017.07 | 57,088.08 | 93,605.15 | 46,556.16 | 47,048.99 |
| Community Services Act: | | | | | |
| Other Expenses | - | 175,000.00 | 175,000.00 | 175,000.00 | - |
===== PAGE 88 =====
| TOWNSHIP OF JACKSON |
| SCHEDULE OF 2018 APPROPRIATION RESERVES FOR THE YEAR ENDED DECEMBER 31, 2019 |
| BALANCE DECEMBER 31, 2018 | RESERVE FOR ENCUMBRANCES | BALANCE AFTER TRANSFERS | PAID OR CHARGED | BALANCE LAPSED |
| Public Health Services: | | | | | |
| Salaries and Wages | 0.10 | - | 0.10 | - | 0.10 |
| Other Expenses | 856.00 | - | 856.00 | - | 856.00 |
| Environmental Health Services: | | | | | |
| Environmental Commission: | | | | | |
| Salaries and Wages | 250.00 | - | 250.00 | 50.00 | 200.00 |
| Other Expenses | 392.00 | - | 392.00 | - | 392.00 |
| Animal Control Services: | | | | | |
| Salaries and Wages | 10,493.05 | | 10,493.05 | 71.09 | 10,421.96 |
| Other Expenses | 4,855.33 | 4,153.89 | 9,009.22 | 4,527.47 | 4,481.75 |
| Going Green Committee: | | | | | |
| Other Expenses | 100.00 | - | 100.00 | - | 100.00 |
| Recreation Services & Programs: | | | | | |
| Salaries and Wages | 1,247.72 | 903.13 | 2,150.85 | 2,129.24 | 21.61 |
| Other Expenses | 122.07 | 4,724.48 | 4,846.55 | 4,707.63 | 138.92 |
| Office for the Golden Age: | | | | | |
| Salaries and Wages | 67,538.93 | 1,220.00 | 61,758.93 | 3,594.95 | 58,163.98 |
| Other Expenses | 1,784.80 | 1,898.06 | 3,682.86 | 2,096.30 | 1,586.56 |
| Handicapped Committee: | | | | | |
| Salaries and Wages | 19,374.16 | - | 19,374.16 | 790.11 | 18,584.05 |
| Other Expenses | 5,397.23 | 204.53 | 5,601.76 | 204.53 | 5,397.23 |
| Park Maintenance: | | | | | |
| Other Expenses | 1,513.90 | 1,800.00 | 3,313.90 | - | 3,313.90 |
| Municipal Court: | | | | | |
| Salaries and Wages | 64,692.82 | - | 64,692.82 | 1,122.10 | 63,570.72 |
| Other Expenses | 7,666.04 | 853.86 | 8,519.90 | 1,464.36 | 7,055.54 |
| Salary & Wage Adjustment | | | | | |
| Salaries and Wages | 25,240.76 | - | 25,240.76 | - | 25,240.76 |
| Postage & Photocopy: | | | | | |
| Other Expenses | 14,006.37 | 1,730.40 | 15,736.77 | 9,730.40 | 6,006.37 |
| Utility Expenses & Bulk Purchases: | | | | | |
| Electricity | 21,118.25 | 178,963.13 | 200,081.38 | 133,775.17 | 66,306.21 |
| Street Lighting | - | 15,937.68 | 15,937.68 | 15,937.68 | - |
| Telecommunication Costs | 18,393.24 | 13,903.33 | 32,296.57 | 1,359.02 | 30,937.55 |
| Natural Gas | 734.57 | 35,980.18 | 36,714.75 | 23,652.19 | 13,062.56 |
| Fuel & Petroleum Products | 92,681.98 | 155,387.32 | 238,069.30 | 55,071.57 | 182,997.73 |
| Water | 1,000.00 | - | 1,000.00 | - | 1,000.00 |
| Landfill/Solid Waste Disposal Costs | | | | | |
| Other Expenses | 5,057.25 | 31,922.38 | 66,979.63 | 45,124.49 | 21,855.14 |
| Legler Landfill - Postclosure Monitoring | | | | | |
| Other Expenses | 2,080.00 | 141.54 | 2,221.54 | - | 2,221.54 |
| Uniform Construction Code: | | | | | |
| Construction Code Department: | | | | | |
| Salaries and Wages | 83,779.33 | 7,937.41 | 83,716.74 | 13,582.13 | 70,134.61 |
| Other Expenses | 16,068.47 | 10,172.00 | 25,240.47 | 10,543.44 | 14,697.03 |
| Statutory Expenditures: | | | | | |
| Social Security System (O.A.S.I.) | 88,892.69 | 1,894.40 | 90,787.09 | 7,775.78 | 83,011.31 |
| Defined Contribution | | | | | |
| Retirement Program | 4,253.65 | - | 4,253.65 | - | 4,253.65 |
| Relocation Assistance | 2,000.00 | - | 2,000.00 | - | 2,000.00 |
| LOSAP | - | 46,000.00 | 46,000.00 | 46,000.00 | - |
| Shared Service Agreement BOE | 401.17 | 1,244.64 | 1,645.81 | - | 1,645.81 |
| Matching Funds for Grants | 4,000.00 | 3,000.00 | 7,000.00 | - | 7,000.00 |
| Total General Appropriations | $2,187,619.08 | $1,383,951.00 | $3,571,570.08 | $1,458,563.61 | $2,113,006.47 |
| Cash Disbursements | $1,257,004.06 |
| Accounts Payable | 201,559.55 |
| Total | $1,458,563.61 |
===== PAGE 89 =====
# TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF ACCOUNTS PAYABLE FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 462,709.36 |
| Increased by: | |
| Appropriation Reserves Charged | 201,559.55 |
| 664,268.91 |
| Decreased by: | |
| Cash Disbursed | $ 112,525.69 |
| Cancelled | 55,626.45 |
| 168,152.14 |
| Balance December 31, 2019 | $ 496,116.77 |
## SCHEDULE OF RESERVE FOR ENCUMBRANCES FOR THE YEAR ENDED DECEMBER 31, 2019
EXHIBIT A-12
Balance December 31, 2018 $1,383,951.00
Increased by:
2019 Budget Appropriations 1,289,928.20
Subtotal 2,673,879.20
Decreased by:
Transfer to Appropriation Reserves 1,383,951.00
Balance December 31, 2019 $ 1,289,928.20
===== PAGE 90 =====
# TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF PREPAID TAXES FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 811,065.83 |
| Increased by: | |
| 2019 Tax Collectionsions on 2020 Taxes | $ 783,617.85 |
| Overpayments Transferred to 2020 Taxes | 27,660.91 |
| 811,278.76 |
| 1,622,344.59 |
| Decreased by: | |
| Cash Disbursements | 7,018.15 |
| Applied to 2019 Taxes Receivable | 811,065.83 |
| 818,083.98 |
| Balance December 31, 2019 | $ 804,260.61 |
SCHEDULE OF TAX OVERPAYMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
EXHIBIT A-14
| Balance December 31, 2018 | $ 31,100.33 |
| Increased by: | |
| Overpayments Created | 94,004.02 |
| 125,104.35 |
| Decreased by: | |
| Overpayments Transferred to Prepaid Taxes | 27,660.91 |
| Cash Refunds | 61,135.35 |
| 88,796.26 |
| Balance December 31, 2019 | $ 36,308.09 |
===== PAGE 91 =====
# TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF COUNTY TAXES PAYABLE FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 69,159.46 |
| Increased by: | |
| County Tax | $ 26,293,566.10 |
| County Library Tax | 2,895,325.68 |
| County Health Tax | 1,276,092.09 |
| County Open Space Preservation Tax | 922,577.00 |
| Due County for Added & Omitted Taxes | 203,529.86 |
| 31,591,090.73 |
| 31,660,250.19 |
| Decreased by: | |
| Payments | 31,456,720.34 |
| Balance December 31, 2019 | $ 203,529.85 |
| SCHEDULE OF LOCAL DISTRICT SCHOOL TAX PAYABLE |
| EXHIBIT A-16 |
## SCHEDULE OF LOCAL DISTRICT SCHOOL TAX PAYABLE FOR THE YEAR ENDED DECEMBER 31, 2019
EXHIBIT A-16
| Balance December 31, 2018 | $ - |
| Increased by: | |
| Levy - Calendar Year 2019 | 93,216,775.00 |
| 93,216,775.00 |
| Decreased by: | |
| Disbursed | 93,216,775.00 |
| Balance December 31, 2019 | $ - |
===== PAGE 92 =====
# TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF SPECIAL DISTRICT TAXES PAYABLE FOR THE YEAR ENDED DECEMBER 31, 2019
$
Balance December 31, 2018
| Increased by: | | |
| Fire Districts Levy: | | |
| Cassville Fire District #2 | $ 1,948,350.00 | |
| Hulses Corner Fire District #3 | 3,096,703.00 | |
| Jackson Mills Fire District #4 | 1,628,045.00 | |
| | 6,673,098.00 |
| | 6,673,098.00 |
| Decreased by: | | |
| Disbursed | | 6,673,098.00 |
| Balance December 31, 2019 | | $ - |
EXHIBIT A-18 SCHEDULE OF DUE TO STATE OF NEW JERSEY - CONSTRUCTION FEES FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 18,327.00 |
| Increased by: | |
| Collections | 52,993.00 |
| 71,320.00 |
| Decreased by: | |
| Disbursed | 61,538.00 |
| Balance December 31, 2019 | 9,782.00 < /td > < /tr > < tr > < td colspan = "2" > SCHEDULE OF DUE TO STATE OF NEW JERSEY - MARRIAGE LICENSE FEESnFOR THE YEAR ENDED DECEMBER 31, 2019 < /td > < /tr > < tr > < td style = 'text-align: center; word-wrap: break-word;' > Balance December 31, 2018 < /td > < td style = 'text-align: center; word-wrap: break-word;' > 1,700.00 |
| Increased by: | |
| Collections | 6,050.00 |
| 7,750.00 |
| Decreased by: | |
| Disbursed | 6,075.00 |
| Balance December 31, 2019 | $ 1,675.00 |
===== PAGE 93 =====
# TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF RESERVE FOR REVALUATION PROGRAM FOR THE YEAR ENDED DECEMBER 31, 2019
Balance December 31, 2019 and 2018 $5,743.40
EXHIBIT A-21
# SCHEDULE OF DUE TO MUNICIPAL OPEN SPACE TRUST FUND FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ - |
| Increased by: | |
| Open Space Tax | $ 1,357,923.75 |
| Added & Omitted Taxes | 8,821.12 |
| 1,366,744.87 |
| 1,366,744.87 |
| Decreased by: | |
| Cash Disbursed | 1,366,744.87 |
| Balance December 31, 2019 | $ - |
EXHIBIT A-22
# SCHEDULE OF RESERVE FOR GARDEN STATE TRUST FUND FOR THE YEAR ENDED DECEMBER 31, 2019
Balance December 31, 2019 and 2018
===== PAGE 94 =====
| SCHEDULE OF RESERVE FOR STATE BOARD OF TAXATION APPEALS\nFOR THE YEAR ENDED DECEMBER 31, 2019 |
| Balance December 31, 2018 | $ 313,782.95 |
| Increased by: | |
| Cash Receipts | 2,199.27 |
| 315,982.22 |
| Decreased by: | |
| Cash Disbursements | 2,199.27 |
| $ 313,782.95 |
| BALANCE DECEMBER 31, 2019 |
| SCHEDULE OF RESERVE FOR MASTER PLAN\nFOR THE YEAR ENDED DECEMBER 31, 2019 |
| BALANCE DECEMBER 31, 2018 | $ 23,106.23 |
| Decreased by: | |
| Disbursements | 18,721.25 |
| BALANCE DECEMBER 31, 2019 | $ 4,384.98 |
| |
| SCHEDULE OF RESERVE OTHER\nFOR THE YEAR ENDED DECEMBER 31, 2019 |
| BALANCE DECEMBER 31, 2019 and 2018 | $ 2,117.88 |
## TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF RESERVE FOR STATE BOARD OF TAXATION APPEALS FOR THE YEAR ENDED DECEMBER 31, 2019
===== PAGE 95 =====
EXHIBIT A-26
TOWNSHIP OF JACKSON
CURRENT FUND
SCHEDULE OF RESERVE FOR COAH STATE PLAN
FOR THE YEAR ENDED DECEMBER 31, 2019
Balance December 31, 2019 and 2018 $ 915,250.00
SCHEDULE OF RESERVE FOR FEMA REIMBURSEMENTS
FOR THE YEAR ENDED DECEMBER 31, 2019
EXHIBIT A-27
Balance December 31, 2019 and 2018 $ 56,727.20
## SCHEDULE OF RESERVE FOR POLICE CARS FOR THE YEAR ENDED DECEMBER 31, 2019
EXHIBIT A-28
Balance December 31, 2018 $ 98,183.77
Increased by:
Cash Receipts
120,701.13
218,884.90
Decreased by:
Cash Disbursements 58,015.38
Balance December 31, 2019 $ 160,869.52
===== PAGE 96 =====
## TOWNSHIP OF JACKSON CURRENT FUND SCHEDULE OF INTERFUNDS - OTHER FUNDS FOR THE YEAR ENDED DECEMBER 31, 2019
| FEDERAL & STATE GRANT FUND | DOG TRUST | TRUST OTHER | TOTAL |
| Balance December 31, 2018 | | | | |
| Interfunds Receivable (Payable) | $ (1,084,108.11) | $ - | $ 767.30 | $ (1,083,340.81) |
| Increased by: | | | | |
| Anticipated Revenue | 680,782.40 | - | - | 680,782.40 |
| Cash Disbursements | 1,194,820.54 | - | 621,087.75 | 1,815,908.29 |
| Statutory Excess | - | 21,757.01 | - | 21,757.01 |
| Cancellation of Appropriation Reserves | 6,539.63 | - | - | 6,539.63 |
| Subtotal | 1,882,142.57 | 21,757.01 | 621,087.75 | 2,524,987.33 |
| Decreased by: | | | | |
| Cash Collections: | | | | |
| Grants Receivable | 239,175.20 | - | - | 239,175.20 |
| Unappropriated Funds | 34,379.17 | - | - | 34,379.17 |
| Interfunds Liquidated | - | - | 612,505.66 | 612,505.66 |
| Grant Appropriations | 692,063.40 | - | - | 692,063.40 |
| Cancellation of Grant Receivables | 5,481.69 | - | - | 5,481.69 |
| Subtotal | 971,099.46 | - | 612,505.66 | 1,583,605.12 |
| Balance December 31, 2019 | | | | |
| Interfunds Receivable (Payable) | $ (173,065.00) | $ 21,757.01 | $ 9,349.39 | $ (141,958.60) |
| Due From Developers Escrow | | | $ 4,037.84 | |
| Due to General Trust | | | 5,973.22 | |
| Due To Parks & Recreation | | | (661.67) | |
| Total | | | $ 9,349.39 | |
===== PAGE 97 =====
# TOWNSHIP OF JACKSON FEDERAL AND STATE GRANT FUND SCHEDULE OF DUE FROM CURRENT FUND FOR THE YEAR ENDED DECEMBER 31, 2019
Balance December 31, 2018
$1,084,108.11
| Increased by: | | |
| Deposited in Current Fund: | | |
| Unappropriated Reserves | $ 34,379.17 | |
| Grants Receivable | 239,175.20 | |
| Cancellation of Grants Receivable | 5,481.69 | |
| 2019 Budget Appropriations | 692,063.40 | |
| | 971,099.46 |
| | 2,055,207.57 |
| Decreased by: | | |
| Disbursed by Current Fund: | | |
| Appropriated Reserves | 1,194,820.54 | |
| Cancellation of Appropriated Reserves | 6,539.63 | |
| 2019 Anticipated Revenue | 680,782.40 | |
| | 1,882,142.57 |
| Balance December 31, 2019 | | $ 173,065.00 |
===== PAGE 98 =====
TOWNSHIP OF JACKSON FEDERAL AND STATE GRANT FUND SCHEDULE OF STATE AND FEDERAL GRANTS RECEIVABLE FOR THE YEAR ENDED DECEMBER 31, 2019
| BALANCE DECEMBER 31, 2018 | 2019 ANTICIPATED REVENUE | CASH RECEIVED | TRANSFER FROM UNAPPROPRIATED RESERVE | CANCELLED | BALANCE DECEMBER 31, 2019 |
| State Grants: | | | | | | |
| Municipal Alliance Alcohol & Drug Alliance - 2019 | $ - | $ 33,124.00 | $ - | $ - | $ - | $ 33,124.00 |
| NJ-DOT Municipal Aid - Brewers Bridge III - 2019 | - | 375,000.00 | - | - | - | 375,000.00 |
| NJ-DOT Municipal Aid - Woodlane/New Central '18 | 193,750.00 | - | - | - | - | 193,750.00 |
| Safe & Secure Neighborhood - 2019 | - | 28,805.00 | 7,201.25 | 6,000.84 | - | 15,602.91 |
| Alcohol Education and Rehabilitation Fund - 2019 | - | 4,174.25 | - | 4,174.25 | - | - |
| Green Communities - 2019 | - | 3,000.00 | - | 1,982.50 | 1,017.50 | - |
| Pedestrian Safety Grant - 2019 | - | 6,270.00 | - | - | - | 6,270.00 |
| NJ Handicapped Recreational Opportunities - 2019 | - | 15,000.00 | 15,000.00 | - | - | - |
| Municipal Alliance Alcohol & Drug Alliance - 2018 | 33,124.00 | - | 28,659.81 | - | 4,464.19 | - |
| Safe & Secure Neighborhood - 2018 | 15,602.91 | - | 15,602.91 | - | - | - |
| Clean Communities - 2019 | - | 119,496.35 | 119,496.35 | - | - | - |
| Body Armor Replacement Grant - 2019 | - | 8,689.88 | 8,689.88 | - | - | - |
| Drunk Driving Enforcement Fund - 2019 | - | 13,307.33 | - | 13,307.33 | - | - |
| Homeland Security - 2019 | - | 18,000.00 | - | - | - | 18,000.00 |
| Total State | 242,476.91 | 624,866.81 | 194,650.20 | 25,464.92 | 5,481.69 | 641,746.91 |
| Federal Grants: | | | | | | |
| Bullet Proof Vest 2019 | - | 6,965.59 | - | - | - | 6,965.59 |
| Bullet Proof Vest 2018 | 7,222.60 | - | - | - | - | 7,222.60 |
| Cops in Shops Fall Initiative - 2019 | - | 4,840.00 | 4,840.00 | - | - | - |
| Drive Sober or Get Pulled Over - 2018 | 5,500.00 | - | 5,500.00 | - | - | - |
| Drive Sober or Get Pulled Over - 2019 | - | 5,500.00 | 5,500.00 | - | - | - |
| Drive Sober or Get Pulled Over - 2018 | - | 5,500.00 | - | - | - | 5,500.00 |
| OC Office of Senior Services - Information Assistance Grant | - | 17,710.00 | 13,285.00 | 4,425.00 | - | - |
| Cops in Shops Summer/Shore Initiative - 2019 | - | 4,400.00 | 4,400.00 | - | - | - |
| Click It or Ticket - 2019 | - | 5,500.00 | 5,500.00 | - | - | - |
| Distracted Drive Crackdown - 2019 | - | 5,500.00 | 5,500.00 | - | - | - |
| Total Federal | 12,722.60 | 55,915.59 | 44,525.00 | 4,425.00 | - | 19,688.19 |
| Total | $ 255,199.51 | $ 680,782.40 | $ 239,175.20 | $ 29,889.92 | $ 5,481.69 | $ 661,435.10 |
===== PAGE 99 =====
TOWNSHIP OF JACKSON FEDERAL AND STATE GRANT FUND SCHEDULE OF STATE AND FEDERAL GRANTS - APPROPRIATED FOR THE YEAR ENDED DECEMBER 31, 2019
| BALANCE DECEMBER 31, 2018 | TRANSFERRED FROM 2019 BUDGET | PRIOR YEAR ENCUMBRANCES | EXPENDED | RESERVE FOR ENCUMBRANCES | CANCELLED | BALANCE DECEMBER 31, 2019 |
| State Grants: | | | | | | | |
| Recycling Tonnage Grant - 2009 | $ 8,766.37 | $ - | $ 6,230.95 | $ 14,996.98 | $ - | $ - | $ 0.34 |
| Recycling Tonnage Grant - 2010 | 44,674.71 | - | - | 44,260.75 | - | - | 413.96 |
| Recycling Tonnage Grant - 2011 | 66,707.04 | - | - | 35,198.82 | 3,078.45 | - | 28,429.77 |
| Recycling Tonnage Grant - 2012 | 49,031.10 | - | - | - | - | - | 49,031.10 |
| Recycling Tonnage Grant - 2013 | 8.87 | - | - | - | - | - | 8.87 |
| Recycling Tonnage Grant - 2014 | 12,626.21 | - | - | 12,626.06 | - | - | 0.15 |
| Recycling Tonnage Grant - 2015 | 100,249.26 | - | - | 5,134.60 | - | - | 95,114.66 |
| Recycling Tonnage Grant - 2016 | 76,648.12 | - | - | - | - | - | 76,648.12 |
| Recycling Tonnage Grant - 2018 | 48,115.29 | - | - | - | - | - | 48,115.29 |
| Body Armor Replacement Grant - 2013 | 176.75 | - | - | 176.75 | - | - | - |
| Body Armor Replacement Grant - 2017 | 6.20 | - | - | 6.20 | - | - | - |
| Body Armor Replacement Grant - 2019 | - | 8,689.88 | - | 7,092.65 | 1,507.00 | - | 90.23 |
| Drunk Driving Enforcement Fund -2014 | 112.96 | - | - | 105.00 | - | - | 7.96 |
| Drunk Driving Enforcement Fund -2015 | 1,980.38 | - | 222.50 | 2,190.89 | - | - | 11.99 |
| Drunk Driving Enforcement Fund -2017 | 22,417.47 | - | - | 22,371.34 | - | - | 46.13 |
| Drunk Driving Enforcement Fund -2018 | 13,292.69 | - | - | 10,921.82 | 1,822.18 | - | 548.69 |
| Drunk Driving Enforcement Fund -2019 | - | 13,307.33 | - | 5,544.68 | - | - | 7,762.65 |
| Alcohol Education & Rehabilitation -2013 | 2,790.01 | - | - | - | - | - | 2,790.01 |
| Alcohol Education & Rehabilitation -2016 | 2,534.13 | - | - | - | - | - | 2,534.13 |
| Alcohol Education & Rehabilitation -2017 | 8,032.26 | - | - | - | - | - | 8,032.26 |
| Alcohol Education & Rehabilitation -2019 | - | 4,174.25 | - | - | - | - | 4,174.25 |
| Clean Communities Program -2017 | 34.61 | - | 55.15 | 77.44 | 10.00 | - | 2.32 |
| Clean Communities Program -2018 | 44,930.04 | - | 2,626.00 | 46,853.16 | 637.50 | - | 65.38 |
| Clean Communities Program -2019 | - | 119,496.35 | - | 66,742.64 | 34.45 | - | 52,719.26 |
| Green Communities-2019 | - | 3,000.00 | - | 1,982.50 | - | 1,017.50 | - |
| Recycling Mini Grant | 2,906.35 | - | - | - | - | - | 2,906.35 |
| Stormwater Management | 371.60 | - | - | - | - | - | 371.60 |
| Going Green Sustainable/Small Cities 2012 | 1,000.00 | - | - | - | - | - | 1,000.00 |
| NJ-DOT Municipal Aid-Woodlane/New Central '18 | - | - | 735,413.89 | 735,413.89 | - | - | - |
| NJ-DOT Municipal Aid - Brewers Bridge III -2019 | - | 375,000.00 | - | - | - | - | 375,000.00 |
| Municipal Alliance -2018/2019 | 29,128.27 | - | 661.62 | 21,562.26 | 5,260.10 | 2,967.53 | - |
| Municipal Alliance -2019/2020 | - | 33,124.00 | - | 16,924.73 | 5,256.17 | - | 10,943.10 |
===== PAGE 100 =====
## TOWNSHIP OF JACKSON FEDERAL AND STATE GRANT FUND SCHEDULE OF STATE AND FEDERAL GRANTS - APPROPRIATED FOR THE YEAR ENDED DECEMBER 31, 2019
| BALANCE DECEMBER 31, 2018 | TRANSFERRED FROM 2019 BUDGET | PRIOR YEAR ENCUMBRANCES | EXPENDED | RESERVE FOR ENCUMBRANCES | CANCELLED | BALANCE DECEMBER 31, 2019 |
| Safe and Secure Neighborhood - 2018 | 15,602.91 | - | - | 15,602.91 | - | - | - |
| Safe and Secure Neighborhood - 2019 | - | 28,805.00 | - | 20,403.34 | - | - | 8,401.66 |
| Pedestrian Safety Grant - 2019 | - | 6,270.00 | - | 1,320.00 | - | - | 4,950.00 |
| Handicapped Recreation Opportunities - 2019 | - | 18,000.00 | - | 18,000.00 | - | - | - |
| Total State Grants | 552,143.60 | 609,866.81 | 745,210.11 | 1,105,509.41 | 17,605.85 | 3,985.03 | 780,120.23 |
| Federal Grants: | | | | | | | |
| Ocean County Office of Senior Services - Information Systems Grant 2018 | - | - | 6,481.44 | 6,481.44 | - | - | - |
| Information Systems Grant 2019 | - | 17,710.00 | - | 17,210.00 | 479.98 | - | 20.02 |
| Federal Bureau of Justice - Bulletproof Vest Partnership - 2018 | 7,222.60 | - | - | 7,222.60 | - | - | - |
| Bulletproof Vest Partnership - 2019 | - | 6,965.59 | - | 1,472.40 | 1,430.00 | - | 4,063.19 |
| Click It or Ticket - 2019 | - | 5,500.00 | - | 5,500.00 | - | - | - |
| Cops in Shops Fall Initiative - 2019 | - | 4,840.00 | - | 4,840.00 | - | - | - |
| Cops in Shops Summer/Shore Initiative - 2019 | - | 4,400.00 | - | 4,400.00 | - | - | - |
| Drive Sober or Get Pulled Over - 2018 | 2,750.00 | - | - | 2,750.00 | - | - | - |
| Drive Sober or Get Pulled Over - 2019 | - | 11,000.00 | - | 8,690.00 | - | - | 2,310.00 |
| Distracted Driving Crackdown '19 | - | 5,500.00 | - | 5,500.00 | - | - | - |
| Homeland Security - 2019 | - | 18,000.00 | - | 18,000.00 | - | - | - |
| Total Federal Grants | 9,972.60 | 73,915.59 | 6,481.44 | 82,066.44 | 1,909.98 | - | 6,393.21 |
| Local Grants: | | | | | | | |
| Municipal Alliance - 2018/2019 - Local Match | 6,872.46 | - | 1,145.83 | 5,463.69 | - | 2,554.60 | - |
| Municipal Alliance - 2019/2020 - Local Match | - | 8,281.00 | - | 1,781.00 | 6,500.00 | - | - |
| 6,872.46 | 8,281.00 | 1,145.83 | 7,244.69 | 6,500.00 | 2,554.60 | - |
| Totals | $ 568,988.66 | $ 692,063.40 | $ 752,837.38 | $1,194,820.54 | $ 26,015.83 | $ 6,539.63 | $ 786,513.44 |
===== PAGE 101 =====
# TOWNSHIP OF JACKSON FEDERAL AND STATE GRANT FUND SCHEDULE OF STATE AND FEDERAL GRANTS - UNAPPROPRIATED FOR THE YEAR ENDED DECEMBER 31, 2019
| BALANCE DECEMBER 31, 2018 | RECEIVED 2019 | ANTICIPATED AS REVENUE | BALANCE DECEMBER 31, 2019 |
| Alcohol Education & Rehabilitation | $ 4,174.25 | $ 1,687.87 | $ 4,174.25 | $ 1,687.87 |
| Drunk Driving Enforcement Fund | 13,307.33 | 9,915.50 | 13,307.33 | 9,915.50 |
| Recycling Tonnage | - | 10,367.46 | - | 10,367.46 |
| Green Communities | - | 1,982.50 | 1,982.50 | - |
| Safe & Secure Grant | - | 6,000.84 | 6,000.84 | - |
| OC Office of Senior Services Information Assistance Grant | - | 4,425.00 | 4,425.00 | - |
| Total | $ 17,481.58 | $ 34,379.17 | $ 29,889.92 | $ 21,970.83 |
SCHEDULE OF RESERVE FOR ENCUMBRANCES FOR THE YEAR ENDED DECEMBER 31, 2019
EXHIBIT A-34
| Balance December 31, 2018 | $ 752,837.38 |
| Increased by: | |
| Charged to Appropriation Reserves | 26,015.83 |
| 778,853.21 |
| Decreased by: | |
| Applied to Appropriated Reserves | 752,837.38 |
| Balance December 31, 2019 | $ 26,015.83 |
===== PAGE 102 =====
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===== PAGE 103 =====
## TRUST FUND
===== PAGE 104 =====
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===== PAGE 105 =====
# TOWNSHIP OF JACKSON TRUST FUND SCHEDULE OF CASH - TREASURER FOR THE YEAR ENDED DECEMBER 31, 2019
| ANIMAL CONTROL TRUST FUND | OPEN SPACE TRUST FUND | TRUST OTHER FUND |
| Balance December 31, 2018 | | $ 115,961.64 | | $ 4,797,099.11 | | $ 12,435,342.82 |
| Increased by Receipts: | | | | | | |
| Reserve for Animal Control Trust Fund | | | | | | |
| Expenditures | $ 56,262.89 | | $ - | | $ - | |
| Interfund Due Current | - | | - | | 621,087.75 | |
| Various Reserves | - | | - | | 5,881,235.11 | |
| Due from Ocean County Community Development Block Grant | - | | - | | 146,186.01 | |
| Reserve for Open Space | - | | 1,474,547.70 | | - | |
| Due to State of New Jersey | 6,700.20 | | - | | - | |
| Total Receipts | | 62,963.09 | | 1,474,547.70 | | 6,648,508.87 |
| Decreased by Disbursements: | | | | | | |
| Due to State of New Jersey | 6,714.60 | | - | | - | |
| Animal Control Trust Fund Expenditures (R.S.4:19015.11) | 42,241.81 | | - | | - | |
| Interfund - Current Fund | - | | - | | 612,505.66 | |
| Various Reserves | - | | - | | 5,792,448.93 | |
| Reserve for Open Space | - | | 947,071.72 | | - | |
| Total Disbursements | | 48,956.41 | | 947,071.72 | | 6,404,954.59 |
| Balance December 31, 2019 | | $ 129,968.32 | | $ 5,324,575.09 | | $ 12,678,897.10 |
===== PAGE 106 =====
# TOWNSHIP OF JACKSON ANIMAL CONTROL TRUST FUND SCHEDULE OF DUE TO STATE OF NEW JERSEY FOR THE YEAR ENDED DECEMBER 31, 2019
Balance December 31, 2018 $ 16.80
| Balance December 31, 2018 | $ 16.80 |
| Increased by: | |
| Cash Receipts | 6,700.20 |
| Subtotal | 6,717.00 |
| Decreased by: | |
| Cash Disbursements | 6,714.60 |
| Balance December 31, 2019 | $ 2.40 |
SCHEDULE OF RESERVE FOR ANIMAL CONTROL FUND EXPENDITURES FOR THE YEAR ENDED DECEMBER 31, 2019
EXHIBIT B-6
| Balance December 31, 2018 | $ 115,944.84 |
| Increased by: | |
| 2019 Dog License Fees Collected | 56,262.89 |
| Subtotal | 172,207.73 |
| Decreased by: | |
| Statutory Excess Due to Current | 21,757.01 |
| Expenditures Under R.S.4:19-15:11 - Cash | 42,241.81 |
| 63,998.82 |
| Balance December 31, 2019 | $ 108,208.91 |
LICENSE FEES COLLECTED
| YEAR | AMOUNT |
| 2018 | $ 49,829.91 |
| 2017 | $ 58,379.00 |
| Total | $ 108,208.91 |
===== PAGE 107 =====
# TOWNSHIP OF JACKSON TRUST OTHER FUND SCHEDULE OF INTERFUND - CURRENT FUND FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 767.30 |
| Increased by: | |
| Cash Receipts | 621,087.75 |
| 621,855.05 |
| Decreased by: | |
| Cash Disbursements | 612,505.66 |
| Balance December 31, 2019 | $ 9,349.39 |
EXHIBIT B-8 SCHEDULE OF DUE FROM COUNTY OF OCEAN COMMUNITY DEVELOPMENT BLOCK GRANT FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 277,890.03 |
| Increased by: | |
| Grant Awards 2019 | 142,000.00 |
| 419,890.03 |
| Decreased by: | |
| Cash Receipts | 146,186.01 |
| Balance December 31, 2019 | $ 273,704.02 |
| Analysis of Balance, December 31, 2019 | |
| CT-1512-18 | $ 131,704.02 |
| CT-1512-19 | 142,000.00 |
| $ 273,704.02 |
===== PAGE 108 =====
TOWNSHIP OF JACKSON TRUST OTHER FUND SCHEDULE OF VARIOUS RESERVES FOR THE YEAR ENDED DECEMBER 31, 2019
| BALANCE DECEMBER 31, 2018 | INCREASES | DECREASES | BALANCE DECEMBER 31, 2019 |
| Reserve for: | | | | |
| Municipal Alliance | $ 1,519.27 | $ - | $ - | $ 1,519.27 |
| Developer Escrow | 4,458,712.66 | 956,664.04 | 1,324,018.20 | 4,091,358.50 |
| Recreation Trust | 191,854.01 | 462,926.40 | 482,649.94 | 172,130.47 |
| Handicapped Commission | 12,595.02 | 22,958.16 | 27,332.61 | 8,220.57 |
| Tax Title Liens Premiums/ | | | | |
| Redemptions | 1,490,109.45 | 2,353,027.81 | 2,382,133.95 | 1,461,003.31 |
| Unemployment Trust | 301,089.59 | 33,242.63 | 26,759.74 | 307,572.48 |
| Parking Offense Adjudication Act | 2,504.00 | 66.00 | - | 2,570.00 |
| Recycling Trust | 258,579.01 | 49,693.13 | 111,712.63 | 196,559.51 |
| Harmony Trust | 474.00 | - | - | 474.00 |
| Special Law Enforcement Fund | 98,320.85 | 31,352.81 | 34,964.95 | 94,708.71 |
| Public Defender Fees | 20,087.09 | 25,991.50 | 30,050.00 | 16,028.59 |
| Tree Escrow | 526,145.99 | 20,502.50 | 53,580.20 | 493,068.29 |
| Sick Leave Trust Fund | 417,396.07 | 180,000.00 | 103,745.67 | 493,650.40 |
| Off Duty Police | 161,881.19 | 704,717.50 | 782,332.50 | 84,266.19 |
| Youth Advisory | 71.87 | - | - | 71.87 |
| Management of Feral Cats | 47.44 | - | - | 47.44 |
| Snow Removal | 1,313,844.52 | 446,497.48 | 55,554.75 | 1,704,787.25 |
| C.O.A.H. | 2,441,540.01 | 457,183.50 | 134,725.09 | 2,763,998.42 |
| Clean Communities Donation | 6.92 | - | - | 6.92 |
| Developers Contribution Curbs | | | | |
| & Sidewalks | 253,019.80 | - | - | 253,019.80 |
| Detention Basin | 534,633.34 | 33,338.30 | 50,849.98 | 517,121.66 |
| Section 125 Flex Spending | 167.07 | 3.99 | - | 171.06 |
| Community Development | | | | |
| Block Grant | 227,723.38 | 238,019.36 | 192,038.72 | 273,704.02 |
| Police Donations | 143.00 | 7,050.00 | - | 7,193.00 |
| Total | $ 12,712,465.55 | $ 6,023,235.11 | $ 5,792,448.93 | $ 12,943,251.73 |
===== PAGE 109 =====
# TOWNSHIP OF JACKSON LENGTH OF SERVICE AWARD PROGRAM FUND ("LOSAP") SCHEDULE OF FUNDS HELD BY TRUSTEE FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 114,399.98 |
| Increased by: | |
| Township Contributions | $ 59,211.00 |
| Gain on Investments | $ 26,078.45 |
| 85,289.45 |
| 199,689.43 |
| Decreased by: | |
| Account Fees | $ 525.00 |
| Withdrawals | $ 16,306.82 |
| 16,831.82 |
| Balance December 31, 2019 | $ 182,857.61 |
SCHEDULE OF RESERVE FOR LOSAP FOR THE YEAR ENDED DECEMBER 31, 2019
EXHIBIT B-11
| Balance December 31, 2018 | | $ 114,399.98 |
| Increased by: | | |
| Township Contributions | $ 59,211.00 | |
| Gain on Investments | 26,078.45 | |
| | 85,289.45 |
| | 199,689.43 |
| Decreased by: | | |
| Account Fees | 525.00 | |
| Withdrawals | 16,306.82 | |
| | 16,831.82 |
| Balance December 31, 2019 | | $ 182,857.61 |
===== PAGE 110 =====
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===== PAGE 111 =====
GENERAL CAPITAL FUND
===== PAGE 112 =====
This page intentionally left blank
===== PAGE 113 =====
# TOWNSHIP OF JACKSON GENERAL CAPITAL FUND SCHEDULE OF CASH AND CASH EQUIVALENTS FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 5,550,019.78 |
| Increased by: | |
| Bond Anticipation Notes | $ 11,039,321.00 |
| Reserve for Debt Service - Other | 88,974.37 |
| Capital Improvement Fund | 110,000.00 |
| 11,238,295.37 |
| 16,788,315.15 |
| Decreased by: | |
| Bond Anticipation Notes | 4,372,000.00 |
| Reserve for Debt Service - Open Space Bonds | 158,000.00 |
| Improvement Authorizations | 5,859,319.44 |
| 10,389,319.44 |
| Balance December 31, 2019 | $ 6,398,995.71 |
===== PAGE 114 =====
## TOWNSHIP OF JACKSON GENERAL CAPITAL FUND ANALYSIS OF GENERAL CAPITAL CASH AND INVESTMENTS FOR THE YEAR ENDED DECEMBER 31, 2019
| BALANCE DECEMBER 31, 2019 |
| Capital Improvement Fund | $ | 4,686.83 |
| Reserve for Encumbrances | | 4,091,875.18 |
| Capital Fund Balance | | 114,061.99 |
| Reserve for Debt Service - Open Space Bonds | | 1,045,770.57 |
| Reserve for Building Department Facilities | | 3,217.61 |
| Reserve for Debt Service - Other | | 167,044.59 |
| Improvement Authorizations: | | |
| Ordinance Number: | DESCRIPTION | |
| 09-07(i) | Municipal Park Facilities (Recreation Fields) | 1,637.08 |
| 09-07(iii) | Construction of Public Works Storage Building | 32,649.43 |
| 19-09(iv) | Implementation of Recycling Center | 408.83 |
| 19-09(vi) | Acquisition of Equipment for Public Works | 5,002.00 |
| 19-09(vii) | Acquisition of Passenger Bus for Senior Center | 2,552.00 |
| 25-10 | Municipal Capital Improvements | 29,173.89 |
| 25-10 | Public Works Equipment | 5,500.00 |
| 03-12 | Ambulance | 7,842.97 |
| 03-12 | Non-Passenger Vehicles | 1,211.00 |
| 18-13(iii) | Record Retention/Microfilming | 26.15 |
| 18-13(vi) | Various Road/Drainage and Sidewalk Improvements | 13,201.27 |
| 20-14(i) | Acquisition of DPW Equipment | 9,676.53 |
| 20-14(ii) | Various Road/Drainage and Sidewalk Improvements | 124.66 |
| 20-14(iii) | Acquisition of Senior Center Bus | 5,317.70 |
| 21-15 | DPW Equipment/Road Repair | 4,317.91 |
| 21-15 | Police Equipment | 109,176.99 |
| 21-15 | Various Building Improvements | 26,458.99 |
| 21-15 | Municipal Court Equipment | 38,029.06 |
| 21-15 | Section 20 Costs | 18,541.00 |
| 17-16 | DPW Equipment/Gas Boy - Cap Project | 95,369.37 |
| 17-16 | Misc. Public Works Projects/Repairs | 15,432.00 |
| 17-16 | Justice Complex | 84,977.14 |
| 17-16 | Police CAD/Vehicles | 63,389.08 |
| 17-16 | Section 20 Costs | 108,784.74 |
| 09-17 | DPW Projects & Repairs | 425,638.86 |
| 09-17 | Section 20 Costs | 153,951.49 |
| 18-18 | SR CTR Mini-Bus | 26,704.00 |
| 18-18 | Engineering | 89,600.00 |
| 18-18 | Various Building Improvements | 50,000.00 |
| 18-18 | Section 20 Costs | 65,446.00 |
| 19-18 | Road/SW/Drainage | (1,218,750.00) |
| 19-18 | Section 20 Costs | (202,940.00) |
| 26-18 | Section 20 Costs | 843,947.12 |
| 22-19 | Record Retention/Microfilming | 125,000.00 |
| 22-19 | DPW B & G | 494,964.35 |
| 22-19 | Code New Vehicles | (162,509.00) |
| 22-19 | Engineering Road Drainage | (67,500.00) |
| 22-19 | Housing Vehicles | (568,100.00) |
| 22-19 | Police Vehicles | (179,227.00) |
| 22-19 | Recreation Vehicles | 35,000.00 |
| 22-19 | UCC Vehicles | 68.50 |
| 22-19 | Section 20 Costs | 382,244.83 |
===== PAGE 115 =====
# TOWNSHIP OF JACKSON GENERAL CAPITAL FUND SCHEDULE OF DEFERRED CHARGES TO FUTURE TAXATION - FUNDED FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 15,726,336.95 |
| Decreased by: | |
| Budget Appropriation to Pay Bonds | $ 3,240,000.00 |
| Paid by Open Space Trust Fund | 245,000.00 |
| Budget Appropriation to Pay NJEIT Loans Payable | 20,102.83 |
| 3,505,102.83 |
| Balance December 31, 2019 | $ 12,221,234.12 |
===== PAGE 116 =====
## TOWNSHIP OF JACKSON GENERAL CAPITAL FUND SCHEDULE OF DEFERRED CHARGES TO FUTURE TAXATION - UNFUNDED FOR THE YEAR ENDED DECEMBER 31, 2019
ANALYSIS OF BALANCE
| ORDINANCE NUMBER | IMPROVEMENT DESCRIPTION | BALANCE DECEMBER 31, 2018 | BALANCE DECEMBER 31, 2019 | BALANCE DECEMBER 31, 2019 | DECEMBER 31, 2019 |
| AUTHORIZATIONS | DECREASED | DECEMBER 31, 2019 | DECEMBER 31, 2019 | BOND ANTICIPATION NOTES | EXPENDITURES | UNEXPENDED IMPROVEMENT AUTHORIZATIONS | |
| 17-16 | DPW Equipment/Gas Boy - Cap Project | $ 545,300.00 | $ - | $ - | $ 545,300.00 | $ 545,300.00 | $ - | $ - | $ - | $ - |
| 17-16 | Misc. Public Works Projects/Repairs | 66,500.00 | - | - | 66,500.00 | 66,500.00 | - | - | - | - |
| 17-16 | Justice Complex | 109,250.00 | - | - | 109,250.00 | 109,250.00 | - | - | - | - |
| 17-16 | Police CAD/Vehicles | 313,500.00 | - | - | 313,500.00 | 313,500.00 | - | - | - | - |
| 17-16 | Roads/Sidewalks/Drainage | 950,000.00 | - | - | 950,000.00 | 950,000.00 | - | - | - | - |
| 17-16 | Section 20 Costs | 297,682.50 | - | - | 297,682.50 | 297,450.00 | - | - | 232.50 | |
| 09-17 | Roads/Sidewalks/Drainage | 949,984.12 | - | - | 949,984.12 | 949,984.12 | - | - | - | - |
| 09-17 | DPW Projects & Repairs | 584,735.92 | - | - | 584,735.92 | 584,735.92 | - | - | - | - |
| 09-17 | Assessor Vehicle | 23,750.00 | - | - | 23,750.00 | 23,750.00 | - | - | - | - |
| 09-17 | Police Equipment & Vehicle | 259,355.18 | - | - | 259,355.18 | 259,355.18 | - | - | - | - |
| 09-17 | Section 20 Costs | 272,673.78 | - | - | 272,673.78 | 272,174.78 | - | - | 499.00 | |
| 18-18 | SR CTR Mini-Bus | 25,432.36 | - | - | 25,432.36 | 25,432.36 | - | - | - | - |
| 18-18 | Police Vehicles | 128,571.24 | - | - | 128,571.24 | 128,571.24 | - | - | - | - |
| 18-18 | Engineering | 104,761.81 | - | - | 104,761.81 | 104,761.81 | - | - | - | - |
| 18-18 | Various Park Improvements | 47,619.01 | - | - | 47,619.01 | 47,619.01 | - | - | - | - |
| 18-18 | Various Building Improvements | 47,619.01 | - | - | 47,619.01 | 47,619.01 | - | - | - | - |
| 18-18 | DPW Roads/Claw | 66,666.67 | - | - | 66,666.67 | 66,666.67 | - | - | - | - |
| 18-18 | Section 20 Costs | 63,100.90 | - | - | 63,100.90 | 63,100.90 | - | - | - | - |
| 19-18 | Road/SW/Drainage | 1,300,000.00 | - | 81,250.00 | 1,218,750.00 | - | 1,218,750.00 | - | - | - |
| 19-18 | Section 20 Costs | 325,000.00 | - | - | 325,000.00 | - | 202,940.00 | - | 122,060.00 | |
| 22-19 | Road/SW/Drainage | - | 1,092,500.00 | - | 1,092,500.00 | - | 142,500.00 | - | 950,000.00 | |
| 22-19 | Police Vehicles | - | 249,227.00 | - | 249,227.00 | - | 179,227.00 | - | 70,000.00 | |
| 22-19 | Building Department Equipment | - | 568,100.00 | - | 568,100.00 | - | - | - | 568,100.00 | |
| 22-19 | Various Building Improvements | - | 302,622.00 | - | 302,622.00 | - | - | - | 302,622.00 | |
| 22-19 | Code Enforcement & Housing Vehicles | - | 162,509.00 | - | 162,509.00 | - | 162,440.50 | - | 68.50 | |
| 26-18 | New Radio System | - | 6,183,550.00 | - | 6,183,550.00 | 6,183,550.00 | - | - | - | |
| Total | $ 6,481,502.50 | $ 8,558,508.00 | $ 81,250.00 | $ 14,958,760.50 | $ 11,039,321.00 | $ 1,905,857.50 | $ 2,013,582.00 | | |
| Improvement Authorizations - Unfunded | $ | 4,083,470.89 |
| Less: Unexpended Proceeds of Bond Anticipation Notes - Issued: | | |
| Ordinance 17-16 | $ | 342,541.08 | | |
| Ordinance 09-17 | | 579,590.35 | | |
| Ordinance 18-18 | | 225,752.27 | | |
| Ordinance 22-19 | | 115,455.19 | | |
| Ordinance 26-18 | | 806,550.00 | | |
2,069,888.89
$2,013,582.00
===== PAGE 117 =====
## TOWNSHIP OF JACKSON GENERAL CAPITAL FUND SCHEDULE OF GENERAL SERIAL BONDS FOR THE YEAR ENDED DECEMBER 31, 2019
| IMPROVEMENT DESCRIPTION | MATURITIES OF BONDS |
| ORIGINAL AMOUNT OF ISSUE | ORIGINAL DATE OF ISSUE | OUTSTANDING DECEMBER 31, 2019 | BALANCE DECEMBER 31, 2018 | BALANCE DECEMBER 31, 2019 |
| PAYMENT DATE | PAYMENT AMOUNT | INTEREST RATE | DECEMBER 31, 2018 | PAID | DECEMBER 31, 2019 |
| General Obligation - Series 2014 | 5,485,000.00 | 7/23/2014 | 6/1/2020 | 500,000.00 | 2.00% | $ 3,835,000.00 | $ 500,000.00 | $ 3,335,000.00 |
| 6/1/2021 | 515,000.00 | 2.00% | | | |
| 6/1/2022 | 520,000.00 | 2.00% | | | |
| 6/1/2023 | 600,000.00 | 2.125% | | | |
| 6/1/2024 | 600,000.00 | 2.25% | | | |
| 6/1/2025 | 600,000.00 | 2.375% | | | |
| Bonds - General - Series 2016 | 4,210,000.00 | 2/2/2016 | 12/1/2020 | 2,120,000.00 | 4.00% | 4,160,000.00 | 2,040,000.00 | 2,120,000.00 |
| General Bonds - Open Space - Series 2016 | 2,890,000.00 | 2/2/2016 | 12/1/2020 | 250,000.00 | 3.00% | 2,810,000.00 | 245,000.00 | 2,565,000.00 |
| 12/1/2021 | 260,000.00 | 4.00% | | | |
| 12/1/2022 | 270,000.00 | 2.50% | | | |
| 12/1/2023 | 280,000.00 | 2.50% | | | |
| 12/1/2024 | 285,000.00 | 2.50% | | | |
| 12/1/2025 | 295,000.00 | 2.75% | | | |
| 12/1/2026 | 300,000.00 | 2.75% | | | |
| 12/1/2027 | 310,000.00 | 3.00% | | | |
| 12/1/2028 | 315,000.00 | 3.00% | | | |
| General Obligation - Series 2016 | 5,858,000.00 | 11/30/2016 | 12/1/2020 | 650,000.00 | 3.00% | 4,650,000.00 | 700,000.00 | 3,950,000.00 |
| 12/1/2021 | 1,100,000.00 | 3.00% | | | |
| 12/1/2022 | 1,100,000.00 | 4.00% | | | |
| 12/1/2023 | 1,100,000.00 | 2.125% | | | |
| | | | | Total | $ 15,455,000.00 | $ 3,485,000.00 | $ 11,970,000.00 |
| | | | | Current Fund Budget Appropriation | $ 3,240,000.00 | |
| | | | | Open Space Trust Appropriation | $ 245,000.00 | |
| | | | | | $ 3,485,000.00 | |
===== PAGE 118 =====
TOWNSHIP OF JACKSON GENERAL CAPITAL FUND SCHEDULE OF IMPROVEMENT AUTHORIZATIONS FOR THE YEAR ENDED DECEMBER 31, 2019
| ORDINANCE NUMBER | IMPROVEMENT DESCRIPTION | BALANCE DECEMBER 31, 2018 | 2019 AUTHORIZATIONS | RECLASS PRIOR YEAR ENCUMBRANCES | PAID OR CHARGED | RESERVE FOR ENCUMBRANCES | AUTHORIZATION CANCELLED/ TRANSFERRED | BALANCE DECEMBER 31, 2019 |
| FUNDED | UNFUNDED | FUNDED | UNFUNDED |
| 09-07(iii) | Construction of Public Works Storage Building | 1,637.08 | - | $- | $- | $- | $- | $- | 1,637.08 | $- |
| 28-07A | Telecommunications & GPS Equipment | 32,649.43 | - | - | - | - | - | - | 32,649.43 | - |
| 09-07(vi) | Improvements to Library & Municipal Facilities | 24,828.24 | - | - | - | 24,828.24 | - | - | - | - |
| 29-08(i) | Various Road Improvements | 31,687.58 | - | - | - | 31,687.58 | - | - | - | - |
| 29-08(ii) | Telephone/Data System Upgrade | 31,433.04 | - | - | - | - | 133.04 | 31,300.00 | - | - |
| 19-09(ii) | Public Water Service Installation | 81,039.70 | - | - | - | 81,039.70 | - | - | - | - |
| 19-09(iv) | Implementation of Recycling Center | 409.83 | - | - | 7,308.71 | 7,308.71 | 1.00 | - | 408.83 | - |
| 19-09(vi) | Acquisition of Equipment for Public Works | 5,002.00 | - | - | 13,683.78 | 10,130.12 | 3,553.66 | - | 5,002.00 | - |
| 10-09(vii) | Acquisition of Passenger Bus for Senior Center | 4,861.73 | - | - | - | - | 2,309.73 | - | 2,552.00 | - |
| 25-10 | Municipal Capital Improvements | 104,902.58 | - | - | - | - | 5,826.11 | 69,902.58 | 29,173.89 | - |
| 25-10 | Township Recycling Center | 27,419.90 | - | - | - | - | - | 27,419.90 | - | - |
| 25-10 | Technology Upgrades | 11,287.93 | - | - | - | - | - | 11,287.93 | - | - |
| 25-10 | Police Department Equipment | 17,471.24 | - | - | - | - | - | 17,471.24 | - | - |
| 25-10 | DPW Equipment | 71,147.03 | - | - | 808.59 | 808.59 | - | 65,647.03 | 5,500.00 | - |
| 03-12 | Road Improvements | 81,970.35 | - | - | - | 81,970.35 | - | - | - | - |
| 03-12 | DPW Equipment | 35,154.39 | - | - | - | - | - | 27,311.42 | 7,842.97 | - |
| 03-12 | Ambulance | 8,522.42 | - | - | - | - | - | 7,311.42 | 1,211.00 | - |
| 03-12 | Non-Passenger Vehicles | 11,263.48 | - | - | - | - | 8,686.32 | 2,577.16 | - | - |
| 18-13(ii) | Acquisition of Pool Equipment | 26.15 | - | - | - | - | - | - | 26.15 | - |
| 18-13(iii) | Record Retention/Microfilming | 127,810.27 | - | - | - | 8,318.16 | 106,290.84 | - | 13,201.27 | - |
| 18-13(vii) | Section 20 Costs | 84,676.53 | - | - | - | - | - | 75,000.00 | 9,676.53 | - |
| 20-14(i) | Acquisition of DPW Equipment | 124.66 | - | - | 68,661.00 | 68,661.00 | - | - | 124.66 | - |
| 20-14(iii) | Acquisition of Senior Center Bus | 5,317.70 | - | - | - | - | - | - | 5,317.70 | - |
| 20-14(iv) | Acquisition of UCC non-passenger Vehicles | 3,989.58 | - | - | - | - | 3,989.58 | - | - | - |
| 20-14 | Section 20 Costs | 180,489.50 | - | - | - | - | - | 180,489.50 | - | - |
| 21-15 | DPW Equipment/Road Repair | 4,317.91 | - | - | 652.50 | 652.50 | - | - | 4,317.91 | - |
| 21-15 | Police Equipment | 127,227.43 | - | - | 19,995.40 | 26,395.40 | 11,650.44 | - | 109,176.99 | - |
| 21-15 | Various Park Improvements | 13,274.25 | - | - | - | 13,274.25 | - | - | - | - |
| 21-15 | Various Building Improvements | 1,438.04 | - | - | 27,585.73 | 2,564.78 | - | - | 26,458.99 | - |
| 21-15 | Municipal Court Equipment | 38,029.06 | - | - | - | - | - | - | 38,029.06 | - |
| 21-15 | Section 20 Costs | 239,445.50 | - | - | - | 1,347.46 | 17,421.54 | 202,135.50 | 18,541.00 | - |
| 17-16 | DPW Equipment/Gas Boy - Cap Project | - | 69,958.12 | - | 52,004.00 | 16,404.00 | 10,188.75 | - | 25,411.25 | 69,958.12 |
===== PAGE 119 =====
TOWNSHIP OF JACKSON GENERAL CAPITAL FUND SCHEDULE OF IMPROVEMENT AUTHORIZATIONS FOR THE YEAR ENDED DECEMBER 31, 2019
| ORDINANCE NUMBER | IMPROVEMENT DESCRIPTION | BALANCE DECEMBER 31, 2018 | 2019 AUTHORIZATIONS | RECLASS PRIOR YEAR ENCUMBRANCES | PAID OR CHARGED | RESERVE FOR ENCUMBRANCES | AUTHORIZATION CANCELLED/ TRANSFERRED | BALANCE DECEMBER 31, 2019 |
| FUNDED | UNFUNDED | FUNDED | UNFUNDED |
| 17-16 | Misc. Public Works Projects/Repairs | - | 15,432.00 | - | 28,332.00 | 28,332.00 | - | - | - | 15,432.00 |
| 17-16 | Justice Complex | - | 84,977.14 | - | - | - | - | - | - | 84,977.14 |
| 17-16 | Police CAD/Vehicles | - | 63,389.08 | - | - | - | - | - | - | 63,389.08 |
| 17-16 | Section 20 Costs | 10,276.50 | 297,682.50 | - | - | 11,440.00 | 187,501.76 | - | - | 109,017.24 |
| 09-17 | Road/SW/Drainage | - | 79,898.61 | - | 677,450.11 | 452,610.72 | 304,738.00 | - | - | - |
| 09-17 | DPW Projects & Repairs | - | 511,938.51 | - | - | 40,599.65 | 45,700.00 | - | - | 425,638.86 |
| 09-17 | Assessor Vehicle | - | 473.00 | - | - | - | 473.00 | - | - | - |
| 09-17 | Section 20 Costs | - | 263,075.00 | - | - | 4,164.51 | 104,460.00 | - | - | 154,450.49 |
| 18-18 | SR CTR Mini-Bus | 1,271.64 | 25,432.36 | - | - | - | - | - | 1,271.64 | 25,432.36 |
| 18-18 | Police Vehicles | - | 182.71 | - | 134,817.29 | 134,817.29 | 182.71 | - | - | - |
| 18-18 | Engineering | 5,238.19 | 104,761.81 | - | - | 20,400.00 | - | - | - | 89,600.00 |
| 18-18 | Various Park Improvements | 2,380.99 | 47,619.01 | - | - | - | 50,000.00 | - | - | - |
| 18-18 | Various Building Improvements | 2,380.99 | 47,619.01 | - | - | - | - | - | 2,380.99 | 47,619.01 |
| 18-18 | DPW Roads/Claw | - | 53,350.00 | - | 16,650.00 | 70,000.00 | - | - | - | - |
| 18-18 | Section 20 Costs | 2,345.10 | 63,100.90 | - | - | - | - | - | 2,345.10 | 63,100.90 |
| 19-18 | Road/SW/Drainage | - | 1,300,000.00 | - | - | 182,895.16 | 1,117,104.84 | - | - | - |
| 19-18 | Section 20 Costs | - | 324,430.00 | - | - | 2,370.00 | 200,000.00 | - | - | 122,060.00 |
| 26-18 | Police Radio Tower | - | - | 5,660,000.00 | - | 4,525,666.68 | 1,134,333.32 | - | - | - |
| 26-18 | Section 20 Costs | - | - | 849,000.00 | - | 4,362.03 | 690.85 | - | 37,397.12 | 806,550.00 |
| 22-19 | Record Retention/Microfilming | - | - | - | - | - | - | (125,000.00) | 125,000.00 | - |
| 22-19 | Assessor Vehicles | - | - | 30,000.00 | - | - | 30,000.00 | - | - | - |
| 22-19 | DPW B & G | - | - | 677,000.00 | - | 4,103.44 | 276,538.89 | (401,228.68) | 154,436.35 | 643,150.00 |
| 22-19 | Code New Vehicles | - | - | 60,000.00 | - | - | 60,000.00 | - | - | - |
| 22-19 | Engineering Road Drainage | - | - | 1,000,000.00 | - | - | - | (25,000.00) | 75,000.00 | 950,000.00 |
| 22-19 | Housing Vehicles | - | - | 23,750.00 | - | - | 23,750.00 | - | - | - |
| 22-19 | Police Vehicles | - | - | 228,125.00 | - | - | 228,125.00 | (70,000.00) | - | 70,000.00 |
| 22-19 | Recreation Vehicles | - | - | 35,000.00 | - | - | - | - | 1,750.00 | 33,250.00 |
| 22-19 | UCC Vehicles | - | - | 120,000.00 | - | - | 147,931.50 | (28,000.00) | - | 68.50 |
| 22-19 | Section 20 Costs | - | - | 326,081.25 | - | 2,167.12 | 10,294.30 | (68,625.00) | 72,467.64 | 309,777.19 |
| Total | $ 1,432,747.94 | $ 3,353,319.76 | $ 9,008,956.25 | $ 1,047,949.11 | $ 5,859,319.44 | $ 4,091,875.18 | $ - | $ 808,307.55 | $ 4,083,470.89 | |
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EXHIBIT C-8
# TOWNSHIP OF JACKSON GENERAL CAPITAL FUND SCHEDULE OF RESERVE FOR ENCUMBRANCES FOR THE YEAR ENDED DECEMBER 31, 2019
Balance December 31, 2018 $1,047,949.11
Increased by:
Charged to Improvement Authorizations 4,091,875.18
Decreased by:
Prior Year Encumbrance Canceled 1,047,949.11
Balance December 31, 2019 $ 4,091,875.18
## SCHEDULE OF CAPITAL IMPROVEMENT FUND FOR THE YEAR ENDED DECEMBER 31, 2019
EXHIBIT C-9
Balance December 31, 2018 $ 426,385.08
Increased by:
2019 Budget Appropriation 110,000.00
536,385.08
Decreased by:
Decreased by:
Appropriated to Finance Improvement Authorizations
531,698.25
Balance December 31, 2019 $ 4,686.83
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# TOWNSHIP OF JACKSON GENERAL CAPITAL FUND SCHEDULE OF RESERVE FOR DEBT SERVICE - OPEN SPACE BONDS FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 1,203,770.57 |
| Decreased by: | |
| Cash Disbursement | 158,000.00 |
| Balance December 31, 2019 | $ 1,045,770.57 |
| SCHEDULE OF RESERVE FOR DEBT SERVICE - OTHER FOR THE YEAR ENDED DECEMBER 31, 2019 | EXHIBIT C-11 |
| Balance December 31, 2018 | $ 78,070.22 |
| Increased by: | |
| Premium from Bond Anticipation Notes & Bonds Issued | 88,974.37 |
| Balance December 31, 2019 | $ 167,044.59 |
SCHEDULE OF RESERVE FOR FIRE DAMAGE - ANNEX BUILDING
FOR THE YEAR ENDED DECEMBER 31, 2019
EXHIBIT C-12
| Balance December 31, 2019 & 2018 |
$3,217.61
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TOWNSHIP OF JACKSON GENERAL CAPITAL FUND SCHEDULE OF NJEIT LOAN PAYABLE FOR THE YEAR ENDED DECEMBER 31, 2019
| DESCRIPTION | DATE OF ISSUE | ORIGINAL ISSUES | MATURITIES OF LOAN OUTSTANDING | BALANCE DECEMBER 31, 2018 | BALANCE DECEMBER 31, 2019 |
| DATE | DECEMBER 31, 2018 AMOUNT | INTEREST RATE |
| $ | 131,336.95 | $ | 10,102.83 | $ |
| 2017 Fund Loan | 5/25/2017 | $ 148,175.00 | 2/1/20-31 | $ 3,367.61 | N/A | $ | 140,000.00 | $ | 10,000.00 | 130,000.00 |
| 8/1/20-31 | 6,735.22 | N/A |
| 2017 Trust Loan | 5/25/2017 | 145,000.00 | 8/1/20-25 | 10,000.00 | 5.00% | | | | | |
| 8/1/26-29 | 10,000.00 | 3.00% | | | | | |
| 8/1/30-31 | 15,000.00 | 3.00% | | | | | |
| | | | | Total | $ | 271,336.95 | $ | 20,102.83 | $ 251,234.12 |
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# TOWNSHIP OF JACKSON GENERAL CAPITAL FUND SCHEDULE OF BOND ANTICIPATION NOTES FOR THE YEAR ENDED DECEMBER 31, 2019
| ORDINANCE NUMBER | IMPROVEMENT DESCRIPTION | DATE OF ORIGINAL NOTE | DATE OF ISSUE | DATE OF MATURITY | INTEREST RATE | BALANCE DECEMBER 31, 2018 | INCREASED | DECREASED | BALANCE DECEMBER 31, 2019 |
| 17-16 | Acquisition, Construction, Repair & Installation of Various Capital Improvements | 8/07/2018 | 8/6/2019 | 2/13/2020 | 2.00% | $ 2,282,000.00 | $ 2,282,000.00 | $ 2,282,000.00 | $ 2,282,000.00 |
| 09-17 | Acquisition, Construction, Repair & Installation of Various Capital Improvements | 8/07/2018 | 8/6/2019 | 2/13/2020 | 2.00% | 2,090,000.00 | 2,090,000.00 | 2,090,000.00 | 2,090,000.00 |
| 18-18 | Various Improvements & Equipment | 2/13/2019 | 2/13/2019 | 2/13/2020 | 3.25% | - | 483,771.00 | - | 483,771.00 |
| 26-18 | New Radio System | 2/13/2019 | 2/13/2019 | 2/13/2020 | 3.25% | - | 6,183,550.00 | - | 6,183,550.00 |
| | | | | Total | $ 4,372,000.00 | $ 11,039,321.00 | $ 4,372,000.00 | $ 11,039,321.00 |
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## TOWNSHIP OF JACKSON GENERAL CAPITAL FUND SCHEDULE OF BONDS AND NOTES AUTHORIZED BUT NOT ISSUED AT DECEMBER 31, 2019
| ORDINANCE NUMBER | IMPROVEMENT DESCRIPTION | BALANCE DECEMBER 31, 2018 | 2019 AUTHORIZATIONS | BANS ISSUED | BALANCE DECEMBER 31, 2019 |
| 17-16 | Section 20 Costs | $ 232.50 | $ - | $ - | $ 232.50 |
| 09-17 | Section 20 Costs | 499.00 | - | - | 499.00 |
| 18-18 | SR CTR Mini-Bus | 25,432.36 | - | 25,432.36 | - |
| 18-18 | Police Vehicles | 128,571.24 | - | 128,571.24 | - |
| 18-18 | Engineering | 104,761.81 | - | 104,761.81 | - |
| 18-18 | Various Park Improvements | 47,619.01 | - | 47,619.01 | - |
| 18-18 | Various Building Improvements | 47,619.01 | - | 47,619.01 | - |
| 18-18 | DPW Roads/Claw | 66,666.67 | - | 66,666.67 | - |
| 18-18 | Section 20 Costs | 63,100.90 | - | 63,100.90 | - |
| 19-18 | Road/SW/Drainage | 1,300,000.00 | - | 81,250.00 | 1,218,750.00 |
| 19-18 | Section 20 Costs | 325,000.00 | - | - | 325,000.00 |
| 22-19 | Road/SW/Drainage | - | 1,092,500.00 | - | 1,092,500.00 |
| 22-19 | Police Vehicles | - | 249,227.00 | - | 249,227.00 |
| 22-19 | Building Department Equipment | - | 568,100.00 | - | 568,100.00 |
| 22-19 | Various Building Improvements | - | 302,622.00 | - | 302,622.00 |
| 22-19 | Code Enforcement & Housing Vehicles | - | 162,509.00 | - | 162,509.00 |
| 26-18 | New Radio System | - | 6,183,550.00 | 6,183,550.00 | - |
| Total | $ 2,109,502.50 | $ 8,558,508.00 | $ 6,748,571.00 | $ 3,919,439.50 |
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PUBLIC ASSISTANCE FUND
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# TOWNSHIP OF JACKSON PUBLIC ASSISTANCE FUND SCHEDULE OF CASH FOR THE YEAR ENDED DECEMBER 31, 2019
| Balance December 31, 2018 | $ 27,790.57 |
| Increased by: | |
| Interest Earned | 661.19 |
| Balance December 31, 2019 | $ 28,451.76 |
| SCHEDULE OF RESERVE FOR PUBLIC ASSISTANCE FOR THE YEAR ENDED DECEMBER 31, 2019 | EXHIBIT D-2 |
| Balance December 31, 2018 | $ 27,790.57 |
| Increased by: | |
| Interest Earned | 661.19 |
| Balance December 31, 2019 | $ 28,451.76 |
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GENERAL FIXED ASSETS
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# TOWNSHIP OF JACKSON GENERAL FIXED ASSETS GROUP SCHEDULE OF INVESTMENTS IN GENERAL FIXED ASSETS FOR THE YEAR ENDED DECEMBER 31, 2019
| BALANCE DECEMBER 31, 2018 | ADDITIONS | DELETIONS | BALANCE DECEMBER 31, 2019 |
| Land | $ 56,320,100.00 | $ - | $ - | $ 56,320,100.00 |
| Building & Building Improvements | 49,798,905.00 | 530,857.00 | - | 50,329,762.00 |
| Machinery & Equipment | 14,296,035.00 | 605,269.00 | 263,920.00 | 14,637,384.00 |
| Total | $ 120,415,040.00 | $ 1,136,126.00 | $ 263,920.00 | $ 121,287,246.00 |
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SINGLE AUDIT SECTION
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TOWNSHIP OF JACKSON
PART II
SINGLE AUDIT SECTION
FOR THE YEAR ENDED DECEMBER 31, 2019
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# INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE FOR EACH MAJOR PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE REQUIRED BY NEW JERSEY OMB CIRCULAR 15-08
Honorable Mayor and Members
of the Township Council
Township of Jackson
County of Ocean
Jackson, New Jersey
## Report on Compliance for Each Major State Program
We have audited the Township of Jackson’s compliance with the types of compliance requirements described in the New Jersey State Aid/Grant Compliance Supplement that could have a direct and material effect on each of the Township’s major state programs for the year ended December 31, 2019. The Township’s major state programs are identified in the summary of auditor’s results section of the accompanying schedule of findings and questioned costs.
## Management's Responsibility
Management is responsible for compliance with state statutes, regulations, and the terms and conditions of its state awards applicable to its state programs.
## Auditor's Responsibility
Our responsibility is to express an opinion on compliance for each of the Township’s major state programs based on our audit of the types of compliance requirements referred to above. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; New Jersey OMB’s Circular 15-08, Single Audit Policy for Recipients of Federal Grants, State Grants and State Aid; and audit requirements prescribed by the Division of Local Government Services, Department of Community Affairs, State of New Jersey. Those standards and New Jersey OMB’s Circular 15-08 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major state program occurred. An audit includes examining, on a test basis, evidence about the Township’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances.
We believe that our audit provides a reasonable basis for our opinion on compliance for each major state program. However, our audit does not provide a legal determination of the Township's compliance.
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## Opinion on Each Major State Program
In our opinion, the Township of Jackson complied, in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on each of its major state programs for the year ended December 31, 2019.
## Report on Internal Control Over Compliance
Management of the Township of Jackson is responsible for establishing and maintaining effective internal control over compliance with the types of compliance requirements referred to above. In planning and performing our audit of compliance, we considered the Township’s internal control over compliance with the types of requirements that could have a direct and material effect on each major state program to determine the auditing procedures that are appropriate in the circumstances for the purpose of expressing an opinion on compliance for each major state program and to test and report on internal control over compliance in accordance with New Jersey OMB’s Circular 15-08, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of the Township’s internal control over compliance.
A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a state program on a timely basis. A material weakness in internal control over compliance is a deficiency, or combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a state program will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a state program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance.
Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
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The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of New Jersey OMB’s Circular 15-08. Accordingly, this report is not suitable for any other purpose.
Respectfully Submitted,
HOLMAN FRENIA ALLISON, P.C.
Kevin P. Frenia
Certified Public Accountant
Registered Municipal Accountant
RMA No. 435
Toms River, New Jersey
June 25, 2020
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TOWNSHIP OF JACKSON SCHEDULE OF EXPENDITURES OF STATE FINANCIAL ASSISTANCE FOR YEAR ENDED DECEMBER 31, 2019
| State Grantor/ Pass-Through Grantor/ Program Title | State Account Number | GRANT PERIOD | Program Expenditures | Passed to Subrecipient | Total Assistance Expended | Cumulative Expenditures |
| Department of Transportation: | | | | | | |
| NJ-DOT Municipal Aid - Woodlane/New Central - 2018 | 18-480-078-6320-AM2-6010 | Open | $ 735,413.89 | $ - | $ 735,413.89 | $ 775,000.00 |
| Total Department of Transportation: | | | 735,413.89 | - | 735,413.89 | 775,000.00 |
| Other Grants | | | | | | |
| Body Armor Replacement Grant | 1020-718-066-1020-001-YCJF-6120 | Various | 7,275.60 | - | 7,275.60 | 7,275.60 |
| Clean Communities | 4900-765-042-4900-004-V42Y-6020 | Various | 113,673.24 | - | 113,673.24 | 113,673.24 |
| Green Communities | 100-042-4870-074 | Various | 1,982.50 | - | 1,982.50 | 1,982.50 |
| Drunk Driving Enforcement | 100-078-6400 | Various | 41,133.73 | - | 41,133.73 | 41,133.73 |
| Pedestrian Safety Grant | Not Available | Various | 1,320.00 | - | 1,320.00 | 1,320.00 |
| Handicapped Recreation Opportunities | 100-002-8050-035-F157-6120 | Various | 18,000.00 | - | 18,000.00 | 18,000.00 |
| Municipal Alliance | MAC-01-19 | Various | 38,486.99 | - | 38,486.99 | 38,486.99 |
| Recycling Tonnage Grant | 100-042-4910-224 | Various | 112,217.21 | - | 112,217.21 | 112,217.21 |
| Safe and Secure Community Grant | 100-066-1020-232 | Various | 36,006.25 | - | 36,006.25 | 36,006.25 |
| Total Other Grants: | | | 370,095.52 | - | 370,095.52 | 370,095.52 |
| Total Expenditures: | | | $ 1,105,509.41 | $ - | $ 1,105,509.41 | $ 1,145,095.52 |
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# TOWNSHIP OF JACKSON NOTES TO SCHEDULE OF EXPENDITURES OF STATE FINANCIAL ASSISTANCE FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 1. Basis of Presentation
The accompanying schedule of expenditures of state financial assistance present the activity of all state financial assistance programs of the Township of Jackson. The Township is defined in Note 1 of the basic financial statements. The information in this schedule is presented in accordance with the requirements of New Jersey OMB’s Circular 15-08, Single Audit Policy for Recipients of Federal Grants, State Grants and State Aid. All state awards received directly from state agencies, as well as state financial assistance passed through other government agencies is included on the schedule of expenditures of state financial assistance.
### Note 2. Summary of Significant Accounting Policies
The accompanying schedule of state financial assistance is presented using the modified accrual basis of accounting as promulgated by the State of New Jersey, Department of Community Affairs, Division of Local Government Services, which is described in the Notes to the Financial Statements, Note 1.
The amounts shown as current year expenditures represent only the state grant portion of the program costs. Such expenditures are recognized following the cost principles contained in State of New Jersey OMB Circular 15-08, Single Audit Policy for Recipients of Federal Grants, State Grants and State Aid, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
### Note 3. Relationship to Basic Financial Statements
Amounts reported in the accompanying schedule agree with amounts reported in the Township's financial statements. Expenditures from awards are reported in the Township's financial statements as follows:
| State |
| State & Federal Grant Fund | $ 1,105,509.41 |
| Total | $ 1,105,509.41 |
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# TOWNSHIP OF JACKSON NOTES TO SCHEDULE OF EXPENDITURES OF STATE FINANCIAL ASSISTANCE FOR THE YEAR ENDED DECEMBER 31, 2019
### Note 4. Relationship to State Financial Reports
The regulations and guidelines governing the preparation of state financial reports vary by state agency and among programs administered by the same agencies. Accordingly, the amounts reported in the state financial reports do not necessarily agree with the amounts reported in the accompanying Schedule, which is prepared on the modified accrual basis of accounting as explained in Note 2.
### Note 5. State Loans Outstanding
The Township had no loan balances outstanding at December 31, 2019.
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# TOWNSHIP OF JACKSON SCHEDULE OF FINDINGS AND QUESTIONED COSTS FOR THE YEAR ENDED DECEMBER 31, 2019
## Section I - Summary of Auditor's Results
## Financial Statements
| Type of auditor's report issued | Adverse -GAAP\nUnmodified- Regulatory Basis |
| Internal control over financial reporting: | |
| 1) Material weakness(es) identified? | ____ yes X no |
| 2) Significant deficiency(ies) identified? | ____ yes X none reported |
| Noncompliance material to financial statements noted? | ____ yes X no |
| State Financial Assistance |
| Dollar threshold used to determine Type A programs | $750,000.00 |
| Auditee qualified as low-risk auditee? | X yes ____ no |
| Internal control over major programs: | |
| 1) Material weakness(es) identified? | ____ yes X no |
| 2) Significant deficiency(ies) identified? | ____ yes X no |
| Type of auditor's report issued on compliance for major programs | Unmodified |
| Any audit findings disclosed that are required to be reported in accordance with New Jersey OMB's Circular 15-08? | ____ yes X no |
| Identification of major programs: | |
| State Grant/Project Number(s) | Name of State Program |
| 18-480-078-6320-AM2-6010 | NJ-DOT Municipal Aid - Woodlane/New Central |
18-480-078-6320-AM2-6010
NJ-DOT Municipal Aid - Woodlane/New Central
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# TOWNSHIP OF JACKSON SCHEDULE OF FINDINGS & QUESTIONED COSTS FOR THE YEAR ENDED DECEMBER 31, 2019
## Section II – Financial Statement Findings
This section identifies the significant deficiencies, material weaknesses and instances of noncompliance related to the basic financial statements that are required to be reported in accordance with Government Auditing Standards and with audit requirements prescribed by the Division of Local Government Services, Department of Community Affairs, State of New Jersey.
## Finding 2019-001
Criteria or specific requirement:
For sound financial reporting the appropriate internal control procedures for requisitions of purchase orders should be followed to ensure compliance with public contract law.
## Condition:
The Township was inconsistent with following internal control procedures in place for obtaining quotes and obtaining the approval of requisitions for purchase orders before the receipt of a good or service.
## Cause:
Management oversight at the applicable department level.
Effect or potential effect:
## Recommendation:
Weakening of internal control over financial reporting.
It is recommended that all requisitions for purchase orders are approved by the appropriate parties and all quotes are received at the time of requisitioning process and that no order is placed for goods or services until a Purchase Order is printed and approved.
View of responsible official:
The responsible official agrees with this finding and will address the matter as part of their corrective action plan.
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# TOWNSHIP OF JACKSON SCHEDULE OF FINDINGS & QUESTIONED COSTS FOR THE YEAR ENDED DECEMBER 31, 2019
# Section II – Financial Statement Findings (continued)
## Finding 2019-002:
Criteria of Specific Requirement:
P.L. 2011 c. 78 requires that local units must contribute to their employee benefits according to statutory calculations and those calculations must be updated based on the cost of the chosen plan and the employee's compensation.
## Condition:
The Township did not properly calculate employee contributions for health benefits for all employees for the year ended December 31, 2019.
## Cause:
The Township did not recalculate and adjust the withholdings after changes were made during the year to employee health benefit plan coverage or changes in salary.
## Effect or Potential Effect:
All employees did not have the proper amount withheld from their compensation.
## Recommendation:
That the Township should implement controls to ensure employee withholding rates are properly recalculated as changes in coverage or compensation occur.
View of Responsible Officials and Corrective Action Plan:
The responsible officials agree with this finding and will address the matter as part of their corrective action plan.
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## TOWNSHIP OF JACKSON SCHEDULE OF FINDINGS & QUESTIONED COSTS FOR THE YEAR ENDED DECEMBER 31, 2019
## Section III – State Financial Assistance Findings & Questioned Costs
This section identifies the significant deficiencies, material weaknesses and instances of noncompliance, including questioned costs, related to the audit of major state programs, as required by New Jersey OMB's Circular 15-08.
None.
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# TOWNSHIP OF JACKSON SUMMARY SCHEDULE OF PRIOR YEAR AUDIT FINDINGS AND QUESTIONED COSTS AS PREPARED BY MANAGEMENT FOR THE YEAR ENDED DECEMBER 31, 2019
This section identifies the status of prior year findings related to the financial statements and state financial assistance that are required to be reported in accordance with Government Auditing Standards and New Jersey OMB's Circular 15-08.
## FINANCIAL STATEMENT FINDINGS
Finding No. 2018-001
Condition:
The Township was inconsistent with following internal control procedures in place for obtaining quotes and obtaining the approval of requisitions for purchase orders before the receipt of a good or service.
Current Status:
This finding has not been corrected. See Finding 2019-001
## STATE FINANCIAL ASSISTANCE
N/A – No State Single Audit in prior year.
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TOWNSHIP OF JACKSON
PART III
# LETTER OF COMMENTS AND RECOMMENDATIONS – REGULATORY BASIS FOR THE YEAR ENDED DECEMBER 31, 2019
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## OFFICIALS IN OFFICE AND SURETY BONDS
## The following officials were in office at December 31, 2019:
| Name | Title |
| Michael Reina | Mayor |
| Robert Nixon | Councilmember |
| Barry Calogero | Councilmember |
| Kenneth Bressi | Councilmember |
| Alex Sauickie III | Councilmember |
| Andrew Kern | Councilmember |
| Terence Wall | Administrator |
| Sharon Pinkava | Chief Financial Officer |
| Janice Kisty | Township Clerk/Search Officer |
| Daniel Sahin | Magistrate |
| Camille Elluzzi | Court Administrator |
| Cipriani & Werner | Attorney |
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Honorable Mayor and Members
of the Township Council
Township of Jackson
County of Ocean
Jackson, New Jersey
In accordance with requirements prescribed by the Division of Local Government Services, Department of Community Affairs, State of New Jersey, the following are the General Comments and Recommendations for the year ended December 31, 2019.
## GENERAL COMMENTS:
###### Contracts and Agreements required to be advertised by (N.J.S.A.40A:11-4)
N.J.S.A.40A:11-4 states every contract or agreement, for the performance of any work or furnishing or hiring of any materials or supplies, the cost or the contract price whereof is to be paid with or out of public funds not included within the terms of Section 3 of this act, shall be made or awarded only by the Governing Body of the contracting unit after public advertising for bids and bidding therefore, except as is provided otherwise in this act or specifically by any other Law. No work, materials or supplies shall be undertaken, acquired or furnished for a sum exceeding in the aggregate the bid threshold, except by contract or agreement.
The bid threshold in accordance with N.J.S.A. 40A:11-4 was $17,500 for the year ended December 31, 2019.
It is pointed out that the governing body of the municipality has the responsibility of determining whether the expenditures in any category will exceed the statutory minimum within the fiscal year. Where question arises as to whether any contract or agreement might result in violation of the statute, the solicitor's opinion should be sought before a commitment is made.
Inasmuch as the system of records did not provide for an accumulation of payments for categories for the performance of any work or the furnishing or hiring of any materials or supplies, the results of such an accumulation could not reasonably be ascertained. Disbursements were reviewed, however, to determine whether any clear-cut violations existed.
Our examination of expenditures did not reveal any individual payments or contracts in excess of the bid threshold “for the performance of any work, or the furnishing of any materials, supplies or labor” other than those where bids had been previously sought by public advertisement or where a resolution had been previously adopted under the provisions of N.J.S.A.40A:11-6.
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## Collection of Interest on Delinquent Taxes and Assessments
N.J.S.54:4-67, provides the method for authorizing interest and the maximum rates to be charged for the nonpayment of taxes or assessments on or before the date when they would become delinquent.
The governing body on January 2, 2019 adopted the following resolution authorizing interest to be charged on delinquent taxes:
NOW THEREFORE, BE IT RESOLVED, that if said taxes are deemed to be delinquent for non-payment of taxes, the Tax Collector shall charge eight (8%) percent per annum on the first $1,500.00 of the delinquency, and eighteen (18%) percent per annum on any amount in excess of $1,500.00; and
BE IT FURTHER RESOLVED, by the Township Council of the Township of Council, that the Tax Collector shall allow that no interest will be charged on payments received and made by the tenth calendar day following the date upon which the same became payable; and
BE IT FURTHER RESOLVED, by the Township Council of the Township of Jackson, that the Tax Collector shall charge, in addition to the interest for delinquent taxes, as noted above, a penalty of six (6%) percent of the amount of the delinquency in taxes in excess of $10,000.00 to a taxpayer who fails to pay the delinquency prior to the end of the calendar year.
It appears from an examination of the Collector's record that interest was collected in accordance with the foregoing resolution.
## OTHER COMMENTS (FINDINGS):
Finding 2019-01* (Finding 2019-001 in the Schedule of Financial Statement Findings section)
The Township was inconsistent with following internal control procedures in place for obtaining quotes and obtaining the approval of requisitions for purchase orders before the receipt of a good or service.
Finding 2019-02 (Finding 2019-002 in the Schedule of Financial Statement Findings section)
The Township did not properly calculate employee contributions for health benefits for all employees for the year ended December 31, 2019.
## RECOMMENDATIONS:
Finding 2019-01* (Finding 2019-001 in the Schedule of Financial Statement Findings section)
It is recommended that all requisitions for purchase orders are approved by the appropriate parties and all quotes are received at the time of requisitioning process and that no order is placed for goods or services until a Purchase Order is printed and approved.
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## RECOMMENDATIONS: (continued)
Finding 2019-02 (Finding 2019-002 in the Schedule of Financial Statement Findings section)
That the Township should implement controls to ensure employee withholding rates are properly recalculated as changes in coverage or compensation occur.
## Appreciation
We express our appreciation for the assistance and courtesy extended to the members of the audit team.
Respectfully submitted,
HOLMAN FRENIA ALLISON, P. C.
Kevin P. Frenia
Certified Public Accountant
Registered Municipal Accountant
RMA No. 435
Toms River, New Jersey
June 25, 2020 
