EXPLANATORY STATEMENT - (Continued)
TOWNSHIP OF JACKSONBUDGET MESSAGE
"CAP" Calculation for C/Y 2009 Budget Message
Total General Appropriations for 200841,498,474.00Allowable Operating Appropriations within CAP 34,814,732.39
CAP Base Adjustments:
PERS - 2009 Appropriations @ 100%604,218.002009 Proposed Appropriations - Within CAPs 32,710,382.66
PFRS - 2008 Appropriated / Paid & Charged1,583,645.00
Defined Contribution Benefit (DCRP)-08-CAP Correction(5,000.00)
Net CAP Base Adjustments2,182,863.00Net CAP Balance Before Banking Utilization2,104,349.73
SUBTOTAL-2008 Amended Appropriations for CAP Adjustments43,681,337.00Apply 2007 CAP Banking Available for 2009 Budget 1,845,163.66
Less Exceptions-Operations Excluded from CAPs:Apply 2008 CAP Banking Available for 2009 Budget 835,284.95
Gypsy Moth & Mosquito Control(27,950.48)
Police Dispatch/911-Salaries & Wages / Other Expenses(122,220.00)Net CAP Banking Available for 2009 Budget 4,784,798.34
PERS/PFRS & DCRP(2,020,840.20)
Recycling Tonnage Tax(12,000.00)
Interlocal Services-MUA Sewer & Water Services(85,000.00)MEMO - CAP BANK CALCULATION ANALYSIS:
Interlocal Services-Ocean County, Relocation Assistance(10,000.00)2009 Favorable CAP Variance for banking (see above) 4,784,798.34
LOSAP (Length of Service Award Program)(23,100.00)TOTAL CAP BANKING 4,784,798.34
Supplemental Fire Services Program(16,904.00)
Public & Private Programs Offset by Revenues(805,424.21)Chapter 89, Public Laws of 1990 places limits on Municipal spending authority.
Total Capital Improvements(200,000.00)Commonly referred as to the CAP LAW, a growth restriction is imposed based upon an annual inflation limit on most appropriations noting limited exclusions exist
Municipal Debt Service(4,041,775.00)(E.G.-Debt Service, Grants, Inter-Gov't Contracts, & Uncollectible Tax Reserve).
Deferred Charges(350,000.00)A set State index rate can be increased to a maximum of 3.5% at the discretion of the Governing Body by ordinance of each respective Municipality.
Reserve for Uncollected Taxes(2,620,000.00)
Total Exceptions(10,335,213.89)
Amount on Which CAP is Applied33,346,123.11A review of the enclosed calculation reflects last year CAP as a basis for the 2009 budget period. Taking last years total budget and removing the exceptions, a calculation of 2.5% is computed for the annual inflation adjustment. Consideration is given to Municipalities experiencing significant growth by permitting a adjustment for new construction placed on the tax rolls as shown to the left. An allowance is also permitted for unconsumed CAP adjustments by allowing a 2-year banking of CAP credits for good management.
Allowable CAP Rate2.50%Allowable CAP Index OrdinanceAllowable Operating Appropriations before Additions/Exceptions
Allowable Operating Appropriations1.00%Add-On Ratables for New Construction - Assessed Valuation X Tax RateAdd-On Ratables for New Construction - Assessed Valuation X Tax Rate
37,971,659.000.7940301,494.9734,513,237.42
Allowable Operating Appropriations within CAP34,814,732.39
Sheet 3b
NOTE:
MANDATORY MINIMUM BUDGET MESSAGE MUST INCLUDE A SUMMARY OF: 1. HOW THE LEVY AND APPROPRIATION "CAP" WAS CALCULATED. (Explain in words what the "CAPS" mean and show figures.) 2. A SUMMARY BY FUNCTION OF THE APPROPRIATIONS THAT ARE SPREAD AMONG MORE THAN ONE OFFICIAL LINE ITEM (e.g. if Police S&W appears in the regular section and also under "Operations Excluded from "CAPS" section, combine the figures for purposes of citizen understanding.)