DocuSign Envelope ID: 770223B8-42F8-4748-AA3D-7A1792141FE5
EXPLANATORY STATEMENT - (Continued)
BUDGET MESSAGE
NEW JERSEY 2010 LOCAL UNIT LEVY CAP LAW
P.L. 2007, c. 62, was amended by P.L. 2008 c. 6 and P.L. 2010 c. 44 (S-29 R1).
The last amendment reduces the 4% to 2% and modifies some of the exceptions and
exclusions. It also removes the LFB waiver. The voter referendum now requires a vote in
excess of only 50% which is reduced from the original 60% in P.L. 2007, c. 62.
SUMMARY LEVY CAP CALCULATION
LEVY CAP CALCULATION
Prior Year Amount to be Raised by Taxation
13,055,960.78
Less:
Less: Prior Year Deferred Charges to Future Taxation Unfunded
Less: Prior Year Deferred Charges: Emergencies
Less: Prior Year Recycling Tax
Less:
Less:
Net Prior Year Tax Levy for Municipal Purpose Tax for CAP Calculation
13,055,960.78
Plus 2% CAP Increase
261,119.22
ADJUSTED TAX LEVY
13,317,080.00
Plus: Assumption of Service/Function
ADJUSTED TAX LEVY PRIOR TO EXCLUSIONS
13,317,080.00
ADJUSTED TAX LEVY PRIOR TO EXCLUSIONS
13,317,080.00
Exclusions:
Allowable Shared Service Agreements Increase
Allowable Health Insurance Costs Increase
Allowable Pension Obligations Increases
94,831.00
Allowable LOSAP Increase
Allowable Capital Improvements Increase
3,500,000.00
Allowable Debt Service and Capital Leases Inc.
576,046.00
Recycling Tax appropriation
Deferred Charge to Future Taxation Unfunded
524,220.00
Current Year Deferred Charges: Emergencies
Add Total Exclusions
4,695,097.00
Less Cancelled or Unexpended Waivers
Less Cancelled or Unexpended Exclusions
985.00
ADJUSTED TAX LEVY
18,011,192.00
Additions:
New Ratables - Increase for new construction
3,468,700
Prior Year's Local Purpose Tax Rate (per $100)
1.123
New Ratable Adjustment to Levy
38,953.50
Amounts approved by Referendum
Levy CAP Bank Applied
MAXIMUM ALLOWABLE AMOUNT TO BE RAISED BY TAXATION
18,050,145.50
AMOUNT TO BE RAISED BY TAXATION FOR MUNICIPAL PURPOSES
13,125,605.50
OVER OR (UNDER) 2% LEVY CAP
(must be equal or under for Introduction)
(4,924,540.00)