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2024 Hightstown Borough Audit Report (PDF)
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Executive Summary
The Borough of Hightstown's 2024 audit report presents the financial statements for the year ended December 31, 2024. The report includes an independent auditor's assessment of the borough's various funds, including the Current Fund, Trust Fund, General Capital Fund, and Water-Sewer Utility Fund. Qualified and unmodified opinions were issued on the regulatory basis of accounting, with a qualified opinion on the General Fixed Asset Group of Accounts due to missing additions and deletions for the year.
Supplemental exhibits provide additional details on cash balances, receivables, and reserves within each fund. The audit also identifies findings and recommendations for improvements in internal controls and compliance. Bowman & Company LLP conducted the audit, issuing their report on November 10, 2025.
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--- Document: 2024 Hightstown Borough Audit Report (PDF) Document ---
BOROUGH OF HIGHTSTOWN
COUNTY OF MERCER
REPORT OF AUDIT
FOR THE YEAR 2024
i
13090
BOROUGH OF HIGHTSTOWN
TABLE OF CONTENTS
Exhibit No.
Page No.
PART 1
Independent Auditor's Report
2
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
6
CURRENT FUND
A
Statements of Assets, Liabilities, Reserves and Fund Balance--Regulatory Basis
8
A-1
Statements of Operations and Changes in Fund Balance--Regulatory Basis
10
A-2
Statement of Revenues--Regulatory Basis
11
A-3
Statement of Expenditures--Regulatory Basis
13
TRUST FUND
B
Statements of Assets, Liabilities and Reserves--Regulatory Basis
19
GENERAL CAPITAL FUND
C
Statements of Assets, Liabilities, Reserves and Fund Balance--Regulatory Basis 21
C-1
Statement of Fund Balance--Regulatory Basis
22
WATER-SEWER UTILITY FUND
D
Statements of Assets, Liabilities, Reserves and Fund Balance--
Regulatory Basis
23
D-1
Water-Sewer Utility Operating Fund--Statements of Operations and Changes in
Operating Fund Balance--Regulatory Basis
25
D-2
Water-Sewer Utility Operating Fund--Statement of Revenues--
Regulatory Basis
26
D-3
Water-Sewer Utility Operating Fund--Statement of Expenditures--
Regulatory Basis
27
D-4
Water-Sewer Utility Capital Fund--Statement of Changes in Fund Balance--
Regulatory Basis
28
GENERAL FIXED ASSETS ACCOUNT GROUP
E
Statement of General Fixed Asset Group of Accounts--Regulatory Basis
29
Notes to Financial Statements
30
ii
13090
BOROUGH OF HIGHTSTOWN
TABLE OF CONTENTS (CONT'D)
Exhibit No.
Page No.
SUPPLEMENTAL EXHIBITS
CURRENT FUND
SA-1
Statement of Current Cash--Chief Financial Officer
71
SA-2
Statement of Due to State of New Jersey
72
SA-3
Statement of Taxes Receivable and Analysis of Property Tax Levy
73
SA-4
Statement of Tax Title Liens Receivable
74
SA-5
Statement of Accounts Payable
74
SA-6
Statement of Revenue Account Receivable
75
SA-7
Statement of 2023 Appropriation Reserves
76
SA-8
Statement Prepaid Taxes
79
SA-9
Statement of Tax Overpayments
79
SA-10
Statement of Prepaid County Taxes
80
SA-11
Statement of Due County for Added and Omitted Taxes
81
SA-12
Statement of Prepaid Regional School Taxes
82
SA-13
Statement of Due to State of New Jersey--DCA Training Fees
83
SA-14
Statement of Due to State of New Jersey Marriage License Fees
83
SA-15
Statement of Due from Regular Fund
84
SA-16
Statement of Reserve for Grants Receivable
85
SA-17
Statement of Reserve for Grants Unappropriated
86
SA-18
Statement of Reserve for Grants Appropriated
87
TRUST FUND
SB-1
Statement of Trust Cash--Chief Financial Officer
89
SB-2
Animal Control Trust Fund--Statement of Reserve for Animal Control
Fund Expenditures
90
SB-3
Animal Control Trust Fund--Statement of Due from Regular Fund
91
SB-4
Animal Control Trust Fund--Statement of Due to State of New Jersey
91
SB-5
Trust Fund--Other--Statement of Due from/to Regular Fund
92
SB-6
Trust Fund--Other--Statement of Trust Other Reserves
93
SB-7
Trust Fund--Other--Statement of Investments--Length of Service Award Program
94
iii
13090
BOROUGH OF HIGHTSTOWN
TABLE OF CONTENTS (CONT'D)
Exhibit No.
Page No.
GENERAL CAPITAL FUND
SC-1
Statement of General Capital Cash--Chief Financial Officer
96
SC-2
Analysis of General Capital Cash
97
SC-3
Statement of Deferred Charges to Future Taxation--Funded
99
SC-4
Statement of Deferred Charges to Future Taxation--Unfunded
100
SC-5
Statement of Grants Receivable
101
SC-6
Statement of Due from Regular Fund
102
SC-7
Statement of Capital Improvement Fund
102
SC-8
Statement of Improvement Authorizations
103
SC-9
Statement of Bond Anticipation Notes
104
SC-10
Statement of General Serial Bonds
105
SC-11
Statement of Green Acres Loan Payable
106
SC-12
Statement of Bonds and Notes Authorized But Not Issued
107
WATER-SEWER UTILITY FUND
SD-1
Statement of Water-Sewer Utility Cash--Chief Financial Officer
109
SD-2
Water-Sewer Utility Capital Fund--Analysis of Water-Sewer Utility Capital Cash
110
SD-3
Water-Sewer Utility Operating Fund--Statement of Consumer Accounts
Receivable
111
SD-4
Water Utility Capital Fund--Statement of Due to Regular Fund
112
SD-5
Water Utility Capital Fund--Statement of Fixed Capital
113
SD-6
Water-Sewer Utility Capital Fund--Statement of Fixed Capital Authorized and
Uncompleted
114
SD-7
Water-Sewer Utility Operating Fund--Statement of Prepaid Water-Sewer Rents
115
SD-8
Water-Sewer Utility Operating Fund--Statement of Water-Sewer Rent
Overpayments
115
SD-9
Water-Sewer Utility Operating Fund--Statement of Accrued Interest on
Bonds and Notes
116
SD-10
Water-Sewer Utility Operating Fund--Statement of 2023 Appropriation Reserves 117
SD-11
Water-Sewer Utility Capital Fund--Statement of Due to Water Utility
Operating Fund
117
SD-12
Water-Sewer Utility Operating Fund--Statement of Due to Regular Fund
117
SD-13
Water Utility Capital Fund--Statement of Capital Improvement Fund
118
SD-14
Water-Sewer Utility Capital Fund--Statement of Improvement Authorizations
119
SD-15
Water-Sewer Utility Capital Fund--Statement of Reserve for Amortization
120
SD-16
Water-Sewer Utility Capital Fund--Statement of Deferred Reserve for
Amortization
120
SD-17
Water-Sewer Utility Capital Fund--Statement of Bond Anticipation Notes
121
SD-18
Water-Sewer Utility Capital Fund--Statement of Serial Bonds
122
SD-19
Water-Sewer Utility Capital Fund--Schedule of Loans Payable
123
SD-20
Water-Sewer Utility Capital Fund--Statement of Bonds and Notes
Authorized But Not Issued
125
PART 2
Schedule of Findings and Recommendations
127
Summary Schedule of Prior Year Audit Findings and Recommendations
as Prepared by Management
131
Officials in Office and Surety Bonds
132
APPRECIATION
133
BOROUGH OF HIGHTSTOWN
PART 1
REPORT OF AUDIT OF FINANCIAL STATEMENTS
FOR THE YEAR 2024
INDEPENDENT AUDITOR'S REPORT
The Honorable Mayor and
Members of the Borough Council
Borough of Hightstown
Hightstown, New Jersey 08520
Report on the Audit of the Financial Statements
Opinions
We have audited the accompanying statements of assets, liabilities, reserves and fund balance - regulatory basis
of the various funds of the Borough of Hightstown, in the County of Mercer, State of New Jersey, as of December
31, 2024, and the related statements of operations and changes in fund balance - regulatory basis for the year then
ended, and the related statement of revenues - regulatory basis, statement of expenditures - regulatory basis, and
statement of general fixed asset group of accounts - regulatory basis for the year ended December 31, 2024, and
the related notes to the financial statements, which collectively comprise the Borough’s basic financial statements
as listed in the table of contents.
Qualified and Unmodified Opinions on Regulatory Basis of Accounting
Qualified Opinion on General Fixed Asset Group of Accounts
In our opinion, as a result of the effects of the matter described in the Basis for Qualified and Unmodified Opinions
on Regulatory Basis of Accounting paragraph, the general fixed asset group of accounts - regulatory basis is not
presented fairly, in all material respects, of the Borough of Hightstown, in the County of Mercer, State of New Jersey,
for the year ended December 31, 2024, 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.
Unmodified Opinions on Current Fund, Animal Control Fund, Trust - Other Fund, Length of Service Award Program
Fund, General Capital Fund, Water-Sewer Utility Operating Fund, and Water-Sewer Utility Capital Fund
In our opinion, the accompanying 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 Borough of Hightstown,
in the County of Mercer, State of New Jersey, as of December 31, 2024, and the results of its operations
and changes in fund balance - regulatory basis of such funds for the year then ended, and the revenues -
regulatory basis, and expenditures - regulatory basis of the various funds, for the year ended December 31, 2024,
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.
Basis for Qualified and Unmodified Opinions on Regulatory Basis of Accounting
Matter Giving Rise to the Qualified Opinion on the General Fixed Asset Group of Accounts
The general fixed asset group of accounts - regulatory basis, does not include additions and deletions for the year
ended December 31, 2024, as required by N.J.A.C. 5:30-5.6. The amounts by which this departure would affect
the additions, deletions, and balance as of December 31, 2024, of the general fixed asset group of accounts have
not been determined.
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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 Accounting
Principles Generally Accepted in the United States of America section of our report, the accompanying financial
statements referred to above do not present fairly the financial position of the Borough of Hightstown, in the County
of Mercer, State of New Jersey, as of December 31, 2024, or the results of its operations and changes in fund
balance for the year then ended in accordance with accounting principles generally accepted in the United States
of America.
Basis for Adverse Opinion on Accounting Principles Generally Accepted in the United States of America
As described in note 1 to the financial statements, the financial statements are prepared by the Borough on the
basis of the financial reporting provisions 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 and pervasive.
Emphasis of Matter
Change in Accounting Principle
As discussed in note 1 to the financial statements, during the year ended December 31, 2024, the Borough adopted
new accounting guidance, Governmental Accounting Standards Board (GASB) Statement No. 101, Compensated
Absences. The adoption of this new accounting principle resulted in an updated measurement of compensated
absences in accordance with the Statement (note 12). As a result of the regulatory basis of accounting, described
in the previous paragraph, the implementation of this Statement only impacted financial statement disclosures. Our
opinions are not modified with respect to this matter.
Prior Period Financial Statements
The financial statements of the Borough of Hightstown, in the County of Mercer, State of New Jersey, as of and for
the year ended December 31, 2023, were audited by other auditors whose report dated April 29, 2025, expressed
an adverse opinion under accounting principles generally accepted in the United States of America, a disclaimer of
opinion on the Length of Service Award Program Fund and an unmodified opinion under the regulatory basis of
accounting.
Responsibilities of Management for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance
with the financial reporting provisions of 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.
In preparing the financial statements, management is required to evaluate whether there are conditions or events,
considered in the aggregate, that raise substantial doubt about the Borough’s ability to continue as a going concern
for twelve months beyond the financial statement date, including any currently known information that may raise
substantial doubt shortly thereafter.
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13090
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from
material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinions.
Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee
that an audit conducted in accordance with auditing standards generally accepted in the United States of America
and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not
detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may
involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they
would influence the judgment made by a reasonable user based on the financial statements.
In performing an audit in accordance with auditing standards generally accepted in the United States of America
and Government Auditing Standards, we:
•
Exercise professional judgment and maintain professional skepticism throughout the audit.
•
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or
error, and design and perform audit procedures responsive to those risks. Such procedures include
examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
•
Obtain an understanding of internal control relevant to the audit 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 Borough’s internal control. Accordingly, no such opinion is expressed.
•
Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting
estimates made by management, as well as evaluate the overall presentation of the financial statements.
•
Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise
substantial doubt about the Borough’s ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned
scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified
during the audit.
Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise
the Borough’s basic financial statements. The accompanying supplemental statements and schedules presented
for the various funds, as listed in the table of contents, 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 are not
a required part of the basic financial statements.
Such information is the responsibility of management and was derived from and relates directly to the underlying
accounting and other records used to prepare the basic financial statements. The information has been subjected
to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures,
including comparing and reconciling such information directly to the underlying accounting and other records used
to prepare the basic financial statements or to the basic financial statements themselves, and other additional
procedures in accordance with auditing standards generally accepted in the United States of America. In our
opinion, the accompanying supplemental statements and schedules, are fairly stated, in all material respects, in
relation to the basic financial statements as a whole.
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13090
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated November 10, 2025 on
our consideration of the Borough of Hightstown’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 solely 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 effectiveness of the Borough of
Hightstown’s 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 Borough of Hightstown’s internal
control over financial reporting and compliance.
Respectfully submitted,
BOWMAN & COMPANY LLP
Certified Public Accountants
& Consultants
Daniel M. DiGangi
Certified Public Accountant
Registered Municipal Accountant
Voorhees, New Jersey
November 10, 2025
-5-
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
INDEPENDENT AUDITOR’S REPORT
The Honorable Mayor and
Members of the Borough Council
Borough of Hightstown
Hightstown, New Jersey 08520
We have audited, in accordance with the auditing standards generally accepted in the United States of America,
the standards applicable to financial statement 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 prepared on a regulatory
basis of accounting prescribed by the Division of Local Government Services, Department of Community Affairs,
State of New Jersey, of the Borough of Hightstown, in the County of Mercer, State of New Jersey, as of and for the
year ended December 31, 2024, and the related notes to the financial statements, which collectively comprise the
Borough’s basic financial statements, and have issued our report thereon dated November 10, 2025. That report
indicated that the Borough of Hightstown's financial statements were not prepared in accordance with accounting
principles generally accepted in the United States of America, but were prepared on a regulatory basis of accounting
prescribed by the Division of Local Government Services, Department of Community Affairs, State of New Jersey.
Our report on the financial statements included an emphasis of matter paragraph describing the adoption of a new
accounting principle.
Report on Internal Control over Financial Reporting
In planning and performing our audit of the financial statements, we considered the Borough’s internal control over
financial reporting (internal control) as a basis for designing 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 Borough’s internal control. Accordingly, we do not express an
opinion on the effectiveness of the Borough’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 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.
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. We consider the deficiencies described in the
accompanying Schedule of Findings and Recommendations as Findings Numbers 2024-001, 2024-003 and 2024-
004 to be material weaknesses.
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13090
Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether the Borough’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 financial statements.
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 Findings and Recommendations as Findings Numbers
2024-001, 2024-002, 2024-003 and 2024-004.
The Borough of Hightstown's Response to Findings
Government Auditing Standards requires the auditor to perform limited procedures on the Borough of Hightstown’s
response to the findings identified in our audit and described in the accompanying Schedule of Findings and
Recommendations. The Borough of Hightstown’s response was not subjected to the other auditing procedures
applied in the audit of the financial statements and, accordingly, we express no opinion on the response.
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 entity’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 entity’s internal control and compliance. Accordingly, this
communication is not suitable for any other purpose.
Respectfully submitted,
BOWMAN & COMPANY LLP
Certified Public Accountants
& Consultants
Daniel M. DiGangi
Certified Public Accountant
Registered Municipal Accountant
Voorhees, New Jersey
November 10, 2025
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13090
Exhibit A
REGULAR FUND
Statements of Assets, Liabilities, Reserves and Fund Balance -- Regulatory Basis
ASSETS
Ref.
2024
2023
Regular Fund:
Cash
SA-1
5,225,189.88
$
5,206,247.21
$
Change Funds
SA-1
305.00
205.00
5,225,494.88
5,206,452.21
Receivables with Full Reserves:
Delinquent Property Taxes Receivable
SA-3
200,996.97
291,875.06
Tax Title Liens Receivable
SA-4
264,550.68
257,921.53
Prepaid County Tax
SA-10
45.03
45.02
Prepaid Regional School District Taxes
SA-12
41,771.00
2,899.00
Revenue Accounts Receivable
SA-6
9,588.88
13,693.21
Due from:
Trust Other Fund
SB-5
57,589.64
Water-Sewer Utility Operating Fund
SD-12
655,691.91
421,889.92
Water-Sewer Utility Capital Fund
SD-4
518,451.18
153,946.87
1,748,685.29
1,142,270.61
Total Regular Fund
6,974,180.17
6,348,722.82
Grant Fund:
Cash
SA-1
38,439.14
9,436.47
Grants Receivable
SA-16
140,760.00
154,760.00
Due from:
Regular Fund
SA-15
105,586.48
117,746.77
Water-Sewer Utility Capital Fund
D
4,755.80
4,755.80
Trust Other Fund
B
27,842.58
27,842.58
Total Grant Fund
317,384.00
314,541.62
7,291,564.17
$
6,663,264.44
$
(Continued)
BOROUGH OF HIGHTSTOWN
As of December 31, 2024 and 2023
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13090
Exhibit A
REGULAR FUND
Statements of Assets, Liabilities, Reserves and Fund Balance -- Regulatory Basis
BOROUGH OF HIGHTSTOWN
As of December 31, 2024 and 2023
LIABILITIES, RESERVES
AND FUND BALANCE
Ref.
2024
2023
Regular Fund:
Appropriation Reserves
A-3;SA-7
855,981.54
$
626,951.29
$
Reserve for Encumbrances
A-3;SA-7
218,438.13
187,953.41
Accounts Payable
SA-5
111,805.74
64,708.24
Due to State of New Jersey:
Senior Citizens & Veteran Deductions
SA-2
1,112.33
682.88
DCA State Training Fees
SA-13
1,139.00
2,127.00
Marriage Licence Fees
SA-14
325.00
600.00
Lead Paint Fees
SA-1
4,800.00
EDRS Overpayment
A
109.00
109.00
Prepaid Taxes
SA-8
90,276.84
91,515.27
Tax Overpayments
SA-9
6,401.08
9,594.31
Due County for Added and Omitted Taxes
SA-11
3,419.89
Due to:
Grant Fund
SA-15
105,586.48
117,746.77
Animal Control Fund
SB-3
252.27
659.32
Trust Other Fund
SB-5
251,736.02
General Capital Fund
SC-6
1,974,770.28
2,487,366.54
Reserve for Fire Safety and Code Enforcement Fees
A
40,117.00
40,117.00
Reserve for Sale of Assets
SA-1
427,256.00
3,841,790.58
3,881,867.05
Reserves for Receivables and Other Assets
A
1,748,685.29
1,142,270.61
Fund Balance
A-1
1,383,704.30
1,324,585.16
Total Regular Fund
6,974,180.17
6,348,722.82
Grant Fund:
Reserve for:
Unappropriated Grants
SA-17
22,120.88
10,909.00
Appropriated Grants
SA-18
291,923.12
299,120.97
Reserve for Encumbrances
SA-18
3,340.00
4,511.65
Total Grant Fund
317,384.00
314,541.62
7,291,564.17
$
6,663,264.44
$
The accompanying Notes to Financial Statements are an integral part of these statements.
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13090
Exhibit A-1
REGULAR FUND
Statements of Operations and Changes in Fund Balance--Regulatory Basis
Revenue and Other Income Realized
2024
2023
Fund Balance Utilized
1,030,874.00
$
898,000.00
$
Miscellaneous Revenues Anticipated
2,068,718.34
1,737,785.86
Receipts from Current Taxes
19,137,066.75
18,903,259.58
Receipts from Delinquent Taxes
292,345.61
228,230.69
Non-Budget Revenue
164,047.99
35,923.64
Other Credits to Income:
Unexpended Balance of Appropriation Reserves
496,422.11
588,609.53
Interfunds Liquidated
231.68
Cancellation of Accounts Payable
132,718.53
Cancellation of Tax Overpayments
6,208.04
Cancellation of Trust Other Fund Tax Title Lien Premiums
98,377.25
Cancellation of Trust Other Fund Tax Title Lien Redemptions
12,650.30
Other
7,602.11
Total Income
23,314,312.50
22,524,759.51
Expenditures
Budget and Emergency Appropriations:
Operations--Within "CAPS":
Salaries and Wages
3,242,435.50
3,052,965.00
Other Expenses
3,040,374.00
2,877,789.00
Deferred Charges and Statutory Expenditures--Within "CAPS"
903,509.00
810,506.00
Operations--Excluded from "CAPS":
Salaries and Wages
39,176.00
Other Expenses
502,985.34
659,768.42
Capital Improvements--Excluded from "CAPS"
103,000.00
30,000.00
Municipal Debt Service--Excluded from "CAPS"
800,136.58
778,589.19
Transfer to Board of Education for Use of Local Schools
38,872.00
39,996.00
County Taxes
3,640,711.55
3,316,487.06
Due County for Added and Omitted Taxes
3,419.89
Regional School Tax
9,253,387.00
9,637,902.00
Creation of Reserve:
Interfunds Advanced
655,895.94
400,497.71
Prepaid County Taxes
0.01
45.02
Prepaid Regional School Taxes
38,872.00
Other Debits to Expenditures:
Cancellation of Grants
1,959.83
Refund of Prior Year Revenue
150.00
38,175.67
Increase in Tax Office Change Fund
100.00
Prior Years Senior and Veterans' Deductions Disallowed
470.55
720.55
Total Expenditures
22,224,319.36
21,684,577.45
Statutory Excess to Fund Balance
1,089,993.14
840,182.06
Fund Balance
Balance Jan. 1
1,324,585.16
1,382,403.10
2,414,578.30
2,222,585.16
Decreased by:
Utilized as Revenue
1,030,874.00
898,000.00
Balance Dec. 31
1,383,704.30
$
1,324,585.16
$
The accompanying Notes to Financial Statements are an integral part of these statements.
BOROUGH OF HIGHTSTOWN
For the Years Ended December 31, 2024 and 2023
-10-
13090
Exhibit A-2
BOROUGH OF HIGHTSTOWN
REGULAR FUND
Statement of Revenues--Regulatory Basis
Anticipated
Special N.J.S.A.
Excess or
Budget
40A:4-87
Realized
(Deficit)
Fund Balance Anticipated
1,030,874.00
$
-
1,030,874.00
$
-
Miscellaneous Revenues:
Local Revenues:
Licenses -- Alcoholic Beverages
7,500.00
7,500.00
Licenses -- Other
20,000.00
16,030.00
(3,970.00)
$
Fees and Permits -- Other
19,600.00
15,678.00
(3,922.00)
Fines and Costs -- Municipal Court
225,000.00
162,842.12
(62,157.88)
Interest and Costs on Taxes
46,000.50
75,401.53
29,401.03
Interest on Investments and Deposits
95,000.00
213,565.92
118,565.92
Lease of Borough Owned Cell Tower
75,000.00
80,093.72
5,093.72
State Aid Without Offsetting Appropriations:
Energy Receipts Taxes
509,555.00
509,554.82
(0.18)
Dedicated Uniform Construction Code Fees Offset with
Appropriations (N.J.S.A. 40A:4-36 and N.J.A.C. 5:23-4.17):
Uniform Construction Code Fees
130,000.00
253,171.00
123,171.00
Shared Service Agreements Offset with Appropriations:
Roosevelt Borough Trash Collection
73,814.00
76,184.10
2,370.10
Roosevelt Borough Trash Collection - Landfill Costs
30,000.00
29,203.99
(796.01)
Public and Private Revenue Off-Set with Appropriations:
Clean Communities Grant
12,950.66
12,950.66
Municipal Court Alcohol Education and Rehabilitation Fund
2,451.68
2,451.68
Recycling Tonnage Grant
6,278.17
6,278.17
Body Armor Replacement Fund
1,395.83
1,395.83
Mercer County NJSCA Local Arts Program
8,000.00
8,000.00
Other Special Items:
Uniform Fire Safety Act
10,000.00
12,014.46
2,014.46
CATV Franchise Fee
26,119.00
26,119.39
0.39
Verizon Franchise Fee
27,583.00
27,583.89
0.89
Hightstown Housing Authority - Payment in Lieu of Taxes
33,000.00
30,775.06
(2,224.94)
The Peddie School - Gift
24,000.00
24,000.00
Sale of Assets N.J.S.A. 40A:4-45.3 (dd)
361,157.00
361,157.00
Sale of Assets
116,767.00
116,767.00
.
1,861,171.84
-
2,068,718.34
207,546.50
Receipts from Delinquent Taxes
180,000.00
-
292,345.61
112,345.61
Amount to be Raised by Taxes for Support of Municipal Budget:
Local Tax for Municipal Purposes Including
Reserve for Uncollected Taxes
6,439,191.00
-
6,744,548.31
305,357.31
Budget Totals
9,511,236.84
-
10,136,486.26
625,249.42
Non-Budget Revenue
-
-
164,047.99
164,047.99
9,511,236.84
$
-
10,300,534.25
$
789,297.41
$
(Continued)
For the Year Ended December 31, 2024
-11-
13090
Exhibit A-2
Statement of Revenues--Regulatory Basis
Analysis of Realized Revenues
Allocation of Current Tax Collections:
Revenue from Collections
19,137,066.75
$
Allocated to:
County and Regional School Taxes
12,897,518.44
Amount for Support of Municipal Budget Appropriations
6,239,548.31
Add: Appropriation "Reserve for Uncollected Taxes"
505,000.00
Amount for Support of Municipal Budget Appropriations
6,744,548.31
$
Revenue from Delinquent Taxes:
Delinquent Tax Collections
292,345.61
$
Miscellaneous Revenue not Anticipated:
Tax Map/Ord Copies
193.84
$
Refunds and Reimbursements
24,586.19
Miscellaneous Other
45,456.51
Special Duty Administrative Fees
50,000.00
Notary Fees
130.95
Duplicate Tax Bills
1,395.00
Owners List
90.00
Miscellaneous Tax Collector
20.00
Tax Collector Unidentified Funds
1,357.45
Senior Citizen and Veterans Administration Fee
315.00
Accident Reports
914.00
Firearm Permits
3,125.00
Fire Code Other
7,521.00
Miscellaneous Construction Official
2,070.00
Americana Lease of Borough Property
12,750.55
Prior Year Excess Summer Recreation Receipts
14,122.50
164,047.99
$
Cash Receipts
149,725.49
$
Due from Animal Control Fund
200.00
Due from Trust Fund Other
14,122.50
164,047.99
$
The accompanying Notes to Financial Statements are an integral part of this statement.
BOROUGH OF HIGHTSTOWN
REGULAR FUND
For the Year Ended December 31, 2024
-12-
13090
Exhibit A-3
Appropriations
Unexpended
Budget After
Paid or
Balance
Budget
Modification
Charged
Encumbered
Reserved
Canceled
OPERATIONS--WITHIN "CAPS"
GENERAL GOVERNMENT FUNCTIONS
Municipal Clerk
Salaries and Wages
95,876.00
$
95,876.00
$
89,731.57
$
6,144.43
$
Other Expenses
17,175.00
17,175.00
11,265.02
5,909.98
General Administration
Salaries and Wages
146,913.50
196,913.50
136,894.94
60,018.56
Other Expenses
1,195.00
2,195.00
2,007.76
187.24
Mayor and Council
Salaries and Wages
33,400.00
33,400.00
33,399.72
0.28
Other Expenses
3,255.00
4,255.00
3,335.67
919.33
Elections
Other Expenses
5,500.00
5,500.00
3,882.56
1,617.44
Office Supplies & Paper Products
Other Expenses
15,500.00
15,500.00
9,616.92
254.00
$
5,629.08
Financial Administration
Salaries and Wages
173,753.00
173,753.00
152,805.61
20,947.39
Other Expenses
42,000.00
42,000.00
12,554.46
28,762.00
683.54
Annual Audit
Other Expenses
17,000.00
17,000.00
17,000.00
Grant Writing & Administration
Other Expenses
4,000.00
4,000.00
4,000.00
Central Computer(Data Processing/Info Tech)
Salaries and Wages
5,465.00
5,465.00
5,463.64
1.36
Other Expenses
110,000.00
102,800.00
78,050.99
24,749.01
Assessment of Taxes
Salaries and Wages
21,114.00
21,114.00
21,089.91
24.09
Other Expenses
7,170.00
7,170.00
3,894.60
1.44
3,273.96
Collection of Taxes
Salaries and Wages
101,872.00
56,872.00
54,175.18
2,696.82
Other Expenses
7,800.00
7,800.00
6,093.51
1,075.00
631.49
Interest on Tax Appeals
Other Expenses
100.00
100.00
100.00
Legal Services and Costs
Other Expenses
145,000.00
145,000.00
75,373.92
708.75
68,917.33
Engineering Services and Costs
Other Expenses
53,600.00
53,600.00
41,282.04
910.49
11,407.47
Historical Commision
Other Expenses
3,800.00
3,800.00
675.00
3,125.00
Planning Board
Salaries and Wages
30,065.00
37,065.00
35,353.54
1,711.46
Other Expenses
92,325.00
87,325.00
39,121.91
2,259.50
45,943.59
(Continued)
For the Year Ended December 31, 2024
Statement of Expenditures--Regulatory Basis
REGULAR FUND
BOROUGH OF HIGHTSTOWN
Expended
-13-
13090
Exhibit A-3
Appropriations
Unexpended
Budget After
Paid or
Balance
Budget
Modification
Charged
Encumbered
Reserved
Canceled
For the Year Ended December 31, 2024
Statement of Expenditures--Regulatory Basis
REGULAR FUND
BOROUGH OF HIGHTSTOWN
Expended
OPERATIONS--WITHIN "CAPS" (CONT'D)
GENERAL GOVERNMENT FUNCTIONS (CONT'D)
Insurance:
General Liability
57,000.00
$
62,000.00
$
61,227.28
$
772.72
$
Unemployment Insurance
5,000.00
5,000.00
5,000.00
Insurance Deductibles
3,000.00
3,000.00
3,000.00
Employee Group Health
490,000.00
490,000.00
489,670.16
329.84
Workers Compensation
109,000.00
109,000.00
108,897.72
102.28
Health Benefit Waiver
25,000.00
25,000.00
25,000.00
PUBLIC SAFETY FUNCTIONS
Police
Salaries and Wages
1,741,294.00
1,741,294.00
1,734,871.37
6,422.63
Other Expenses
266,894.00
254,894.00
133,871.61
35,365.31
$
85,657.08
Office of Emergency Management
Salaries and Wages
15,000.00
15,000.00
13,333.32
1,666.68
Other Expenses
4,000.00
4,000.00
325.00
3,675.00
Fire Department
Other Expenses
131,600.00
131,600.00
64,900.28
54,073.69
12,626.03
Uniform Fire Safety Act (P.L. 1983, Ch. 383):
Salaries and Wages
14,000.00
15,500.00
15,320.55
179.45
Other Expenses
13,750.00
13,750.00
10,887.71
2,143.00
719.29
First Aid Organization
Other Expenses
31,300.00
31,300.00
31,300.00
Municipal Court
Salaries and Wages
35,484.00
35,484.00
35,444.27
39.73
Other Expenses
196,700.00
196,700.00
165,725.41
30,974.59
SANITATION
Road Repairs and Maintenance
Salaries and Wages
229,000.00
229,000.00
169,442.69
59,557.31
Other Expenses
88,000.00
77,000.00
30,898.28
3,909.32
42,192.40
Snow Removal
Salaries and Wages
4,000.00
4,000.00
4,000.00
Other Expenses
7,000.00
7,000.00
7,000.00
Public Buildings and Grounds
Salaries and Wages
45,300.00
45,300.00
44,260.94
1,039.06
Other Expenses
181,671.00
191,671.00
184,497.23
898.65
6,275.12
Recycling
Salaries and Wages
102,500.00
102,500.00
102,189.13
310.87
Other Expenses
182,300.00
182,300.00
156,078.83
14,188.83
12,032.34
Sanitation/Solid Waste Collection:
Salaries and Wages
68,000.00
68,000.00
67,198.70
801.30
Other Expenses
68,800.00
68,800.00
57,930.31
3,246.29
7,623.40
(Continued)
-14-
13090
Exhibit A-3
Appropriations
Unexpended
Budget After
Paid or
Balance
Budget
Modification
Charged
Encumbered
Reserved
Canceled
For the Year Ended December 31, 2024
Statement of Expenditures--Regulatory Basis
REGULAR FUND
BOROUGH OF HIGHTSTOWN
Expended
OPERATIONS--WITHIN "CAPS" (CONT'D)
SANITATION (CONT'D)
Community/Condominium Services Act:
Other Expenses
48,000.00
$
48,000.00
$
48,000.00
$
Vehicle Maintenance
Other Expenses
24,000.00
24,000.00
17,610.69
$
2,415.12
3,974.19
$
HEALTH AND WELFARE
Board of Health
Salaries and Wages
73,556.00
73,556.00
72,634.47
921.53
Other Expenses
13,959.00
13,959.00
1,657.33
612.56
11,689.11
Environmental Commission (N.J.S.A. 40:56A-1)
Other Expenses
5,770.00
5770
2407.66
1944.8
1,417.54
PARKS AND RECREATION
Maintenance of Parks
Salaries and Wages
38,500.00
38,500.00
37,585.58
914.42
Other Expenses
7,500.00
7,500.00
3,145.78
4,354.22
Recreation & Open Space (Parks Commission)
Salaries and Wages
10,000.00
10,000.00
10,000.00
Other Expenses
8,000.00
8,700.00
7,667.05
1,032.95
Cultural Arts Commission
Other Expenses
4,000.00
4,000.00
1,185.92
59.75
2,754.33
State Uniform Construction Code Appropriations Offset by
Dedicated Revenues (N.J.A.C. 5:23-4.17)
Construction Official
Salaries and Wages
181,767.00
181,767.00
158,181.54
23,585.46
Other Expenses
14,610.00
14,610.00
9,575.28
245.00
4,789.72
Housing Inspector
Salaries and Wages
62,074.00
62,074.00
61,996.71
77.29
Other Expenses
4,100.00
4,100.00
2,778.87
61.60
1,259.53
Unclassified
Accumulated Sick & Vacation
Other Expenses
70,000.00
70,000.00
70,000.00
Celebration of Public Events
Other Expenses
3,500.00
3,500.00
436.29
3,063.71
Postage and Shipping Charges
Other Expenses
10,300.00
10,300.00
9,737.41
562.59
(Continued)
-15-
13090
Exhibit A-3
Appropriations
Unexpended
Budget After
Paid or
Balance
Budget
Modification
Charged
Encumbered
Reserved
Canceled
For the Year Ended December 31, 2024
Statement of Expenditures--Regulatory Basis
REGULAR FUND
BOROUGH OF HIGHTSTOWN
Expended
OPERATIONS--WITHIN "CAPS" (CONT'D)
Unclassified (Cont'd)
Utilities:
Gasoline
81,700.00
$
81,700.00
$
41,915.10
$
13,342.97
$
26,441.93
$
Natural Gas
18,000.00
18,000.00
7,597.66
1,151.28
9,251.06
Telephone and Telegraph
44,000.00
44,000.00
34,622.19
558.78
8,819.03
Street Lighting
32,000.00
32,000.00
30,022.93
1,977.07
Electricity
42,000.00
42,000.00
21,893.34
20,106.66
Landfill Disposal Costs
Other Expenses
240,000.00
240,000.00
196,472.76
43,527.24
Total Operations -- Within "CAPS"
6,286,807.50
6,282,807.50
5,293,463.82
216,188.13
773,155.55
-
Detail:
Salaries and Wages
3,228,933.50
3,242,433.50
3,051,373.38
191,060.12
Other Expenses
3,057,874.00
3,040,374.00
2,242,090.44
216,188.13
582,095.43
DEFERRED CHARGES AND STATUTORY EXPENDITURES
MUNICIPAL--WITHIN "CAPS"
Statutory Expenditures:
Defined Contribution Retirement Program (DCRP)
5,000.00
5,000.00
5,000.00
Social Security System (O.A.S.I.)
142,000.00
146,000.00
144,022.22
1,977.78
Public Employees Retirement System
220,351.00
220,351.00
214,301.00
6,050.00
Police and Firemen's Retirement System
532,158.00
532,158.00
532,158.00
Total Statutory Expenditures
899,509.00
903,509.00
895,481.22
-
8,027.78
-
Total Deferred Charges and Statutory
Expenditures -- Within "CAPS"
899,509.00
903,509.00
895,481.22
-
8,027.78
-
Total General Appropriations for Municipal
Purposes -- Within "CAPS"
7,186,316.50
7,186,316.50
6,188,945.04
216,188.13
781,183.33
-
(Continued)
-16-
13090
Exhibit A-3
Appropriations
Unexpended
Budget After
Paid or
Balance
Budget
Modification
Charged
Encumbered
Reserved
Canceled
For the Year Ended December 31, 2024
Statement of Expenditures--Regulatory Basis
REGULAR FUND
BOROUGH OF HIGHTSTOWN
Expended
OPERATIONS EXCLUDED FROM "CAPS"
Length of Service Award Program (LOSAP)
Other Expenses
30,000.00
$
30,000.00
$
18,000.00
$
2,250.00
$
9,750.00
$
Recycling Tax (P.L, 2007, C.311)
6,500.00
6,500.00
4,905.48
1,594.52
Anticipated Deficit in Water-Sewer Utility
Other Expenses
361,157.00
361,157.00
361,157.00
$
Interlocal Municipal Service Agreements:
Senior Citizens-Program Service Center
Other Expenses
55,000.00
55,000.00
11,285.33
43,714.67
Dispatch Services-East Windsor Township
Other Expenses
204,574.00
204,574.00
204,573.84
0.16
Senior Citizens-Transportation
2,180.00
2,180.00
2,180.00
Health Services-West Windsor Township
Salaries and Wages
31,176.00
31,176.00
31,176.00
Other Expenses
24,969.00
24,969.00
24,819.00
150.00
Emergency Medical Services
Other Expenses
40,000.00
40,000.00
40,000.00
Landfill Disposal Costs(Roosevelt)
Other Expenses
35,000.00
35,000.00
29,530.82
5,469.18
Stockton Street. Imrpovements - East Windsor
Mercer County EMS Dispatch
5,510.00
5,510.00
5,510.00
Vehicle Maintenance Services
19,000.00
19,000.00
6,646.32
12,353.68
Manalapan - Animal Control
18,000.00
18,000.00
18,000.00
Public and Private Programs Off-Set by Revenues
Alcohol Education and Rehabilitation Fund
Other Expenses
2,451.68
2,451.68
2,451.68
Clean Communities Program
Other Expenses
12,950.66
12,950.66
12,950.66
Body Armor Replacement Grant
Other Expenses
1,395.83
1,395.83
1,395.83
Mercer County NJSCA Local Arts Program
Other Expenses
8,000.00
8,000.00
8,000.00
Recycling Tonnage Grant
Other Expenses
6,278.17
6,278.17
6,278.17
Total Operations--Excluded from "CAPS"
864,142.34
864,142.34
427,703.13
2,250.00
73,032.21
361,157.00
Detail:
Salaries and Wages
Other Expenses
864,142.34
864,142.34
427,703.13
2,250.00
73,032.21
361,157.00
(Continued)
-17-
13090
Exhibit A-3
Appropriations
Unexpended
Budget After
Paid or
Balance
Budget
Modification
Charged
Encumbered
Reserved
Canceled
For the Year Ended December 31, 2024
Statement of Expenditures--Regulatory Basis
REGULAR FUND
BOROUGH OF HIGHTSTOWN
Expended
CAPITAL IMPROVEMENTS--EXCLUDED FROM "CAPS"
Acquisition of a Used Sanitation Truck
88,000.00
$
88,000.00
$
86,234.00
$
1,766.00
$
Capital Improvement Fund
15,000.00
15,000.00
15,000.00
Total Capital Improvements-- Excluded from "CAPS"
103,000.00
103,000.00
101,234.00
-
1,766.00
-
MUNICIPAL DEBT SERVICE--EXCLUDED FROM "CAPS"
Payment of Bond Principal
480,000.00
480,000.00
480,000.00
Payment of Bond Anticipation Notes and Capital Notes
90,000.00
90,000.00
90,000.00
Interest on Bonds
103,200.00
103,200.00
103,200.00
Interest on Notes
130,780.00
130,780.00
117,013.11
13,766.89
$
Damn Restoration Loan
9,926.00
9,926.00
9,925.47
0.53
Total Municipal Debt Service-- Excluded from "CAPS"
813,906.00
813,906.00
800,138.58
-
-
13,767.42
Transferred to Board of Education for Use of Local Schools (N.J.S.A.
38,872.00
38,872.00
38,872.00
-
-
-
Total General Appropriations for Municipal
Purposes--Excluded from "CAPS"
1,819,920.34
1,819,920.34
1,367,947.71
2,250.00
$
74,798.21
374,924.42
Subtotal General Appropriations
9,006,236.84
9,006,236.84
7,556,892.75
218,438.13
855,981.54
374,924.42
Reserve for Uncollected Taxes
505,000.00
505,000.00
505,000.00
-
-
-
Total General Appropriations
9,511,236.84
$
9,511,236.84
$
8,061,892.75
$
218,438.13
$
855,981.54
$
374,924.42
$
Adopted Budget
9,511,236.84
$
Reserve for Uncollected Taxes
505,000.00
$
Reserve for Federal and State Grants Appropriated
31,076.34
Reimbursed
(253,420.39)
Disbursed
7,779,236.80
8,061,892.75
$
The accompanying Notes to Financial Statements are an integral part of this statement.
-18-
13090
Exhibit B
TRUST FUND
Statements of Assets, Liabilities and Reserves--Regulatory Basis
ASSETS
Ref.
2024
2023
Animal Control Fund:
Cash--Treasurer
SB-1
2,927.93
$
1,733.88
$
Due from Regular Fund
SB-3
252.27
659.32
Total Animal Control Fund
3,180.20
2,393.20
Length of Service Award Program:
Investments - Length of Service Award Program
SB-7
920,045.74
821,380.67
Due from Borough
SB-7
20,250.00
920,045.74
841,630.67
Other Funds:
Cash--Treasurer
SB-1
966,221.43
750,032.70
Redevelopment Circulation Study
B
18,970.55
18,970.55
Due from Regular Fund
SB-5
251,736.02
Due from NJ GIT
B
38,218.14
38,218.14
Total Other Funds
1,023,410.12
1,058,957.41
1,946,636.06
$
1,902,981.28
$
(Continued)
BOROUGH OF HIGHTSTOWN
As of December 31, 2024 and 2023
-19-
13090
Exhibit B
TRUST FUND
Statements of Assets, Liabilities and Reserves--Regulatory Basis
BOROUGH OF HIGHTSTOWN
As of December 31, 2024 and 2023
LIABILITIES AND RESERVES
Animal Control Fund:
Due to State of New Jersey
SB-4
43.40
$
30.20
$
Reserve For Animal Control Fund Expenditures
SB-2
3,136.80
2,363.00
Total Animal Control Fund
3,180.20
2,393.20
Length of Service Award Program:
Reserve for Length of Service Award Program
SB-7
920,045.74
841,630.67
Other Funds:
Due to Grant Fund
A
27,842.58
27,842.58
Due to Regular Fund
SB-5
57,589.64
Due to Water-Sewer Operating Fund
D
12,307.42
12,307.42
Reserves for:
Workman's Compensation
SB-6
23,848.10
9,581.03
Payroll Deductions Payable
SB-6
50,555.10
51,918.77
Escrow Fees
SB-6
113,493.32
78,678.94
Housing Trust
SB-6
51,325.42
32,639.54
Unemployment Compensation
SB-6
82,603.55
81,994.58
Parking Offenses Adjudication Act
SB-6
1,479.00
1,373.00
Uniform Fire Safety Act
SB-6
6,975.03
6,975.03
Law Enforcement Fund
SB-6
50,944.75
53,155.33
Donations:
Celebration of Public Events - Memorial Day Parade
SB-6
2,239.40
2,439.40
Animal Welfare
SB-6
1,289.28
1,289.28
Historical Site
SB-6
798.71
798.71
National Night Out
SB-6
3,894.37
2,594.37
Peddie Dam Footbridge
SB-6
1,059.48
1,059.48
Franklin St. Project Lighting
SB-6
6,062.93
6,062.93
Skatepark
SB-6
19,345.87
19,345.87
Cultural Arts
SB-6
15,440.39
16,921.37
Environmental Trees
SB-6
2,056.16
2,056.16
Environmental Donation
SB-6
74.00
74.00
American Diner Escrow
SB-6
788.50
788.50
Regan Redevelopment
SB-6
142.00
142.00
Replace Downtown Coach Lighting
SB-6
2,833.20
2,833.20
RBE Performance
SB-6
2,309.05
2,309.05
Exercise Class
SB-6
290.38
290.38
Recreation Trips
SB-6
135.00
135.00
Triathlon
SB-6
40,624.85
41,102.74
Shakespeare in the Park
SB-6
3,454.27
3,414.58
Dawes
SB-6
29,681.79
42,956.04
Recaptured Funds Housing Rehabilitation
SB-6
1,703.00
1,703.00
Recycling
SB-6
45,373.42
52,567.39
Recycling-Grass Collection Program
SB-6
7,104.24
7,104.24
Storm Recovery
SB-6
42,715.15
48,345.33
Police Off Duty Services
SB-6
25,274.09
59,062.09
Public Defender
SB-6
16,077.47
23,079.97
Tax Title Lien Premiums
SB-6
10,600.00
108,977.25
Tax Title Lien Redemptions
SB-6
31,383.71
28,328.38
Insurance Refunds
SB-6
80,125.02
81,125.02
Regional Contribution Agreement - Manalapan
SB-6
151,570.48
145,585.46
Total Other Funds
1,023,410.12
1,058,957.41
1,946,636.06
$
1,902,981.28
$
The accompanying Notes to Financial Statement are an integral part of these statements.
-20-
13090
Exhibit C
ASSETS
Ref.
2024
2023
Cash
SC-1
30,781.38
$
3,606.46
$
Deferred Charges to Future Taxation:
Funded
SC-3
2,851,451.79
3,340,216.53
Unfunded
SC-4
6,642,699.97
5,581,909.97
Grants Receivable
SC-5
2,227,023.82
1,995,613.82
Due from Regular Fund
SC-6
1,974,770.28
2,487,366.54
Due from Water-Sewer Utility Capital Fund
SC-8
545,339.66
297,071.10
14,272,066.90
$
13,705,784.42
$
LIABILITIES, RESERVES
AND FUND BALANCE
Improvement Authorizations:
Funded
SC-8
1,378,433.90
$
1,296,344.92
$
Unfunded
SC-8
2,771,031.64
1,970,652.66
Reserve for Encumbrances
SC-8
656,375.06
891,229.27
Due to Water-Sewer Utility Operating Fund
D
400,000.00
400,000.00
Bond Anticipation Notes
SC-9
4,081,000.00
3,671,000.00
General Serial Bonds
SC-10
2,800,000.00
3,280,000.00
Green Acres Loan Payable
SC-11
51,451.79
60,216.53
Reserve for:
Grants Receivable
C
127,959.87
127,959.87
John and Mary Hight Sculpture
C
150.00
150.00
Donations
C
50.00
50.00
Municipal Facility
C
4,859.79
4,859.79
Housing Rehabilitation
C
47.00
47.00
Municipal Facility-FEMA
C
161,655.85
161,655.85
Purchase of Police Vehicle
C
672.47
672.47
Payment of Notes Ord. 18-20
C
15,211.88
15,211.88
Municipal Building Insurance
C
1,595,000.00
1,595,000.00
Capital Improvement Fund
SC-7
216,722.50
220,922.50
Fund Balance
C-1
11,445.15
9,811.68
14,272,066.90
$
13,705,784.42
$
The accompanying Notes to Financial Statements are an integral part of these statements.
BOROUGH OF HIGHTSTOWN
GENERAL CAPITAL FUND
Statements of Assets, Liabilities, Reserves and Fund Balance--Regulatory Basis
As of December 31, 2024 and 2023
-21-
13090
Exhibit C-1
Balance Dec. 31, 2023
9,811.68
$
Increased by:
Due from Regular Fund:
1,633.47
Balance Dec. 31, 2024
11,445.15
$
The accompanying Notes to Financial Statements are an integral part of this statement.
For the Year Ended December 31, 2024
BOROUGH OF HIGHTSTOWN
GENERAL CAPITAL FUND
Statement of Fund Balance -- Regulatory Basis
-22-
13090
Exhibit D
Ref.
2024
2023
ASSETS
Operating Fund:
Cash - Treasurer
SD-1
642,209.14
$
278,304.41
$
Due from Trust Fund Other
B
12,307.42
12,307.42
Due from General Capital Fund
C
400,000.00
400,000.00
Due from Water-Sewer Utility Capital Fund
SD-11
95,109.61
95,109.61
1,149,626.17
785,721.44
Receivables with Full Reserves:
Consumer Accounts Receivable
SD-3
144,668.47
121,402.84
Deferred Charge:
Deficit in Operations
D
595.27
595.27
Total Operating Fund
1,294,889.91
907,719.55
Capital Fund:
Cash
SD-1
782,537.06
452,206.06
Grant Receivable - FEMA
D
74,642.56
Fixed Capital
SD-5
16,555,516.65
15,336,516.65
Fixed Capital Authorized and Uncompleted
SD-6
17,306,500.00
16,952,500.00
Deferred Charge - Overexpended Ordinance
D
63,601.50
63,601.50
Due from State of New Jersey:
Department of Environmental Protection
SD-1
16,235.00
Infrastructure Bank
SD-1
8,117.00
Total Capital Fund
34,708,155.21
32,903,818.77
36,003,045.12
$
33,811,538.32
$
(Continued)
As of December 31, 2024 and 2023
Statements of Assets, Liabilities, Reserves and Fund Balance--Regulatory Basis
WATER-SEWER UTILITY FUND
BOROUGH OF HIGHTSTOWN
-23-
13090
Exhibit D
Ref.
2024
2023
As of December 31, 2024 and 2023
Statements of Assets, Liabilities, Reserves and Fund Balance--Regulatory Basis
WATER-SEWER UTILITY FUND
BOROUGH OF HIGHTSTOWN
LIABILITIES, RESERVES
AND FUND BALANCE
Operating Fund:
Liabilities:
Appropriation Reserves
D-3;SD-10
236,474.00
$
175,842.71
$
Reserve for Encumbrances
D-3;SD-10
40,659.67
101,133.34
Accounts Payable
SD-10
28,437.00
14,437.00
Due to Regular Fund
SD-12
655,691.91
421,889.92
Deposits
D
500.00
500.00
Prepaid Water-Sewer Rents
SD-7
29,602.03
Water-Sewer Rent Overpayments
SD-8
3,651.60
7,221.81
Accrued Interest on Bonds, Loans and Notes
SD-9
55,437.55
40,270.51
1,050,453.76
761,295.29
Reserve for Receivables
D
144,668.47
121,402.84
Fund Balance
D-1
99,767.68
25,021.42
Total Operating Fund
1,294,889.91
907,719.55
Capital Fund:
Bond Anticipation Notes
SD-17
1,278,000.00
1,169,000.00
Serial Bonds
SD-18
845,000.00
1,025,000.00
Loans Payable
SD-19
3,249,391.58
3,536,895.38
Construction Loan Payable
SD-1
285,979.00
Due to Regular Fund
SD-4
518,451.18
153,946.87
Due to Grant Fund
D
4,755.80
4,755.80
Due to General Capital Fund
SD-14
545,339.66
297,071.10
Due to Water-Sewer Utility Operating Fund
SD-11
95,109.61
95,109.61
Improvement Authorizations:
Funded
SD-14
180,431.66
105,951.51
Unfunded
SD-14
6,962,696.67
6,470,041.34
Reserve for Encumbrances
SD-14
379,325.12
109,745.00
Downpayments on Improvements
D
200.00
200.00
Reserve for Payment of Debt Service
D
4,631.21
4,631.21
Reserve for Grants
D
74,642.56
Reserve for New Jersey I-Bank Advance
D
82,272.23
82,272.23
Reserve for Amortization
SD-15
18,448,515.85
17,967,012.05
Reserve for Deferred Amortization
SD-16
1,787,845.44
1,776,845.44
Capital Improvement Fund
SD-13
39,692.95
30,692.95
Fund Balance
D-4
517.25
5.72
Total Capital Fund
34,708,155.21
32,903,818.77
36,003,045.12
$
33,811,538.32
$
The accompanying Notes to Financial Statements are an integral part of these statements.
-24-
13090
Exhibit D-1
Revenue and Other
Income Realized
2024
2023
Fund Balance
48,000.00
$
200,000.00
$
Water-Sewer Rents
2,895,641.12
2,843,739.19
Miscellaneous
149,341.51
80,954.49
Deficit (General Budget)
50,000.00
ARP - Lost Revenue
49,269.05
Other Credits to Income:
Canceled Water-Sewer Overpayments
7,221.81
Refund of Prior Year Expenditures
1,200.00
Unexpended Balances of Appropriation Reserves
176,461.92
113,195.43
Total Income
3,277,866.36
3,337,158.16
Expenditures
Operating
2,364,149.00
2,559,017.00
Capital Appropriations
20,000.00
18,776.00
Debt Service
608,471.10
596,590.00
Deferred Charges and Statutory Expenditures
162,500.00
155,500.00
Other Debits to Expenditures:
Refund of Prior Year Revenue
7,870.40
Total Expenditures
3,155,120.10
3,337,753.40
Statutory Excess to Fund Balance
122,746.26
Operating Deficit
(595.24)
$
Fund Balance
Balance January 1
25,021.42
225,021.42
147,767.68
225,021.42
Decreased by:
Utilized as Revenue:
Water Utility Fund Budget
48,000.00
200,000.00
Balance December 31
99,767.68
$
25,021.42
$
The accompanying Notes to Financial Statements are an integral part of these statements.
For the Years Ended December 31, 2024 and 2023
Statements of Operations and Changes in Operating Fund Balance--Regulatory Basis
WATER-SEWER UTILITY OPERATING FUND
BOROUGH OF HIGHTSTOWN
-25-
13090
Exhibit D-2
BOROUGH OF HIGHTSTOWN
WATER-SEWER UTILITY OPERATING FUND
Statement of Revenues--Regulatory Basis
For the Year Ended December 31, 2024
Excess or
Budget
Realized
(Deficit)
Fund Balance Appropriated
48,000.00
$
48,000.00
$
Rents
2,830,000.00
2,895,641.12
65,641.12
$
Miscellaneous
70,000.00
149,341.51
79,341.51
Deficit (General Budget)
361,157.00
(361,157.00)
3,309,157.00
$
3,092,982.63
$
(216,174.37)
$
Analysis of Realized Revenues:
Miscellaneous:
Collections:
Interest Earned on Deposits
103,179.69
$
Water Connection Fees
8,464.00
Sewer Connection Fees
4,354.00
Interest on Delinquent Rents
12,578.37
Sale of Meters
800.00
Fire Service Fees
19,049.37
Final/Manual Meter Reading Fees
855.00
Miscellaneous Other
61.08
149,341.51
$
The accompanying Notes to Financial Statements are an integral part of this statement.
-26-
13090
Exhibit D-3
Unexpended
Original
Budget After
Paid or
Balance
Budget
Modification
Charged
Encumbered
Reserved
Canceled
Operating:
Salaries and Wages
853,319.00
$
929,819.00
$
929,643.66
$
175.34
$
Other Expenses
1,657,830.00
1,574,330.00
1,160,231.92
40,659.67
$
233,438.41
140,000.00
$
Total Operating
2,511,149.00
2,504,149.00
2,089,875.58
40,659.67
233,613.75
140,000.00
Capital Improvements:
Capital Improvement Fund
20,000.00
20,000.00
20,000.00
-
-
-
Debt Service:
Payment of Bond Principal
180,000.00
180,000.00
180,000.00
Payment of Bond Anticipation Notes & Capital Notes
14,000.00
14,000.00
14,000.00
Interest on Bonds
29,350.00
29,350.00
29,348.10
1.90
Interest on Notes
50,704.00
55,204.00
55,181.52
22.48
Wastewater and Water Supply Loans
348,454.00
343,954.00
329,941.48
14,012.52
Total Debt Service
622,508.00
622,508.00
608,471.10
-
-
14,036.90
Deferred Charges and Statutory Expenditures:
Statutory Expenditures:
Contribution to:
Public Employees Retirement System
79,500.00
79,500.00
79,500.00
Social Security System (O.A.S.I.)
74,000.00
81,000.00
80,139.75
860.25
Unemployment Compensation Insurance
(N.J.S.A. 43:21-3 et seq.)
2,000.00
2,000.00
2,000.00
Total Statutory Expenditures
155,500.00
162,500.00
159,639.75
-
2,860.25
-
3,309,157.00
$
3,309,157.00
$
2,877,986.43
$
40,659.67
$
236,474.00
$
154,036.90
$
Disbursed
1,673,115.64
$
Due to Regular Fund - Disbursed On-behalf of Water-Sewer Utility Operating Fund
1,147,803.59
Accrued Interest:
Interest on Bonds
29,348.10
Interest on Loans
42,437.68
Interest on Notes
55,181.52
Refunds of Budget Appropriations
(69,900.10)
2,877,986.43
$
The accompanying Notes to Financial Statements are an integral part of this statement.
Expended
Appropriations
BOROUGH OF HIGHTSTOWN
WATER-SEWER UTILITY OPERATING FUND
Statement of Expenditures--Regulatory Basis
For the Year Ended December 31, 2024
-27-
13090
Exhibit D-4
Balance Dec. 31, 2023
5.72
$
Increased By:
Due from Regular Fund - Premium on Sale of Notes
511.53
Balance Dec. 31, 2024
517.25
$
The accompanying Notes to Financial Statements are an integral part of this statement.
BOROUGH OF HIGHTSTOWN
WATER-SEWER UTILITY CAPITAL FUND
Statement of Changes in Fund Balance -- Regulatory Basis
For the Year Ended December 31, 2024
-28-
13090
Exhibit E
Balance
Balance
Dec. 31, 2023
Additions
Deletions
Dec. 31, 2024
General Fixed Assets:
Land
90,835.99
$
90,835.99
$
Buildings and Improvements
1,175,452.55
1,175,452.55
Vehicles
3,997,143.51
3,997,143.51
Miscellaneous Equipment
1,885,459.82
1,885,459.82
7,148,891.87
$
-
-
7,148,891.87
$
Investment in General Fixed Assets:
General Capital Fund
7,148,891.87
$
-
-
7,148,891.87
$
The accompanying Notes to Financial Statements are an integral part of this statement.
For the Year Ended December 31, 2024
BOROUGH OF HIGHTSTOWN
GENERAL FIXED ASSET ACCOUNT GROUP
Statement of General Fixed Asset Group of Accounts -- Regulatory Basis
-29-
13090
BOROUGH OF HIGHTSTOWN
Notes to Financial Statements
For the Year Ended December 31, 2024
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Description of Financial Reporting Entity - The Borough of Hightstown (hereafter referred to as the
“Borough”) was incorporated as a Borough by an act of the New Jersey legislature on March 5, 1853,
within portions of East Windsor Township. The Borough became fully independent around 1894. The
Borough, located in Mercer County, New Jersey, has a total area of approximately 1.27 square miles, and
is located approximately 16 miles west of Trenton, approximately 51 miles south of New York, and
approximately 48 miles north of Philadelphia. The Borough is surrounded entirely by East Windsor
Township. According to the 2020 census, the population is 5,900.
The Borough operates under the Borough form of government. The governing body consists of a Mayor
and Council members. All action is passed by a majority or, when required, a two-thirds 2/3 vote of
Council. The Mayor only votes in the event of a tie. The Mayor has veto power over all ordinances passed
by the Borough council. This veto can be overridden by a two-thirds 2/3 vote of the Council.
Measurement Focus, Basis of Accounting and Financial Statement Presentation - The financial
statements of the Borough contain all funds and account groups in accordance with the Requirements of
Audit (the “Requirements”) 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
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 in this note.
In accordance with the Requirements, the Borough accounts for its financial transactions through the use
of separate funds and an account group which are described as follows:
Current Fund - The current fund accounts for resources and expenditures for governmental
operations of a general nature, including federal and state grant funds.
Trust Funds - The various trust funds account for receipts, custodianship, and disbursement of funds
in accordance with the purpose for which each reserve was created.
General Capital Fund - The general capital fund accounts for receipt and disbursement of funds for
the acquisition of general capital facilities, other than those acquired in the current fund.
Water-Sewer Utility Operating and Capital Funds - The water-sewer utility operating and capital
funds account for the operations and acquisition of capital facilities of the municipally owned water-
sewer operations.
General Fixed Asset Group of Accounts - The general fixed asset group of accounts is utilized to
account for property, land, buildings, and equipment that have been acquired by other governmental
funds.
-30-
13090
Notes to Financial Statements (Cont'd)
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT'D)
Budgets and Budgetary Accounting - The Borough must adopt an annual budget for its current and
water sewer utility funds 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 10 of each
year. At introduction, the governing body shall 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 the Division 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 Borough's financial
statements.
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. Investments are stated at cost; therefore, unrealized gains or losses on investments
have not been recorded. Investments recorded in the trust fund for the Borough’s length of service awards
program, however, are stated at fair value.
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 authorities 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 (“GUDPA”), a multiple
financial institutional collateral pool, 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 Borough requires it to deposit funds in public depositories
protected from loss under the provisions of the Act.
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 of Supplies - The costs 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.
-31-
13090
Notes to Financial Statements (Cont'd)
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT'D)
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’s Uniform Administrative
Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 225), except that
the useful life of such property is at least five years. The Borough has adopted a capitalization threshold
of $5,000.00, the maximum amount allowed by the Uniform Guidance. 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. No depreciation of general fixed assets is recorded. Donated general fixed
assets are recorded at 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 Borough 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 asset group of accounts, reflecting the activity for the year, must be included in the Borough’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 include 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. Lastly, all fixed assets
must be adequately controlled to safeguard against loss, damage, or theft.
Utility Fixed Assets - Property and equipment purchased by a utility fund are recorded in the utility capital
account at cost and are adjusted for disposition and abandonment. The amounts shown do not represent
replacement cost or current value. The reserve for amortization and deferred reserve for amortization
accounts in the utility capital fund represent charges to operations for the cost of acquisition of property
and equipment, improvements, and contributed capital.
Foreclosed Property - Foreclosed property 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 municipality 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 taxpaying basis. For this reason, the value of foreclosed property has not been
included in the general fixed asset group of accounts. If such property is converted to a municipal use, it
will be recorded in the general fixed asset group of accounts.
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.
Liens Sold for Other Governmental Units - Liens sold on behalf of other governmental units are not
recorded on the records of the tax collector until such liens are collected. Upon their collection, such liens
are recorded as a liability due to the governmental unit net of the costs of the initial sale. The related costs
of sale are recognized as revenue when received.
Fund Balance - Fund balances included in the current fund and water-sewer utility operating fund
represent amounts available for anticipation as revenue in future years’ budgets, with certain restrictions.
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Notes to Financial Statements (Cont'd)
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT'D)
Revenues - Revenues are recorded when received in cash except for certain amounts which are due from
other governmental units. Revenue from federal and state grants is realized when anticipated as such in
the Borough’s budget. Receivables for property taxes are recorded with offsetting reserves on the
statement of assets, liabilities, reserves and fund balance of the Borough's current fund; accordingly, such
amounts are not recorded as revenue until collected. Other amounts that are due to the Borough which
are susceptible to accrual are also recorded as receivables with offsetting reserves and recorded as
revenue when received.
Property Tax Revenues - 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 Borough's annual budget, but also the amounts required in support of the budgets of the
County of Mercer and the East Winsor Regional School District. Unpaid property taxes are subject to tax
sale in accordance with the statutes.
School Taxes - The Borough is responsible for levying, collecting, and remitting school taxes for the East
Winsor Regional School District. Operations is charged for the full amount required to be raised from
taxation to operate the local school district for the period from January 1 to December 31.
County Taxes - The municipality is responsible for levying, collecting, and remitting county taxes for the
County of Mercer. County taxes are determined on a calendar year by the County Board of Taxation
based upon the ratables required to be certified to them on January 10 of each year. Operations is charged
for the amount due to the County for the year, based upon the ratables required to be certified to the
County Board of Taxation by January 10 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 10 of the
current year, and due to be paid to the County by February 15 of the following year.
Reserve for Uncollected Taxes - The inclusion of the "reserve for uncollected taxes" appropriation in the
Borough's annual budget protects the Borough from taxes not paid currently. The reserve, the minimum
amount of which is determined on the percentage of collections experienced in the immediately 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 - Expenditures are recorded on the "budgetary" basis of accounting. Generally,
expenditures are recorded when paid. However, for charges to amounts appropriated for “other
expenses”, an amount is encumbered through the issuance of a numerically controlled purchase order or
when a contract is executed in accordance with N.J.A.C. 5:30-5.2. When encumbered charges are paid,
the amount encumbered is simultaneously liquidated in its original amount. Encumbrances are offset by
an account entitled 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 principal payments on outstanding general capital and utility bonds and notes are
provided on the cash basis; interest on general capital indebtedness is on the cash basis, whereas interest
on utility indebtedness is on the accrual basis.
Appropriation Reserves - Appropriation reserves covering unexpended appropriation balances are
automatically created at year-end and recorded as liabilities, except for amounts which may be canceled
by the governing body. Appropriation reserves are available, until lapsed at the close of the succeeding
year, to meet specific claims, commitments, or contracts incurred during the preceding year. Lapsed
appropriation reserves are recorded as income.
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Notes to Financial Statements (Cont'd)
Note 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONT'D)
Long-Term Debt - Long-term debt, relative to the acquisition of capital assets, is recorded as a liability in
the general capital and utility capital funds. 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 and Postemployment Benefits - Compensated absences for paid time off
(PTO), sick leave, vacation leave, compensatory time, and certain types of sabbatical leave, and other
compensated absences are recorded and provided for in the annual budget in the year in which they are
paid, on a pay-as-you-go basis. Likewise, no accrual is made for postemployment benefits, if any, which
are also funded on a pay-as-you-go basis.
Impact of Recently Issued Accounting Principles
Recently Issued and Adopted Accounting Pronouncements
The Borough implemented the following GASB Statement for the year ended December 31, 2024:
Statement No. 101, Compensated Absences. The objective of this Statement is to better meet the
information needs of financial statement users by updating the recognition and measurement guidance for
compensated absences. That objective is achieved by aligning the recognition and measurement
guidance under a unified model and by amending certain previously required disclosures. As a result of
the regulatory basis of accounting previously described in note 1, the implementation of this Statement
only impacted financial statement disclosures. There exists no impact on the financial statements of the
Borough.
Because of the implementation of GASB Statement No. 101, the Borough has updated the measurement
of compensated absences in accordance with the Statement (note 12).
Note 2: CASH AND CASH EQUIVALENTS
Custodial Credit Risk Related to Deposits - Custodial credit risk is the risk that, in the event of a bank
failure, the Borough’s deposits might not be recovered. Although the Borough does not have a formal
policy regarding custodial credit risk, N.J.S.A. 17:9-41 et seq. requires that governmental units shall
deposit public funds in public depositories protected from loss under the provisions of the Governmental
Unit Deposit Protection Act (GUDPA). Under the Act, the first $250,000.00 of governmental deposits in
each insured depository is protected by the Federal Deposit Insurance Corporation (FDIC). Public funds
owned by the municipality in excess of FDIC insured amounts are protected by GUDPA. However,
GUDPA does not protect intermingled agency funds such as salary withholdings, bail funds, or funds that
may pass to the municipality relative to the happening of a future condition. Such funds are classified as
uninsured and uncollateralized.
As of December 31, 2024, the Borough’s bank balances of $7,613,285.06 were exposed to custodial credit
risk as follows:
Insured by FDIC and GUDPA
7,546,033.49
$
Uninsured and Uncollateralized
67,251.57
Total
7,613,285.06
$
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Notes to Financial Statements (Cont'd)
Note 3: PROPERTY TAXES
The following is a five-year comparison of certain statistical information relative to property taxes and
property tax collections for the current and previous four calendar years:
Comparative Schedule of Tax Rates
Year Ended
2024
2023
2022
2021
2020
Apportionment of Tax Rate:
Municipal
1.633
$
1.579
$
1.470
$
1.410
$
1.352
$
County
.923
.838
.796
.764
.777
Regional School
2.347
2.436
2.419
2.342
2.284
Tax Rate
4.903
$
4.853
$
4.685
$
4.516
$
4.413
$
Assessed Valuation
Year
Amount
2024
394,325,400.00
$
2023
395,713,300.00
2022
396,101,192.00
2021
396,172,393.00
2020
394,686,499.00
Comparison of Tax Levies and Collections
Percentage
Year
Tax Levy
Collections
of Collections
2024
19,355,292.87
$
19,137,066.75
$
98.87%
2023
19,209,978.05
18,903,259.58
98.40%
2022
18,576,032.10
18,329,888.21
98.67%
2021
17,915,565.49
17,724,330.08
98.93%
2020
17,451,083.95
17,231,965.87
98.74%
Delinquent Taxes and Tax Title Liens
Tax Title
Delinquent
Total
Percentage
Year
Liens
Taxes
Delinquent
of Tax Levy
2024
264,550.68
$
200,996.97
$
465,547.65
$
2.41%
2023
257,921.53
291,875.06
549,796.59
2.86%
2022
240,868.09
224,877.75
465,745.84
2.51%
2021
212,328.23
178,357.41
390,685.64
2.18%
2020
198,631.76
199,804.52
398,436.28
2.28%
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Notes to Financial Statements (Cont'd)
Note 3: PROPERTY TAXES (CONT’D)
The following comparison is made of the number of tax title liens receivable on December 31 for the current
and previous four calendar years:
Note 4: PROPERTY ACQUIRED BY TAX TITLE LIEN LIQUIDATION
The Borough did not have any property acquired by liquidation of tax title liens during the current and
previous four years was as follows.
Note 5: WATER-SEWER UTILITY SERVICE CHARGES
The following is a five-year comparison of water-sewer utility service charges (rents) for the current and
previous four years:
Note 6: LEASES RECEIVABLE
The Borough, as lessor, has entered into the following leases which meet the requirements of GASB
Statement No. 87, Leases:
Parking Lot Lease - On March 5, 2012, the Borough entered into a 10-year lease agreement with two
additional 10-year lease term renewal options with Katsifis Family LLC for the lease of a Borough owned
Parking lot with an incremental borrowing rate of 2.00%. Based on this agreement, the Borough is
receiving payments of $1,013.40 monthly, with 2.5% increases each year through February 5, 2032.
Cell Towers Lease - On December 28, 2004, the Borough entered into a five-year lease agreement with
four additional automatic term renewals with Sprint Spectrum L.P. for the lease of cell towers with an
incremental borrowing rate of 2.00%. Based on this agreement, the Borough is receiving payments of
$3,322.16 on a monthly basis through January 1, 2030.
Cell Towers Lease - On September 19, 2006, the Borough entered into a five-year lease agreement with
four additional automatic term renewals with T-Mobile Northeast LLC for the lease of cell towers with an
incremental borrowing rate of 2.00%. Based on this agreement, the Borough is receiving payments of
$2,768.47 monthly, with 3.0% increases each year through December 1, 2031.
Year
Number
2024
17
2023
18
2022
17
2021
17
2020
17
Balance Beginning of Year
Cash
Year
Receivable
Liens
Levy
Total
Collections
2024
121,402.84
$
-
$
2,918,906.75
$
3,040,309.59
$
2,895,641.12
$
2023
151,562.32
-
2,829,279.14
2,980,841.46
2,843,739.19
2022
119,337.05
-
2,740,869.97
2,860,207.02
2,710,830.62
2021
102,710.69
-
2,729,037.01
2,831,747.70
2,712,410.65
2020
84,935.66
-
2,754,719.30
2,839,654.96
2,736,944.27
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Notes to Financial Statements (Cont'd)
Note 6: LEASES RECEIVABLE (CONT’D)
Under the provisions of GASB 87, as of December 31, 2024, the balance of the lease’s receivable is
$772,296.73. As a result of the regulatory basis of accounting previously described in note 1, such balance
is not recorded on the Statements of Assets, Liabilities, Reserves and Fund Balance - Regulatory Basis
of the regular fund.
The following is a summary of the leases as of December 31, 2024:
Under the provisions of GASB 87, for the year ended December 31, 2024, the Borough would have
recognized $83,585.52 in a reduction of lease receivable and $16,354.20 in interest revenue related to the
leases. In addition, $94,463.88 would have been recognized as both lease revenue and a reduction in
deferred inflows of resources related to leases.
As a result of the regulatory basis of accounting previously described in note 1, the rental payments
collected of $110,818.08 were reported as revenue in the regular fund.
Note 7: FUND BALANCES APPROPRIATED
The following schedules detail 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's budgets:
Lease
Lease
Lease
Interest
Lease Description
Receivable
Revenue
Revenue
Parking Lot
228,753.42
$
12,606.12
$
4,663.22
$
Cell Tower
233,035.00
41,258.04
5,092.93
Cell Tower
310,508.31
40,599.72
6,598.05
772,296.73
$
94,463.88
$
16,354.20
$
Regular Fund
Utilized in
Percentage
Balance
Budget of
of Fund
Year
December 31,
Succeeding Year
Balance Used
2024
1,383,704.30
$
1,072,619.00
$
77.52%
2023
1,324,585.16
1,030,874.00
77.83%
2022
1,382,403.10
898,000.00
64.96%
2021
1,374,868.69
820,000.00
59.64%
2020
1,418,712.88
975,000.00
68.72%
Water-Sewer Utility Fund
Utilized in
Percentage
Balance
Budget of
of Fund
Year
December 31,
Succeeding Year
Balance Used
2024
99,767.68
$
59,646.00
$
59.78%
2023
25,021.42
48,000.00
191.84%
2022
225,021.42
200,000.00
88.88%
2021
182,795.20
182,000.00
99.56%
2020
251,805.50
250,000.00
99.28%
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Notes to Financial Statements (Cont'd)
Note 8: INTERFUND RECEIVABLES AND PAYABLES
The following interfund balances were recorded on the various statements of assets, liabilities, reserves
and fund balance as of December 31, 2025:
The interfund receivables and payables above predominately resulted from collections and payments
made by certain funds on behalf of other funds. During the year 2025, the Borough expects to liquidate
such interfunds, depending upon the availability of cash flow.
Note 9: PENSION PLANS
A substantial number of the Borough's employees participate in one of the following defined benefit
pension plans: the Public Employees' Retirement System (“PERS”) and the Police and Firemen’s
Retirement System (“PFRS”), which are administered by the New Jersey Division of Pensions and
Benefits. In addition, several Borough employees participate in the Defined Contribution Retirement
Program (“DCRP”), which is a defined contribution pension plan. This Plan is administered by Empower
for the New Jersey Division of Pensions and Benefits. Each Plan has a Board of Trustees that is primarily
responsible for its administration. As a local participation employer of these pension plans, the Borough
is referred to as “Employer” throughout this note. The Division issues a publicly available financial report
that includes financial statements, required supplementary information and detailed information about the
PERS and PFRS plans’ fiduciary net position which can be obtained by writing to or at the following
website:
State of New Jersey
Division of Pensions and Benefits
P.O. Box 295
Trenton, New Jersey 08625-0295
https://www.state.nj.us/treasury/pensions/financial-reports.shtml
General Information about the Pension Plans
Plan Descriptions
Public Employees' Retirement System - The Public Employees' Retirement System is a cost-
sharing multiple-employer defined benefit pension plan, which was established as of January 1, 1955,
under the provisions of N.J.S.A. 43:15A. The PERS’ designated purpose is to provide retirement,
death, and disability benefits to certain qualified members. Membership in the PERS is mandatory for
substantially all full-time employees of the Employer, provided the employee is not required to be a
member of another state-administered retirement system or other state pensions fund or local
jurisdiction’s pension fund. The PERS’ Board of Trustees is primarily responsible for the administration
of the PERS.
Interfunds
Interfunds
Fund
Receivable
Payable
Regular Fund
1,231,732.73
$
2,080,609.03
$
Grant Fund
138,184.86
Trust - Animal Control Fund
252.27
Trust - Other Fund
97,739.64
General Capital Fund
2,520,109.94
400,000.00
Water-Sewer Utility Operating Fund
507,417.03
655,691.91
Water-Sewer Utility Capital Fund
1,163,656.25
Totals
4,397,696.83
$
4,397,696.83
$
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Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
General Information about the Pension Plans (Cont’d)
Plan Descriptions (Cont’d)
Police and Firemen’s Retirement System - The Police and Firemen’s Retirement System is a cost-
sharing multiple-employer defined benefit pension plan, which was established as of July 1, 1944,
under the provisions of N.J.S.A. 43:16A. The PFRS’ designated purpose is to provide retirement,
death, and disability benefits to certain qualified members. Membership in the PFRS is mandatory for
substantially all full-time police and firemen of the Employer. The PFRS’ Board of Trustees is primarily
responsible for the administration of the PFRS.
Defined Contribution Retirement Program - The Defined Contribution Retirement Program is a
multiple-employer defined contribution pension fund established on July 1, 2007 under the provisions
of P.L. 2007, c. 92 and P.L. 2007, c. 103, and expanded under the provisions of P.L. 2008, c. 89 and
P.L. 2010, c. 1. The DCRP is a tax-qualified defined contribution money purchase pension plan under
Internal Revenue Code (IRC) § 401(a) et seq., and is a “governmental plan” within the meaning of IRC
§ 414(d). The DCRP provides retirement benefits for eligible employees and their beneficiaries.
Individuals covered under DCRP are state or local officials who are elected or appointed on or after
July 1, 2007; employees enrolled in PERS on or after July 1, 2007, who earn salary in excess of
established “maximum compensation” limits; employees enrolled in New Jersey State Police
Retirement System (SPRS) or the Police and Firemen’s Retirement System (PFRS) after May 21,
2010, who earn salary in excess of established “maximum compensation” limits; employees otherwise
eligible to enroll in PERS on or after November 2, 2008, who do not earn the minimum annual salary
for tier 3 enrollment but who earn salary of at least $5,000.00 annually; and employees otherwise
eligible to enroll in PERS after May 21, 2010 who do not work the minimum number of hours per week
required for tiers 4 or 5 enrollment, but who earn salary of at least $5,000.00 annually.
Vesting and Benefit Provisions
Public Employees’ Retirement System - The vesting and benefit provisions are set by N.J.S.A.
43:15A. The 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 years or more 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.
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Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
General Information about the Pension Plans (Cont’d)
Vesting and Benefit Provisions (Cont’d)
Police and Firemen’s Retirement System - The vesting and benefit provisions are set by N.J.S.A.
43:16A. The PFRS provides retirement, death and disability benefits. All benefits vest after 10 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 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 of 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.
Defined Contribution Retirement Program - Eligible members are provided with a defined
contribution retirement plan intended to qualify for favorable Federal income tax treatment under IRC
Section 401(a), a noncontributory group life insurance plan and a noncontributory group disability
benefit plan. A participant's interest in that portion of his or her defined contribution retirement plan
account attributable to employee contributions shall immediately become and shall at all times remain
fully vested and non-forfeitable. A participant's interest in that portion of his or her defined contribution
retirement plan account attributable to employer contributions shall be vested and non-forfeitable on
the date the participant commences the second year of employment or upon his or her attainment of
age 65, while employed by an employer, whichever occurs first.
Contributions
Public Employees’ Retirement System - The contribution policy is set by N.J.S.A. 43:15A and
requires contributions by active members and contributing employers. Pursuant to the provisions of
P.L. 2011, C. 78, the member contribution rate is currently 7.50% of base salary, effective July 1,
2018. The rate for members who are eligible for the Prosecutors Part of PERS (P.L. 2001, C. 366) is
10.0%. Employers’ contributions are based on an actuarially determined amount, which includes the
normal cost and unfunded accrued liability.
Special Funding Situation Component - Under N.J.S.A. 43:15A, 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. One of
such legislations, which legally obligate the State, is Chapter 133, P.L. 2001. This legislation increased
the accrual rate from 1/60 to 1/55. In addition, it lowered the age required for a veteran benefit equal
to 1/55 of highest 12-month compensation for each year of service from 60 to 55. Chapter 133, P.L.
2001 also established the Benefit Enhancement Fund (BEF) to fund the additional annual employer
normal contribution due to the State’s increased benefits. If the assets in the BEF are insufficient to
cover the normal contribution for the increased benefits for a valuation period, the State will pay such
amount for both the State and local employers.
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Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
General Information about the Pension Plans (Cont’d)
Contributions (Cont’d)
Public Employees’ Retirement System (Cont’d) - Special Funding Situation Component (Cont’d) -
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 nonemployer 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 or deferred outflows or inflows to disclose in the notes to the financial statements
of the local participating employers related to this legislation.
The Employer’s contractually required contribution rate for the year ended December 31, 2024 was
16.88% of the Employer’s covered payroll. This amount was actuarially determined as the amount
that, when combined with employee contributions, is expected to finance the costs of benefits earned
by employees during the year, including an additional amount to finance any unfunded accrued
liability.
Based on the most recent PERS measurement date of June 30, 2024, the Employer’s contractually
required contribution to the pension plan for the year ended December 31, 2024 is $323,306.00, and
is payable by April 1, 2025. Due to the basis of accounting described in note 1, no liability has been
recorded in the financial statements for this amount. For the prior year measurement date of June 30,
2023, the Employer’s contractually required contribution to the pension plan for the year ended
December 31, 2023 was $282,132.00, which was paid on April 1, 2024.
Employee contributions to the Plan for the year ended December 31, 2024 were $146,957.94.
The amount of contractually required contribution for the State of New Jersey’s proportionate share,
associated with the Employer, under Chapter 133, P.L. 2001, for the year ended December 31, 2024
was .54% of the Employer’s covered payroll.
Based on the most recent PERS measurement date of June 30, 2024, the State’s contractually
required contribution, under Chapter 133, P.L. 2001, on-behalf of the Employer, to the pension plan
for the year ended December 31, 2024 was $10,409.00. For the prior year measurement date of June
30, 2023, the State’s contractually required contribution, under Chapter 133, P.L. 2001, on-behalf of
the Employer, to the pension plan for the year ended December 31, 2023 was $9,535.00.
Police and Firemen’s Retirement System - The contribution policy for PFRS is set by N.J.S.A
43:16A and requires contributions by active members and contributing employers. Pursuant to the
provisions of P.L. 2011, C. 78, the member contribution rate is currently 10.0% of base salary. 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.
Special Funding Situation Component - 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 nonemployer 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 or deferred outflows or inflows to disclose in the
notes to the financial statements of the local participating employers related to this legislation.
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13090
Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
General Information about the Pension Plans (Cont’d)
Contributions (Cont’d)
Police and Firemen’s Retirement System (Cont’d) - The Employer’s contractually required
contribution rate for the year ended December 31, 2024 was 34.85% of the Employer’s covered
payroll. This amount was actuarially determined as the amount that, when combined with employee
contributions, is expected to finance the costs of benefits earned by employees during the year, with
an additional amount to finance any unfunded accrued liability.
Based on the most recent PFRS measurement date of June 30, 2024, the Employer’s contractually
required contribution to the pension plan for the year ended December 31, 2024 is $531,346.00, and
is payable by April 1, 2025. Due to the basis of accounting described in note 1, no liability has been
recorded in the financial statements for this amount. For the prior year measurement date of June 30,
2023, the Employer’s contractually required contribution to the pension plan for the year ended
December 31, 2023 was $512,38800, which was paid on April 1, 2024.
Employee contributions to the Plan for the year ended December 31, 2024 were $152,448.50.
The amount of contractually required contribution for the State of New Jersey’s proportionate share,
associated with the Employer, for the year ended December 31, 2024 was 5.90% of the Employer’s
covered payroll.
Based on the most recent PFRS measurement date of June 30, 2024, the State’s contractually
required contribution, on-behalf of the Employer, to the pension plan for the year ended December 31,
2024 was $89,967.00, and is payable by April 1, 2025. For the prior year measurement date of June
30, 2023, the State’s contractually required contribution, on-behalf of the Employer, to the pension
plan for the year ended December 31, 2023 was $89,616.00, which was paid on April 1, 2024.
Defined Contribution Retirement Program - The contribution policy is set by N.J.S.A. 43:15C-3 and
requires contributions by active members and contributing employers. In accordance with Chapter
92, P.L. 2007 and Chapter 103, P.L. 2007, Plan members are required to contribute 5.5% of their
annual covered salary. In addition to the employee contributions, the Employer contributes 3% of the
employees' base salary, for each pay period.
For the year ended December 31, 2024, employee contributions totaled $8,043.28, and the
Employer’s contributions were $4,387.20. There were no forfeitures during the year.
Pension Liabilities, Pension (Benefit) Expense, and Deferred Outflows of Resources and Deferred
Inflows of Resources Related to Pensions
Public Employees’ Retirement System
Pension Liability - As of December 31, 2024, there is no net pension liability associated with the
special funding situation under Chapter 133, P.L. 2001, as there was no accumulated difference
between the annual additional normal cost and the actual State contribution through the valuation
date. The Employer’s proportionate share of the PERS net pension liability was $3,228,508.00. The
net pension liability was measured as of June 30, 2024 and the total pension liability used to calculate
the net pension liability was determined by an actuarial valuation as of July 1, 2023. The total pension
liability was calculated through the use of updated procedures to roll forward from the actuarial
valuation date to the measurement date of June 30, 2024. The Employer’s proportion of the net
pension liability was based on a projection of the Employer’s long-term share of contributions to the
pension plan relative to the projected contributions of all participating employers, actuarially
determined. For the June 30, 2024 measurement date, the Employer’s proportion was
.0237599130%, which was an increase of .0026505792% from its proportion measured as of June 30,
2023.
-42-
13090
Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
Pension Liabilities, Pension (Benefit) Expense, and Deferred Outflows of Resources and Deferred
Inflows of Resources Related to Pensions (Cont’d)
Public Employees’ Retirement System (Cont’d)
Pension (Benefit) Expense - For the year ended December 31, 2024, the Employer’s proportionate
share of the PERS pension (benefit) expense, calculated by the Plan as of the June 30, 2024
measurement date was $108,798.00. This (benefit) expense is not recognized by the Employer
because of the regulatory basis of accounting as described in note 1; however, as previously
mentioned, for the year ended December 31, 2024, the Employer’s contribution to PERS was
$282,132.00, and was paid on April 1, 2024.
For the year ended December 31, 2024, the State’s proportionate share of the PERS pension (benefit)
expense, associated with the Employer, under Chapter 133, P.L. 2001, calculated by the Plan as of
the June 30, 2024 measurement date, was $10,409.00. This on-behalf (benefit) expense is not
recognized by the Employer because of the regulatory basis of accounting as described in note 1.
Police and Firemen’s Retirement System
Pension Liability - As of December 31, 2024, the Employer’s and State of New Jersey’s proportionate
share of the PFRS net pension liability were as follows:
The net pension liability was measured as of June 30, 2024, and the total pension liability used to
calculate the net pension liability was determined by an actuarial valuation as of July 1, 2023. The
total pension liability was calculated through the use of updated procedures to roll forward from the
actuarial valuation date to the measurement date of June 30, 2024. The Employer’s proportion of the
net pension liability was based on a projection of the Employer’s long-term share of contributions to
the pension plan relative to the projected contributions of all participating employers and the State of
New Jersey, actuarially determined. For the June 30, 2024 measurement date, the Employer’s
proportion was .0384129600%, which was a decrease of .0000774900% from its proportion measured
as of June 30, 2023. Likewise, at June 30, 2024, the State of New Jersey’s proportion, on-behalf of
the Employer, was .0384129600%, which was a decrease of .0000778000% from its proportion, on-
behalf of the Employer, measured as of June 30, 2023.
Pension (Benefit) Expense - For the year ended December 31, 2024, the Employer’s proportionate
share of the PFRS pension (benefit) expense, calculated by the Plan as of the June 30, 2024
measurement date was $323,176.00. This (benefit) expense is not recognized by the Employer
because of the regulatory basis of accounting as described in note 1; however, as previously
mentioned, for the year ended December 31, 2024, the Employer’s contribution to PFRS was
$512,388.00, and was paid on April 1, 2024.
For the year ended December 31, 2024, the State’s proportionate share of the PFRS pension (benefit)
expense, associated with the Employer, calculated by the Plan as of the June 30, 2024 measurement
date, was $89,968.00. This on-behalf (benefit) expense is not recognized by the Employer because
of the regulatory basis of accounting as described in note 1.
Proportionate Share of Net Pension Liability
3,966,773.00
$
State of New Jersey's Proportionate Share of Net Pension
Liability Associated with the Employer
782,041.00
4,748,814.00
$
-43-
13090
Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
Pension Liabilities, Pension (Benefit) Expense, and Deferred Outflows of Resources and Deferred
Inflows of Resources Related to Pensions (Cont’d)
Deferred Outflows of Resources and Deferred Inflows of Resources - As of December 31, 2024, the
Employer had deferred outflows of resources and deferred inflows of resources related to pensions from
the following sources:
Deferred outflows of resources in the amounts of $161,653.00 and $265,673.00 for PERS and PFRS,
respectively, will be included as a reduction of the net pension liability during the year ending December
31, 2025. These amounts were based on an estimated April 1, 2026 contractually required contribution,
prorated from the pension plans’ measurement date of June 30, 2024 to the Employer’s year end of
December 31, 2024.
The Employer will amortize the other deferred outflows of resources and deferred inflows of resources
related to pensions over the following number of years:
PERS
PFRS
Total
PERS
PFRS
Total
Differences between Expected
and Actual Experience
64,673.00
$
249,904.00
$
314,577.00
$
8,595.00
$
135,800.00
$
144,395.00
$
Changes of Assumptions
4,011.00
6,271.00
10,282.00
36,733.00
116,498.00
153,231.00
Net Difference between Projected
and Actual Earnings on Pension
Plan Investments
-
-
-
149,697.00
31,047.00
180,744.00
Changes in Proportion and Differences
between Contributions and
Proportionate Share of Contributions
552,742.00
372,760.00
925,502.00
420,788.00
96,220.00
517,008.00
Contributions Subsequent to
the Measurement Date
161,653.00
265,673.00
427,326.00
-
-
-
783,079.00
$
894,608.00
$
1,677,687.00
$
615,813.00
$
379,565.00
$
995,378.00
$
Deferred Outflows of Resources
Deferred Inflows of Resources
Deferred
Deferred
Deferred
Deferred
Outflows of
Inflows of
Outflows of
Inflows of
Resources
Resources
Resources
Resources
Differences between Expected
and Actual Experience
Year of Pension Plan Deferral:
June 30, 2019
5.21
-
-
5.92
June 30, 2020
5.16
-
5.90
-
June 30, 2021
-
5.13
-
6.17
June 30, 2022
-
5.04
6.22
-
June 30, 2023
5.08
-
6.16
-
June 30, 2024
5.08
-
6.09
-
Changes of Assumptions
Year of Pension Plan Deferral:
June 30, 2019
-
5.21
-
5.92
June 30, 2020
-
5.16
-
5.90
June 30, 2021
5.13
-
6.17
-
June 30, 2022
-
5.04
-
6.22
PERS
PFRS
-44-
13090
Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
Pension Liabilities, Pension (Benefit) Expense, and Deferred Outflows of Resources and Deferred
Inflows of Resources Related to Pensions (Cont’d)
Deferred Outflows of Resources and Deferred Inflows of Resources (Cont’d) - The Employer will
amortize the other deferred outflows of resources and deferred inflows of resources related to pensions
over the following number of years (Cont’d):
Other amounts included as deferred outflows of resources and deferred inflows of resources related to
pensions will be recognized in future periods as follows:
Deferred
Deferred
Deferred
Deferred
Outflows of
Inflows of
Outflows of
Inflows of
Resources
Resources
Resources
Resources
Difference between Projected
and Actual Earnings on Pension
Plan Investments
Year of Pension Plan Deferral:
June 30, 2020
5.00
-
5.00
-
June 30, 2021
-
5.00
-
5.00
June 30, 2022
5.00
-
5.00
-
June 30, 2023
-
5.00
-
5.00
June 30, 2024
-
5.00
-
5.00
Changes in Proportion
Year of Pension Plan Deferral:
June 30, 2019
5.21
5.21
5.92
5.92
June 30, 2020
5.16
5.16
5.90
5.90
June 30, 2021
5.13
5.13
6.17
6.17
June 30, 2022
5.04
5.04
6.22
6.22
June 30, 2023
5.08
5.08
6.16
6.16
June 30, 2024
5.08
5.08
6.09
6.09
PERS
PFRS
Year Ending
Dec 31,
PERS
PFRS
Total
2025
(122,702.00)
$
(161,165.00)
$
(283,867.00)
$
2026
174,836.00
313,511.00
488,347.00
2027
(88,861.00)
47,440.00
(41,421.00)
2028
35,083.00
21,111.00
56,194.00
2029
7,257.00
26,612.00
33,869.00
Thereafter
-
1,861.00
1,861.00
5,613.00
$
249,370.00
$
254,983.00
$
-45-
13090
Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
Actuarial Assumptions
The net pension liability was measured as of June 30, 2024, and the total pension liability used to calculate
the net pension liability was determined by an actuarial valuation as of July 1, 2023. The total pension
liability was calculated through the use of updated procedures to roll forward from the actuarial valuation
date to the measurement date of June 30, 2024. This actuarial valuation used the following actuarial
assumptions, applied to all periods included in the measurement:
PERS
PFRS
Inflation Rate:
Price
2.75%
2.75%
Wage
3.25%
3.25%
Salary Increases:
2.75% - 6.55%
3.25% - 16.25%
Based on Years of Service
Based on Years of Service
Investment Rate of Return
7.00%
7.00%
Period of Actuarial Experience
Study upon which Actuarial
Assumptions were Based
July 1, 2018 - June 30, 2021
July 1, 2018 - June 30, 2021
Public Employees’ Retirement System
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-2021.
Police and Firemen’s Retirement System
Employee mortality rates were based on the Pub-2010 Safety Employee amount-weighted mortality
table (sex-specific) projected generationally from 2010 with Scale MP-2021 mortality projection. For
healthy annuitants, mortality rates were based on the Pub-2010 Safety Retiree Below Median amount-
weighted mortality table (sex-specific), projected generationally from 2010 with Scale MP-2021
mortality projection. Disability rates were 144% of the Pub-2010 Safety Disabled Retiree amount-
weighted mortality table for males and 100% of the Pub-2010 Safety Disabled Retiree amount-
weighted mortality table for females, projected generationally from 2010 with Scale MP-2021 mortality
projection.
-46-
13090
Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
Actuarial Assumptions (Cont’d)
For both PERS and PFRS, in accordance with State statute, the long-term expected rate of return on Plan
investments (7.00% at June 30, 2024) 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’ and PFRS’ target asset allocation as of June 30,
2024 are summarized in the table that follows:
PERS
Long-Term
PFRS
Long-Term
Target
Expected Real
Target
Expected Real
Asset Class
Allocation
Rate of Return
Asset Class
Allocation
Rate of Return
U.S. Equity
28.00%
8.63%
U.S. Large-Cap Equity
24.00%
6.90%
Non-US Developed Markets Equity
12.75%
8.85%
U.S. Small/Mid Cap Equity
4.00%
7.40%
International Small Cap Equity
1.25%
8.85%
Non-U.S. Developed Large-Cap Equity
9.50%
6.70%
Emerging Market Equity
5.50%
10.66%
Non-U.S. Developed Small-Cap Equity
2.00%
7.50%
Private Equity
13.00%
12.40%
Emerging Markets Large-Cap Equity
6.00%
9.60%
Real Estate
8.00%
10.95%
Emerging Markets Small-Cap Equity
1.50%
9.60%
Real Assets
3.00%
8.20%
U.S. Treasury Bond
7.00%
4.10%
High Yield
4.50%
6.74%
U.S. Corporate Bond
5.00%
5.90%
Private Credit
8.00%
8.90%
U.S. Mortgage-Backed Securities
5.00%
4.40%
Investment Grade Credit
7.00%
5.37%
Global Multisector Fixed Income
6.00%
6.50%
Cash Equivalents
2.00%
3.57%
Cash
2.00%
3.40%
U.S. Treasuries
4.00%
3.57%
Real Estate Core
3.00%
5.10%
Risk Mitigation Strategies
3.00%
7.10%
Real Estate Non-Core
4.00%
6.50%
Infrastructure
3.00%
7.00%
100.00%
Private Debt/Credit
8.00%
9.10%
Private Equity
10.00%
10.10%
100.00%
Discount Rate -
For both PERS and PFRS, the discount rate used to measure the total pension liability was 7.00% as of
June 30, 2024. 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 would be based on 100% 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 all projected future benefit payments of current plan members.
Therefore, the long-term expected rate of return on Plan investments was applied to all projected benefit
payments to determine the total pension liability.
-47-
13090
Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
Sensitivity of Proportionate Share of Net Pension Liability to Changes in the Discount Rate
Public Employees' Retirement System (PERS) - The following presents the Employer’s proportionate
share of the net pension liability as of the June 30, 2024 measurement date, calculated using a discount
rate of 7.00%, as well as what the Employer’s proportionate share of the net pension liability would be if it
were calculated using a discount rate that is 1% lower or 1% higher than the current rates used:
Police and Firemen’s Retirement System (PFRS) - As previously mentioned, PFRS has a special
funding situation, where the State of New Jersey pays a portion of the Employer’s annual required
contribution. As such, the net pension liability as of the June 30, 2024 measurement date, for the Employer
and the State of New Jersey, calculated using a discount rate of 7.00%, as well as using a discount rate
that is 1% lower or 1% higher than the current rates used, is as follows:
Pension Plan Fiduciary Net Position
For purposes of measuring the net pension liability, deferred outflows of resources and deferred inflows
of resources related to pensions, and pension (benefit) expense, information about the respective fiduciary
net position of the PERS and PFRS and additions to/deductions from PERS and PFRS’ respective
fiduciary net position have been determined on the same basis as they are reported by PERS and PFRS.
Accordingly, benefit payments (including refunds of employee contributions) are recognized when due and
payable in accordance with the benefit terms. Investments are reported at fair value.
1%
Current
1%
Decrease
Discount Rate
Increase
(6.00%)
(7.00%)
(8.00%)
Proportionate Share of the
Net Pension Liability
4,289,893.00
$
3,228,508.00
$
2,325,275.00
$
1%
Current
1%
Decrease
Discount Rate
Increase
(6.00%)
(7.00%)
(8.00%)
Proportionate Share of the
Net Pension Liability
5,667,636.00
$
3,966,773.00
$
2,550,327.00
$
State of New Jersey's Proportionate
Share of Net Pension Liability
1,117,362.00
782,041.00
502,791.00
6,784,998.00
$
4,748,814.00
$
3,053,118.00
$
-48-
13090
Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
Supplementary Pension Information
In accordance with GASBS 68, the following information is also presented for the PERS and PFRS pension
plans. These schedules are presented to illustrate the requirements to show information for 10 years.
Schedule of the Proportionate Share of the Net Pension Liability - Public Employees’ Retirement
System (PERS) (Last Ten Plan Years)
Measurement Date Ended June 30,
2024
2023
2022
2021
2020
Proportion of the Net Pension Liability
0.0237599130%
0.0211093338%
0.0245067590%
0.0215940139%
0.0232066458%
Proportionate Share of the Net Pension Liability
3,228,508.00
$
3,057,555.00
$
3,698,407.00
$
2,558,135.00
$
3,784,397.00
$
Covered Payroll (Plan Measurement Period)
1,690,832.00
$
1,652,024.00
$
1,766,152.00
$
1,537,160.00
$
1,719,264.00
$
Proportionate Share of the Net Pension Liability
as a Percentage of Covered Payroll
190.94%
185.08%
209.40%
166.42%
220.12%
Plan Fiduciary Net Position as a Percentage of
the Total Pension Liability
68.22%
65.23%
62.91%
70.33%
58.32%
Measurement Date Ended June 30,
2019
2018
2017
2016
2015
Proportion of the Net Pension Liability
0.0224552050%
0.0228359577%
0.0232063317%
0.0230318876%
0.0243630629%
Proportionate Share of the Net Pension Liability
4,046,087.00
$
4,496,286.00
$
5,368,772.00
$
6,821,384.00
$
5,469,019.00
$
Covered Payroll (Plan Measurement Period)
1,597,844.00
$
1,584,840.00
$
1,534,708.00
$
1,612,160.00
$
1,658,664.00
$
Proportionate Share of the Net Pension Liability
as a Percentage of Covered Payroll
253.22%
283.71%
349.82%
423.12%
329.72%
Plan Fiduciary Net Position as a Percentage of
the Total Pension Liability
56.27%
53.60%
48.10%
40.14%
47.93%
-49-
13090
Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
Supplementary Pension Information (Cont’d)
Schedule of Contributions - Public Employees’ Retirement System (PERS) (Last Ten Years)
Year Ended December 31,
2024
2023
2022
2021
2020
Contractually Required Contribution
323,306.00
$
282,132.00
$
309,042.00
$
252,891.00
$
253,869.00
$
Contribution in Relation to the Contractually
Required Contribution
(323,306.00)
(282,132.00)
(309,042.00)
(252,891.00)
(253,869.00)
Contribution Deficiency (Excess)
-
$
-
$
-
$
-
$
-
$
Covered Payroll (Calendar Year)
1,915,118.00
$
1,840,301.00
$
1,614,795.00
$
1,666,083.00
$
1,602,962.00
$
Contributions as a Percentage of
Covered Payroll
16.88%
15.33%
19.14%
15.18%
15.84%
Year Ended December 31,
2019
2018
2017
2016
2015
Contractually Required Contribution
218,423.00
$
227,144.00
$
213,657.00
$
204,612.00
$
209,457.00
$
Contribution in Relation to the Contractually
Required Contribution
(218,423.00)
(227,144.00)
(213,657.00)
(204,612.00)
(209,457.00)
Contribution Deficiency (Excess)
-
$
-
$
-
$
-
$
-
$
Covered Payroll (Calendar Year)
1,656,554.00
$
1,650,745.00
$
1,587,677.00
$
1,541,245.00
$
1,617,734.00
$
Contributions as a Percentage of
Covered Payroll
13.19%
13.76%
13.46%
13.28%
12.95%
-50-
13090
Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
Supplementary Pension Information (Cont’d)
Schedule of Proportionate Share of the Net Pension Liability - Police and Firemen’s Retirement
System (PFRS) (Last Ten Plan Years)
Measurement Date Ended June 30,
2024
2023
2022
2021
2020
Proportion of the Net Pension Liability
0.0384131600%
0.0384906500%
0.0368546200%
0.0333824893%
0.0339123598%
Proportionate Share of the Net Pension Liability
3,966,773.00
$
4,252,749.00
$
4,218,511.00
$
2,439,977.00
$
4,381,924.00
$
State's Proportionate Share of the Net Pension Liability
782,041.00
783,618.00
750,771.00
686,243.00
680,055.00
Total
4,748,814.00
$
5,036,367.00
$
4,969,282.00
$
3,126,220.00
$
5,061,979.00
$
Covered Payroll (Plan Measurement Period)
1,381,784.00
$
1,381,996.00
$
1,313,332.00
$
1,170,228.00
$
1,162,356.00
$
Proportionate Share of the Net Pension Liability
as a Percentage of Covered Payroll
287.08%
307.73%
321.21%
208.50%
376.99%
Plan Fiduciary Net Position as a Percentage
of the Total Pension Liability
72.66%
70.16%
68.33%
77.26%
63.52%
Measurement Date Ended June 30,
2019
2018
2017
2016
2015
Proportion of the Net Pension Liability
0.0363848277%
0.0323635108%
0.0289767968%
0.0278822129%
0.0320267860%
Proportionate Share of the Net Pension Liability
4,452,709.00
$
4,379,317.00
$
4,473,457.00
$
5,326,216.00
$
5,334,546.00
$
State's Proportionate Share of the Net Pension Liability
703,091.00
594,858.00
501,065.00
447,270.00
467,822.00
Total
5,155,800.00
$
4,974,175.00
$
4,974,522.00
$
5,773,486.00
$
5,802,368.00
$
Covered Payroll (Plan Measurement Period)
1,233,196.00
$
1,073,676.00
$
870,764.00
$
942,168.00
$
1,014,232.00
$
Proportionate Share of the Net Pension Liability
as a Percentage of Covered Payroll
361.07%
407.88%
513.74%
565.31%
525.97%
Plan Fiduciary Net Position as a Percentage
of the Total Pension Liability
65.00%
62.48%
58.60%
52.01%
56.31%
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Notes to Financial Statements (Cont'd)
Note 9: PENSION PLANS (CONT’D)
Supplementary Pension Information (Cont’d)
Schedule of Contributions - Police and Firemen’s Retirement System (PFRS) (Last Ten Years)
Year Ended December 31,
2024
2023
2022
2021
2020
Contractually Required Contribution
531,346.00
$
512,388.00
$
479,314.00
$
389,061.00
$
378,859.00
$
Contribution in Relation to the Contractually
Required Contribution
(531,346.00)
(512,388.00)
(479,314.00)
(389,061.00)
(378,859.00)
Contribution Deficiency (Excess)
-
$
-
$
-
$
-
$
-
$
Covered Payroll (Calendar Year)
1,524,485.00
$
1,398,920.00
$
1,382,078.00
$
1,320,672.00
$
900,200.00
$
Contributions as a Percentage of
Covered Payroll
34.85%
36.63%
34.68%
29.46%
42.09%
Year Ended December 31,
2019
2018
2017
2016
2015
Contractually Required Contribution
367,527.00
$
316,401.00
$
256,450.00
$
227,335.00
$
260,330.00
$
Contribution in Relation to the Contractually
Required Contribution
(367,527.00)
(316,401.00)
(256,450.00)
(227,335.00)
(260,330.00)
Contribution Deficiency (Excess)
-
$
-
$
-
$
-
$
-
$
Covered Payroll (Calendar Year)
1,162,356.00
$
1,186,162.00
$
1,108,037.00
$
939,823.00
$
942,168.00
$
Contributions as a Percentage of
Covered Payroll
31.62%
26.67%
23.14%
24.19%
27.63%
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13090
Notes to Financial Statements (Cont'd)
Note 10: PENSION PLANS (CONT’D)
Supplementary Pension Information (Cont’d)
Other Notes to Supplementary Pension Information
Public Employees’ Retirement System (PERS)
Changes in Benefit Terms
Chapter 249, P.L. 2023 extends provisions of Chapter 498, P.L. 2021 for calendar years 2023 or 2024 to
allow for a temporary return to employment by a former employee of the Legislature after retirement from
PERS.
Changes in Assumptions
The discount rate and long-term expected rate of return used as of June 30 measurement date are as
follows:
Year
Rate
Year
Rate
Year
Rate
Year
Rate
2024
7.00%
2019
6.28%
2024
7.00%
2019
7.00%
2023
7.00%
2018
5.66%
2023
7.00%
2018
7.00%
2022
7.00%
2017
5.00%
2022
7.00%
2017
7.00%
2021
7.00%
2016
3.98%
2021
7.00%
2016
7.65%
2020
7.00%
2015
4.90%
2020
7.00%
2015
7.90%
Discount Rate
Long-term Expected Rate of Return
Police and Firemen’s Retirement System (PFRS)
Changes in Benefit Terms
None.
Changes in Assumptions
The discount rate and long-term expected rate of return used as of June 30 measurement date are as
follows:
Year
Rate
Year
Rate
Year
Rate
Year
Rate
2024
7.00%
2019
6.85%
2024
7.00%
2019
7.00%
2023
7.00%
2018
6.51%
2023
7.00%
2018
7.00%
2022
7.00%
2017
6.14%
2022
7.00%
2017
7.00%
2021
7.00%
2016
5.55%
2021
7.00%
2016
7.65%
2020
7.00%
2015
5.79%
2020
7.00%
2015
7.90%
Discount Rate
Long-term Expected Rate of Return
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13090
Notes to Financial Statements (Cont'd)
Note 10: LENGTH OF SERVICE AWARDS PROGRAM
Plan Description - The Borough’s length of service awards program (the “Plan”), which is a defined
contribution plan reported in the Borough’s trust fund, was created by a Borough Ordinance adopted on
August 2, 1999 pursuant to Section 457(e)(11)(B) of the Internal Service Code of 1986, as amended,
except for provisions added by reason of the length of service award program as enacted into federal law
in 1997. The accumulated assets of the Plan are not administered through a trust that meets the criteria
of paragraph 4 of GASB Statement No. 68, Accounting and Financial Reporting for Pensions - an
amendment of GASB Statement No. 27.
The voters of the Borough approved the adoption of the Plan at the general election held on November 2,
1999, and the first year of eligibility for entrance into the length of service awards program by qualified
volunteers was calendar year 2000. The Plan provides tax deferred income benefits to active volunteer
firefighters and emergency medical personnel, and is administered by Lincoln National Life Insurance
Company (“Plan Administrator”), a State of New Jersey approved length of service awards program
provider. The Borough’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.
The tax deferred income benefits for emergency service volunteers of the Hightstown First Aid Squad and
Hightstown Engine Company No 1, come from contributions made solely by the governing body of the
Borough, on behalf of those volunteers who meet the criteria of the Plan created by that governing body.
Participants should refer to the Plan agreement for a more complete description of the Plan’s provisions.
Plan Amendments - The Borough may make minor amendments to the provisions of the Plan at any time,
provided, however, that no amendment affects the rights of participants or their beneficiaries regarding
vested accumulated deferrals at the time of the amendment. The Plan can only be amended by resolution
of the governing body of the Borough, and the following procedures must be followed: (a) any amendment
to the Plan shall be submitted for review and approval by the Director of Local Government Services, State
of New Jersey (the “Director”) prior to implementation by the Borough's governing body, provided,
however, that any amendment required by the IRS, may be adopted by the Borough’s governing body
without the advance approval of the Director (although such amendment shall be filed with the Director);
(b) the documentation submitted to the Director shall identify the regulatory authority for the amendment
and the specific language of the change; and (c) the Borough shall adopt the amendment by resolution of
the governing body, and a certified copy of the resolution shall be forwarded to the Director. The Borough
may amend the Plan agreement to accommodate changes in the Internal Revenue Code, Federal statutes,
state laws or rules or operational experience. In cases of all amendments to the Plan, the Borough shall
notify all participants in writing prior to making any amendment to the Plan.
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 $100.00 and a maximum
contribution of $1,150.00 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 Borough elected to contribute between $750.00 for the year ended December 31, 2024 per eligible
volunteer, into the Plan, depending on how many years the volunteer has served. Participants direct the
investment of the contributions into various investment options offered by the Plan. The Borough 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.
For the year ended December 31, 2024, the Borough’s total expenditure to the Plan were $20,250.00.
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Notes to Financial Statements (Cont'd)
Note 10: LENGTH OF SERVICE AWARDS PROGRAM (CONT’D)
Participant Accounts - Each participant’s account is credited with the Borough’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 Borough has placed the amounts
deferred, including earnings, in an account maintained by a third-party administrator for the exclusive
benefit of the Plan participants and their beneficiaries. The contributions from the Borough to the Plan,
and the related earnings, are not irrevocable, and such funds are not legally protected from the creditors
of the Borough. These funds, however, are not available for funding the operations of the Borough.
Vesting - The Borough, in accordance with N.J.S.A. 40A:14-188 and N.J.A.C. 5:30-14.62 may make a
yearly contribution to the length of service awards program account in the deferred income program for
an active volunteer who has satisfied the requirements for receipt of an award, but the volunteer
shall not be able to receive a distribution of the funds until the completion of a five year vesting period
or be in accordance with changes to vesting conveyed through the issuance of a Local Finance Notice
and/or publication of a public notice in the New Jersey Register, with payment of that benefit only
being as otherwise permitted by the Plan.
Payment of Benefits - Upon separation from volunteer service, retirement or disability, termination of the
Plan, participants may select various payout options of vested accumulated deferrals, 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.
Forfeited Accounts - For the year ended December 31, 2024, no accounts were forfeited.
Investments - The investments of the length of service awards program reported in the trust - other funds
on the statements of assets, liabilities, reserves, and fund balance - regulatory basis are recorded at fair
value.
Plan Information - Additional information about the Borough’s length of service awards program can be
obtained by contacting the Plan Administrator.
Note 11: POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS
General Information about the State Health Benefit Local Government Retired Employees Plan
Plan Description and Benefits Provided - The Borough does not provide postemployment benefits to
its retirees; however, the State of New Jersey (the “State”) provides these benefits to certain Borough
retirees and their dependents under a special funding situation as described below.
The State, on-behalf of the Borough, contributes to the State Health Benefits Local Government Retired
Employees Plan (the “Plan”), which 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. The Plan meets the
definition of an equivalent arrangement as defined in paragraph 4 of GASB Statement No. 75, Accounting
and Financial Reporting for the Postemployment Benefits Other Than Pensions (GASB Statement No.
75); therefore, assets are accumulated to pay associated benefits. For additional information about the
Plan, please refer to the State of New Jersey (the “State”), Division of Pensions and Benefits’ (the
“Division”)
annual
financial
statements,
which
can
be
found
at
https://www.state.nj.us/treasury/pensions/financial-reports.shtml. As a local participating employer of the
Plan, the Borough is referred to as “Employer” throughout this note.
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13090
Notes to Financial Statements (Cont'd)
Note 11: POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS (CONT’D)
General Information about the State Health Benefit Local Government Retired Employees Plan
(Cont’d)
Plan Description and Benefits Provided (Cont’d) - 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 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.
Special Funding Situation Component - The State of New Jersey makes contributions to cover those
employees eligible under Chapter 330, P.L. 1997. Local employers remit employer contributions on a
monthly basis. Retired member contributions are generally received on a monthly basis. Partially funded
benefits are also available to local police officers and firefighters who retire with 25 years of service or on
disability from an employer who does not provide coverage under the provisions of Chapter 330, P.L.
1997. Upon retirement, these individuals must enroll in the OPEB Plan.
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% 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.
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13090
Notes to Financial Statements (Cont'd)
Note 11: POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS (CONT’D)
General Information about the State Health Benefit Local Government Retired Employees Plan
(Cont’d)
Special Funding Situation Component - 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 is required to disclose in their respective notes to the financial
statements, an expense and corresponding revenue, and their proportionate share of the OPEB expense
allocated to the State under the special funding situation.
The amount of actual contributions to the OPEB Plan made by the State, on-behalf of the Employer, is not
known; however, under the special funding situation, the State’s OPEB expense, on-behalf of the
Employer, is ($567,649.00) for the year ended December 31, 2024, representing 37.24% of the Employer’s
covered payroll.
OPEB Liability
At December 31, 2024, the State’s proportionate share of the net OPEB liability associated with the
Employer was $6,168,761.00. The net OPEB liability was measured as of June 30, 2024, and the total
OPEB liability used to calculate the net OPEB liability was determined by an actuarial valuation as of July
1, 2023, which was rolled forward to June 30, 2024.
The State’s proportion of the net OPEB liability, associated with the Employer, was based on the ratio of
the Plan members of an individual employer to the total members of the Plan’s special funding situation
during the measurement period July 1, 2023 through June 30, 2024. For the June 30, 2024 measurement
date, the State’s proportion on-behalf of the Employer was .126496%, which was a decrease of .005564%
from its proportion measured as of the June 30, 2023 measurement date.
Actuarial Assumptions
The actuarial assumptions vary for each plan member depending on the pension plan in which the member
is enrolled. The actuarial valuation as of July 1, 2023, which was rolled forward to June 30, 2024, used
the following actuarial assumptions, applied to all periods in the measurement:
Salary Increases *
PFRS – Rates for all future years
3.25% to 16.25% based on years of service
Mortality
Pre-Retirement Healthy – PFRS
Post-Retirement Healthy – Chapter 330 Retirees
Disabled Retiree – PFRS Future Retirees
Disabled Retiree – Chapter 330 Retirees
PUB-2010 “Safety” classification headcount-
weighted mortality table with fully generational
mortality improvement projections from the
central year using Scale MP-2021
* salary increases are based on years of service within the respective Plan.
Actuarial assumptions used in the valuation were based on the results of the PFRS experience study
prepared for July 1, 2018 to June 30, 2021.
100% of active members are considered to participate in the Plan upon retirement.
All of the Plan’s investments are in the State of New Jersey Cash Management Fund (the “CMF”). The
New Jersey Division of Investments manages the CMF, which is available on a voluntary basis for
investment by State and certain non-State participants. The CMF is considered to be an investment trust
fund as defined in GASB Statement No. 31, Certain Investments and External Investment Pools.
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Notes to Financial Statements (Cont'd)
Note 11: POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS (CONT’D)
Actuarial Assumptions (Cont’d)
The CMF invests in U.S. government and agency obligations, commercial paper, corporate obligations
and certificates of deposit. Units of ownership in the CMF may be purchased or redeemed on any given
business day (excluding State holidays) are the unit cost of value of $1.00. Participant shares are valued
on a fair value basis. The CMF pay interest to participants on a monthly basis.
Discount Rate - The discount rate used to measure the OPEB liability at June 30, 2024 was 3.93%. This
represents the municipal bond return rate as chosen by the State. The source is the Bond Buyer Go 20-
Bond Municipal Bond Index, which includes tax-exempt general obligation municipal bonds with an
average rating of AA/Aa or higher. As the long-term rate of return is less than the municipal bond rate, it
is not considered in the calculation of the discount rate, rather the discount rate is set at the municipal
bond rate.
The health care trend assumptions used is as follows:
Fiscal Year
Ending
Pre-65
PPO Post-65
HMO Post-65
Pre-65
Post-65
EGWP
2025
7.50%
2.42%
2.25%
12.75%
12.25%
21.78%
2026
7.00%
19.38%
20.15%
12.25%
11.75%
10.92%
2027
6.50%
22.62%
23.58%
11.25%
10.75%
8.19%
2028
6.00%
14.93%
15.47%
10.00%
9.75%
9.79%
2029
5.50%
12.87%
13.31%
9.00%
9.00%
8.92%
2030
5.25%
11.35%
11.71%
8.00%
8.00%
5.74%
2031
5.00%
10.16%
10.46%
7.00%
7.00%
4.87%
2032
4.75%
9.18%
9.44%
6.00%
6.00%
6.00%
2023
4.50%
6.54%
6.65%
5.00%
5.00%
5.00%
2034 and Later
4.50%
4.50%
4.50%
4.50%
4.50%
4.50%
Annual Rate of Increase
Medical Trend
Prescription Drug Trend
Sensitivity of the Net OPEB Liability to Changes in the Discount Rate
The net OPEB liability, calculated using a discount rate of 3.93%, as well as using a discount rate that is
1% lower or 1% higher than the current rate used, is as follows:
1%
Current
1%
Decrease
Discount Rate
Increase
(2.93%)
(3.93%)
(4.93%)
State of New Jersey's Proportionate Share
of the Net OPEB Liability Associated
with the Employer
7,185,942.00
$
6,168,761.00
$
5,354,090.00
$
-58-
13090
Notes to Financial Statements (Cont'd)
Note 11: POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS (CONT’D)
Sensitivity of the Net OPEB Liability to Changes in the Healthcare Cost Trend Rate
The net OPEB liability, using a healthcare cost trend rate that is 1% lower or 1% higher than the current
healthcare cost trend rate used, is as follows:
OPEB Plan Fiduciary Net Position
For purposes of measuring the net OPEB liability, deferred outflows of resources and deferred inflows of
resources related to OPEB, and OPEB (benefit) expense, information about the respective fiduciary net
position of the State Health Benefits Local Government Retired Employees Plan and additions
to/deductions from the Plan’s respective fiduciary net position have been determined on the same basis
as they are reported by the Plan. Accordingly, contributions (including refunds of employee contributions)
are recognized when due and payable in accordance with the benefit terms. Investments are reported at
fair value.
Supplementary OPEB Information
In accordance with GASBS No. 75, the following information is also presented for the State Health Benefits
Local Government Retired Employees Plan. These schedules are presented to illustrate the requirements
to show information for 10 years; however, until a full 10-year trend is compiled, this presentation will only
include information for those years for which information is available.
1%
Healthcare Cost
1%
Decrease
Trend Rate
Increase
State of New Jersey's Proportionate Share
of the Net OPEB Liability Associated
with the Employer
5,217,513.00
$
6,168,761.00
$
7,391,799.00
$
-59-
13090
Notes to Financial Statements (Cont'd)
Note 11: POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS (CONT’D)
Supplementary OPEB Information (Cont’d)
Schedule of the State’s Proportionate Share of the Net OPEB Liability Associated with the
Employer (Last Eight Plan Years)
2024
2023
2022
2021 (a)
Proportion of the Net OPEB Liability
0.00%
0.00%
0.00%
0.00%
State's Proportionate Share of the Net OPEB Liability
Associated with the Employer
100.00%
100.00%
100.00%
100.00%
Total
100.00%
100.00%
100.00%
100.00%
Proportionate Share of the Net OPEB Liability
-
$
-
$
-
$
-
$
State's Proportionate Share of the Net OPEB Liability
Associated with the Employer
6,168,761.00
4,607,696.00
4,720,061.00
4,833,279.00
Total
6,168,761.00
$
4,607,696.00
$
4,720,061.00
$
4,833,279.00
$
Covered Payroll (Plan Measurement Period)
1,479,330.00
$
1,368,972.00
$
1,361,417.00
$
1,258,706.00
$
Proportionate Share of the Net OPEB
Liability as a Percentage of Covered Payroll
0.00%
0.00%
0.00%
0.00%
State's Proportionate Share of the Net OPEB Liability
as a Percentage of Covered Payroll
417.00%
336.58%
346.70%
383.99%
Plan Fiduciary Net Position as a Percentage of the
Total OPEB Liability
-0.89%
-0.79%
-0.36%
0.28%
2020
2019
2018
2017
Proportion of the Net OPEB Liability
0.00%
0.00%
0.00%
0.00%
State's Proportionate Share of the Net OPEB Liability
Associated with the Employer
100.00%
100.00%
100.00%
100.00%
Total
100.00%
100.00%
100.00%
100.00%
Proportionate Share of the Net OPEB Liability
-
$
-
$
-
$
-
$
State's Proportionate Share of the Net OPEB Liability
Associated with the Employer
4,946,498.00
3,892,372.00
5,029,486.00
6,560,254.00
Total
4,946,498.00
$
3,892,372.00
$
5,029,486.00
$
6,560,254.00
$
Covered Payroll (Plan Measurement Period)
292,557.00
$
861,728.00
$
1,187,747.00
$
1,051,395.00
$
Proportionate Share of the Net OPEB
Liability as a Percentage of Covered Payroll
0.00%
0.00%
0.00%
0.00%
State's Proportionate Share of the Net OPEB Liability
as a Percentage of Covered Payroll
1690.78%
451.69%
423.45%
623.96%
Plan Fiduciary Net Position as a Percentage of the
Total OPEB Liability
0.91%
1.98%
1.97%
1.03%
(a) The Proportionate Share of the June 30, 2021 Net OPEB Liability was adjusted within the June 30, 2022 Plan Audit.
Measurement Date Ended June 30,
Measurement Date Ended June 30,
-60-
13090
Notes to Financial Statements (Cont'd)
Note 11: POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS (CONT’D)
Other Notes to Supplementary OPEB Information
Changes in Benefit Terms - The actuarial valuation as of July 1, 2023, which was rolled forward to June
30, 2024, included changes due to employers adopting and /or changing Chapter 48 provisions.
Changes in Assumptions - The discount rate used as of the June 30 measurement date is as follows:
Year
Rate
Year
Rate
2024
3.93%
2020
2.21%
2023
3.65%
2019
3.50%
2022
3.54%
2018
3.87%
2021
2.16%
2017
3.58%
The expected investment rate of return is based on guidance provided by the State. These expected rates
of return are the same as the discount rates listed above.
In addition to changes in the discount rate, other factors that affected the valuation of the net OPEB liability
included changes in the trend update.
There were no changes to mortality projections.
Note 12: COMPENSATED ABSENCES
The Borough has contractual agreements with two unions, which allow employees, upon retirement, to be
compensated for unused sick time. Employees who retire will receive a lump sum payment for unused
sick time at the latest daily rate for every full day earned an unused in an amount not to exceed $15,000.00,
credited on their employment records and certified by the Borough on the effective date of their retirement,
at the prevailing rate of pay at the time of retirement.
Other union employees, upon retirement and depending upon their respective agreement, will be
compensated at the rate of one day for every full day earned an unused, at the current rate of pay at the
time of retirement, but not to exceed $15,000.00. A similar policy exists for non-union employees.
All vacation time earned by employees can be carried over subject to a five (5) day limit and is to be paid
to the employee, upon termination with the Borough, at the current rate of pay.
The Borough’s estimated total liability for unused sick and unused vacation time at December 31, 2024 is
$363,431.27.
Note 13: DEFERRED COMPENSATION SALARY ACCOUNT
The Borough 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 benefit of participating
employees and not be accessible by the Borough or its creditors. Since the Borough does not have a
fiduciary relationship with the Plan, the balances and activities of the Plan are not reported in the Borough’s
financial statements.
-61-
13090
Notes to Financial Statements (Cont'd)
Note 14: CAPITAL DEBT
General Improvement Bonds
General Obligation Bonds, Series 2018 - On September 27, 2018, the Borough issued $4,960,000.00 of
general obligation bonds, with interest rates ranging from 3.00% to 5.00%. The bonds were issued for the
purpose of funding various general capital improvements in the Borough. The final maturity of the bonds
is April 1, 2030.
The following schedule represents the remaining debt service, through maturity, for the general
improvement bonds:
General Debt - New Jersey Green Acres Loans
On June 10, 2011, the Borough entered into a loan agreement with the New Jersey Department of
Environmental Protection to provide a $156,250.00 loan, at an interest rate of 2.0%. The proceeds were
used to fund Peddie Lake Dam Restoration. Semiannual debt payments are due June 10th and December
10th through 2030.
The following schedule represents the remaining debt service, through maturity, for the New Jersey Green
Acres loans:
Water-Sewer Improvement Bonds
General Obligation Bonds, Series 2018 - On September 27, 2018, the Borough issued $875,000.00 of
general obligation bonds, with interest rates ranging from 3.00% to 5.00%. The bonds were issued for the
purpose of funding various water-sewer capital improvements in the Borough. The final maturity of the
bonds is April 1, 2030.
Year
Principal
Interest
Total
2025
480,000.00
$
79,200.00
$
559,200.00
$
2026
480,000.00
61,200.00
541,200.00
2027
480,000.00
48,000.00
528,000.00
2028
480,000.00
33,600.00
513,600.00
2029
480,000.00
19,200.00
499,200.00
2030
400,000.00
6,000.00
406,000.00
Totals
2,800,000.00
$
247,200.00
$
3,047,200.00
$
Year
Principal
Interest
Total
2025
8,940.92
$
984.56
$
9,925.48
$
2026
9,120.63
804.84
9,925.47
2027
9,303.95
621.51
9,925.46
2028
9,490.96
434.50
9,925.46
2029
9,681.73
243.74
9,925.47
2030
4,913.60
49.14
4,962.74
Totals
51,451.79
$
3,138.29
$
54,590.08
$
-62-
13090
Notes to Financial Statements (Cont'd)
Note 14: CAPITAL DEBT (CONT’D)
Water-Sewer Improvement Bonds (Cont’d)
Water-Sewer Utility Refunding Bonds, Series 2018 - On November 27, 2018, the Borough issued
$1,040,000.00 of water-sewer refunding bonds, with and interest rate of 3.342%, to refund $1,000,000.00
of General Obligation Bonds, Series 2002. The final maturity of the bonds is March 1, 2028.
The following schedule represents the remaining debt service, through maturity, for the general
improvement bonds:
Water-Sewer - New Jersey Environmental Infrastructure Loans
On March 10, 2010, the Borough entered into a loan agreement with the New Jersey Environmental
Infrastructure Trust to provide $1,451,250.00, at no interest, from the fund loan, and $495,000.00 at
interest rates ranging from 3.40% to 5.00% from the trust loan. Semiannual debt payments are due
February 1st and August 1st through 2029.
On May 16, 2012, the Borough entered into a loan agreement with the New Jersey Environmental
Infrastructure Trust to provide $813,055.00, at no interest, from the fund loan, and $283,382.00 at interest
rates ranging from 0.22% to 3.14% from the trust loan. Semiannual debt payments are due February 1st
and August 1st through 2031.
On May 16, 2012, the Borough entered into a loan agreement with the New Jersey Environmental
Infrastructure Trust to provide $685,482.00, at no interest, from the fund loan, and $238,918.00 at interest
rates ranging from 0.22% to 3.14% from the trust loan. Semiannual debt payments are due February 1st
and August 1st through 2033.
On May 22, 2018, the Borough entered into a loan agreement with the New Jersey Environmental
Infrastructure Trust to provide $963,975.00, at no interest, from the fund loan, and $330,000.00 at interest
rates ranging from 3.00% to 5.00% from the trust loan. Semiannual debt payments are due February 1st
and August 1st through 2047.
On June 23, 2022, the Borough entered into a loan agreement with the New Jersey Environmental
Infrastructure Trust to provide $324,073.00, at no interest, from the fund loan, and $315,000.00 at interest
rates ranging from 3.25% to 5.00% from the trust loan. Semiannual debt payments are due February 1st
and August 1st through 2051.
On June 23, 2023, the Borough entered into a loan agreement with the New Jersey Environmental
Infrastructure Trust to provide $145,378.00, at no interest, from the fund loan, and $125,538.00 at interest
rates ranging from 3.03% to 5.00% from the trust loan. Semiannual debt payments are due February 1st
and August 1st through 2038.
Year
Principal
Interest
Total
2025
175,000.00
$
24,279.90
$
199,279.90
$
2026
175,000.00
18,125.40
193,125.40
2027
175,000.00
12,720.90
187,720.90
2028
170,000.00
7,212.45
177,212.45
2029
75,000.00
3,375.00
78,375.00
2030
75,000.00
1,125.00
76,125.00
Totals
845,000.00
$
66,838.65
$
911,838.65
$
-63-
13090
Notes to Financial Statements (Cont'd)
Note 14: CAPITAL DEBT (CONT’D)
Water-Sewer - New Jersey Environmental Infrastructure Loans (Cont’d)
The following schedule represents the remaining debt service, through maturity, for the New Jersey
Environmental Infrastructure loans:
The following schedule represents the Borough’s summary of debt for the current and two previous years:
Year
Principal
Interest
Total
2025
296,391.85
$
42,018.60
$
338,410.45
$
2026
302,022.85
39,018.52
341,041.37
2027
302,695.85
35,875.48
338,571.33
2028
308,539.85
32,560.10
341,099.95
2029
314,437.14
29,143.22
343,580.36
2030-2034
676,467.21
105,476.06
781,943.27
2035-2039
412,273.06
70,951.94
483,225.00
2040-2044
357,086.55
46,106.26
403,192.81
2045-2049
222,629.08
19,675.00
242,304.08
2050-2051
56,848.14
2,200.00
59,048.14
Totals
3,249,391.58
$
423,025.18
$
3,672,416.76
$
2024
2023
2022
Issued
General:
Bonds, Loans and Notes
6,932,451.79
$
7,011,216.53
$
6,491,808.57
$
Water-Sewer Utility:
Bonds, Loans and Notes
5,372,391.58
5,730,895.38
6,182,335.09
Total Issued
12,304,843.37
12,742,111.91
12,674,143.66
Authorized but not Issued
General:
Bonds, Loans and Notes
2,561,699.97
1,910,909.97
2,400,692.09
Water-Sewer Utility:
Bonds, Loans and Notes
7,198,541.00
6,045,220.00
2,918,477.00
Total Authorized but not Issued
9,760,240.97
7,956,129.97
5,319,169.09
Total Issued and Authorized
but not Issued
22,065,084.34
20,698,241.88
17,993,312.75
Deductions
General:
Reserve for Debt Service
15,211.88
15,211.88
15,211.88
Water-Sewer Utility:
Self-Liquidating
11,728,183.18
9,033,229.38
9,100,812.09
Total Deductions
11,743,395.06
9,048,441.26
9,116,023.97
Net Debt
10,321,689.28
$
11,649,800.62
$
8,877,288.78
$
-64-
13090
Notes to Financial Statements (Cont'd)
Note 14: CAPITAL DEBT (CONT’D)
The summarized statement of debt condition which follows is prepared in accordance with the required
method of setting up the annual debt statement and indicated a statutory net debt of 1.749%.
Net debt $10,321,689.28 divided by the equalized valuation basis per N.J.S.A.40A:2-2, as amended,
$590,258,804.00, equals 1.749%.
Summary of Statutory Debt Condition - Annual Debt Statement
A revised Annual Debt Statement should be filed by the Chief Financial Officer.
Gross Debt
Deductions
Net Debt
Regional School Purposes
1,335,661.23
$
1,335,661.23
$
Self-Liquidating
12,570,932.58
11,728,183.18
842,749.40
$
General
9,494,151.76
15,211.88
9,478,939.88
23,400,745.57
$
13,079,056.29
$
10,321,689.28
$
Borrowing Power Under N.J.S.A. 40A:2-6 as Amended
3 1/2% of Equalized Valuation Basis (Municipal)
20,659,058.14
$
Less: Net Debt
10,321,689.28
Remaining Borrowing Power
10,337,368.86
$
Calculation of "Self-Liquidating Purpose,"
Water-Sewer Utility Per N.J.S.A. 40:2-45
Cash Receipts from Fees, Rents, Fund Balance
Anticipated, Interest and Other Investment
Income, and Other Charges for the Year
3,092,982.63
$
Deductions:
Operating and Maintenance Costs
2,526,649.00
$
Debt Service
608,471.10
Total Deductions
3,135,120.10
Deficit in Revenue
(42,137.47)
$
-65-
13090
Notes to Financial Statements (Cont'd)
Note 15: DEFERRED CHARGES TO BE RAISED IN SUCCEEDING BUDGETS
Certain expenditures are required to be deferred to budgets of succeeding years. At December 31, 2024,
the following deferred charges are shown on the statement of assets, liabilities, reserves and fund balance
of the following fund(s):
The appropriations in the 2025 Budget as adopted are not less than that required by the statutes.
Note 16: RISK MANAGEMENT
The Borough 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.
New Jersey Unemployment Compensation Insurance - The Borough has elected to fund its New
Jersey Unemployment Compensation Insurance under the "Benefit Reimbursement Method". Under this
plan, the Borough is required to reimburse the New Jersey Unemployment Trust Fund for benefits paid to
its former employees and charged to its account with the State. The Borough is billed quarterly for amounts
due to the State.
The following is a summary of the activity and the ending balance of the Borough's trust fund for the current
and previous two years:
It is estimated that unreimbursed payments on behalf of the Borough at December 31, 2024 are $4,750.00.
Joint Insurance Pool - The Borough is a member of the Statewide Joint Insurance Fund. The Fund
provides its members with the following coverage:
Workers' Compensation including Employer's Liability
General Liability including Police Professional and Employee Benefit Liability
Automobile Liability
Blanket Crime including Public Employee Dishonesty
Property Including Boiler and Machinery
Public Officials and Employment Practices Liability
Volunteer Directors and Officers Liability
Cyber Liability
2025
Balance
Budget
Description
December 31, 2024
Appropriation
Water-Sewer Utility Operating Fund:
Deficit in Operations
595.27
$
595.27
$
Water-Sewer Utility Capital Fund:
Overexpenditure of Ordinance
63,601.50
63,601.50
Borough
Employee
Interest
Amount
Ending
Year
Contributions
Contributions
Earnings
Reimbursed
Balance
2024
-
$
-
$
1,308.63
$
699.66
$
82,603.55
$
2023
7,000.00
7,816.45
918.40
1,631.62
81,994.58
2022
7,000.00
2,414.33
359.00
967.07
67,891.35
-66-
13090
Notes to Financial Statements (Cont'd)
Note 16: RISK MANAGEMENT (CONT’D)
Joint Insurance Pool (Cont’d) - The following coverages are provided to the Fund’s member local units
by their membership in the Municipal Excess Liability Joint Insurance Fund (MEL):
Excess Workers' Compensation
Excess General Liability
Non-Owned Aircraft Liability
Excess Auto Liability
Fidelity and Performance (Blanket)
Excess Property including Boiler and Machinery
Crime including Excess Public Employee and Public Official Coverage
Environmental Impairment Liability coverage is provided to the Fund’s member local units by the Fund’s
membership in the New Jersey Municipal Environmental Risk Management Fund.
Contributions to the Fund, including a reserve for contingencies, are payable in two installments and are
based on actuarial assumptions determined by the Fund's actuary. The Commissioner of Banking and
Insurance may order additional assessments to supplement the Fund's claim, loss retention, or
administrative accounts to assure the payment of the Fund's obligations.
The Borough’s agreement with the Pool provides that the Pool will be self-sustaining through member
premiums and will reinsure through the Municipal Excess Liability Joint Insurance Fund, which is an
insurance pool formed by all the other joint insurance funds.
For more information regarding claims, coverages and deductibles, the Fund publishes its own financial
report which can be obtained from:
Statewide Joint Insurance Fund
One Sullivan Way, Suite 100
Parscippany, New Jersey 07054
Note 17: CONTINGENCIES
Grantor Agencies - Amounts received or receivable from grantor agencies could be subject to audit and
adjustment by grantor agencies. Any disallowed claims, including amounts already collected, may
constitute a liability of the applicable funds. The amount, if any, of expenditures which may be disallowed
by the grantor cannot be determined at this time, although the Borough expects such amount, if any, to be
immaterial.
Litigation - The Borough is a defendant in several legal proceedings that are in various stages of litigation.
It is believed that the outcome, or exposure to the Borough, from such litigation is either unknown or
potential losses, if any, would not be material to the financial statements.
Note 18: CONCENTRATIONS
The Borough depends on financial resources flowing from, or associated with, both the federal government
and the State of New Jersey. As a result of this dependency, the Borough is subject to changes in specific
flows of intergovernmental revenues based on modifications to federal and State laws and federal and
State appropriations.
-67-
13090
Notes to Financial Statements (Cont'd)
Note 19: TAX ABATEMENTS
As of December 31, 2024, the Borough entered into a property tax abatement agreement with the
Hightstown Housing Authority under the state Economic Development Opportunity Act of 2013. Under the
Act, municipalities may grant property tax abatements of up to fifty percent (50%) of a business' property
tax bill for the purpose of attracting or retaining businesses within their jurisdictions. The abatements may
be granted to any business located within or promising to relocate to the Borough.
For the year ended December 31, 2024, the Borough abated property taxes totaling $57,258.34 under this
program.
Note 20: SUBSEQUENT EVENTS
Authorization of Debt - Subsequent to December 31, the Borough authorized additional bonds and notes
as follows:
Purpose
Adoption
Authorization
General Improvements:
Improvements to Maxwell Avenue Supplemental Appropriation
07/21/25
200,000.00
$
Improvements to Dutch Neck Road
09/15/25
580,000.00
Various Capital Improvements
10/06/25
595,000.00
Water-Sewer Utility Improvements:
Improvements to the Water Treatment Plant
05/05/25
1,140,000.00
Improvements to the Water Treatment Plant
10/06/25
1,515,000.00
-68-
SUPPLEMENTAL EXHIBITS
SUPPLEMENTAL EXHIBITS
CURRENT FUND
13090
Exhibit SA-1
Statement of Current Cash
Per N.J.S.A.40A:5-5 -- Chief Financial Officer
Current Fund
Grant Fund
Balance Dec. 31, 2023
5,206,247.21
$
9,436.47
$
Increased by Receipts:
Taxes Receivable
19,321,264.33
$
Tax Overpayments
16,480.14
Prepaid Taxes
90,276.84
Revenue Accounts Receivable
2,033,063.70
Miscellaneous Revenue not Anticipated
149,725.49
Due from State of New Jersey, Ch. 20, P.L. 1971
15,750.00
Refund of Current Year Appropriations
253,420.39
Due State of New Jersey:
DCA Training Fees
15,908.00
Marriage License Fees
800.00
Lead Paint Fees
4,800.00
Due Grant Fund:
Collected On-Bahalf of:
Grants Receivable
1,395.83
Unappropriated Grants
7,043.88
Due from General Capital Fund:
Collected On-Bahalf of:
Bond Anticipation Note
500,000.00
Premium on Sale of Notes
1,633.47
Grant Receivable - Orchard, Clover & S. Main (22-11)
375,000.00
Due from Water-Sewer Utility Operating Fund:
Interfund Liquidated
1,400,000.00
Due from Water-Sewer Capital Fund:
Bond Anticipation Note
123,000.00
Premium on Sale of Notes
511.53
Reserve for Sale of Assets
427,256.00
Contra
4,736,000.00
Due Regular Fund
1,074.62
$
Grants Receivable
45,076.34
Unappropriated Grants
11,211.88
29,473,329.60
57,362.84
34,679,576.81
66,799.31
Decreased by Disbursements:
Current Year Appropriations
7,779,236.80
Appriproiation Reserves
249,036.10
Accounts Payable
22,348.99
County Taxes Payable
3,640,711.56
Regional School Taxes Payable
9,253,387.00
Tax Overpayments
12,623.67
Due State of New Jersey:
DCA Training Fees
16,896.00
Marriage License Fees
1,075.00
Refund of Prior Year Revenue
150.00
Due Grant Fund:
Appropriated Grants Disbursed On-behalf of
28,000.00
Due Trust Fund Other:
Reserve Funds Disbursed On-Behalf of
205,919.67
Due General Capital Fund:
Improvement Authorizations Disbursed On-Behalf of
1,341,084.31
Interfund Advanced
46,000.00
Due Water-Sewer Operating Fund:
Disbursed On-behalf of
1,272,644.99
Interfund Advanced
361,157.00
Due Water-Sewer Capital Fund:
Improvement Authorizations Disbursed On-Behalf of
488,015.84
Increase Tax Office Change Fund
100.00
Contra
4,736,000.00
Grants Appropriated
11,445.84
Due Regular Fund
16,914.33
29,454,386.93
28,360.17
Balance Dec. 31, 2024
5,225,189.88
$
38,439.14
$
BOROUGH OF HIGHTSTOWN
CURRENT FUND
For the Year Ended December 31, 2024
-71-
13090
Exhibit SA-2
REGULAR FUND
Statement of Due to State of New Jersey CH. 20, P.L. 1971
Balance Dec. 31, 2023
682.88
$
Increased by:
Collections
15,750.00
$
2023 Senior Citizens' and Veterans' Deductions Disallowed by Collector
470.55
16,220.55
16,903.43
Decreased by:
2024 Senior Citizens' and Veterans' Deductions per Tax Billing
16,000.00
2024 Senior Citizens' and Veterans' Deductions Allowed by Collector
500.00
16,500.00
Less:
2024 Senior Citizens' and Veterans' Deductions Disallowed by Collector
708.90
15,791.10
Balance Dec. 31, 2024
1,112.33
$
For the Year Ended December 31, 2024
BOROUGH OF HIGHTSTOWN
-72-
13090
Exhibit SA-3
BOROUGH OF HIGHTSTOWN
REGULAR FUND
Statement of Taxes Receivable and Analysis of Property Tax Levy
Due from
Transferred
Balance
Added
State of
Overpayments
to Tax
Balance
Year
Dec. 31, 2023
2024 Levy
Taxes
2023
2024
New Jersey
Applied
Title Liens
Dec. 31, 2024
2022
2,683.23
$
2,683.23
$
2023
289,191.83
470.55
$
289,441.83
220.55
$
291,875.06
-
470.55
-
292,125.06
-
220.55
-
-
2024
-
19,355,292.87
$
-
91,515.27
$
19,029,139.27
15,791.10
$
621.11
17,229.15
$
200,996.97
$
291,875.06
$
19,355,292.87
$
470.55
$
91,515.27
$
19,321,264.33
$
15,791.10
$
841.66
$
17,229.15
$
200,996.97
$
Analysis of 2024 Tax Levy
Tax Yield
General Purpose Tax
19,333,289.55
$
Added / Omitted Taxes
22,003.32
19,355,292.87
$
Tax Levy
Regional School District Tax
9,253,387.00
$
County Taxes:
General County Tax
3,170,877.49
$
County Library Tax
295,716.16
County Open Space Tax
174,117.90
3,640,711.55
County for Added and Omitted Taxes
3,419.89
Total County Taxes
3,644,131.44
Local Tax for Municipal Purposes
6,439,191.00
Additional Tax Levied
18,583.43
Local Tax for Municipal Purposes Levied
6,457,774.43
19,355,292.87
$
Collections
For the Year Ended December 31, 2024
-73-
13090
Exhibit SA-4
BOROUGH OF HIGHTSTOWN
REGULAR FUND
Statement of Tax Title Liens Receivable
Balance Dec. 31, 2023
257,921.53
$
Increased by:
Transferred from Taxes Receivable
17,229.15
275,150.68
Decreased by:
Cancelled
10,600.00
Balance Dec. 31, 2024
264,550.68
$
Exhibit SA-5
REGULAR FUND
Balance Dec. 31, 2023
64,708.24
$
Increased by:
Transferred from Appropriation Reserves
69,446.49
134,154.73
Decreased by:
Disbursed
22,348.99
Balance Dec. 31, 2024
111,805.74
$
For the Year Ended December 31, 2024
For the Year Ended December 31, 2024
Statement of Accounts Payable
-74-
13090
Exhibit SA-6
Statement of Revenue Account Receivable
Balance
Accrued
Balance
Dec. 31, 2023
in 2024
Collections
Dec. 31, 2024
Miscellaneous Revenues:
Local Revenues:
Licenses -- Alcoholic Beverages
7,500.00
$
7,500.00
$
Licenses -- Other
16,030.00
16,030.00
Fees and Permits -- Other
15,678.00
15,678.00
Fines and Costs -- Municipal Court
11,649.94
$
158,699.08
162,842.12
7,506.90
$
Interest and Costs on Taxes
75,401.53
75,401.53
Interest on Investments and Deposits
213,565.92
213,565.92
Lease of Borough Owned Cell Tower
80,093.72
80,093.72
State Aid Without Offsetting Appropriations:
Energy Receipts Taxes
509,554.82
509,554.82
Dedicated Uniform Construction Code Fees Offset with
Appropriations (N.J.S.A. 40A:4-36 and N.J.A.C. 5:23-4.17):
Uniform Construction Code Fees
253,171.00
253,171.00
Shared Service Agreements Offset with Appropriations:
Roosevelt Borough Trash Collection
76,184.10
76,184.10
Roosevelt Borough Trash Collection - Landfill Costs
2,043.27
29,242.70
29,203.99
2,081.98
Other Special Items:
Uniform Fire Safety Act
12,014.46
12,014.46
CATV Franchise Fee
26,119.39
26,119.39
Verizon Franchise Fee
27,583.89
27,583.89
Hightstown Housing Authority - Payment in Lieu of Taxes
30,775.06
30,775.06
The Peddie School - Gift
24,000.00
24,000.00
Sale of Assets N.J.S.A. 40A:4-45.3 (dd)
361,157.00
361,157.00
Sale of Assets
116,767.00
116,767.00
13,693.21
$
2,033,537.67
$
2,037,642.00
$
9,588.88
$
Cash Receipts
2,033,063.70
$
Interest Earnings Due from:
Animal Control Fund
207.05
Trust Other Fund - TTL
2,225.83
General Capital Fund
2,145.42
2,037,642.00
$
BOROUGH OF HIGHTSTOWN
REGULAR FUND
For the Year Ended December 31, 2024
-75-
13090
Exhibit SA-7
Balance
After
Paid or
Balance
Encumbered
Reserved
Modification
Charged
Lapsed
GENERAL GOVERNMENT FUNCTIONS
Municipal Clerk
Salaries and Wages
1,388.59
$
1,388.59
$
1,388.59
$
Other Expenses
160.00
$
10,342.26
10,502.26
5,019.04
$
5,483.22
General Administration
Salaries and Wages
2,368.55
2,368.55
2,368.55
Other Expenses
453.00
453.00
37.50
415.50
Mayor & Council
Salaries and Wages
0.28
0.28
0.28
Other Expenses
1,120.75
1,120.75
49.00
1,071.75
Elections
Other Expenses
5,500.00
5,500.00
1,880.32
3,619.68
Office Supplies & Paper Products
Other Expenses
362.15
4,587.18
4,949.33
833.29
4,116.04
Financial Administration
Salaries and Wages
2,676.34
2,676.34
2,676.34
Other Expenses
1,600.00
3,196.61
4,796.61
1,960.00
2,836.61
Audit Services
Other Expenses
16,000.00
16,000.00
12,550.00
3,450.00
Grant Writing and Administration
Other Expenses
4,616.60
4,616.60
4,616.60
Data processing/Info Tech
Other Expenses
54,656.64
54,656.64
16,233.15
38,423.49
Assessment of Taxes
Salaries and Wages
23.29
23.29
23.29
Other Expenses
945.90
945.90
945.90
Interest on Tax Appeals
Other Expenses
100.00
100.00
100.00
Collection of Taxes
Salaries and Wages
4,979.65
4,979.65
4,979.65
Other Expenses
225.00
2,801.02
3,026.02
597.52
2,428.50
Legal Services and Costs
Other Expenses
4,736.98
7,209.09
11,946.07
11,759.18
186.89
Historical Commision
Other Expenses
2,872.50
2,872.50
2,872.50
Municipal Land Use Board:
Salaries and Wages
233.38
233.38
233.38
Other Expenses
240.00
15,149.38
15,389.38
1,041.66
14,347.72
Municipal Court
Salaries and Wages
39.08
39.08
39.08
Other Expenses
30,173.43
30,173.43
1,000.25
29,173.18
Municipal Prosecutor
Salaries and Wages
14,400.00
14,400.00
14,400.00
INSURANCE
Insurance Deductibles
11,428.72
11,428.72
11,418.72
10.00
Unemployment Compensation Insurance
5,000.00
5,000.00
5,000.00
Workers Compensation Insurance
0.32
0.32
0.32
Group Insurance for Employees
27,657.05
27,657.05
27,657.05
PUBLIC SAFETY FUNCTIONS
Police
Salaries and Wages
32,327.48
32,327.48
32,327.48
Other Expenses
37,192.00
26,618.33
63,810.33
42,602.22
21,208.11
Emergency Management Services
Other Expenses
2,000.00
2,000.00
2,000.00
Fire Department
Other Expenses
21,664.45
4,676.98
26,341.43
21,747.15
4,594.28
Uniform Fire Safety Act
Salaries and Wages
3,235.49
3,235.49
3,235.49
Other Expenses
1,136.66
6,297.58
7,434.24
1,431.64
6,002.60
First Aid Organization
Salaries and Wages
4,102.02
1,054.06
5,156.08
4,050.73
1,105.35
(Continued)
December 31, 2023
BOROUGH OF HIGHTSTOWN
REGULAR FUND
2023 Appropriation Reserves
For the Year Ended December 31, 2024
Balance
-76-
13090
Exhibit SA-7
Balance
After
Paid or
Balance
Encumbered
Reserved
Modification
Charged
Lapsed
December 31, 2023
BOROUGH OF HIGHTSTOWN
REGULAR FUND
2023 Appropriation Reserves
For the Year Ended December 31, 2024
Balance
PUBLIC SAFETY FUNCTIONS (CONT'D)
Public Buildings and Grounds
Salaries and Wages
1,180.11
$
1,180.11
$
1,180.11
$
Other Expenses
13,024.93
$
175.94
13,200.87
12,484.93
$
715.94
Streets and Roads Maintenace
Salaries and Wages
18,657.72
18,657.72
18,657.72
Other Expenses
16,813.31
22,521.94
39,335.25
31,758.58
7,576.67
Snow Removal
Salaries and Wages
4,000.00
4,000.00
4,000.00
Other Expenses
7,000.00
7,000.00
7,000.00
Community Condominium Services Act:
Other Expenses
28,000.00
16,000.00
44,000.00
43,834.20
165.80
Vehicle Maintenance
Other Expenses
11,562.00
10,812.64
22,374.64
1,498.42
20,876.22
Sanitation/Solid Waste Collection
Salaries and Wages
8,254.89
8,254.89
8,254.89
Other Expenses
6,064.70
6,064.70
6,057.80
6.90
Garbage and Trash Removal
Salaries and Wages
3,013.75
3,013.75
3,013.75
Other Expenses
9,878.81
9,878.81
9,758.00
120.81
HEALTH AND WELLFARE
Enviornmental Commission
Other Expenses
400.00
785.00
1,185.00
1,050.00
135.00
Public Health Services (Board of Health)
Salaries and Wages
4,538.74
4,538.74
4,538.74
Other Expenses
452.73
6,667.41
7,120.14
452.73
6,667.41
PARK AND RECREATION
Parks and Playgrounds:
Salaries and Wages
2,310.92
2,310.92
2,310.92
Other Expenses
2,100.00
89.46
2,189.46
1,937.71
251.75
Recreation & Open Space:
Other Expenses
18,566.30
18,566.30
1,001.20
17,565.10
Cultural Arts Commission
Other Expenses
3,737.43
3,737.43
3,737.43
State Uniform Construction Code Appropriations
Offset by Dedicated Revenues (N.J.A.C. 5:23-4.17)
Construction Official
Salaries and Wages
579.47
579.47
579.47
Other Expenses
5,223.00
5,223.00
950.00
4,273.00
Housing Inspector
Salaries and Wages
68.12
68.12
68.12
Other Expenses
2,230.02
2,230.02
2,230.02
Unclassified
Celebration of Public Event, Anniversary or Holiday
Other Expenses
7,118.91
7,118.91
7,118.91
Postage and Shipping Charges
Other Expenses
1,358.20
1,358.20
1,358.20
Utilities:
Gasoline
14,732.74
14,732.74
5,431.37
9,301.37
Natural Gas
6,800.73
6,800.73
6,800.73
Telephone and Telegraph
4,705.45
4,705.45
4,705.45
Street Lighting
1,955.10
1,955.10
1,955.10
Electricity
1,480.22
13,052.28
14,532.50
4,200.47
10,332.03
Landfill Disposal Costs
Other Expenses
27,672.37
42,205.09
69,877.46
14,135.84
55,741.62
DEFERRED CHARGES
AND STATUTORY EXPENDITURES
Statutory Expenditures:
Defined Contribution Benefit Plan
2,029.72
2,029.72
2,029.72
Social Security System (O.A.S.I.)
16,816.75
16,816.75
16,816.75
(Continued)
-77-
13090
Exhibit SA-7
Balance
After
Paid or
Balance
Encumbered
Reserved
Modification
Charged
Lapsed
December 31, 2023
BOROUGH OF HIGHTSTOWN
REGULAR FUND
2023 Appropriation Reserves
For the Year Ended December 31, 2024
Balance
OPERATIONS EXCLUDED FROM "CAPS"
Length of Service Award Program
Other Expenses
15,700.00
$
15,700.00
$
6,750.00
$
8,950.00
$
Recycling Tax (P.L. 2007, C.311)
396.33
$
1,101.38
1,497.71
396.33
1,101.38
Interlocal Service Agreement:
Dispatch Services East Windsor Township:
Other Expenses
0.62
0.62
0.62
Senior Citizens - Program Service Center:
Other Expenses
37,190.10
37,190.10
37,190.10
Senior Citizens Transportation - East Windsor
Other Expenses
2,180.00
2,180.00
2,180.00
Landfill Disposal Costs(Roosevelt)
Other Expenses
2,043.27
5,353.51
7,396.78
2,043.27
5,353.51
Vehicle Maintenance
Other Expenses
1,160.27
7,593.53
8,753.80
1,160.27
7,593.53
Borough of Brooklawn:
Public Works
187,953.41
$
626,951.29
$
814,904.70
$
318,482.59
$
496,422.11
$
Disbursed
249,036.10
$
Transferred to Accounts Payable
69,446.49
318,482.59
$
-78-
13090
Exhibit SA-8
Balance Dec. 31, 2023 (2024 Taxes)
91,515.27
$
Increased by:
Receipts - Collector (2025 Taxes)
90,276.84
181,792.11
Decreased by:
Application to 2024 Taxes Receivable
91,515.27
Balance Dec. 31, 2024 (2025 Taxes)
90,276.84
$
Exhibit SA-9
Balance Dec. 31, 2023
9,594.31
$
Increased by:
Receipts
16,480.14
26,074.45
Decreased by:
Applied to Taxes Receivable
841.66
$
Refunds
12,623.67
Canceled Tax Overpayments
6,208.04
19,673.37
Balance Dec. 31, 2024
6,401.08
$
BOROUGH OF HIGHTSTOWN
REGULAR FUND
Statement of Tax Overpayments
For the Year Ended December 31, 2024
REGULAR FUND
Statement of Prepaid Taxes
For the Year Ended December 31, 2024
-79-
13090
Exhibit SA-10
Statement of Prepaid County Taxes
Balance Dec. 31, 2023
45.02
$
Increased by:
Payments
3,640,711.56
3,640,756.58
Decreased by:
2024 Levy:
General County Tax
3,170,877.49
$
County Library Tax
295,716.16
County Open Space Tax
174,117.90
3,640,711.55
Balance Dec. 31, 2024
45.03
$
BOROUGH OF HIGHTSTOWN
REGULAR FUND
For the Year Ended December 31, 2024
-80-
13090
Exhibit SA-11
BOROUGH OF HIGHTSTOWN
Statement of Due County for Added and Omitted Taxes
Increased by:
County Share of Added / Omitted Taxes:
2024 Added Taxes
285.90
$
2024 Omitted/Added Taxes
3,133.99
Balance Dec. 31, 2024
3,419.89
$
REGULAR FUND
For the Year Ended December 31, 2024
-81-
13090
Exhibit SA-12
REGULAR FUND
Balance Dec. 31, 2023
2,899.00
$
Increased by:
Disbursements
9,253,387.00
$
Budget Appropriations
38,872.00
9,292,259.00
9,295,158.00
Decreased by:
Levy Calendar Year
9,253,387.00
Balance Dec. 31, 2024
41,771.00
$
BOROUGH OF HIGHTSTOWN
For the Year Ended December 31, 2024
Statement of Prepaid Regional School Taxes
-82-
Exhibit SA-13
BOROUGH OF HIGHTSTOWN
REGULAR FUND
Statement of Due to State of New Jersey
Balance Dec. 31, 2023
2,127.00
$
Increased by:
Receipts
15,908.00
18,035.00
Decreased by:
Disbursements
16,896.00
Balance Dec. 31, 2024
1,139.00
$
Exhibit SA-14
Statement of Due to State of New Jersey
Balance Dec. 31, 2023
600.00
$
Increased by:
Receipts
800.00
1,400.00
Decreased by:
Disbursements
1,075.00
Balance Dec. 31, 2024
325.00
$
For the Year Ended December 31, 2024
13090
DCA Training Fees
REGULAR FUND
For the Year Ended December 31, 2024
Marriage License Fees
-83-
Exhibit SA-15
BOROUGH OF HIGHTSTOWN
GRANT FUND
Statement of Due from Regular Fund
Balance Dec. 31, 2023
117,746.77
$
Increased by:
Disbursed:
Budget Appropriations Disbursed by Grant Fund
On-behalf of Current Fund:
Police S/W
7,000.00
$
Police O/E
400.00
Interfund Transfers
8,439.71
Interest on Investments and Deposits - Disbursed to Regular Fund
1,074.62
16,914.33
134,661.10
Decreased by:
Receipts - Interest on Investments and Deposits
1,074.62
Disbursed by Regular Fund On-behalf of Grant Fund:
Reserve for Grants Appropriated
28,000.00
29,074.62
Balance Dec. 31, 2024
105,586.48
$
13090
For the Year Ended December 31, 2024
-84-
13090
Exhibit SA-16
BOROUGH OF HIGHTSTOWN
GRANT FUND
Statement of Reserve For Grants Receivable
Balance
Anticipated
Balance
Program
Dec. 31, 2023
Revenue
Received
Dec. 31, 2024
Federal Grants:
Small Cities Community Development Block Grant
105,760.00
$
105,760.00
$
Stormwater Mapping Grant
10,000.00
10,000.00
Total Federal Grants
115,760.00
-
-
115,760.00
State Grants:
State Forestry Grant
14,000.00
14,000.00
$
Clean Communities Grant
12,950.66
$
12,950.66
Municipal Court Alcohol Education and Rehabilitation Fund
2,451.68
2,451.68
Recycling Tonnage Grant
6,278.17
6,278.17
Body Armor Replacement Fund
1,395.83
1,395.83
-
Total State Grants
14,000.00
23,076.34
37,076.34
-
Local Grants:
Mercer County NJSCA Local Arts Program
8,000.00
8,000.00
Mercer at Play Grant
25,000.00
25,000.00
Total Local Grants
25,000.00
8,000.00
8,000.00
25,000.00
154,760.00
$
31,076.34
$
45,076.34
$
140,760.00
$
For the Year Ended December 31, 2024
-85-
13090
Exhibit SA-17
BOROUGH OF HIGHTSTOWN
GRANT FUND
Statement of Reserve For Grants Unappropriated
Realized as
Miscellaneous
Balance
Revenue in
Balance
Program
Dec. 31, 2023
Received
2024 Budget
Dec. 31, 2024
Federal Grants:
Click-it-or-Ticket
-
7,000.00
$
-
7,000.00
$
State Grants:
New Jersey Environmental Commission Grant
2,000.00
$
2,000.00
Body Armor Replacement Fund
43.88
43.88
2,000.00
43.88
-
2,043.88
Local Grants:
Mercer County NJSCA Local Arts Program
3,000.00
3,000.00
Safety Incentive Award Grant
250.00
250.00
JIF Safety Grant
2,712.00
3,168.00
5,880.00
Statewide JIF Grant
2,947.00
2,947.00
Walmart Grant
1,000.00
1,000.00
Total Local Grants
8,909.00
4,168.00
-
13,077.00
10,909.00
$
11,211.88
$
-
22,120.88
$
For the Year Ended December 31, 2024
-86-
13090
Exhibit SA-18
Transferred
from 2024
Prior Year
Balance
Budget
Encumbrances
Due to
Current Year
Balance
Program
Dec. 31, 2023
Appropriation
Reclassified
Disbursed
Regular Fund
Encumbrances
Dec. 31, 2024
Federal Grants:
Small Cities Community Development Block Grant
113,760.00
$
113,760.00
$
Stormwater Mapping Grant
25,000.00
25,000.00
$
Bulletproof Vest Partnership Grant
1,311.65
$
1,311.65
Total Federal Grants
138,760.00
-
1,311.65
-
25,000.00
-
115,071.65
State Grants:
Clean Communities Grant
42,624.75
12,950.66
$
55,575.41
Municipal Court Alcohol Education and Rehabilitation Fund
15,920.69
2,451.68
18,372.37
Recycling Tonnage Grant
49,781.04
6,278.17
3,000.00
1,196.10
$
3,000.00
$
54,863.11
Body Armor Replacement Fund
1,395.83
1,395.83
New Jersey Body Worn Camera Grant
7,455.00
7,449.60
5.40
Sustainable New Jersey Capacity Building Stipend Grant
105.50
105.50
Total State Grants
115,886.98
23,076.34
3,000.00
8,645.70
-
3,000.00
130,317.62
Local Grants:
Mercer County NJSCA Local Arts Program
8,529.78
8,000.00
200.00
2,800.14
3,000.00
340.00
10,589.64
Mercer at Play Grant
28,469.00
28,469.00
JIF Safety Award Grant
4,455.45
4,455.45
Statewide JIF Grant
3,019.76
3,019.76
Total Local Grants
44,473.99
8,000.00
200.00
2,800.14
3,000.00
340.00
46,533.85
299,120.97
$
31,076.34
$
4,511.65
$
11,445.84
$
28,000.00
$
3,340.00
$
291,923.12
$
BOROUGH OF HIGHTSTOWN
GRANT FUND
Statement of Reserve For Grants Appropriated
For the Year Ended December 31, 2024
Increased by
Decreased by
-87-
SUPPLEMENTAL EXHIBITS
TRUST FUND
13090
Exhibit SB-1
Statement of Trust Cash
Per N.J.S.A.40A:5-5--Chief Financial Officer
Other Funds
Balance Dec. 31, 2023
1,733.88
$
750,032.70
$
Increased by Receipts:
Reserve for Animal Control Fund Expenditures
2,281.40
$
Due State of New Jersey
310.20
Due Regular Fund
407.05
26,276.19
$
Miscellaneous Trust Reserves:
Interest Earnings
11,127.05
Trust Reserve Receipts
4,936,404.17
2,998.65
4,973,807.41
4,732.53
5,723,840.11
Decreased by Disbursements:
Expenditures Under R.S.4:19-15.11
1,507.60
Due State of New Jersey
297.00
Due Regular Fund
24,050.36
Miscellaneous Trust Reserves:
Trust Reserve Receipts
4,733,568.32
1,804.60
4,757,618.68
Balance Dec. 31, 2024
2,927.93
$
966,221.43
$
Animal Control Fund
BOROUGH OF HIGHTSTOWN
TRUST FUNDS
For the Year Ended December 31, 2024
-89-
13090
Exhibit SB-2
ANIMAL CONTROL TRUST FUND
Statement of Reserve For Animal Control Fund Expenditures
Balance Dec. 31, 2023
2,363.00
$
Increased by:
Receipts
License Fees Collected
2,281.40
4,644.40
Decreased by:
Expenditures Under R.S.4:19-15.11:
Disbursements
1,507.60
Balance Dec. 31, 2024
3,136.80
$
`
Year
Amount
2022
2,615.00
$
2023
2,462.40
5,077.40
$
For the Year Ended December 31, 2024
License Fees Collected
BOROUGH OF HIGHTSTOWN
-90-
13090
Exhibit SB-3
Balance Dec. 31, 2023
659.32
$
Decreased by:
Receipts:
Interest Earnings
207.05
$
Late Fees - Miscellaneous Revenue Not Anticipated
200.00
407.05
Balance Dec. 31, 2024
252.27
$
Exhibit SB-4
Balance Dec. 31, 2023
30.20
$
Increased by:
Animal Control Fees Collected
310.20
340.40
Decreased by:
Disbursements
297.00
Balance Dec. 31, 2024
43.40
$
Statement of Due to State of New Jersey
For the Year Ended December 31, 2024
For the Year Ended December 31, 2024
BOROUGH OF HIGHTSTOWN
ANIMAL CONTROL TRUST FUND
Statement of Due from Regular Fund
ANIMAL CONTROL TRUST FUND
-91-
13090
Exhibit SB-5
Balance Dec. 31, 2023 (Do from)
251,736.02
$
Increased by:
Disbursements:
Interest Earnings Remitted
24,050.36
275,786.38
Decreased by:
Receipts:
Interest Earned on Deposits
26,276.19
$
Cancellation of Tax Title Lien Premiums
98,377.25
Cancellation of Tax Title Lien Redemptions
12,650.30
Disbursements by Regular Fund On-behalf of Trust Other Fund
196,072.28
333,376.02
Balance Dec. 31, 2024 (Do to)
57,589.64
$
Analysis of Balance - Due to / (Due from)
Other Trust Funds
(37,693.46)
$
Tax Title Lien Redemption
113,253.38
Payroll
(7,970.28)
Unemployment
(10,000.00)
57,589.64
$
TRUST -- OTHER FUND
Statement of Due from / to Regular Fund
For the Year Ended December 31, 2024
BOROUGH OF HIGHTSTOWN
-92-
13090
Exhibit SB-6
Balance
Due
Balance
Reserve
Dec. 31, 2023
Receipts
Interest
Disbursements
Regular Fund
Dec. 31, 2024
Reserve for Workman's Compensation
9,581.03
$
30,685.40
$
16,418.33
$
23,848.10
$
Payroll Deductions Payable
51,918.77
1,793,468.08
1,794,831.75
50,555.10
Net Payroll
2,725,029.74
2,725,029.74
Escrow Fees
78,678.94
106,523.68
71,709.30
113,493.32
Housing Trust
32,639.54
18,986.00
1,699.88
$
2,000.00
51,325.42
Unemployment Compensation
81,994.58
1,308.63
699.66
82,603.55
Parking Offenses Adjudication Act
1,373.00
106.00
1,479.00
Uniform Fire Safety Act
6,975.03
6,975.03
Special Law Enforcement Fund
53,155.33
2,133.52
4,344.10
50,944.75
Donations:
Celebration of Public Events - Memorial Parade
2,439.40
200.00
$
2,239.40
Animal Welfare
1,289.28
1,289.28
Historical Site
798.71
798.71
National Night Out
2,594.37
1,300.00
3,894.37
Peddie Dam Footbridge
1,059.48
1,059.48
Franklin St. Project Lighting
6,062.93
6,062.93
Skatepark
19,345.87
19,345.87
Cultural Arts
16,921.37
2,394.02
3,875.00
15,440.39
Environmental Trees
2,056.16
2,056.16
Environmental Donation
74.00
74.00
American Diner Escrow
788.50
788.50
Regan Redevelopment
142.00
142.00
Replace Downtown Coach Lighting
2,833.20
2,833.20
RBE Performance
2,309.05
2,309.05
Exercise Class
290.38
290.38
Recreation Trips
135.00
135.00
Triathlon
41,102.74
477.89
40,624.85
Shakespeare in the Park
3,414.58
4,590.00
4,550.31
3,454.27
Dawes Park
42,956.04
14,145.00
27,419.25
29,681.79
Family Fair
6,500.00
2,322.10
4,177.90
Recaptured Funds Housing Rehabilitation
1,703.00
1,703.00
Recycling
52,567.39
7,734.10
14,928.07
45,373.42
Recycling-Grass Collection Program
7,104.24
7,104.24
Storm Recovery
48,345.33
5,630.18
42,715.15
Police Off Duty Services
59,062.09
69,120.00
102,908.00
25,274.09
Public Defender
23,079.97
2,297.50
9,300.00
16,077.47
Tax Title Lien Premiums
108,977.25
98,377.25
10,600.00
Tax Title Lien Redemptions
28,328.38
19,710.97
4,005.34
12,650.30
31,383.71
Insurance Refunds
81,125.02
133,813.68
134,813.68
80,125.02
Regional Contribution Agreement - Manalapan
145,585.46
5,985.02
151,570.48
1,018,807.41
$
4,936,404.17
$
11,127.05
$
4,733,568.32
$
307,099.83
$
925,670.48
$
BOROUGH OF HIGHTSTOWN
TRUST -- OTHER FUND
Statement of Trust Other Reserves
For the Year Ended December 31, 2024
Increased By
Decreased by
-93-
13090
Exhibit SB-7
BOROUGH OF HIGHTSTOWN
TRUST OTHER FUND
Statement of Investments - Length of Service Award Program
For the Year Ended December 31, 2024
Balance Dec. 31, 2023
841,630.67
$
Increased by:
Contributions:
Investment Earnings
116,681.57
958,312.24
Decreased by:
Benefits Paid to Participants
36,866.50
$
Account Administrative Charges
1,400.00
38,266.50
Balance Dec. 31, 2024
920,045.74
$
Schedule of Investments Dec. 31, 2024
Description
Amount
Fixed Annuity Contract
98,742.07
$
Pooled Separate Accounts
821,303.67
920,045.74
$
-94-
SUPPLEMENTAL EXHIBITS
GENERAL CAPITAL FUND
13090
Exhibit SC-1
Statement of General Capital Cash
Per N.J.S.A.40A:5-5--Chief Financial Officer
Balance Dec. 31, 2023
3,606.46
$
Increased by Receipts:
Due Regular Fund
73,598.55
$
Regular Fund Budget Appropriation:
Capital Improvement Fund
15,000.00
Contra
899,900.00
988,498.55
992,105.01
Decreased by Disbursements:
Improvement Authorizations
35,970.50
Due to Regular Fund
25,453.13
Contra
899,900.00
961,323.63
Balance Dec. 31, 2024
30,781.38
$
BOROUGH OF HIGHTSTOWN
GENERAL CAPITAL FUND
For the Year Ended December 31, 2024
-96-
13090
Exhibit SC-2
Analysis of General Capital Cash
Transfers
Balance
Balance
(Deficit)
Budget
Improvement
(Deficit)
Dec. 31, 2023
Appropriation
Miscellaneous
Authorizations
Miscellaneous
From
To
Dec. 31, 2024
Fund Balance
9,811.68
$
1,633.47
$
11,445.15
$
Capital Improvement Fund
220,922.50
15,000.00
$
19,200.00
$
216,722.50
Reserve for Encumbrances
891,229.27
891,229.27
656,375.06
656,375.06
Grants Receivable
(1,995,613.82)
606,410.00
375,000.00
(2,227,023.82)
Due Regular Fund
(2,487,366.54)
73,598.55
$
25,453.13
$
876,633.47
1,341,084.31
(1,974,770.28)
Due Water-Sewer Utility Operating Fund
400,000.00
400,000.00
Due Water-Sewer Utility Capital Fund
(297,071.10)
248,268.56
(545,339.66)
Reserve for:
Grant Receivable
127,959.87
127,959.87
John and Mary Hight Sculpture
150.00
150.00
Donations
50.00
50.00
Municipal Facility
4,859.79
4,859.79
Housing Rehabilitation
47.00
47.00
Municipal Facility-FEMA
161,655.85
161,655.85
Purchase of Police Vehicle
672.47
672.47
Payment of Notes Ord. 18-20
15,211.88
15,211.88
Municipal Building Insurance
1,595,000.00
1,595,000.00
Contra
899,900.00
899,900.00
General Improvements:
Ord. No.
Improvement Authorization Purpose
04-17
Acquisition of Capacity Rights - JCP&L
16,784.33
16,784.33
05-04/09-13
Mercer Street Revitalization Project
17,182.52
17,182.52
05-24
Peddie Lake Dam Improvements
(231.26)
(231.26)
05-34
Streetscape/Main Street Redevelopment Area
11,936.46
11,936.46
07-26
Police Department Equipment
618.17
618.17
08-01
Waterlea Avenue Improvements
2,062.34
2,062.34
09-20
Stockton Street Historic District Improvements
1,677.82
1,677.82
10-02
Reconstruction of Leshin Lane
640.46
640.46
10-16
Summit Street Sidewalk Improvements
(267.71)
(267.71)
11-05
Milling and Paving Various Roads
6,886.61
6,886.61
12-04
Hurricane Irene Damage Emergency
(625.25)
(625.25)
12-13
Various Capital Improvements
28,946.23
26,382.60
26,382.60
28,946.23
12-15
Communication Equipment - Fire Department and First Aid
1,100.00
1,100.00
13-07/15-14/19-04
Improvements to Peddie Lake Dam Walking Bridge
18,877.07
18,877.07
13-22
Public Safety Equipment
11,048.00
11,048.00
13-23/15-06
Road Improvement to Park Avenue, Greeley Street,
and Green Brook Place
2,043.29
2,043.29
14-06
Various Capital Improvements Including Document Restoration
14,887.37
14,887.37
14-13
Various Capital Improvements
3,342.67
3,342.67
15-07
Road Improvements to Park Way, Grant Street
and Hutchinson Street
2,670.80
2,670.80
15-11
Acquisition of Arial Ladder Truck
953.22
953.22
15-15;17-15;22-24
Improvements to Stockton Street and Joseph Street
(184,223.03)
8,702.90
8,403.07
(184,522.86)
15-20
Acquisition of Automated Garbage Truck
6,181.10
6,181.10
16-08
Police Vehicles, Public Safety Equipment
5,624.53
5,624.53
16-12
Rehabilitation of East Ward Street
39,026.59
39,026.59
17-09/21-10
Retaining Wall, First Avenue Improvements
(175,268.76)
13,747.53
38,394.03
(150,622.26)
17-12
Police, Fire, DPW Court Equipment
10,392.41
10,392.41
(Continued)
BOROUGH OF HIGHTSTOWN
GENERAL CAPITAL FUND
For the Year Ended December 31, 2024
Receipts
Disbursements
-97-
13090
Exhibit SC-2
Analysis of General Capital Cash
Transfers
Balance
Balance
(Deficit)
Budget
Improvement
(Deficit)
Dec. 31, 2023
Appropriation
Miscellaneous
Authorizations
Miscellaneous
From
To
Dec. 31, 2024
BOROUGH OF HIGHTSTOWN
GENERAL CAPITAL FUND
For the Year Ended December 31, 2024
Receipts
Disbursements
General Improvements:
Ord. No.
Improvement Authorization Purpose
17-17; 19-07
Improvements to Maple Avenue and Sunset Avenue
22,256.18
$
500.00
$
21,756.18
$
18-12
Acquisition of Land - YCMA
26,993.50
26,993.50
18-18
Various Capital Improvements - Public Safety
8,422.11
300.00
8,122.11
18-20
Improvements to Lincoln Avenue, Hagemount Avenue
and Rocky Brook Court
95,357.51
95,357.51
19-10
Design Costs - Municipal Complex
2,534.01
2,995.00
55,700.78
$
55,239.79
19-20
Various Capital Improvements - Police, Fire and DPW
19,680.04
200.00
19,480.04
20-05
Springcrest, Spruce Court and Glenn Drive
4,498.14
698.00
3,800.14
20-15
Crosswalk Signal and Fire Department Equipment
61,886.22
300.00
61,586.22
21-02
Improvements to Various Roads - Hauser Avenue,
Bennet Place, Railroad Avenue and Dey Street
55,803.02
5,470.25
$
5,743.50
329,931.17
374,520.44
22-11
Improvements to Various Roads - Orchard, Clover and South Main
589,314.70
998,838.51
361,017.27
(48,506.54)
22-21
Public Safety Improvements Police and Fire, Parks and
Recreation, and E. Ward Street Bridge
71,509.31
15,978.00
453,786.18
448,912.07
50,657.20
23-02
Improvements to Maxwell Avenue
694,432.50
6,711.25
35,285.00
2,762.50
655,198.75
23-12
Various Capital Improvements
(142,065.61)
7,811.00
178,510.06
367,994.34
39,607.67
23-22
Improvements to the Sluice Gate
3,200.00
600.00
2,600.00
24-04
Improvements to Summit Street
600.00
478,710.00
478,110.00
24-12
Various Capital Improvements
259,933.84
19,200.00
(240,733.84)
24-16
Dawes Park Recreation Improvements
10,336.25
127,700.00
117,363.75
3,606.46
$
15,000.00
$
973,498.55
$
35,970.50
$
925,353.13
$
4,639,200.67
$
4,639,200.67
$
30,781.38
$
-98-
13090
Exhibit SC-3
Statement of Deferred Charges to Future Taxation--Funded
Balance Dec. 31, 2023
3,340,216.53
$
Decreased by:
Budget Appropriation:
Serial Bonds
480,000.00
$
Green Acres Loan Payable
8,764.74
488,764.74
Balance Dec. 31, 2024
2,851,451.79
$
BOROUGH OF HIGHTSTOWN
GENERAL CAPITAL FUND
For the Year Ended December 31, 2024
-99-
13090
Exhibit SC-4
Statement of Deferred Charges to Future Taxation--Unfunded
Increased by
Notes Paid
Bond
Unexpended
Ordinance
Balance
2024
by Budget
Balance
Anticipation
Improvement
Number
Improvement Description
Dec. 31, 2023
Authorizations
Appropriation
Dec. 31, 2024
Notes
Expenditures
Authorizations
05-24
Peddie Lake Dam Improvements
550.00
$
550.00
$
231.26
$
318.74
$
09-20
Stockton Street Historic District Improvements
16,899.57
16,899.57
16,899.57
10-02
Reconstruction of Leshin Lane
13,000.00
13,000.00
13,000.00
10-16
Summit Street Sidewalk Improvements
526.45
526.45
267.71
258.74
11-05
Milling and Paving Various Roads
13,700.00
13,700.00
$
12-04
Hurricane Irene Damage Emergency
625.25
625.25
625.25
12-13
Various Capital Improvements
500.00
500.00
500.00
13-07/15-14/19-04
Improvements to Peddie Lake Dam Walking Bridge
8,702.67
8,702.67
8,702.67
13-23/15-06
Road Improvement to Park Avenue, Greeley Street,
and Green Brook Place
27,510.00
1,050.00
26,460.00
11,250.00
$
15,210.00
14-06
Various Capital Improvements Including Document Restoration
9,334.00
9,334.00
9,334.00
15-07
Road Improvements to Park Way, Grant Street
and Hutchinson Street
34,900.00
600.00
34,300.00
9,300.00
25,000.00
15-11
Acquisition of Arial Ladder Truck
300.00
300.00
300.00
15-15/17-15/22-24
Improvements to Stockton Street and Joseph Street
420,694.03
6,000.00
414,694.03
228,000.00
184,522.86
2,171.17
16-12
Rehabilitation of East Ward Street
90,000.00
90,000.00
90,000.00
17-09/21-10
Retaining Wall, First Avenue Improvements
546,100.00
7,900.00
538,200.00
284,200.00
189,016.29
64,983.71
17-12
Police, Fire, DPW Court Equipment
40.00
40.00
40.00
17-17/19-07
Improvements to Maple Avenue and Sunset Avenue
312,600.00
17,400.00
295,200.00
295,200.00
18-18
Various Capital Improvements - Public Safety
172,200.00
8,300.00
163,900.00
163,900.00
18-20
Improvements to Lincoln Avenue, Hagemount Avenue
and Rocky Brook Court
94,700.00
5,300.00
89,400.00
89,400.00
19-10
Design Costs - Municipal Complex
459,500.00
16,500.00
443,000.00
443,000.00
19-20
Various Capital Improvements - Police, Fire and DPW
172,250.00
13,250.00
159,000.00
159,000.00
20-05
Springcrest, Spruce Court and Glenn Drive
358,000.00
358,000.00
357,750.00
250.00
20-15
Crosswalk Signal and Fire Department Equipment
100,000.00
100,000.00
100,000.00
21-02
Improvements to Various Roads - Hauser Avenue,
Bennet Place, Railroad Avenue and Dey Street
600,368.00
600,368.00
500,000.00
100,368.00
22-11
Improvements to Various Roads - Orchard, Clover and South Main
650,000.00
650,000.00
390,000.00
48,506.54
211,493.46
22-21
Public Safety Improvements Police and Fire, Parks and
Recreation, and E. Ward Street Bridge
775,780.00
775,780.00
600,000.00
175,780.00
23-02
Improvements to Maxwell Avenue
233,730.00
233,730.00
100,000.00
133,730.00
23-12
Various Capital Improvements
407,600.00
407,600.00
350,000.00
57,600.00
23-22
Improvements to the Sluice Gate
61,800.00
61,800.00
61,800.00
24-04
Improvements to Summit Street
376,290.00
$
376,290.00
376,290.00
24-12
Various Capital Improvements
381,200.00
381,200.00
240,733.84
140,466.16
24-16
Dawes Park Recreation Improvements
393,300.00
393,300.00
393,300.00
5,581,909.97
$
1,150,790.00
$
90,000.00
$
6,642,699.97
$
4,081,000.00
$
663,903.75
$
1,897,796.22
$
Improvement Authorizations Unfunded
2,771,031.64
$
Less: Unexpended Proceeds of Bond Anticipation Notes for Ordinance:
13-23/15-06
2,043.29
$
15-07
2,670.80
17-09/21-10
38,394.03
17-17/19-07
21,756.18
18-18
8,122.11
18-20
95,357.51
19-10
55,239.79
19-20
19,480.04
20-05
3,800.14
20-15
61,586.22
21-02
374,520.44
22-21
50,657.20
23-02
100,000.00
23-12
39,607.67
873,235.42
1,897,796.22
$
Analysis of Balance Dec. 31, 2024
BOROUGH OF HIGHTSTOWN
GENERAL CAPITAL FUND
For the Year Ended December 31, 2024
Decreased by
-100-
13090
Exhibit SC-5
Statement of Grants Receivable
Balance
Balance
Dec. 31, 2023
Increased
Decreased
Dec. 31, 2024
Receivables Offset with Reserves:
New Jersey Department of Transportation:
Peddie Lake Dam Walking Bridge Improvements (13-07/15-14/19-04)
8,702.67
$
8,702.67
$
Improvement to Stockton Street and Joseph Street (15-15/17-15/22-24)
119,257.20
119,257.20
127,959.87
-
-
127,959.87
Receivables not Offset with Reserves:
New Jersey Department of Transportation:
Rehabilitation of East Ward Street (16-12)
75,000.00
75,000.00
Retaining Wall, First Avenue Improvements (17-09/21-10)
68,795.00
68,795.00
Improvements to Maple Avenue and Sunset Avenue (17-17/19-07)
50,000.00
50,000.00
Improvements to Maxwell Street (23-02)
621,270.00
621,270.00
Springcrest, Spruce Court and Glenn Drive (20-05)
150,000.00
150,000.00
Improvement to Various Roads:
Hauser Avenue, Bennet Place (21-02)
226,411.70
226,411.70
Railroad Avenue and Dey Street (21-02)
176,177.25
176,177.25
Orchard, Clover and South Main (22-11)
500,000.00
375,000.00
$
125,000.00
Summit Street (24-04)
478,710.00
$
478,710.00
Green Acres Grant:
Dawes Park Recreation Improvements (24-16)
127,700.00
127,700.00
1,867,653.95
606,410.00
375,000.00
2,099,063.95
1,995,613.82
$
606,410.00
$
375,000.00
$
2,227,023.82
$
Grant Awards
606,410.00
$
Due from Regular Fund
375,000.00
$
BOROUGH OF HIGHTSTOWN
GENERAL CAPITAL FUND
For the Year Ended December 31, 2024
-101-
13090
Exhibit SC-6
Balance Dec. 31, 2023
2,487,366.54
$
Increased by:
Received by Regular Fund On-behalf of General Capital Fund:
Bond Anticipation Notes
500,000.00
$
Premium on Sale of Notes
1,633.47
Grants Receivable - Orchard, Clover and South Main (22-11)
375,000.00
876,633.47
$
Disbursements:
Interest Earnings Remitted to Regular Fund
25,453.13
902,086.60
3,389,453.14
Decreased by:
Receipts:
Interest Earned on Deposits
27,598.55
Interfunds Advanced from Regular Fund
46,000.00
73,598.55
Disbursed by Regular Fund On-behalf of General Capital Fund:
Improvement Authorizations
1,341,084.31
1,414,682.86
Balance Dec. 31, 2024
1,974,770.28
$
Exhibit SC-7
Balance Dec. 31, 2023
220,922.50
$
Increased by:
Receipts:
Budget Appropriations
15,000.00
235,922.50
Decreased by:
Appropriated to Finance Improvement Authorization
19,200.00
Balance Dec. 31, 2024
216,722.50
$
GENERAL CAPITAL FUND
Statement of Capital Improvement Fund
For the Year Ended December 31, 2024
Statement of Due From Regular Fund
For the Year Ended December 31, 2024
GENERAL CAPITAL FUND
BOROUGH OF HIGHTSTOWN
-102-
13090
Exhibit SC-8
BOROUGH OF HIGHTSTOWN
GENERAL CAPITAL FUND
Statement of Improvement Authorizations
Decreased by
Prior Year
Ordinance
2024
Encumbrances
Paid or
Number
Improvement Description
Date
Amount
Funded
Unfunded
Authorizations
Reclassified
Charged
Funded
Unfunded
04-17
Acquisition of Capacity Rights - JCP&L
08/02/04
100,000.00
$
16,784.33
$
16,784.33
$
05-04/09-13
Mercer Street Revitalization Project
02/07/05
450,000.00
17,182.52
17,182.52
05-24
Peddie Lake Dam Improvements
07/05/05
166,250.00
318.74
$
318.74
$
05-34
Streetscape/Main Street Redevelopment Area
10/17/05
450,000.00
11,936.46
11,936.46
07-26
Police Department Equipment
11/19/07
62,000.00
618.17
618.17
08-01
Waterlea Avenue Improvements
01/22/08
332,500.00
2,062.34
2,062.34
09-20
Stockton Street Historic District Improvements
09/21/09
1,840,000.00
1,677.82
16,899.57
1,677.82
16,899.57
10-02
Reconstruction of Leshin Lane
02/01/10
568,000.00
640.46
13,000.00
640.46
13,000.00
10-16
Summit Street Sidewalk Improvements
09/20/10
180,000.00
258.74
258.74
11-05
Milling and Paving Various Roads
06/06/11
432,000.00
6,886.61
6,886.61
12-13
Various Capital Improvements
08/20/12
262,000.00
28,946.23
500.00
26,382.60
$
26,382.60
$
28,946.23
500.00
12-15
Communication Equipment - Fire Department and First Aid
09/18/12
35,000.00
1,100.00
1,100.00
13-07/15-14/19-04
Improvements to Peddie Lake Dam Walking Bridge
4/1/13;8/3/15;3/4/19
739,791.00
27,579.74
18,877.07
8,702.67
13-22
Public Safety Equipment
09/03/13
165,000.00
11,048.00
11,048.00
13-23/15-06
Road Improvement to Park Avenue, Greeley Street,
and Green Brook Place
11/18/13;4/20/15
897,000.00
17,253.29
17,253.29
14-06
Various Capital Improvements Including Document Restoration
03/17/14
220,000.00
14,887.37
9,334.00
14,887.37
9,334.00
14-13
Various Capital Improvements
07/21/14
170,000.00
3,342.67
3,342.67
15-07
Road Improvements to Park Way, Grant Street
and Hutchinson Street
04/20/15
619,000.00
27,670.80
27,670.80
15-11
Acquisition of Arial Ladder Truck
06/01/15
1,000,000.00
953.22
300.00
953.22
300.00
15-15;17-15;22-24
Improvements to Stockton Street and Joseph Street
8/21/15;11/6/17;12/1/23
627,000.00
2,471.00
8,403.07
8,702.90
2,171.17
15-20
Acquisition of Automated Garbage Truck
09/08/15
325,000.00
6,181.10
6,181.10
16-08
Police Vehicles, Public Safety Equipment
03/07/16
140,000.00
5,624.53
5,624.53
16-12
Rehabilitation of East Ward Street
04/18/16
550,000.00
39,026.59
90,000.00
39,026.59
90,000.00
17-09/21-10
Retaining Wall, First Avenue Improvements
08/21/07
850,000.00
78,731.24
38,394.03
13,747.53
103,377.74
17-12
Police, Fire, DPW Court Equipment
09/05/17
268,000.00
10,392.41
40.00
10,392.41
40.00
17-17;19-07
Improvements to Maple Avenue and Sunset Avenue
11/20/17;5/20/19
605,000.00
22,256.18
500.00
21,756.18
18-12
Acquisition of Land - YCMA
06/18/18
725,000.00
26,993.50
26,993.50
18-18
Various Capital Improvements - Public Safety
09/17/18
189,600.00
8,422.11
300.00
8,122.11
18-20
Improvements to Lincoln Avenue, Hagemount Avenue
and Rocky Brook Court
11/05/18
900,000.00
95,357.51
95,357.51
19-10
Design Costs - Municipal Complex
06/17/19
500,000.00
2,534.01
55,700.78
2,995.00
55,239.79
19-20
Various Capital Improvements - Police, Fire and DPW
11/18/19
195,000.00
19,680.04
200.00
19,480.04
20-05
Springcrest, Spruce Court and Glenn Drive
07/20/20
873,000.00
4,748.14
698.00
4,050.14
20-15
Crosswalk Signal and Fire Department Equipment
12/08/20
105,000.00
61,886.22
300.00
61,586.22
21-02
Improvements to Various Roads - Hauser Avenue,
Bennet Place, Railroad Avenue and Dey Street
03/15/21
1,630,000.00
156,171.02
142,679.88
(176,037.54)
474,888.44
22-11
Improvements to Various Roads - Orchard, Clover and South Main
02/22/22
1,150,000.00
499,314.70
650,000.00
937,821.24
211,493.46
22-21
Public Safety Improvements Police and Fire, Parks and
.
Recreation, and E. Ward Street Bridge
12/19/22
19,100.00
247,289.31
448,912.07
469,764.18
226,437.20
23-02
Improvements to Maxwell Avenue
02/21/23
855,000.00
594,432.50
233,730.00
2,762.50
41,996.25
555,198.75
233,730.00
23-12
Various Capital Improvements
07/17/23
428,000.00
115,534.39
167,994.34
186,321.06
97,207.67
23-22
Improvements to the Sluice Gate
12/15/23
65,000.00
3,200.00
61,800.00
600.00
2,600.00
61,800.00
24-04
Improvements to Summit Street
05/06/24
855,000.00
855,000.00
$
600.00
478,110.00
376,290.00
24-12
Various Capital Improvements
08/19/24
400,400.00
400,400.00
259,933.84
140,466.16
24-16
Dawes Park Recreation Improvements
09/16/24
521,000.00
521,000.00
10,336.25
117,363.75
393,300.00
1,296,344.92
$
1,970,652.66
$
1,776,400.00
$
891,229.27
$
1,785,161.31
$
1,378,433.90
$
2,771,031.64
$
Capital Improvement Fund
19,200.00
$
New Jersey Department of Transportation Grant
478,710.00
Green Acres Grant
127,700.00
Deferred Charged to Future Taxation - Unfunded
1,150,790.00
Cash Disbursed
35,970.50
$
Due to Regular Fund
1,341,084.31
Encumbered
656,375.06
Reimbursed - Due From Water-Sewer Utility Capital Fund
(248,268.56)
1,776,400.00
$
1,785,161.31
$
For the Year Ended December 31, 2024
Balance Dec. 31, 2024
Balance Dec. 31, 2023
Increased by
-103-
13090
Exhibit SC-9
BOROUGH OF HIGHTSTOWN
GENERAL CAPITAL FUND
Statement of Bond Anticipation Notes
Date of
Ordinance
Original
Date of
Date of
Interest
Balance
Number
Issue
Issue
Maturity
Rate
Dec. 31, 2023
Increased
Decreased
Dec. 31, 2024
11-05
Milling and Paving Various Roads
12/30/20
09/07/23
06/27/24
4.25%
13,700.00
$
13,700.00
$
13-23/15-06
Road Improvements to Park Avenue, Greeley Street
.
and Glen Brook Place
12/30/20
09/07/23
06/27/24
4.25%
12,300.00
12,300.00
13-23/15-06
Road Improvements to Park Avenue, Greeley Street
12/30/20
06/26/24
03/25/25
4.50%
11,250.00
$
11,250.00
$
and Glen Brook Place
15-07
Road Improvements to Park Way, Grant Street
and Hutchinson Street
12/30/20
09/07/23
06/27/24
4.25%
9,900.00
9,900.00
15-07
Road Improvements to Park Way, Grant Street
and Hutchinson Street
12/30/20
06/26/24
03/25/25
4.50%
9,300.00
9,300.00
15-15/17-15/22-24
Improvements to Stockton Street and Joseph Street
12/30/20
09/07/23
06/27/24
4.25%
234,000.00
234,000.00
15-15/17-15/22-24
Improvements to Stockton Street and Joseph Street
12/30/20
06/26/24
03/25/25
4.50%
228,000.00
228,000.00
17-09/21-10
Retaining Wall, First Avenue Improvements
12/30/20
09/07/23
06/27/24
4.25%
292,100.00
292,100.00
17-09/21-10
Retaining Wall, First Avenue Improvements
12/30/20
06/26/24
03/25/25
4.50%
284,200.00
284,200.00
17-17/19-07
Improvements to Maple Avenue and Sunset Avenue
12/30/20
09/07/23
06/27/24
4.25%
312,600.00
312,600.00
17-17/19-07
Improvements to Maple Avenue and Sunset Avenue
12/30/20
06/26/24
03/25/25
4.50%
295,200.00
295,200.00
18-18
Various Capital Improvements - Public Safety
12/30/20
09/07/23
06/27/24
4.25%
172,200.00
172,200.00
18-18
Various Capital Improvements - Public Safety
12/30/20
06/26/24
03/25/25
4.50%
163,900.00
163,900.00
18-20
Improvements to Lincoln Avenue, Hagemont Avenue and
Rocky Brook Court
12/30/20
09/07/23
06/27/24
4.25%
94,700.00
94,700.00
18-20
Improvements to Lincoln Avenue, Hagemont Avenue and
Rocky Brook Court
12/30/20
06/26/24
03/25/25
4.50%
89,400.00
89,400.00
19-10
Design Costs - Municipal Complex
12/30/20
09/07/23
06/27/24
4.25%
459,500.00
459,500.00
19-10
Design Costs - Municipal Complex
12/30/20
06/26/24
03/25/25
4.50%
443,000.00
443,000.00
19-20
Various Capital Improvements - Police, Fire and DPW
12/30/20
09/07/23
06/27/24
4.25%
172,250.00
172,250.00
19-20
Various Capital Improvements - Police, Fire and DPW
12/30/20
06/26/24
03/25/25
4.50%
159,000.00
159,000.00
20-05
Springcrest, Spruce Court and Glenn Drive
09/29/22
09/07/23
06/27/24
4.25%
357,750.00
357,750.00
20-05
Springcrest, Spruce Court and Glenn Drive
09/29/22
06/26/24
03/25/25
4.50%
357,750.00
357,750.00
20-15
Crosswalk Signal and Fire Department Equipment
09/29/22
09/07/23
06/27/24
4.25%
100,000.00
100,000.00
20-15
Crosswalk Signal and Fire Department Equipment
09/29/22
06/26/24
03/25/25
4.50%
100,000.00
100,000.00
21-02
Improvements to Various Roads - Hauser Avenue,
Bennet Place, Railroad Avenue and Dey Street
09/29/22
09/07/23
06/27/24
4.25%
500,000.00
500,000.00
21-02
Improvements to Various Roads - Hauser Avenue,
Bennet Place, Railroad Avenue and Dey Street
09/29/22
06/26/24
03/25/25
4.50%
500,000.00
500,000.00
22-11
Improvements to Various Roads - Orchard, Clover and South Main
09/29/22
09/07/23
06/27/24
4.25%
90,000.00
90,000.00
22-11
Improvements to Various Roads - Orchard, Clover and South Main
09/29/22
06/26/24
03/25/25
4.50%
390,000.00
390,000.00
22-21
Public Safety Improvements Police and Fire, Parks and
Recreation, and E. Ward Street Bridge
09/27/23
09/07/23
06/27/24
4.25%
600,000.00
600,000.00
22-21
Public Safety Improvements Police and Fire, Parks and
Recreation, and E. Ward Street Bridge
09/27/23
06/26/24
03/25/25
4.50%
600,000.00
600,000.00
23-02
Improvements to Maxwell Avenue
09/27/23
09/07/23
06/27/24
4.25%
100,000.00
100,000.00
23-02
Improvements to Maxwell Avenue
09/27/23
06/26/24
03/25/25
4.50%
100,000.00
100,000.00
23-12
Various Capital Improvements
09/27/23
09/07/23
06/27/24
4.25%
150,000.00
150,000.00
23-12
Various Capital Improvements
09/27/23
06/26/24
03/25/25
4.50%
350,000.00
350,000.00
3,671,000.00
$
4,081,000.00
$
3,671,000.00
$
4,081,000.00
$
Issued for Cash - Due from Regular Fund
500,000.00
$
Renewals
3,581,000.00
3,581,000.00
$
Paid by Budget Appropriation
90,000.00
4,081,000.00
$
3,671,000.00
$
For the Year Ended December 31, 2024
Improvement Description
-104-
13090
Exhibit SC-10
BOROUGH OF HIGHTSTOWN
GENERAL CAPITAL FUND
Statement of General Serial Bonds
Paid by
Date of
Original
Outstanding Dec. 31, 2024
Interest
Balance
Budget
Balance
Purpose
Issue
Issue
Date
Amount
Rate
Dec. 31, 2023
Appropriation
Dec. 31, 2024
General Obligation Bonds, Series 2018
09/27/18
4,960,000.00
$
04/01/25
480,000.00
$
5.00%
04/01/26
480,000.00
5.00%
04/01/27
480,000.00
2.50%
04/01/28
480,000.00
3.00%
04/01/29
480,000.00
3.00%
04/01/30
400,000.00
3.00%
3,280,000.00
$
480,000.00
$
2,800,000.00
$
For the Year Ended December 31, 2024
-105-
13090
Exhibit SC-11
BOROUGH OF HIGHTSTOWN
GENERAL CAPITAL FUND
Statement of Green Acres Loan Payable
Paid by
Date of
Original
Outstanding Dec. 31, 2024
Interest
Balance
Budget
Balance
Purpose
Issue
Issue
Date
Amount
Rate
Dec. 31, 2023
Appropriation
Dec. 31, 2024
Peddie Lake Dam Restoration
2011
156,250.00
$
06/10/25
4,448.22
$
2.00%
12/10/25
4,492.70
2.00%
06/10/26
4,537.63
2.00%
12/10/26
4,583.00
2.00%
06/10/27
4,628.83
2.00%
12/10/27
4,675.12
2.00%
06/10/28
4,721.87
2.00%
12/10/28
4,769.09
2.00%
06/10/29
4,816.78
2.00%
12/10/29
4,864.95
2.00%
06/10/30
4,913.60
2.00%
60,216.53
$
8,764.74
$
51,451.79
$
For the Year Ended December 31, 2024
-106-
13090
Exhibit SC-12
GENERAL CAPITAL FUND
Statement of Bonds and Notes Authorized But Not Issued
Increased by
Ordinance
Balance
2024
Notes
Balance
Number
Improvement Description
Dec. 31, 2023
Authorizations
Issued
Dec. 31, 2024
General Improvements:
05-24/09-13
Peddie Lake Dam Improvements
550.00
$
550.00
$
09-20
Stockton Street Improvements
16,899.57
16,899.57
10-02
Reconstruction of Leshin Lane
13,000.00
13,000.00
10-16
Summit Street Sidewalk Improvements
526.45
526.45
12-04
Hurricane Irene Damage Emergency
625.25
625.25
12-13
Various Capital Improvements
500.00
500.00
13-07/15-14/19-04
Improvements to Peddie Lake Dam Walking Bridge
8,702.67
8,702.67
13-23/15-06
Road Improvements to Park Avenue, Greeley Street
and Glen Brook Place
15,210.00
15,210.00
14-06
Various Capital Improvements Including Document Restoration
9,334.00
9,334.00
15-07
Road Improvements to Park Way, Grant Street
and Hutchinson Street
25,000.00
25,000.00
15-11
Acquisition of Arial Ladder Truck
300.00
300.00
15-15/17-15/22-24
Improvements to Stockton Street and Joseph Street
186,694.03
186,694.03
16-12
Rehabilitation of East Ward Street
90,000.00
90,000.00
17-09/21-10
Retaining Wall, First Avenue Improvements
254,000.00
254,000.00
17-12
Police, Fire, DPW Court Equipment
40.00
40.00
20-05
Springcrest, Spruce Court and Glenn Drive
250.00
250.00
21-02
Improvements to Various Roads - Hauser Avenue,
Bennet Place, Railroad Avenue and Dey Street
100,368.00
100,368.00
22-11
Improvements to Various Roads - Orchard, Clover and South Main
560,000.00
300,000.00
$
260,000.00
22-21
Public Safety Improvements Police and Fire, Parks and
Recreation, and E. Ward Street Bridge
175,780.00
175,780.00
23-02
Improvements to Maxwell Avenue
133,730.00
133,730.00
23-12
Various Capital Improvements
257,600.00
200,000.00
57,600.00
23-22
Improvements to the Sluice Gate
61,800.00
61,800.00
24-04
Improvements to Summit Street
376,290.00
$
376,290.00
24-12
Various Capital Improvements
381,200.00
381,200.00
24-16
Dawes Park Recreation Improvements
393,300.00
393,300.00
1,910,909.97
$
1,150,790.00
$
500,000.00
$
2,561,699.97
$
For the Year Ended December 31, 2024
BOROUGH OF HIGHTSTOWN
Decreased by
-107-
SUPPLEMENTAL EXHIBITS
WATER UTILITY FUND
13090
Exhibit SD-1
BOROUGH OF HIGHTSTOWN
WATER-SEWER UTILITY FUND
Statement of Water-Sewer Utility Cash per N.J.S.A.40A:5-5--Chief Financial Officer
For the Year Ended December 31, 2024
O p e r a t i n g
C a p i t a l
Balance Dec. 31, 2023
278,304.41
$
452,206.06
$
Increased by Receipts:
Consumer Accounts Receivable
2,895,641.12
$
Miscellaneous Revenues Anticipated
149,341.51
Water-Sewer Overpayments
3,651.60
Prepaid Water Rents
29,602.03
Due East Windsor - Tax Sale
1,065.39
Current Year Budget Reimbursements
69,900.10
Refund of Prior Year Expenditures
1,200.00
Due Regular Fund:
Interfund Receipts
361,157.00
Due Water-Sewer Utility Operating Fund
3,647.06
$
Capital Improvement Fund
20,000.00
Due from State of New Jersey:
Department of Environmental Protection
16,235.00
Infrastructure Bank
8,117.00
Infrastructure Bank - Construction Loan Payable
285,979.00
3,511,558.75
333,978.06
3,789,863.16
786,184.12
Decreased by Disbursements:
2024 Budget Appropriations
1,673,115.64
Accrued Interest on Bonds and Notes
74,538.38
Due Regular Fund
1,400,000.00
Due Water-Sewer Utility Operating Fund
3,647.06
3,147,654.02
3,647.06
Balance Dec. 31, 2024
642,209.14
$
782,537.06
$
-109-
13090
Exhibit SD-2
BOROUGH OF HIGHTSTOWN
WATER-SEWER UTILITY CAPITAL FUND
Analysis of Water-Sewer Utility Capital Cash
For the Year Ended December 31, 2024
Receipts
Disbursements
Balance
Balance
(Deficit)
Transfers
(Deficit)
Dec. 31, 2023
Miscellaneous
Miscellaneous
From
To
Dec. 31, 2024
Capital Improvement Fund
30,692.95
$
20,000.00
$
11,000.00
$
39,692.95
$
Due Regular Fund
153,946.87
123,511.53
488,015.84
$
518,451.18
Due Grant Fund
4,755.80
4,755.80
Due General Capital Fund
297,071.10
248,268.56
545,339.66
Reserve for Encumbrances
109,745.00
109,745.00
379,325.12
379,325.12
Due to Water-Sewer Operating
95,109.61
3,647.06
3,647.06
$
95,109.61
Reserve for Payment of Debt Service
4,631.21
4,631.21
Reserve for NJ I Bank
82,272.23
82,272.23
Grant Receivable - FEMA
(74,642.56)
74,642.56
Due from NJ Department of Environmental Protection
(16,235.00)
16,235.00
Due from NJ I Bank
(8,117.00)
8,117.00
Due NJ I Bank - Construction Loan
285,979.00
285,979.00
Fund Balance
5.72
511.53
517.25
Down Payment on Improvements
200.00
200.00
Improvement Authorizations:
09-02
Water-Sewer Imp. Morrison Avenue
(600.00)
(600.00)
09-15
Water Main Extension
5,190.12
5,190.12
11-03
Water-Sewer Improvements
2,673.48
4,365.00
4,365.00
2,673.48
11-04
Refurbishment of Water Tanks
15,000.00
15,000.00
12-14
Mitigation Water Plant/Roof Replacement
41,532.53
41,532.53
13-19
Water-Sewer Improvements - Grape Run Rd. and
Pershing Ave.
6,801.19
6,801.19
14-12
Improvements to Water-Sewer Plants
24,738.86
24,738.86
16-14
Water-Sewer Improvements
(200,213.19)
3,025.00
3,025.00
(200,213.19)
17-10/19-09 Water Mains, Sewer Imp Stockton & Forman
20,375.69
10,799.48
9,576.21
17-11
Secondary Clarifier
5,773.18
5,773.18
17-16
Water-Sewer Imp. Maple Ave Sunset Dr.
(7,849.00)
(7,849.00)
18-21
Water-Sewer Imp. Lincoln, Hagemount and
Rocky Brook Ct.
54,769.05
215.73
54,553.32
19-19
Water-Sewer Improvements
4,358.28
4,358.28
20-06/21-08 Drainage Improvements
9,306.47
2,848.24
6,458.23
20-16
Water-Sewer Improvements
39,598.06
47,598.06
(8,000.00)
20-17
Water-Sewer Flood Mitigation, Generator
(63,601.50)
74,642.56
(138,244.06)
21-03
Water-Sewer Improvements - Hauser, Bennet,
Prospect, Railroad and Dey
(143,744.88)
504,819.87
(648,564.75)
22-07
Water Tank Painting and Repairs
64,846.15
5,938.69
58,907.46
22-12
Various Water-Sewer Improvements
(21,936.38)
309,873.75
1,910.00
(329,900.13)
22-22
Water Meters Replacement and Upgrades to
Water-Sewer Utility
2,650.00
58,245.00
58,045.00
2,450.00
23-03
Water-Sewer Improvements to Maxwell Avenue
(600.00)
8,896.25
(9,496.25)
23-05
Improvements to Sludge Tank and Drywell
(31,590.00)
18,298.75
(49,888.75)
23-06
Replacement of Water-Sewer Lines
4,400.00
4,400.00
23-07
Engineer Costs for the Lead Line Water Service
Replacement
(5,017.98)
(5,017.98)
23-09
Improvements to the Anaerobic Digester
(4,290.00)
405.00
(4,695.00)
23-13
Various Water-Sewer Utility Improvements
(55,500.00)
102,390.70
165,400.00
7,509.30
23-23
Rebuilding of the Rotopress
5,700.00
600.00
5,100.00
24-05
Water-Sewer Improvements to Summit Street
600.00
(600.00)
24-13
Acquisition of a Closed Circuit Television System for
Water-Sewer Utility
28,000.00
1,400.00
(26,600.00)
24-17
Replacement of Water Main at the Water Treatment Plant
8,690.00
9,600.00
910.00
452,206.06
$
333,978.06
$
3,647.06
$
1,434,508.61
$
1,434,508.61
$
782,537.06
$
-110-
13090
Exhibit SD-3
BOROUGH OF HIGHTSTOWN
WATER UTILITY OPERATING FUND
Statement of Consumer Accounts Receivable
For the Year Ended December 31, 2024
Balance Dec. 31, 2023
121,402.84
$
Increased by:
Net Billings
2,918,906.75
3,040,309.59
Decreased by:
Collections
2,895,641.12
Balance Dec. 31, 2024
144,668.47
$
-111-
13090
Exhibit SD-4
BOROUGH OF HIGHTSTOWN
WATER UTILITY CAPITAL FUND
Statement of Due to Regular Fund
For the Year Ended December 31, 2024
Balance Dec. 31, 2023
153,946.87
$
Increased by:
Disbursements made On-behalf of Water-Sewer Utility Capital Fund:
Improvement Authorizations
488,015.84
641,962.71
Decreased by:
Collections Made On-behalf of Water-Sewer Utility Capital Fund:
Bond Anticipation Notes
123,000.00
$
Premium on Sale of Notes
511.53
123,511.53
Balance Dec. 31, 2024
518,451.18
$
-112-
13090
Exhibit SD-5
BOROUGH OF HIGHTSTOWN
WATER UTILITY CAPITAL FUND
Statement of Fixed Capital
For the Year Ended December 31, 2024
Balance Dec. 31, 2023
15,336,516.65
$
Increased by:
Transferred from Fixed Capital Authorized and Uncompleted
1,219,000.00
Balance Dec. 31, 2024
16,555,516.65
$
-113-
13090
Exhibit SD-6
Statement of Fixed Capital Authorized and Uncompleted
Transferred
Ordinance
Balance
Improvement
to Fixed
Balance
Number
Improvement Description
Date
Amount
Dec. 31, 2023
Authorizations
Capital
Dec. 31, 2024
08-10, 08-19
Water-Sewer Improvements
10/20/08
155,400.00
$
155,400.00
$
155,400.00
$
09-02
Water-Sewer Imp. Morrison Avenue
02/02/09
215,000.00
215,000.00
215,000.00
09-15
Water Main Extension
09/08/09
2,200,000.00
2,200,000.00
2,200,000.00
$
11-03
Water-Sewer Improvements
06/06/11
2,083,000.00
2,188,000.00
2,188,000.00
11-04
Refurbishment of Water Tanks
06/06/11
100,000.00
100,000.00
100,000.00
12-14
Mitigation Water Plant/Roof Replacement
08/20/12
132,000.00
132,000.00
132,000.00
13-19
Water-Sewer Improvements - Grape Run Rd and Pershing Ave.
08/19/13
86,000.00
86,000.00
86,000.00
14-12
Improvements to Water-Sewer Plants
07/21/14
100,000.00
100,000.00
100,000.00
16-14
Improvements to Water-Sewer Plants
06/06/16
1,860,000.00
1,860,000.00
1,860,000.00
17-10/19-09
Water Mains, Sewer Imp Stockton & Forman
08/21/17
1,270,000.00
1,435,000.00
1,435,000.00
17-11
Secondary Clarifier
08/21/17
245,000.00
245,000.00
245,000.00
17-16
Water-Sewer Imp. Maple Ave. Sunset Dr.
11/20/17
110,000.00
110,000.00
110,000.00
18-21
Water-Sewer Imp. Lincoln, Hagemount and Rocky Brook Ct.
11/05/18
175,000.00
175,000.00
175,000.00
19-18
Various Water-Sewer Improvements
11/18/19
100,000.00
100,000.00
100,000.00
19-19
Various Water-Sewer Improvements
11/18/19
110,000.00
110,000.00
110,000.00
20-06/21-08
Drainage Improvements
07/20/20
310,000.00
975,000.00
975,000.00
20-16
Various Water-Sewer Improvements
12/07/20
115,100.00
115,100.00
115,100.00
20-17
Water-Sewer Flood Mitigation, Generator
12/07/20
505,500.00
505,500.00
505,500.00
21-03
Water-Sewer Improvements - Hauser, Bennet, Prospect,
Railroad and Dey
03/15/22
710,000.00
710,000.00
710,000.00
22-07
Water Tank Painting and Repairs
04/18/22
1,100,000.00
1,100,000.00
1,100,000.00
22-12
Various Water-Sewer Improvements
06/06/22
380,000.00
380,000.00
380,000.00
22-22
Water Meters Replacements and Upgrades to Water-Sewer
Utility
12/19/22
73,000.00
73,000.00
73,000.00
23-03
Water-Sewer Improvements to Maxwell Ave.
02/21/23
1,290,000.00
1,290,000.00
1,290,000.00
23-05
Improvements to Sludge Tank and Drywell
04/03/23
1,640,000.00
1,640,000.00
1,640,000.00
23-06
Replacement of Water-Sewer Lines
04/03/23
105,000.00
105,000.00
105,000.00
23-07
Engineer Costs for the Lead Line Water Service Replacement
04/03/23
100,000.00
100,000.00
100,000.00
23-09
Improvements to the Anaerobic Digester
06/05/23
499,500.00
499,500.00
499,500.00
23-13
Various Water-Sewer Improvements
07/17/23
130,000.00
130,000.00
130,000.00
23-23
Rebuilding of the Rotopress
12/18/23
118,000.00
118,000.00
118,000.00
24-05
Water-Sewer Improvements to Summit Street
05/06/24
1,345,000.00
1,345,000.00
$
1,345,000.00
24-13
Acquisition of a Closed Circuit Television System for
Water-Sewer Utility
08/19/24
28,000.00
28,000.00
28,000.00
24-17
Replacement of Water Main at the Water Treatment Plant
09/16/24
200,000.00
200,000.00
200,000.00
16,952,500.00
$
1,573,000.00
$
1,219,000.00
$
17,306,500.00
$
BOROUGH OF HIGHTSTOWN
For the Year Ended December 31, 2024
WATER-SEWER UTILITY CAPITAL FUND
Ordinance
-114-
13090
Exhibit SD-7
WATER-SEWER UTILITY OPERATING FUND
Statement of Prepaid Water-Sewer Rents
For the Year Ended December 31, 2024
Increased by:
Collections
29,602.03
$
Balance Dec. 31, 2024
29,602.03
$
Exhibit SD-8
WATER-SEWER UTILITY OPERATING FUND
Statement of Water-Sewer Rent Overpayments
For the Year Ended December 31, 2024
Balance Dec. 31, 2023
7,221.81
$
Increased by:
Overpayments Received - Collector
3,651.60
10,873.41
Decreased by:
Canceled
7,221.81
Balance Dec. 31, 2024
3,651.60
$
BOROUGH OF HIGHTSTOWN
-115-
13090
Exhibit SD-9
BOROUGH OF HIGHTSTOWN
WATER-SEWER UTILITY OPERATING FUND
Statement of Accrued Interest on Bonds and Notes
For the Year Ended December 31, 2024
Balance Dec. 31, 2023
40,270.51
$
Increased by - Charges to Utility Operating Budget:
Interest on Bonds
29,348.10
$
Interest on Loans
42,437.68
Interest on Notes
55,181.52
126,967.30
167,237.81
Decreased by:
Interest Paid by Utility Operating Fund:
Interest on Bonds
31,455.45
Interest on Loans
43,082.93
74,538.38
Due to Regular Fund:
Note Interest Disbursed On-behalf of Water-Sewer Utility Operating Fund
37,261.88
111,800.26
Balance Dec. 31, 2024
55,437.55
$
Analysis of Accrued Interest Dec. 31, 2024
Principal
Outstanding
Interest
Dec. 31, 2024
Rate
From
To
Period
Amount
Serial Bonds:
450,000.00
$
Various
10/01/2024
12/31/2024
3 Months
3,656.25
$
395,000.00
Various
09/01/2024
12/31/2024
4 Months
4,400.30
8,056.55
NJEIT Loans:
158,000.00
Various
08/01/2024
12/31/2024
5 Months
2,666.67
116,048.00
Various
08/01/2024
12/31/2024
5 Months
1,363.37
97,839.00
Various
08/01/2024
12/31/2024
5 Months
1,149.47
45,000.00
Various
08/01/2024
12/31/2024
5 Months
606.78
290,000.00
Various
08/01/2024
12/31/2024
5 Months
4,252.60
305,000.00
Various
08/01/2024
12/31/2024
5 Months
5,104.17
125,535.00
Various
08/01/2024
12/31/2024
5 Months
2,364.71
17,507.75
Bond Anticipation Notes:
1,278,000.00
4.50%
06/27/2024
12/31/2024
187 Days
29,873.25
55,437.55
$
-116-
13090
Exhibit SD-10
BOROUGH OF HIGHTSTOWN
WATER-SEWER UTILITY OPERATING FUND
Statement of 2023 Appropriation Reserves
For the Year Ended December 31, 2024
Balance
Paid or
Balance
Encumbered
Reserves
Charged
Lapsed
Operating:
Salaries and Wages
30,077.64
$
30,077.64
$
Other Expenses
101,133.34
$
143,765.07
100,514.13
$
144,384.28
Deferred Charges and Statutory Expenditures
Statutory Expenditures:
Unemployment Compensation Insurance
(N.J.S.A. 43:21-3 et seq.)
2,000.00
2,000.00
101,133.34
$
175,842.71
$
100,514.13
$
176,461.92
$
Due to Regular Fund - Disbursed On-behalf of
Water-Sewer Utility Operating Fund
86,514.13
$
Transferred to Accounts Payable
14,000.00
100,514.13
$
Exhibit SD-11
WATER-SEWER UTILITY CAPITAL FUND
Statement of Due to Water Utility Operating Fund
For the Year Ended December 31, 2024
Balance Dec. 31, 2023
95,109.61
$
Increased by:
Receipts:
Interest Earned on Deposits
3,647.06
98,756.67
Decreased by:
Interest Remitted
3,647.06
Balance Dec. 31, 2024
95,109.61
$
Exhibit SD-12
WATER-SEWER UTILITY OPERATING FUND
Statement of Due to Regular Fund
For the Year Ended December 31, 2024
Balance Dec. 31, 2023
421,889.92
$
Increased by:
Disbursements by Regular Fund On-Behalf of Water-Sewer Utility Operating Fund:
Current Year Appropriations
1,147,803.59
$
Appropriation Reserves
86,514.13
Accrued Interest on Notes
37,261.88
Due East Windsor - Tax Sale
1,065.39
1,272,644.99
Interfunds Received
361,157.00
1,633,801.99
2,055,691.91
Decreased by:
Interfund Liquidated
1,400,000.00
Balance Dec. 31, 2024
655,691.91
$
Dec. 31, 2023
-117-
13090
Exhibit SD-13
BOROUGH OF HIGHTSTOWN
WATER UTILITY CAPITAL FUND
Statement of Capital Improvement Fund
For the Year Ended December 31, 2024
Balance Dec. 31, 2023
30,692.95
$
Increased by:
Receipts - Budget Appropriations
20,000.00
50,692.95
Decreased by:
Appropriated to Finance Improvement Authorization
11,000.00
Balance Dec. 31, 2024
39,692.95
$
-118-
13090
Exhibit SD-14
Statement of Improvement Authorizations
Decreased by
Balance
Prior Year
Ordinance
Ordinance
Dec. 31, 2023
2024
Encumbrances
Paid or
Number
Improvement Description
Date
Amount
Funded
Unfunded
Authorizations
Reclassified
Charged
Funded
Unfunded
09-15
Water Main Extension
09/08/09
2,200,000.00
$
5,190.12
$
3,750.00
$
5,190.12
$
3,750.00
$
11-03
Water-Sewer Improvements
06/06/11
2,083,000.00
3,236.48
4,365.00
$
4,365.00
$
3,236.48
11-04
Refurbishment of Water Tanks
06/06/11
100,000.00
15,000.00
15,000.00
12-14
Mitigation Water Plant/Roof Replacement
08/20/12
132,000.00
41,532.53
41,532.53
13-19
Water-Sewer Improvements - Grape Run Rd
and Pershing Ave.
08/19/13
86,000.00
6,801.19
6,000.00
6,801.19
6,000.00
16-14
Improvements to Water-Sewer Plants
06/06/16
1,860,000.00
27,327.67
226,398.00
3,025.00
3,025.00
27,327.67
226,398.00
17-10/19-09
Water Mains, Sewer Imp Stockton & Forman,
and First Ave.
08/21/17
1,435,000.00
277,161.69
10,799.48
9,576.21
256,786.00
17-11
Secondary Clarifier
08/21/17
245,000.00
19,949.18
19,949.18
17-16
Water-Sewer Imp. Maple Ave. Sunset Dr.
11/20/17
110,000.00
102,151.00
102,151.00
18-21
Water-Sewer Imp. Lincoln, Hagemount
and Rocky Brook Ct.
11/05/18
175,000.00
59,769.05
215.73
59,553.32
19-19
Various Water-Sewer Improvements
11/18/19
110,000.00
24,058.28
24,058.28
20-06/21-08
Drainage Improvements
07/20/20-07/19/22
675,000.00
459,105.69
2,848.24
456,257.45
20-16
Various Water-Sewer Improvements
12/07/20
115,100.00
47,598.06
47,598.06
21-03
Water-Sewer Improvements - Hauser,
Bennet, Prospect, Railroad and Dey
03/15/22
710,000.00
566,255.12
504,819.87
61,435.25
22-07
Water Tank Painting and Repairs
04/18/22
1,100,000.00
595,293.15
5,938.69
58,907.46
530,447.00
22-12
Various Water-Sewer Improvements
06/06/22
380,000.00
308,063.62
1,910.00
309,873.75
99.87
22-22
Water Meters Replacements and Upgrades
to Water-Sewer Utility
12/19/22
73,000.00
2,650.00
58,045.00
58,245.00
2,450.00
23-03
Water-Sewer Improvements to Maxwell Ave.
02/21/23
1,290,000.00
1,289,400.00
8,896.25
1,280,503.75
23-05
Improvements to Sludge Tank and Drywell
04/03/23
1,640,000.00
1,608,410.00
18,298.75
1,590,111.25
23-06
Replacement of Water-Sewer Lines
04/03/23
105,000.00
4,400.00
100,000.00
4,400.00
100,000.00
23-07
Engineer Costs for the Lead Line Water
Service Replacement
04/03/23
100,000.00
94,982.02
94,982.02
23-09
Improvements to the Anaerobic Digester
06/05/23
499,500.00
495,210.00
405.00
494,805.00
23-13
Various Water-Sewer Improvements
07/17/23
130,000.00
68,300.00
42,400.00
102,390.70
8,309.30
23-23
Rebuilding of the Rotopress
12/18/23
118,000.00
5,700.00
112,300.00
600.00
5,100.00
112,300.00
24-05
Water-Sewer Improvements to Summit Street
05/06/24
1,345,000.00
1,345,000.00
$
600.00
1,344,400.00
24-13
Acquisition of a Closed Circuit Television System for
Water-Sewer Utility
08/19/24
28,000.00
28,000.00
28,000.00
24-17
Replacement of Water Main at the Water Plant
09/16/24
200,000.00
200,000.00
8,690.00
910.00
190,400.00
105,951.51
$
6,470,041.34
$
1,573,000.00
$
109,745.00
$
1,115,609.52
$
180,431.66
$
6,962,696.67
$
Capital Improvement Fund
11,000.00
$
Bonds and Notes Authorized
1,562,000.00
Due to Regular Fund
488,015.84
$
Due to General Capital Fund
248,268.56
Encumbered
379,325.12
1,573,000.00
$
1,115,609.52
$
BOROUGH OF HIGHTSTOWN
For the Year Ended December 31, 2024
WATER-SEWER UTILITY CAPITAL FUND
Dec. 31, 2024
Balance
Increased by
-119-
13090
Exhibit SD-15
WATER-SEWER UTILITY CAPITAL FUND
Statement of Reserve for Amortization
Balance Dec. 31, 2023
17,967,012.05
$
Increased by:
Serial Bonds Paid by Budget Appropriation
180,000.00
$
Loans Paid by Budget Appropriation
287,503.80
Notes Paid by Budget Appropriation
14,000.00
481,503.80
Balance Dec. 31, 2024
18,448,515.85
$
Exhibit SD-16
Balance Dec. 31, 2023
1,776,845.44
$
Increased by:
Down Payment on Improvement Authorizations - Capital Improvement Fund
11,000.00
Balance Dec. 31, 2024
1,787,845.44
$
BOROUGH OF HIGHTSTOWN
For the Year Ended December 31, 2024
WATER-SEWER UTILITY CAPITAL FUND
Statement of Deferred Reserve for Amortization
For the Year Ended December 31, 2024
-120-
13090
Exhibit SD-17
Original
Ordinance
Date of
Date of
Date of
Interest
Balance
Balance
Number
Improvement Description
Issue
Issue
Maturity
Rate
Dec. 31, 2023
Increased
Decreased
Dec. 31, 2024
17-11
Secondary Clarifier
12/30/20
09/27/23
06/27/24
4.25%
228,165.00
$
228,165.00
$
17-11
Secondary Clarifier
12/30/20
06/26/24
03/25/25
4.50%
225,165.00
$
225,165.00
$
18-21
Water-Sewer Imp. Lincoln, Hagemount
and Rocky Brook Court
12/30/20
09/27/23
06/27/24
4.25%
169,113.00
169,113.00
18-21
Water-Sewer Imp. Lincoln, Hagemount
and Rocky Brook Court
12/30/20
06/26/24
03/25/25
4.50%
168,113.00
168,113.00
19-19
Water-Sewer Improvements
12/30/20
09/27/23
06/27/24
4.25%
82,222.00
82,222.00
19-19
Water-Sewer Improvements
12/30/20
06/26/24
03/25/25
4.50%
79,222.00
79,222.00
20-06
Drainage Improvements
09/30/21
09/27/23
06/27/24
4.25%
520,000.00
520,000.00
20-06
Drainage Improvements
09/30/21
06/26/24
03/25/25
4.50%
513,000.00
513,000.00
22-12
Water-Sewer Improvements
09/27/23
09/27/23
06/27/24
4.25%
169,500.00
169,500.00
22-12
Water-Sewer Improvements
09/27/23
06/26/24
03/25/25
4.50%
169,500.00
169,500.00
23-13
Various Water-Sewer Utility Improvements
06/26/24
06/26/24
03/25/25
4.50%
123,000.00
123,000.00
1,169,000.00
$
1,278,000.00
$
1,169,000.00
$
1,278,000.00
$
Renewed
1,155,000.00
$
1,155,000.00
$
Issued for Cash - Due from Regular Fund
123,000.00
Paid By Budget Appropriation:
Reserve for Amortization
14,000.00
1,278,000.00
$
1,169,000.00
$
For the Year Ended December 31, 2024
Statement of Bond Anticipation Notes
WATER-SEWER UTILITY CAPITAL FUND
BOROUGH OF HIGHTSTOWN
-121-
13090
Exhibit SD-18
BOROUGH OF HIGHTSTOWN
WATER-SEWER UTILITY CAPITAL FUND
Statement of Serial Bonds
Amount of
Paid by
Date of
Original
Outstanding December 31, 2024
Interest
Balance
Budget
Balance
Purpose
Issue
Issue
Date
Amount
Rate
Dec. 31, 2023
Appropriation
Dec. 31, 2024
Water-Sewer Utility Bonds
09/27/18
875,000.00
$
04/01/25
75,000.00
$
5.000%
04/01/26
75,000.00
5.000%
04/01/27
75,000.00
2.500%
04/01/28
75,000.00
3.000%
04/01/29
75,000.00
3.000%
04/01/30
75,000.00
3.000%
525,000.00
$
75,000.00
$
450,000.00
$
Water-Sewer Utility Refunding Bonds
11/27/18
1,040,000.00
03/01/2025-27
100,000.00
3.342%
03/01/28
95,000.00
3.342%
500,000.00
105,000.00
395,000.00
1,025,000.00
$
180,000.00
$
845,000.00
$
Reserve for Amortization
180,000.00
$
For the Year Ended December 31, 2024
-122-
13090
Exhibit SD-19
BOROUGH OF HIGHTSTOWN
WATER-SEWER UTILITY CAPITAL FUND
Schedule of Loans Payable
Paid by
Date of
Original
Outstanding Dec. 31, 2024
Interest
Balance
Budget
Balance
Purpose
Issue
Issue
Date
Amount
Rate
Dec. 31, 2023
Appropriation
Dec. 31, 2024
(2010 A W1104001-004):
N.J. Infrastructure Trust Loan
03/10/10
495,000.00
$
08/01/25
28,000.00
$
3.50%-4.00%
08/01/2026-29
33,000.00
3.50%-4.00%
188,000.00
$
28,000.00
$
160,000.00
$
N.J. Infrastructure Fund Loan
03/10/10
1,451,250.00
08/01/2025-28
51,830.35
0.000%
02/01/2025-29
25,915.17
0.000%
08/01/29
51,830.64
0.000%
466,473.41
77,745.52
388,727.89
(2012 DL S340 -15-02/03):
N.J. Infrastructure Trust Loan
05/16/12
283,382.00
08/01/25
15,330.00
2.230%
08/01/26
15,672.00
2.330%
08/01/27
16,037.00
2.860%
08/01/28
16,495.00
2.950%
08/01/29
16,982.00
3.030%
08/01/30
17,497.00
3.080%
08/01/31
18,035.00
3.140%
131,061.00
15,013.00
116,048.00
N.J. Infrastructure Fund Loan
05/16/12
813,055.00
02/01/2025-31
14,264.12
0.000%
08/01/2025-30
28,528.24
0.000%
08/01/31
28,528.40
0.000%
342,339.04
42,792.36
299,546.68
(2012 DL W1104001-005):
N.J. Infrastructure Trust Loan
05/16/12
238,918.00
08/01/25
12,924.00
2.230%
08/01/26
13,213.00
2.330%
08/01/27
13,521.00
2.860%
08/01/28
13,907.00
2.950%
08/01/29
14,317.00
3.030%
08/01/30
14,751.00
3.080%
08/01/31
15,206.00
3.140%
110,496.00
12,657.00
97,839.00
N.J. Infrastructure Fund Loan
05/16/12
685,482.00
02/01/2025-31
12,026.00
0.000%
08/01/2025-31
24,052.00
0.000%
288,624.00
36,078.00
252,546.00
(2017 A-1 W1104001-007/008):
N.J. Infrastructure Trust Loan
05/25/17
80,000.00
08/01/25
5,000.00
5.000%
08/01/2026-32
5,000.00
3.000%
08/01/33
5,000.00
3.125%
50,000.00
5,000.00
45,000.00
N.J. Infrastructure Fund Loan
05/25/17
86,542.00
02/01/2025-32
1,730.84
0.000%
02/01/33
1,012.52
0.000%
08/01/2025-32
3,461.68
0.000%
47,745.20
5,192.52
42,552.68
(Continued)
For the Year Ended December 31, 2024
-123-
13090
Exhibit SD-19
BOROUGH OF HIGHTSTOWN
WATER-SEWER UTILITY CAPITAL FUND
Schedule of Loans Payable
Paid by
Date of
Original
Outstanding Dec. 31, 2024
Interest
Balance
Budget
Balance
Purpose
Issue
Issue
Date
Amount
Rate
Dec. 31, 2023
Appropriation
Dec. 31, 2024
For the Year Ended December 31, 2024
(2018 A-1 S340 -15-05):
N.J. Infrastructure Trust Loan
05/22/18
330,000.00
$
08/01/2025-36
10,000.00
$
3.730%
08/01/2037-41
15,000.00
3.730%
08/01/2042-46
15,000.00
3.730%
08/01/47
20,000.00
3.730%
300,000.00
$
10,000.00
$
290,000.00
$
N.J. Infrastructure Fund Loan
05/22/18
963,975.00
02/01/2025-45
10,831.17
0.000%
08/01/2025-45
21,662.35
0.000%
08/01/46
10,516.61
0.000%
725,374.05
32,493.52
692,880.53
(2022 A-1 W1104001-010):
N.J. Infrastructure Trust Loan
06/23/22
315,000.00
08/01/2025-28
5,000.00
5.000%
08/01/2029-33
10,000.00
5.000%
08/01/34
10,000.00
3.250%
08/01/2035-37
10,000.00
3.375%
08/01/2038-41
10,000.00
3.500%
08/01/2042-43
15,000.00
3.625%
08/01/44
15,000.00
3.500%
08/01/2045-50
15,000.00
4.000%
08/01/51
20,000.00
4.000%
310,000.00
5,000.00
305,000.00
N.J. Infrastructure Fund Loan
06/23/22
324,073.00
02/01/2025-51
3,641.26
0.000%
08/01/2025-50
7,282.53
0.000%
08/01/51
7,282.09
0.000%
305,866.68
10,923.79
294,942.89
(2023 A-W1/C-W1 W1104001-009):
N.J. Infrastructure Trust Loan
06/23/23
125,538.00
08/01/2025-27
5,000.00
5.000%
08/01/2028-35
10,000.00
5.000%
08/01/36
10,367.00
3.030%
08/01/37
10,181.00
3.030%
08/01/38
9,990.00
3.030%
125,538.00
125,538.00
N.J. Infrastructure Fund Loan
06/23/23
145,378.00
08/01/2025-37
6,608.09
0.000%
08/01/38
6,608.04
0.000%
02/01/2025-38
3,304.05
0.000%
145,378.00
6,608.09
138,769.91
3,536,895.38
$
287,503.80
$
3,249,391.58
$
Paid by Budget Appropriation:
Reserve for Amortization
287,503.80
$
Total N.J. Infrastructure Trust Loan
1,139,425.00
$
Total N.J. Infrastructure Fund Loan
2,109,966.58
287,503.80
$
3,249,391.58
$
-124-
13090
Exhibit SD-20
Statement of Bonds and Notes Authorized But Not Issued
Increased by
Construction
Ordinance
Balance
2024
Notes
Loan
Balance
Number
Improvement Description
Dec. 31, 2023
Authorizations
Issued
Issued
Dec. 31, 2024
09-02
Morrison Avenue Improvements
600.00
$
600.00
$
09-15
Water Main Extension
3,750.00
3,750.00
11-13
Water-Sewer Improvements
563.00
563.00
13-19
Water-Sewer Improvements - Grape Run Rd. and Pershing Ave.
6,000.00
6,000.00
16-14
Water-Sewer Improvements
226,398.00
226,398.00
17-10/19-09
Water Mains/Sewer Imp Forman and First Ave.
256,786.00
256,786.00
17-11
Secondary Clarifier
14,176.00
14,176.00
17-16
Maple Ave and Sunset Dr. Improvements
110,000.00
110,000.00
18-21
Improvements to Lincoln Ave., Hagemount Ave. and Rocky Brook Ct.
5,000.00
5,000.00
19-19
Various Water-Sewer Improvements
19,700.00
19,700.00
20-06/21-08
Springcrest, Spruce and Glen Drive Improvements
8,500.00
8,500.00
20-16
Water-Sewer Improvements
8,000.00
8,000.00
21-03
Water-Sewer Improvements - Hauser, Bennet, Prospect, Railroad and Dey
710,000.00
285,979.00
$
424,021.00
22-07
Water Tank Painting and Repairs
530,447.00
530,447.00
22-12
Various Water-Sewer Improvements
280,000.00
280,000.00
23-03
Water-Sewer Improvements to Maxwell Avenue
1,290,000.00
1,290,000.00
23-05
Improvements to Sludge Tank and Drywell
1,640,000.00
1,640,000.00
23-06
Replacement of Water-Sewer Lines
100,000.00
100,000.00
23-07
Engineer Costs for the Lead Line Water Service Replacement
100,000.00
100,000.00
23-09
Improvements to the Anaerobic Digester
499,500.00
499,500.00
23-13
Various Water-Sewer Utility Improvements
123,800.00
123,000.00
$
800.00
23-23
Rebuilding of the Rotopress
112,300.00
112,300.00
24-05
Water-Sewer Improvements to Summit Street
1,345,000.00
$
1,345,000.00
24-13
Acquisition of a Closed Circuit Television System for Water-Sewer Utility
26,600.00
26,600.00
24-17
Replacement of Water Main at the Water Treatment Plant
190,400.00
190,400.00
6,045,520.00
$
1,562,000.00
$
123,000.00
$
285,979.00
$
7,198,541.00
$
BOROUGH OF HIGHTSTOWN
WATER-SEWER UTILITY CAPITAL FUND
For the Year Ended December 31, 2024
Decreased by
-125-
BOROUGH OF HIGHTSTOWN
PART 2
SCHEDULE OF FINDINGS AND RECOMMENDATIONS
FOR THE YEAR ENDED DECEMBER 31, 2024
13090
BOROUGH OF HIGHTSTOWN
Schedule of Findings and Recommendations
For the Year Ended December 31, 2024
Schedule of Financial Statement Findings
This section identifies the significant deficiencies, material weaknesses, fraud, noncompliance with provisions of
laws, regulations, contracts, and grant agreements related to financial statements for which Government Auditing
Standards and audit requirements as prescribed by the Division of Local Government Services, Department of
Community Affairs, State of New Jersey, requires.
Finding No. 2024-001
Criteria or Specific Requirement
N.J.A.C. 5:30-5.6(a)(4)(i) requires property records to be maintained accurately, to reflect a description and
source of the property, its ownership, the acquisition cost and date and the percentage of Federal participation in
the acquisition.
Condition
Fixed assets were purchased but not recorded in the fixed asset accounting system.
Context
The fixed assets listing has not been updated to include all purchases and dispositions in recent years.
Effect
Noncompliance with N.J.A.C. 5:30-5.6(a)(4)(i).
Cause
The Borough did not have procedures in place to ensure that fixed assets listing is promptly updated.
Recommendation
That the Borough establishes controls to ensure all fixed assets acquired, sold, or retired are recorded in the fixed
asset system.
View of Responsible Officials and Planned Corrective Action
The responsible officials agree with the finding and will address the matter as part of their corrective action plan.
-127-
13090
BOROUGH OF HIGHTSTOWN
Schedule of Findings and Recommendations
For the Year Ended December 31, 2024
Schedule of Financial Statement Findings (Cont’d)
This section identifies the significant deficiencies, material weaknesses, fraud, noncompliance with provisions of
laws, regulations, contracts, and grant agreements related to financial statements for which Government Auditing
Standards and audit requirements as prescribed by the Division of Local Government Services, Department of
Community Affairs, State of New Jersey, requires.
Finding No. 2024-002
Criteria or Specific Requirement
Section 125 of the Internal Revenue Code requires employee withholdings for health insurance contributions be
made on a pretax basis.
Condition
Health insurance deductions made under Section 125 of the Internal Revenue Code were not withheld on a
pretax basis for Medicare and Social Security taxes.
Context
Several employees’ deductions were not withheld in accordance with Section 125 of the Internal Revenue Code.
Effect
Several employees had excess Medicare and Social Security tax withholdings deducted from their pay.
Cause
There was an oversight by the responsible official.
Recommendation
That health insurance deductions be made on a pretax basis in accordance with Section 125 of the Internal
Revenue Code.
View of Responsible Officials and Planned Corrective Action
The responsible officials agree with the finding and will address the matter as part of their corrective action plan.
-128-
13090
BOROUGH OF HIGHTSTOWN
Schedule of Findings and Recommendations
For the Year Ended December 31, 2024
Schedule of Financial Statement Findings (Cont’d)
This section identifies the significant deficiencies, material weaknesses, fraud, noncompliance with provisions of
laws, regulations, contracts, and grant agreements related to financial statements for which Government Auditing
Standards and audit requirements as prescribed by the Division of Local Government Services, Department of
Community Affairs, State of New Jersey, requires.
Finding No. 2024-003
Criteria or Specific Requirement
N.J.A.C. 5:30-5.3 requires that no commitment shall be authorized or made and no contract shall be entered into
unless there is a certification of availability of funds.
Condition
Many purchase orders were created after an invoice had been received by the Borough.
Context
Forty-nine out of fifty-six purchase orders examined were created after the invoice was received.
Effect
Noncompliance with N.J.A.C. 5:30-5.3.
Cause
There was an oversight by the responsible official.
Recommendation
That internal controls be established to ensure that purchase orders are created prior to the commitment of funds.
View of Responsible Officials and Planned Corrective Action
The responsible officials agree with the finding and will address the matter as part of their corrective action plan.
-129-
13090
BOROUGH OF HIGHTSTOWN
Schedule of Findings and Recommendations
For the Year Ended December 31, 2024
Schedule of Financial Statement Findings (Cont’d)
This section identifies the significant deficiencies, material weaknesses, fraud, noncompliance with provisions of
laws, regulations, contracts, and grant agreements related to financial statements for which Government Auditing
Standards and audit requirements as prescribed by the Division of Local Government Services, Department of
Community Affairs, State of New Jersey, requires.
Finding No. 2024-004
Criteria or Specific Requirement
The general ledger, subsidiary records and bank reconciliations should be properly maintained and closed out in
a timely manner to allow for the preparation of the financial statements.
Condition
The general ledger, subsidiary records and bank reconciliations were not maintained and closed out in a timely
manner.
Context
Bank reconciliations for 2024 were not completed until July of 2025.
Effect
Potential errors or irregularities could develop and not be detected in a timely manner.
Cause
The Borough did not have personnel in place to complete the bank reconciliations and ledgers are completed on
a timely manner.
Recommendation
That the bank reconciliations and ledgers be properly maintained and closed out in a timely manner.
View of Responsible Officials and Planned Corrective Action
The responsible officials agree with the finding and will address the matter as part of their corrective action plan.
-130-
13090
BOROUGH OF HIGHTSTOWN
Summary Schedule of Prior Year Audit Findings
and Recommendations as Prepared by Management
This section identifies the status of prior year findings related to the financial statements that are required to be
reported in accordance with Government Auditing Standards.
FINANCIAL STATEMENT FINDINGS
Finding No. 2023-001
Condition
Reserves, receivables, unexpended appropriations, improvements authorizations, payables and reconciling items
on bank reconciliations in all funds which are aged or inactive should be reviewed on an ongoing basis for
utilization, refund to the funding source or cancellation to the appropriate fund balance.
Current Status
The condition has been resolved.
Finding No. 2023-002
Condition
For the past several years the records presented for audit by the former CFO (retired September 30, 2024) have
been significantly delinquent.
Current Status
The condition remains unchanged as evidenced by finding number 2024-004.
Planned Corrective Action
The responsible official will establish procedures to correct this situation.
-131-
13090
BOROUGH OF HIGHTSTOWN
Officials in Office and Surety Bonds
The following officials were in office during the period under audit:
Amount of
Name
Title
Surety Bond
Susan Bluth
Mayor
1,000,000.00 (A)
Joshua Jackson
Council President
1,000,000.00 (A)
Joseph Cicalese
Councilmember
1,000,000.00 (A)
Christina Fowler
Councilmember
1,000,000.00 (A)
Todd Frantz
Councilmember
1,000,000.00 (A)
Jeet Gulati
Councilmember
1,000,000.00 (A)
Frederick Montferrat
Councilmember
1,000,000.00 (A)
Dimitri Musing
Borough Administrator
1,000,000.00 (A)
Margaret Riggio
Borough Clerk
1,000,000.00 (A)
Tamikia Rowe
Tax and Utility Collector
1,000,000.00 (A)
George Lang
Chief Financial Officer
1,000,000.00 (A)
Ken Pacera
Tax Assessor
1,000,000.00 (A)
Seth Kurs
Magistrate
1,000,000.00 (A)
Carolyn Gayner
Court Administrator
1,000,000.00 (A)
(A) Public Employees’ Dishonesty Blanket Position Bond, Aggregate Coverage, with a $1,000.00 per loss
deductible through the Statewide Joint Insurance Fund and the Municipal Excess Liability Joint Insurance
Fund.
All of the bonds were examined and were properly executed.
-132-
13090
APPRECIATION
I express my appreciation for the assistance and courtesies rendered by the Borough officials during the course of
the audit.
Respectfully submitted,
BOWMAN & COMPANY LLP
Certified Public Accountants
& Consultants
Daniel M. DiGangi
Certified Public Accountant
Registered Municipal Accountant
-133-
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