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2022 Middlesex Borough Municipal Audit
BID #: N/A
ISSUED: 5/25/2023
DUE: TBD
VALUE: TBD
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Executive Summary
The Borough of Middlesex's financial statements for the year ended December 31, 2022, were audited by Suplee, Clooney & Company, Certified Public Accountants. The audit included an examination of the various individual funds and account groups, including the Current Fund, Trust Fund, General Capital Fund, and Swimming Pool Utility Fund. The auditor issued an adverse opinion on the U.S. Generally Accepted Accounting Principles basis due to material variances, and an unmodified opinion on the regulatory basis of accounting prescribed by the New Jersey Division of Local Government Services.
Key findings included a review of contracts and agreements, interest collection on delinquent taxes, delinquent tax collection procedures, payroll processes, and senior citizen/veteran deductions. The audit report recommends establishing a formal cash management plan, ensuring appropriate authorizations for third-party payroll providers, properly maintaining senior citizen/veteran deduction applications, and liquidating interfund balances more regularly. The audit report was dated May 25, 2023.
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Document Text
--- Document: 2022 Middlesex Borough Municipal Audit Document ---
Report of Audit
on the
Financial Statements
of the
Borough of Middlesex
in the
County of Middlesex
New Jersey
/or the
Year Ended
December 31, 2022
BOROUGH OF MIDDLESEX
INDEX
PAGES
PARTI
Independent Auditor's Report
1-4
Independent Auditor's Report on Internal Control Over Financial Reporting and on
Compliance and Other Matters Based on an Audit of Financial Statements Performed
in Accordance with Government Auditing Standards
5-6
EXHIBITS
Financial Statements - Regulatory Basis
Current Fund:
Balance Sheets - Regulatory Basis
"A"
Statements of Operations and Change in Fund Balance - Regulatory Basis
"A-1"
Statement of Revenues - Regulatory Basis - Year Ended December 31, 2022
"A-2"
Statement of Expenditures - Regulatory Basis - Year Ended December 31, 2022
"A-3"
Trust Fund:
Balance Sheets - Regulatory Basis
Statement of Fund Balance - Regulatory Basis
General Capital Fund:
Balance Sheets - Regulatory Basis
Statement of Fund Balance - Regulatory Basis
Swimming Pool Utility Fund:
"B"
UB-1"
"C"
"C-1"
Comparative Balance Sheets - Regulatory Basis
"D"
Comparative Statement of Operations and Change in Fund Balance - Regulatory Basis "D-1"
Statement of Fund Balance - Regulatory Basis
'D-2"
Statements of Revenues - Regulatory Basis - Year Ended December 31, 2022
"D-3"
Statement of Expenditures - Regulatory Basis
"D-4"
General Fixed Assets Account Group:
Balance Sheets - Regulatory Basis
"Ell
PAGES
Notes to Financial Statements
7-43
Current Fund:
Schedule of Cash-Treasurer
Schedule of Change Funds
BOROUGH OF MIDDLESEX
I N D E X (CONTINUED)
Supplementary Schedules - All Funds
Schedule of Taxes Receivable and Analysis of Property Tax Levy
Schedule of Tax Title Liens
Schedule of Sewer Flow Charges Receivable
Schedule of Revenue Accounts Receivable
Schedule of lnterfunds
Schedule of 2021 Appropriation Reserves
Schedule of Due State of New Jersey for Senior Citizen and Veteran Deductions
Schedule of County Taxes Payable
Schedule of Local District School Tax Payable
Schedule of Prepaid Taxes
Schedule of Tax Overpayments
Schedule of Encumbrances Payable
Schedule of Changes in Various Accounts Payables and Reserves
Schedule of Grants Receivable
Schedule of Reserve for Grants - Appropriated
Schedule of Reserve for Grants - Unappropriated
Schedule of lnterfunds Receivable/Payable - Grant Fund
Trust Fund:
Schedule of Cash-Treasurer
Schedule of Assessments Receivable - Assessment Trust Fund
Schedule of Reserve for Animal Control Expenditures - Animal Control Trust Fund
Schedule Due State of New Jersey -Animal Control Trust Fund
Schedule of Due to General Capital Fund
Schedule of Due to Current Fund - Assessment Trust Fund
Schedule of Reserve for Miscellaneous Trust Deposits - Other Trust Fund
Schedule of Reserve for Developers' Deposits - Other Trust Fund
Schedule of Reserve for Public Assistance Trust Fund
Schedule of Reserve for Payroll Deductions - Other Trust Fund
Schedule of Due to Current Fund - Animal Control Fund
Schedule of lnterfunds Receivable - Other Trust Fund
Schedule of lnterfunds Receivable - Payroll Trust Fund
EXHIBITS
"A-4"
"A-5
11
"A-6
11
11A-7"
"A-8
11
"A-9"
"A-10"
"A-11"
"A-12"
"A-13"
"A-14"
"A-15"
11A-16"
"A-17"
"A-18"
"A-19"
11A-20"
"A-21"
"A-22"
118-2
11
UB-311
119_411
n9_511
uB-6"
"8-7"
118-8"
"B-9"
"B-10"
"B-11"
"B-12"
"B-13"
"B-14"
BOROUGH OF MIDDLESEX
General Capital Fund:
Schedule of Cash-Treasurer
Analysis of Cash
I N D E X (CONTINUED)
Schedule of Deferred Charges to Future Taxation-Funded
Schedule of Deferred Charges to Future Taxation-Unfunded
Schedule of Reserve for Insurance Refund
Schedule of Contracts Payable
Schedule of Capital Improvement Fund
Schedule of Bond Anticipation Notes Payable
Schedule of Improvement Authorizations
Schedule of General Serial Bonds
Schedule of State of New Jersey Trust Loan Payable - New Jersey
Environmental Infrastructure Trust Loans
Schedule of State of New Jersey Fund Loan Payable - New Jersey
Environmental Infrastructure Fund Loans
Schedule of Capital Leases Payable
Schedule of State of New Jersey Loan Payable - Green Trust Loan Program
Schedule of State Aid Receivable
Schedule of Reserve for Grant Receivable
Schedule of Reserve for Payment of Debt Service
Schedule of Due Current Fund
Schedule of lnterfunds Payable
Schedule of New Jersey Infrastructure Bank Loan
Schedule of Bonds and Notes Authorized But Not Issued
Swimming Pool Utility Fund
Schedule of Swimming Pool Utility Cash and Investments - Treasurer
Analysis of Swimming Pool Utility Capital Cash and Investments
Schedule of Fixed Capital
Schedule of Fixed Capital Authorized and Uncompleted
Schedule of 2021 Appropriation Reserves
Schedule of lnterfunds Receivable/Payable
Schedule of Reserve for Amortization - Capital Fund
Schedule of Capital Improvement - Capital Fund
Schedule of Deferred Reserve for Amortization - Capital Fund
Schedule of lnterfunds Receivable/Payable - Capital Fund
Schedule of Improvement Authorizations - Capital Fund
Schedule of Accrued Interest on Bonds and Notes - Fund
Schedule of General Serial Bonds - Capital Fund
Schedule of Bonds and Notes Authorized but Not Issued - Capital Fund
EXHIBITS
"C-2
11
"C-3"
"C-4"
"C-5"
"C-ff'
"C-T
1
"C-8
11
"C-9"
"C-10"
"C-11"
"C-12"
"C-13
11
"C-14"
"C-15"
"C-16"
"C-17"
"C-18"
"C-19"
"C-20"
"C-21"
"C-22"
"D-5
11
"D-ff'
"D-7"
"D-8"
11D-9"
"D-10"
"D-11
11
"D-12"
"D-13"
11D-14n
11D-15JI
"D-16"
"D-17
11
"D-18
11
PART II
Statistical Data
BOROUGH OF MIDDLESEX
I N D E X (CONTINUED)
Officials in Office and Surety Bonds
Comments and Recommendations
PAGES
44-47
48
49-52
BOROUGH OF MIDDLESEX
PARTI
INDEPENDENT AUDITOR'S REPORT ON
AUDIT OF FINANCIAL STATEMENTS
AND SUPPLEMENTARY SCHEDULES AND DATA
INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL
OVER FINANCIAL REPORTING AND ON COMPLIANCE AND
OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL
STATEMENTS PERFORMED IN ACCORDANCE WITH
GOVERNMENT AUDITING STANDARDS
FINANCIAL STATEMENTS- REGULATORY BASIS-ALL FUNDS
NOTES TO FINANCIAL STATEMENTS- REGULATORY BASIS
SUPPLEMENTARY SCHEDULES -ALL FUNDS
YEARS ENDED DECEMBER 31, 2022 AND 2021
SuPLEE, CLOONEY & COMPANY
CERTIFIED PUBLIC ACCOUNTANTS
308 East Broad Street, Westfield, New Jersey 07090-2122
Telephone 908-789-9300
Fax 908-789-8535
E-mail info@scnco.com
INDEPENDENT AUDITOR'S REPORT
The Honorable Mayor and Members
of the Borough Council
Borough of Middlesex
County of Middlesex
Middlesex, New Jersey 08846
Report on the Audit of the Financial Statements
Adverse and Unmodified Opinions
We have audited the accompanying balance sheets - regulatory basis of the various individual
funds and account group of the Borough of Middlesex (the "Borough"), as of and for the year
ended December 31, 2022 and 2021, 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 and statement of expenditures - regulatory basis of the various individual funds
for the year ended December 31, 2022, and the related notes to the financial statements, which
collectively comprise the Borough's regulatory financial statements as listed in the table of
contents.
Adverse Opinion on U.S. Generally Accepted Accounting Principles
In our opinion, because of the significance of the matter discussed in the "Matter Giving Rise to
Adverse Opinion" paragraph, the financial statements referred to above do not present fairly, in
accordance with accounting principles generally accepted in the United States of America, the
financial position of the various individual funds and account group of the Borough as of December
31, 2022 and 2021, or the results of its operations and changes in fund balance for the year then
ended or the revenues or expenditures for the year ended December 31, 2022.
Unmodified Opinion on Regulatory Basis of Accounting
In our opinion, the regulatory financial statements referred to above present fairly, in all material
respects, the regulatory basis balances sheets of the various individual funds and account group
as of December 31, 2022 and 2021, the regulatory basis statement of operations and changes in
fund balance for the year then ended and the regulatory basis statement of revenues and
expenditures and changes in fund balance for the year ended December 31, 2022 in accordance
with the basis of financial reporting prescribed by the Division of Local Government Services,
Department of Community Affairs, State of New Jersey (the "Division") as described in Note 1.
1
SuPLEE, CLooNEY & COMPANY
Basis for Adverse and Unmodified Opinions
We conducted our audit in accordance with auditing standards generally accepted in the United
States of America, the audit requirements prescribed by the Division, and the standards
applicable to financial audits contained in Government Auditing Standards, issued by the
Comptroller General of the United States. Our responsibilities under those standards are further
described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our
report. We are required to be independent of the Borough and to meet our other ethical
responsibilities, in accordance with the relevant ethical requirements relating to our audit. We
believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our adverse and unmodified audit opinions.
Matter Giving Rise to Adverse Opinion
As described in Note 1 of the regulatory financial statements, the regulatory financial statements
are prepared by the Borough on the basis of the financial reporting provisions prescribed by the
Division, which is a basis of accounting other than accounting principles generally accepted in the
United States of America, to meet the requirements 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.
Responsibilities of Management for the Financial Statements
Management is responsible for the preparation and fair presentation of the regulatory financial
statements in accordance with the regulatory basis of accounting prescribed by the Division, and
for the design, implementation, and maintenance of internal control relevant to the preparation
and fair presentation of regulatory financial statements that are free from material misstatement,
whether due to fraud or error. In preparing the regulatory 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.
Auditor's Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the regulatory 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 GAAS, Government Auditing Standards and audit requirements prescribed by
the Division 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.
2
SuPLEE, CLooNEY & CoMPANY
In performing an audit in accordance with GAAS, Government Auditing Standards and audit
requirements prescribed by the Division, 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 regulatory financial statements. The supplementary
information, and data listed in the table of contents as required by the Division are presented for
purposes of additional analysis 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 supplemental information, and data listed in the table of contents, as
required by the Division are fairly stated, in all material respects, in relation to the regulatory
financial statements as a whole.
3
SuPLEE, CLoONEY & CoMPANY
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated May
25, 2023 on our consideration of the Borough'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'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 Borough's internal control over financial
reporting and compliance.
REGISTERED MUNICIPAL ACCOUNTANT NO. 439
May 25, 2023
4
SuPLEE, CLOONEY & COMPANY
CERTIFIED PUBLIC ACCOUNTANTS
308 East Broad Street, Westfield, New Jersey 07090-2122
Telephone 908-789-9300
Fax 908-789-8535
E-mail info@scnco.com
INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER
FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS
BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED
IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
The Honorable Mayor and Members
of the Borough Council
Borough of Middlesex
County of Middlesex
Middlesex, New Jersey 08846
We have audited, in accordance with the auditing standards generally accepted in the United
States of America, the audit requirements prescribed by the Division of Local Government Services,
Department of Community Affairs, State of New Jersey and the standards applicable to financial
audits contained in Government Auditing Standards issued by the Comptroller General of the United
States, the regulatory financial statements of the various individual funds and the account group of
the Borough of Middlesex, as of and for the year ended December 31, 2022, and the related notes
to the financial statements, which collectively comprise the Borough's regulatory financial
statements, and have issued our report thereon dated May 25, 2023. Our report disclosed that, as
described in Note 1 to the financial statements, the Borough of Middlesex prepares its financial
statements on a basis of accounting prescribed by the Division of Local Government Services,
Department of Community Affairs, State of New Jersey, that demonstrates compliance with a
modified accrual basis and the budget laws of the State of New Jersey, which is a comprehensive
basis of accounting other than U.S. generally accepted accounting principles.
Internal Control Over Financial Reporting
In planning and performing our audit of the regulatory financial statements, we considered
the Borough's 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
Borough's internal control.
5
SuPLEE, CLoONEY & CoMPANY
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 Borough of Middlesex's financial statements will not be prevented, or
detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination
of deficiencies, in internal control that is less severe than a material weakness, yet important enough
to merit attention by those charged with governance.
Our consideration of internal control was for the limited purpose described in the first
paragraph of this section and was not designed to identify all deficiencies in internal control that
might be material weaknesses or significant deficiencies. Given these limitations, during our audit
we did not identify any deficiencies in internal control that we consider to be material weaknesses.
However, material weaknesses may exist that have not been identified.
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 no instances of noncompliance or other matters that are
required to be reported under Government Auditing Standards.
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
Borough of Middlesex's internal control or on compliance. This report is an integral part of an audit
performed in accordance with Government Auditing Standards in considering the Borough of
Middlesex's internal control and compliance. Accordingly, this communication is not suitable for any
other purpose.
CERTIFIED PUBLICACCOUTANT
REGISTERED MUNICIPAL ACCOUNTANT NO. 439
May 25, 2023
6
THIS PAGE INTENTIONALLY LEFT BLANK
CURRENT FUND
"A"
SHEET#1
BOROUGH OF MIDDLESEX
CURRENT FUND
BALANCE SHEETS - REGULATORY BASIS
BALANCE
BALANCE
DECEMBER
DECEMBER
REF.
31, 2022
31.2021
ASSETS
Current Fund:
Cash
A-4
$
6.268.535.97
$
5,827,688.96
Cash-Change Fund
A-5
500.00
500.00
Due State of NJ-Senior Citizen and Veteran Deductions
A-12
750.00
54,050.89
$
6,269,785.97
$
5,882,239.85
Receivables and Other Assets With
Full Reserves:
Delinquent Property Taxes Receivable
A-6
$
538,141.73
$
521,991.88
Tax Title Liens
A-7
98,313.33
87,720.06
Property Acquired for Taxes
A
1,423,139.00
1,423,139.00
Sewer Flow Charges Receivable
A-8
54,774.55
33,195.41
Revenue Accounts Receivable
A-9
9,176.18
7,057.66
lnterfunds Receivable
A-10
138,671.30
232,455.99
A
$
2,262,216.09
$
2,305,560.00
$
8,532,002.06
$
8,187,799.85
Grant Fund:
Cash
A-4
$
18,183.04
$
544,550.88
Grants Receivable
A-19
897,525.16
889,954.13
lnterfunds Receivable
A-22
23,775.02
27,236.52
$
939,483.22
$
1,461,741.53
A
$
9471 485.28
$
9649541.38
The accompanying Notes to Financial Statements are an integral part of this statement.
BOROUGH OF MIDDLESEX
CURRENT FUND
BALANCE SHEETS - REGULATORY BASIS
LIABILITIES. RESERVES AND FUND BALANCE
Current Fund:
Liabilities:
Appropriation Reserves
Encumbrances
Local School Taxes Payable
Prepaid Taxes
Tax Overpayments
Various Accounts Payable
Various Reserves
lnterfunds Payable
Reserve for Receivables and Other Assets
Fund Balance
Grant Fund:
Grants-Appropriated
Grants-Unappropriated
Encumbrances Payable
REF.
A-3:A-11
A-17
A-14
A-15
A-16
A-18
A-18
A-10
A
A-1
A-20
A-21
A-20
A
$
$
BALANCE
DECEMBER
31. 2022
1.003.665.44
192,107.17
1,131,851.00
253,546.21
178,912.33
114,820.47
205,320.82
79,680.54
3,159,903.98
2,262,216.09
3,109,881.99
8,532,002.06
$ _ ___,==
$
824,112.89
8,315.77
107,054.56
939,483.22
$---=-==
9 471 485.28
$
$
$
$
$
$
The accompanying Notes to Financial Statements are an integral part of this statement.
"A"
SHEET#2
BALANCE
DECEMBER
31, 2021
1,471.660.57
188,886.03
848,188.00
216,614.57
153,751.55
113,357.47
65,716.54
82,780.18
3,140,954.91
2,305,560.00
2,741,284.94
8,187,799.85
859,758.38
594,710.39
7,272.76
1,461,741.53
9 649 541.38
"A-1"
BOROUGH OF MIDDLESEX
CURRENT FUND
STATEMENTS OF OPERATIONS
AND CHANGE IN FUND BALANCE - REGULATORY BASIS
YEAR ENDED
YEAR ENDED
DECEMBER
DECEMBER
REF.
31,2022
31. 2021
REVENUE AND OTHER INCOME REALIZED
Fund Balance Utilized
A-1:A-2
$
1,600,000.00
$
1,400,000.00
Miscellaneous Revenue Anticipated
A-2
6,904,913.00
5,231,960.83
Receipts From Delinquent Taxes
A-2
514,719.59
547,348.94
Receipts From Current Taxes
A-2
48,049,723.08
46,885,651.87
Non-Budget Revenue
A-2
555,226.76
385,705.21
Other Credits to Income:
Unexpended Balance of Appropriation Reserves
A-11
966,899.66
1,033,936.88
Statutory Animal Control Excess
A-10
4,811.93
5,641.74
lnterfunds Returned
A-10
93,784.69
297,781.62
TOTAL INCOME
$
58,690,078.71
$
55,788,027.09
EXPENDITURES
Budget and Emergency Authorizations:
Operations:
Salaries and Wages
A-3
$
7,260,764.00
$
7,387,409.00
Other Expenses
A-3
8,967,883.00
8,763,800.00
Municipal Debt Service
A-3
2,121,691.44
1,959,601.03
Capital Improvement Fund
A-3
200,000.00
80,000.00
Public and Private Programs Offset by Revenues
A-3
1,482,372.05
157,024.20
Deferred Charges and Statutory Expenditures
A-3
1,998,480.00
1,903,250.00
County Taxes
A-13
7,379,059.00
6,795,477.67
Local District School Tax
A-14
27,256,071.00
26,684,052.00
Senior Citizen and Veterans Deductions Adjustment
A-12
55,161.17
lnterfunds Advanced
232,455.99
Refund of Prior Year Revenue
12,508.82
TOTAL EXPENDITURES
$
56,721,481.66
$
53,975,578.71
Excess in Revenue
$
1,968,597.05
$
1,812,448.38
Fund Balance, January 1
A
2,741,284.94
2,328,836.56
$
4,709,881.99
$
4,141,284.94
Decreased by:
Utilized as Anticipated Revenue
A-1:A-2
1,600,000.00
1,400,000.00
Fund Balance, December 31
A
$
3,109,881.99
$
2,741,284.94
The accompanying Notes to Financial Statements are an integral part of this statement.
"A-2"
SHEET#1
BOROUGH OF MIDDLESEX
QUBRENT FUND
STATEMENT OF REVENUES· REGULATORY BASIS
YEAR ENDED DECEMBER 31 2022
EXCESS
BUDGET
OR
REF.
ADOPTED
NJ§A 40A:4-87
R!ae,LIZED
{OEFIQII)
Fund Balance Anticipated
A-1
$
1,600,000.00
$
1 600,000.00
Miscellaneous Revenues:
Alcoholic Beverage Licenses
A-9
$
13,850.00
$
$
13,801.80
$
(48.20)
Other Licenses
A-9
35,100.00
43,818.00
8,718.00
Fees and Permits:
Construction Code Official
A-9
368,600.00
511,944.00
143,344.00
Other
A-9
7,700.00
3,862.00
(3,838.00)
Municipal Court - Fines and Costs
A-9
87,500.00
82,048.90
(5,451.10)
Interest and Costs on Taxes
A-9
134,700.00
139,363.11
4,663.11
Interest on Investments and Deposits
A-2
56,750.00
51,612.70
(5,137.30)
Sewer Rents Receivable
A-8
957,300.00
883,895.55
(73,404.45)
Payment in Lieu of Taxes. Presbyterian Homes
A-9
56,100.00
55,756.50
(343.50)
Payment in Lieu of Taxes - 150 Lofts, LLC
A-9
306,500.00
306,598.28
98.28
Payment in Lieu of Taxes - Midmarket Urban Renewal
A-9
49,500.00
48,700.75
(799.25)
Energy Receipts Tax
A-9
1,779,814.00
1,779,814.00
American Rescue Plan Act of 2021
A-10
1,310,590.97
1,310,590.97
Body Armor Replacement Fund - Federal
A-10
1,976.70
1,976.70
Body Armor Replacement Fund - State of New Jersey
A-10
1,553.08
1,553.08
Clean Communities
A-10
29,107.73
29,107.73
CDBG - County HUD Funds
A-10
63,854.00
63,854.00
Distracted Driving Grant - 2022
A-10
7,000.00
7,000.00
Municipal Alliance on Alcoholism & Drug Abuse
A-10
7,978.00
7,978.00
Municipal Alliance DMHAS Leadership
A-10
5,000.00
5,000.00
Older Americans Act - Information Assistance
A-10
7,000.00
7,000.00
Older Americans Act - Transportation Assisstance
A-10
10,000.00
10,000.00
Recycling Tonnage Grant
A-10
36,317.07
36,317.07
General Capital Fund Balance
A-9
68,281.62
68,281.62
Cable Franchise Fees
A-9
92,321.29
92,321.29
Host Community Benefit Funds
A-9
67,800.00
48,476.40
(19,323.60)
Payment in Lieu of Taxes. RG Middlesex Urban Renewal, LLC
A-9
542,000.00
543,514.27
1,514.27
Payment in Lieu of Taxes - The View at 220 Lincoln Blvd
A-9
86,000.00
161,862.32
75,862.32
Payment in Lieu of Taxes - CP Middlesex, LLC
A-9
119,358.75
119,358.75
Sewer Tie-Ins
A-9
200,000.00
238,750.00
38,750.00
Payment in Lieu of Taxes - The View at 220 Lincoln Blvd
A-9
42,039.49
42,039.49
Payment in Lieu of Taxes - 150 Lofts, LLC
A-9
47,480.19
47,480.19
Reserve for Payment of Debt Service
A-9
56,943.53
56,943.53
Hazardous Waste Facilities Siting Act
A-9
50,000.00
50,000.00
School Garbage Reimbursement
A-9
51 438.00
34,292.00
(17!146.00}
§y!;!-TQ1@I Mis~§:llaneoys Revenu§:S
A-1
$
5,412,755.72
$
1,344,698.70
$
6 904 913.00
$
147 458.58
Receipts From Delinquent Taxes
A-1
$
500 000.00
$
$
514,719.59
$
14,719.59
Amount to be Raised by Taxes for Support
of Municipal Budget:
Local Tax for Municipal Purposes
A-6:A-2
$ 13,334,453.56
$
$
13,555, 135.45
$
220,681.89
Minimum Library Tax
A-6:A-2
634 457.63
634,457.63
13,968,911.19
14,189,593.08
220,681.89
Budget Totals
$ 21,481,666.91
$
1,344,698.70
$
23,209,225.67
$
382,860.06
Non-Budget Revenues
A-1:A-2
555 226.76
555,226.76
$ 21 481 666.91
$
1344698.70
$
23 764 452.43
$
938 086.82
REF.
A-3
A-3
The accompanying Notes to Financial Statements are an integral part of this statement.
BOROUGH OF MIDDLESEX
CURRENT FUND
STATEMENT OF REVENUES- REGULATORY BASIS
YEAR ENDED DECEMBER 31, 2022
ANALYSIS OF REALIZED REVENUES
Allocation of Current Tax Collections:
Revenue From Collections
A-1:A-6
Allocated to:
Local District School Taxes
A-6
$
27.256,071.00
County Taxes
A-6
7,379,059.00
Balance for Support of Municipal Budget
Appropriations
Add: Appropriation "Reserve for Uncollected Taxes"
A-3
Amount for Support of Municipal Budget Appropriations
A-2
Interest on Investments and Deposits
Cash Receipts
A-9
Due from Trust Assessment Fund
A-10
Due from Payroll Trust
A-10
A-2
ANALYSIS OF NON-BUDGET REVENUE
Duplicate Tax Bill Fees
Library Health Contributions
Sale of Municipal Assets
Property Tax Lists
Outside Police Admin Fees
Property Maintenance Admin Fees
Abandoned Property Registration
Landlord Registration
Containers
Bulk Ticket & Pickups
FEMA
Homestead Rebate Mail Reimbursement
Insurance Reimbursements
NJ Department of Labor Refund
Senior Citizens' and Veterans' Administrative Fee
Trust Fund Cancellations
Miscellaneous
A-2:A-4
Interest on Investments and Deposits
Cash Receipts
A-4
Less: Refunds
A-4
A-2
The accompanying Notes to Financial Statements are an integral part of this statement
$
$
$
$
$
$
$
$
$
"A-2"
SHEET#2
48,049,723.08
34,635,130.00
13,414,593.08
775,000.00
14189 593.08
50,770.98
46.31
795.41
51,612.70
790.00
42,514.32
19,301.00
828.00
23,332.50
4,785.00
4,000.00
7,600.00
25.00
700.00
298,630.58
524.40
72,921.49
30,526.75
1,711.78
36,135.79
10,900.15
555,226.76
885,793.35
1,897.80
883,895.55
QEERAT!ONS WITHIN "CAPS"
GENERAi, GOVERNMENT
General Administration:
Salaries and Wages
Other Expenses
Postage for All Departments
Other Expenses
Printing and Advertising
Other Expenses
Mayor and Council:
Salaries and Wages
Other Expenses
Municipal Cleric
Salaries and Wages
Other Expenses
Elections
Financial Administration:
Salaries and Wages
Other Expenses
Audit
Assessment of Taxes:
Salaries and Wages
Other Expenses
Collection of Taxes:
Salaries and Wages
Other Expenses
legal Servloes and Costs:
Other Expenses
Computer Data Servioes
Other Expenses
Engineering Services and Costs:
Other Expenses
Environmental legal & Engineering Se!Vices:
Other Expenses
BOROUGH OF MIDDLESEX
CURRENT FUND
STATEMENT OF EXPENDITURES· REGULATORY BASIS
YEAR ENDED DECEMBER ~1 2022
APPROPRIATIONS
BUDGET AFTER
BUDGET
MODIFICATION
$
145,000.00
$
95,000.00
$
4,150.00
2,450.00
25,000.00
25,000.00
10,000.00
10,000.00
8,800.00
8,800.00
7,000.00
7,000.00
185,000.00
185,000.00
12,350.00
12,350.00
10,000.00
10,000.00
146,000.00
146,000.00
54,500.00
54,500.00
45,000.00
45,000.00
35,000.00
33,000.00
4,350.00
4,350.00
98,000.00
80,000.00
6,850.00
6,850.00
180,000.00
180,000.00
269,000.00
269,000.00
84,000.00
59,000.00
8,000.00
8,000.00
EXPENDED
PAJDOR
CHARGED
RESERVED
94,0ff89
$
982.11
954.11
1,495.89
18,785.18
6,214.82
7,943.08
2,056.92
8,666.51
133.49
3,533.27
3.466.73
182,401.93
2,598.07
9,678.67
2,671.33
9,909.86
90.14
141,335.13
4,664.87
49,973.02
4,526.98
37,450.00
7,550.00
32,519.26
480.74
3,043.67
1,306.33
79,669.20
330.80
5,581.41
1,268.59
151,251.75
28,748.25
241,684,54
27,315.46
42,387.50
16,612.50
8,000.00
The accompanying Notes to Fmancial Statements are an integral part of this statement.
$
"A-.3''
SHEET#1
UNEXPENDED
BALANCE
CANCELED
Purchasing Agent
Other Expenses
Joint Land Use Board:
Salaries and Wages
Other Expenses
Code Enforcement
Salaries and Wages
Other Expenses
PUBLIC SAFETY
Police:
Salaries and Wages
Other Expenses
Juvenile Conference Committee:
Salaries and Wages
Other Expenses
Fire Department:
Other Expenses
Emergency Management Service:
Salaries and Wages
Other Expenses
Public Defender.
Other Expenses
Fire Hydrant Service
Other Expenses
Municipal Prosecutor
Other Expenses
Munidpa! Court
Salaries and Wages
Other Expenses
BOROUGH OF MIDDLESEX
CURRENT FUND
STATEMENT OF EXPENDITURES- REGULATORY BASIS
YEAR ENDED DECEMBER 31 2022
APPROPRIATIONS
BUDGET AFTER
BUDGET
MODIFICATION
$
1,950,00
$
1,950,00
$
6,000,00
6,000,00
39,750,00
34,050,00
63,500,00
56,000,00
11,700,00
20,200,00
3,750,000,00
3,735,000,00
273,305,00
223,305,00
2,200,00
2,200,00
250,00
250,00
149,400,00
149,400,00
5,500,00
5,500.00
10,700,00
10,700,00
12,000.00
12,000,00
215,000,00
217,000.00
20,000,00
20,000,00
167,000,00
167,000,00
6,500.00
6,500,00
EXPENDED
PAID OR
CHARGED
RESERVED
596,69
$
1,353.31
3,750,00
2,250,00
19,696,52
14,353.48
53,008,67
2,991,33
17,183,00
3,017.00
3,652,353,33
82,646,67
175, 109,62
48,195,38
2,167.44
32,56
250,00
146,154,29
3,245.71
5,500,00
8,598,13
2, 101,87
7,550,00
4,450,00
196,776,06
20,223,94
17,416,63
2,583,37
158,215,31
8,784,69
4,968.24
1,531,76
The accompanying Notes to Financial Statements are an integral part of this statement.
$
"A-3"
SHEET#2
UNEXPENDED
BALANCE
CANCELED
PUBLIC WORKS
Road Department:
Salaries and Wages
Other Expenses
Garbage and Trash Removal:
Salaries and Wages
Other Expenses
Solid Waste Collection:
Salaries and Wages
Building and Grounds:
Salaries and Wages
Other Expenses
Community Services Act Condo:
Other Expenses
Shade Tree Commission:
Salaries and Wages
Other Expenses
Rental of Rescue Squad Building and Services:
Other Expenses
HEAL TH AND HUMAN SERVICES
Board of Health:
Other Expenses
Senior Nutrition Program:
Salaries and Wages
Animal Control Services:
Other Expenses
Title Ill Senior Medical Transportation:
Salaries and Wages
Title Ill Information & assistance Program:
Salaries and Wages
BOROUGH OF MIDDLESEX
CURRENT FUND
STATEMENT OF EXPENDITURES· REGULATORY BASIS
YEAR ENDED DECEMBER 31, 2022
APPROPRIATIONS
BUDGET AFTER
BUDGET
MODIFICATION
$
756,500.00
$
716,500.00
$
113,350.00
155,350.00
380,000.00
380,000.00
40,500.00
50,500.00
195,000.00
187,500.00
25,000.00
25,000.00
119,000.00
119,000.00
44,500.00
44,500.00
2,600.00
2,600.00
45,000.00
55,000.00
34,000.00
34,000.00
73,720.00
73,720.00
9,000.00
18,000.00
30,000.00
30,000.00
7,000.00
7,000.00
34,000.00
34,000.00
EXPENDED
PAIDOR
CHARGED
RESERVED
684,859.62
153,046.21
370,023.97
49,427.23
174,204.72
22,276.80
107,923.78
44,413.70
2,557.88
54,785.00
28,000.00
73,398.68
10,307.20
14,300.00
1,073.00
28,934.60
$
31,640.38
2,303.79
9,976.03
1,072.77
13,295.28
2,723.20
11,076.22
86.30
42.12
215.00
6,000.00
321.32
7,692.80
15,700.00
5,927.00
5,065.40
The accompanying Notes to Financial Statements are an integral part of this statement.
$
"A·3"
SHEET#3
UNEXPENDED
BALANCE
CANCELED
PARKS AND RECREATION
Parks & Playgrounds:
Salaries and Wages
Other Expenses
Housing and Community Adviory Board:
Salaries and Wages
Other Expenses
Beautification Committee
Other Expenses
Multi-Family Solid Waste Collection
Other Expenses
Recreation Service & Programs
Salaries and Wages
Other Expenses
Senior Bus Transportation:
Salaries and Wages
Other Expenses
Senior Citizen Coordinator:
Salaries and Wages
Other Expenses
STATE UNIFORM CONSTRUCTION CODE
Construction Code Official:
Salaries and Wages
Other Expenses
BOROUGH OF MIDDLESEX
CURRENT FUND
STATEMENT OF EXPENDITURES - REGULATORY BASIS
YEAR ENDED DECEMBER 31 2022
$
APPROPRIATIONS
BUDGET
525,000.00
62,200.00
500.00
100.00
1,000.00
20,000.00
81,500.00
20,650.00
15,000.00
6,500.00
66,500.00
11,500.00
194,500.00
5,100.00
$
BUDGET AFTER
MODIFICATION
576,000.00
69,200.00
500.00
100.00
1,000.00
5,400.00
81,500.00
20,650.00
5,000.00
6,500.00
66,500.00
11,500.00
189,500.00
5,100.00
$
EXPENDED
PAID OR
CHARGED
RESERVED
564,860.28
63,070.23
375.00
388.50
5,400.00
65,444.57
13,898.53
364.32
2,115.25
66,000.03
10,719.38
186,421.18
2,823.86
$
11,139.72
$
6,129.77
125.00
100.00
611.50
16,055.43
6,751.47
4,635.68
4,384.75
499.97
780.62
3,078.82
2,276.14
The accompanying Notes to Financial Statements are an integral part of this statement.
"A-3"
SHEET#4
UNEXPENDED
BALANCE
CANCELED
INSURANCE
Temporary Disability Insurance
Long Term Disability Insurance
General Liability Insurance
Workmen's Compensation
Employee Group Insurance
Health Insurance Waiver
Other Expenses
Flood Plaln Management
Other Expenses
utility Expenses & Purchases:
Electricity
Street Lighting
Telephones
Water
Natural Gas
Fuel Oil
Gasoline
Sewerage Processing & Disposal:
Salaries and Wages
Other Expenses
LANDFILL/SOLID WASTE DISPOSAL COSTS
Other Expenses
BOROUGH OF MIDDLESEX
CURRENT FUND
STATEMENT OF EXPENDITURES - REGULATORY BASIS
YEAR ENDED DECEMBER 31, 2022
APPROPRIATIONS
BUDGET AFTER
BUDGET
MODIFICATION
$
30,000.00
$
20,000.00
280.000.00
182.000.00
2.400.000.00
25.000.00
25,500.00
180,000.00
170,000.00
70,000.00
30,000.00
30,000.00
65,000.00
75,000.00
80,000.00
31,150.00
400,000.00
30,000.00
$
20.000.00
280.000.00
182.000.00
2.400,000.00
25,000.00
25,500.00
190.000.00
160,000.00
70,000.00
37,500.00
30,000.00
82,500.00
115,000.00
90,000.00
22,650.00
410,000.00
EXPENDED
PAID OR
CHARGED
RESERVED
26.717.16
$
3,282.84
18,201.00
1,799.00
274,913.28
5,086.72
170,972.84
11,027.16
2,341,920.70
58,079.30
21,731.06
3,268.94
22,779.08
2,720.92
180,631.07
9,368.93
146,822.80
13,177.20
40,809.31
29,190.69
25,140.65
12,359.35
23,740.80
6,259.20
74,587.27
7,912.73
93.416.28
21,583.72
83,959.14
6,040.86
7,712.65
14,937.35
365,078.85
44,921.15
The accompanying Notes to Financial Statements are an integral part of this statement.
"A-3"
SHEET#S
UNEXPENDED
BALANCE
CANCELED
$
UNCLASSIFIED
Celebration of Public Events:
Olher Expenses
Accumulated Sici< Leave Compensation
Salaries and Wages
TOTAL OPERATIONS WITHIN "CAPS"
Contingent
TOTAL OPERATIONS INCLUDING CONTINGENT
WITHIN "CAPS"
Detail:
Salaries and Wages
Other Expenses
DEFERRED CHARGES AND STATUTORY
EXPENDITURES-MUNICIPAL WITHIN "CAPS"
Statutory Expenditures:
Social Security System (OAS.I.}
Contribution to:
Public Employee's Retirement System
Police and Firemen's Retirement Fund
Defined Contribution Retirement Plan
TOTAL DEFERRED CHARGES AND STATUTORY
EXPENDITURES-MUNICIPAL WITHIN "CAPS"
TOTAL GENERAL APPROPRIATIONS FOR MUNICIPAL
PURPOSES WITHIN "CAPS"
BOROUGH OF MIDDLESEX
CURRENT FUND
STATEMENT OF EXPENDITURES· REGULATORY BASIS
YEAR ENDED DECEMBER 31 2022
APPROPRIATIONS
BUDGET AFTER
BUDGET
MODIFICATION
$
9,900.00
$
9,900.00
$
75,000.00
75,000.00
13,170,525.00
13,134,525.00
20,000.00
20,000.00
13, 190,525.00
13,154,525.00
7,059,100.00
6,974,100.00
6,131,425.00
_§,180,425.00
320,000.00
320,000.00
480,000.00
480,000.00
1,160,000.00
1,160,000.00
12,000.00
12,000.00
1,972,000.00
1,972,000.00
15,162,525.00
15,126,525.00
EXPENDED
PAID OR
CHARGED
RESERVED
6,180.63
$
75,000.00
12,391,558.00
12,391,558.00
6,750,266.98
5,641,291.02
318,151.40
475,276.00
1,139,462.00
11,430.34
1,944,319.74
14,335,877.74
3,719.37
$
742,967.00
20,000.00
762,967.00
223,833.02
539,133.98
1,848.60
4,724.00
20,538.00
589.66
27680.26
790,647.26
The accompanying Notes to Financial Statements are an integral part of this statement
"A-3"
SHEET#§
UNEXPENDED
BALANCE
CANCELED
BOBOUGH OE MIDDLESEX
CURRENT FUND
STATEMENT OF EXPENDITURES· REGULATORY BASIS
YEAR ENDED DECEMBER 31. 2022
OPERATIONS EXCLUDED FROM "CAPS"
Mainlenace of Free Public Library
MCUA - Sewer Authority - Contractual
Piscataway Sewerage Authority - Snare of Costs
LOSAP
Stormwater Pollution Programs:
NJPDES/Stormwater Permit
Salaries and Wages
Other Expenses
SHARED SERVICE AGREEMENTS
County Curbside Collection Program:
Other Expenses
PUBLIC AND PRIVATE PROGRAMS
OFF-SET BY REVENUES
Recycling Tonnage Grant
American Rescue Plan Act of 2021 (40A:4-87 - $1,310,590.97)
Clean Communities Program (40A-4-87 - $29.107.73)
CDBG
Distracted Driving Grant - 2022
Municipal Ailtance on AlcohOl & Drug Abuse
Municipal Alliance on Alcohol & Drug Abuse - Match
Municipal Alliance DMHAS Leadership (40A:4-87 - $5,000)
Body Armor Grant - Federal
Body Armor Grant • State
Older Americans Act
TOTAL OPERATIONS EXCLUDED FROM "CAPS"
$
APPROPRIATIONS
BUDGET AFTER
BUDGET
MODIFICATION
634,458.00
$
1,500,000.00
300,000.00
85,000.00
286,664.00
3,000.00
265,000.00
36,317.07
63,854.00
7,000.00
7,978.00
1,994.50
1,976.70
1,553.08
17,000.00
3,211,795.35
634,458.00
$
1,500,000.00
300,000.00
85,000.00
286,664.00
3,000.00
265,000.00
36,317.07
1,310,590.97
29,107.73
63,854.00
7,000.00
7,978.00
1,994.50
5,000.00
1,976.70
1,553.08
17,000.00
4,556,494.05
EXPENDED
PAID OR
CHARGED
RESERVED
634,458.00
$
1,481,531.08
212,966.74
286,664.00
3,000.00
242,484.00
36,317.07
1,310,590.97
29,107.73
63,854.00
7,000.00
7,978.00
1,994.50
5,000.00
1,976.70
1,553.08
17 000,00
4,343,475.87
18,468.92
87,033.26
85,000.00
22,516.00
213,018.18
The accompanying Notes to Financial Statements are an integral part of this statement
$
"A-3"
SHEET:#Z
UNEXPENDED
BALANCE
CANCELED
BQRQU&,H QF MIDDLESEX
"A-3"
SH!;!;T!'ffl
Q!,!f!f!i;NI E!.!t:!Q
STATEMENT OF EXPENDITURES· REGULATORY BASIS
YEAR ENDED DECEMBER 31. 2022
APPROPRIATIONS
EXPENDED
UNEXPENDED
BUDGET AFTER
PAID OR
BALANCE
B!,!Q§i;T
~
CHAR§EQ
R!;§i;RVED
CANCELED
CAPITAL IMPROVEM!;;t!T§ EXCb!,!Q!;D FROM "CAPS"
Capltal Improvement Fund
$
200.000.00
$
200,000.00
$
200.000,00
$
$
TOTAL CAPITAL IMPROVEMENTS EXCLUDED FROM "CAPS"
200.000,00
200,000.00
200000,00
M!,!NICIPAL DEBT SERVICE..f:XCb!,!Di;Q FRQM "CAPS"
Payment of Bond Principal
1,091,472.00
1,091,472.00
1,091,472.00
Payment of Bond Anticipation Notes and Capital Notes
255.476.00
255.476.00
255.476.00
Interest on Bonds
167,775.00
167.775.00
167,775.00
Interest on Notes
78.327.00
78.327.00
78.326,72
0.28
Green Trust Loan
12.996.28
12,996.28
12,996,28
NJEIT Loan
99.406,01
135.406,01
135.231.17
174.84
MCIALoan
232,400,00
232,400.00
232.400.00
Fire Truck
148,014,27
148.014.27
148,014.27
TOTAL MUNICIPAL DEBT SERVICE-
EXCLUDED FROM "CAPS"
2,085.866.56
2.121,866.56
2.121.691,44
175, 12
QEFi;RR!;;D QHAR§!;;S:M!,!NIQIPAL-EXCb!,!Qi;Q F!iQM "CAPS"
Deferred Charges to Future Taxation• Unfunded
Ordinance 1643-05
$
24,000.00
$
24,000.00
$
24,000,00
$
$
Ordinance 1676-05
2,350.00
2,350.00
2,350,00
Ordinance 1688-06
130.00
130.00
130,00
TOTAL DEFERRED CHARGES-MUNICIPAL-EXCLUDED
FRQM"CAPS"
$
26.480,00
$
26.480,00
$
26,480,00
$
$
The accompanying Noles to Financial Statements are an integral part o! this statement
~
TOTAL GENERAL APPROPRIATIONS FOR MUNICIPAL
PURPOSES EXCLUDED FROM "CAPS"
SUB-TOTAL GENERAL APPROPRIATIONS
RESERVE FOR UNCOLLECTED TAXES
JOTAL GENERAL APPROPRIATIONS
Amendment by (NJSA 40A:4-87)
Budget
Reserve for Uncollected Taxes
Encumbrances Payable
Reserve for Grants Appropriated
Disbursements
BOROUGH OF MIDDLESEX
CURRENT FUND
STATEMENT OF EXPENDITURES· REGULATORY BASIS
YEAR ENDED DECEMBER 31 2022
REF.
A-2
A-3
A-2
A-17
A-10,A-22
A-4
$
APPROPRIATIONS
BUDGET AFTER
BUDG!;T
MQDjFIQaIION
20 000.00
$
20,000.00
$
5, 5<14 ,1, 1 . .ll_1_
6,924,840.61
20,706,666.91
22,051,365.61
775,000.00
775 000.00
$
22,826,365.61
$
A-2:A-3
$
1,344,698.70
21,481,666.91
$
22,826,365.61
$
$
EXPENDED
PAID OR
CHARGED
RESERVED
$
6,691,647.31
213 018.18
21,027,525.05
1,003,665.44
775,000.00
.. -···-········-----
21,802,525.05
$
1,003,665.44
A-1
A:A-1
775,000.00
192,107.17
1,482,3n.os
19,353,045.83
21,802,525.05
The accompanying Notes to Financial Statements are an integral part of this statement
"A-3"
SHEET#9
UNEXPENDED
BALANCE
CANCELED
$
20,000.00
20,175.12
20,175.12
$
20,175.12
THIS PAGE INTENTIONALLY LEFT BLANK
TRUST FUND
ASSETS
Assessment Fund:
Cash
Assessment Receivable
Animal Control Fund:
Cash
Other Trust Fund:
Cash
Due Current Fund
Due General Capital Fund
Escrow Trust Fund:
Cash
Payroll Trust Fund:
Cash
Public Assistance Trust Fund:
Cash
BOROUGH OF MIDDLESEX
TRUST FUND
BALANCE SHEETS - REGULA TORY BASIS
6-2
$
6-3
$
B-2
$
$
B-2
$
6-13
6-13
$
6-2
$
$
B-2
$
$
B-2
$
$
$
BALANCE
DECEMBER
31. 2022
12.008.28
1.470.00
13.478.28
33.539.75
33.539.75
2.462.599.89
79.680.52
522.787.01
3.065.067.42
998.453.00
998.453.00
129.186.08
129.186.08
9.834.19
9.834.19
4.249.558. 72
$
$
$
$
$
$
$
$
$
$
$
$
$
"B"
SHEET#1
BALANCE
DECEMBER
31. 2021
11.961.97
1.470.00
13.431.97
29.578.02
29.578.02
2.039.610.08
79.318.66
522.787.01
2.641.715.75
611.879.43
611.879.43
112.201.09
112.201.09
9.833.07
9.833.07
3.418.639.33
The accompanying Notes to Financial Statements are an integral part of this statement.
"B"
SHEET#2
BOROUGH OF MIDDLESEX
TRUST FUND
BALANCE SHEETS - REGULATORY BASIS
BALANCE
BALANCE
DECEMBER
DECEMBER
REF.
31.2022
31.2021
LIABILITIES. RESERVES AND FUND BALANCE
Assessment Fund:
Due Current Fund
B-7
$
748.43
$
702.12
Due General Capital Fund
B-6
7.164.08
7,164.08
Fund Balance
B-1
5,565.77
5,565.77
$
13,478.28
$
13,431.97
Animal Control Fund:
Reserve For Animal Control Fund Expenditures
B-4
$
10,189.80
$
11.040.00
Due Current Fund
B-12
23,342.15
18,530.22
Due to State of New Jersey
B-5
7.80
7.80
$
33,539.75
$
29,578.02
Other Trust Fund:
Reserve For:
State Unemployment Compensation Insurance
B-8
$
187,539.92
$
190,544.51
Various Trust Deposits
B-8
2,877,527.50
2.451,171.24
$
~.nli5,0~i.4~
$
~.~:11, 715.75
Escrow Trust Fund:
Developers' Escrow - Water & Soil
B-9
$
20,576.40
$
20,062.00
Developers' Escrow Funds
B-9
977,876.60
591,817.43
$
!'isS,45~.oo
$
S11,8i9.4~
Payroll Trust Fund:
Payroll Deductions Payable
B-11
$
129,123.98
$
112.130.98
Due Current Fund
B-14
62.10
70.11
$
129,186.08
$
112,201.09
Public Assistance Trust Fund:
Reserve for Public Assistance
B-10
$
9,834.19
$
9,833.07
$
9,834.19
$
9,833.07
$
4,249,558.72
$
3,418,639.33
The accompanying Notes to Financial Statements are an integral part of this statement.
BOROUGH OF MIDDLESEX
ASSESSMENT TRUST FUND
"B-1"
STATEMENT OF FUND BALANCE - REGULATORY BASIS
Balance, December 31, 2021
Balance, December 31, 2022
REF.
B
B
$
5,565.77
$
5,565.77
=========
The accompanying Notes to Financial Statements are an integral part of this statement.
GENERAL CAPITAL FUND
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
BALANCE SHEETS - REGULATORY BASIS
BALANCE
BALANCE
DECEMBER
DECEMBER
REF.
31, 2022
31, 2021
ASSETS
Cash
C-2:C-3
$
3,359,992.54
$
1,753,050.55
Grants - In - Aid, Loans and Oler Receivable
C-16
1,268,901.48
2,947,534.42
Due Trust Assessment Fund
C-19
7,164.08
7,164.08
Deferred Charges to Future Taxation:
Funded
C-4
9,787,286.71
4,933,363.82
Unfunded
C-5
8,380,772.61
12,710,686.64
$
22 804 117.42
$
22,351,799.51
LIABILITIES, RESERVES AND FUND BALANCE
Bond Anticipation Notes Payable
C-9
$
4,420,000.00
$
7,832,673.00
General Serial Bonds Payable
C-11
8,168,000.00
4,244,000.00
Contracts Payable
C-7
3,340,657.80
2,342,503.22
Capital Improvement Fund
C-8
98,676.40
24,862.43
Reserve for Grant Receivable
C-17
143,025.40
559,772.11
Due Current Fund
C-20
98,634.92
Due Trust Other Fund
C-20
522,787.01
522.787.01
Due Grant Fund
C-20
23.775.00
23,775.00
Reserve for Insurance Refund
C-6
4,838.08
4,838.08
Reserve for Payment of Debt Service
C-18
94,399.90
56,943.53
State of New Jersey Loan Payable:
Environmental Infrastructure Trust Loans
C-12
430,215.10
155,823.06
Environmental Infrastructure Fund Loans
C-13
962,637.79
79,429.81
Environmental Infrastructure Loan
C-21
898,891.00
Green Trust Loan Program
C-15
6,433.82
19,110.95
Capital Leases Payable
C-14
220,000.00
435,000.00
Improvement Authorizations:
Funded
C-10
1,357,735.92
1,093,521.46
Unfunded
C-10
2.791.537.17
3,761,436.35
Fund Balance
C-1
219,398.03
197,797.58
$
22 804 117.42
$
22,351,799.51
The accompanying Notes to Financial Statements are an integral part of this statement.
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
STATEMENT OF FUND BALANCE - REGULATORY BASIS
YEAR ENDED
YEAR ENDED
DECEMBER 31,
DECEMBER 31,
REF.
2022
2021
Balance, January 1
C
$
197,797.58
$
414,486.49
Increased by:
Cancellation of Ordinances
C-10
89,882.07
$
287,679.65
$
414,486.49
Decreased by:
Surplus Anticipated-Current Fund
C-2
68,281.62
216,688.91
Balance, December 31
C
$
219,398.03
$
197,797.58
The accompanying Notes to Financial Statements are an integral part of this statement.
THIS PAGE INTENTIONALLY LEFT BLANK
SWIMMING POOL UTILITY FUND
"D"
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY FUND
CQMPARATIVE BALANCE SHEET - REGULATORY BASIS
BALANCE
BALANCE
LIABILITIES, RESERVES
BALANCE
BALANCE
ASSETS
REF.
DEC. 31. 2022
DEC. 31 2021
AND FUND BALANCE
REF.
DEC. 31 2022
DEC. 31 2021
Operating Fund:
Operating Fund:
Assets:
Liabilities:
Cash and Investments - Treasurer
D-5
$
250,162.29 $
306.145.02
Appropriation Reserves
0-4, 0-9
$
35,146.30 $
64.774.58
Cash and Investments - Snack Bar
0-5
3,001.00
3,001.00
Reserve for Encumbrances
0-4, 0-9
2,668.55
5,202.99
Due from Swimming Pool Capital Fund
D-10
148,599.90
94,320.11
Due to Current Fund
0-10
114,518.62
114,518.62
Accrued Interest on Bonds
D-16
4 395.42
5,577.92
156,728.89
190,074.11
Fund Balance
D-1
245 034.30
213,392.02
Total Operating Fund
401,763.19
403466.13
Total Operating Fund
401,75:e,19
403,466.13
Capital Fund:
Capita! Fund:
Cash and Investments - Treasurer
D-5
54,279.79
General Serial Bonds
0-17
410,000.00
539,000.00
Fixed Capital
D-7
2,170,960.77
666,291.56
Improvement Authorizations
Fixed Capital - Authorized and
Funded
0-15
51,660.79
Uncompleted
D-8
1,650,000.00
Unfunded
0-15
93,670.00
Capital Improvement Fund
0-12
7,730.10
7,730.10
Due to Swimming Pool Operating Fund
0-14
148,599.90
94,320.11
Reserve for Amortization
0-11
1,439,630.77
1,362,291.56
Deferred Reserve for Amortization
0-13
165,000.00
165,000.00
Fund Balance
0-2
54,279.79
2 619.00
Total Capita! Fund
2,225,240.56
2 316 291.56
Total Capital Fund
2,225,240.56
2,316,291.56
$
2,627,003.75 $
2 719,757.69
$
2,627,003.75 $
2,719,757.69
The accompanying Notes to Financial Statements are an integral part of this statement
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY OPERATING FUND
COMPARATIVE STATEMENT OF OPERATIONS AND
CHANGE IN FUND BALANCE-REGULATORY BASIS
REVENUE AND OTHER INCOME REALIZED
Fund Balance
Fees - Membership
Miscellaneous
American Rescue Plan Act
Other Credits to Income:
Unexpended Balance of Approp. Reserves
Cancellation of Accrued Interest on Bonds
Total Revenues
EXPENDITURES
Budget Appropriations:
Operating
Debt Service
Statutory Expenditures and Deferred Charges
Total Expenditures
Excess/(Deficit) in Revenues
FUND BALANCE
Balance - January 1
Decreased by:
REF.
D-3
$
D-3
D-3
D-9
D-16
D-4
D-4
D-4
D
YEAR ENDED
DECEMBER
31,2022
61,528.00 $
324,913.69
114,124.34
65,949.75
1,182.50
567,698.28
378,500.00
78,528.00
17,500.00
474,528.00
93,170.28
213,392.02
306,562.30
YEAR ENDED
DECEMBER
31,2021
21,157.81
302,246.88
113,886.78
121,170.19
115,215.97
1,128.64
674,806.27
369,500.00
78,528.00
14,500.00
462,528.00
212,278.27
22,271.56
234,549.83
Utilization as Anticipated Revenue
D-1
D
61,528.00
21,157.81
Balance - December 31
$
245,034.30 $ ==2=1=3=,3=92=.0=2=
The accompanying Notes to Financial Statements are an integral part of this statement
"D-1"
"D-2
11
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY CAPITAL FUND
STATEMENT OF FUND BALANCE-REGULATORY BASIS
REF.
Balance - December 31, 2021
D
$
2,619.00
Increased by:
Improvement Authorizations Canceled
D-11
51,660.79
Balance - December 31, 2022
D
$
54,279.79
The accompanying Notes to Financial Statements are an integral part of this statement
Fund Balance
Fees - Membership
Miscellaneous
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY OPERATING FUND
STATEMENT OF REVENUES-REGULATORY BASIS
YEAR ENDED DECEMBER 31. 2022
2022
REF.
BUDGET
REALIZED
D-1
$
61,528.00 $
61,528.00
D-1,D-5
300,000.00
324,913.69
D-1,D-5
113,000.00
114,124.34
$
474,528.00 $
500,566.03
Ref.
D-4
Analysis of Miscellaneous Revenues:
Interest
Miscellaneous Revenues
D-5
$
2,083.02
112,041.32
$ ====1=14='=12=4=.3=4=
$
$
EXCESS OR
(DEFICIT}
24,913.69
1,124.34
26,038.03
The accompanying Notes to Financial Statements are an integral part of this statement
"0-4"
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY OPERATING FUND
STATEMENT OF EXPENDITURES-REGULATORY BASIS
EXPENDED
UNEXPENDED
2022
BUDGET AFTER
PAID OR
BALANCE
BUDGET
MODIFICATION
CHARGED
ENCUMBERED
RESERVE[)
CANCELLED
Operating:
Salaries and Wages
$
210,000.00 $
227,000.00 $
222,640.36 $
$
4,359.64 $
Other Expenses
170,000.00
151,500.00
118,514.94
2,668.55
30,316.51
Debt Service:
Payment of Bond Principal
78,528.00
78,528.00
78,528.00
Statutory Expenditures:
Contribution to:
Social Security System (OAS.I.)
16,000.00
17,500.00
17,029.85
470.15
Total Swimming Pool Utility Appropriations
$
474,528.00 $
474,528.00 $
436,713.15 $
2,668.55 $
35,146.30 $
Ref.
D-3
D-3
D-1,0-5
D,D-1
D,D-1
The accompanying Notes to Financial Statements are an integral part of this statement
GENERAL FIXED ASSETS ACCOUNT GROUP
BOROUGH OF MIDDLESEX
STATEMENT OF GENERAL FIXED ASSETS
BALANCE SHEETS - REGULATORY BASIS
BALANCE
BALANCE
DECEMBER
DECEMBER
31.2022
31. 2021
FIXED ASSETS:
Land
$
5.864.700.00
$
5.864.700.00
Buildings
6.533.000.00
6.533.000.00
Machinery and Equipment
11.009.390.09
10.539.023.00
TOTAL FIXED ASSETS
$
23 407 090.09
$
22 936 723.00
RESERVE:
Investments in General Fixed Assets
$
23,407,090.09
$ ===2='2'=93=6=. 7=23=.o=o=
The accompanying Notes to Financial Statements are an integral part of this statement.
NOTES TO FINANCIAL STATEMENTS
NOTE 1:
BOROUGH OF MIDDLESEX
NOTES TO FINANCIAL STATEMENTS
YEARS ENDED DECEMBER 31. 2022 AND 2021
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A.
Reporting Entity
The Borough of Middlesex is an instrumentality of the State of New
Jersey, established to function as a municipality. The Borough council
consists of elected officials and is responsible for the fiscal control of the
Borough. A Mayor is elected to serve a term of four years. A Council
consisting of six members is elected to serve staggered three-year terms.
As defined by GAAP established by the GASB, the financial reporting
entity consists of the primary government, as well as component units,
which are legally separate organizations for which elected officials of the
primary government are financially accountable. The Borough is
financially accountable for an organization if the Borough appoints a
voting majority of the organization's governing board and (1) the Borough
is able to significantly influence the programs or services performed or
provided by the organizations; or (2) the Borough is legally entitled to or
can otherwise access the organization's resources; the Borough is legally
obligated or has otherwise assumed the responsibility to finance the
deficits of, or provide financial support to, the organization; or the
Borough is obligated for the debt of the organization.
Except as noted below, the financial statements of the Borough of
Middlesex include every board, body, officer or commission supported
and maintained wholly or in part by funds appropriated by the Borough of
Middlesex, as required by N.J.S.A. 40A:5-5. Accordingly, the financial
statements of the Borough of Middlesex do not include the operations of
the free public library, volunteer rescue organizations or the local public
school district, inasmuch as their activities are administered by separate
boards.
B.
Description of Funds
The Governmental Accounting Standards Board (GASB) is the accepted
standard-setting body for establishing governmental accounting and
financial reporting principles. GASB Codification establishes three fund
types and two account groups to be used by general purpose governmen-
tal units when reporting financial position and results of operations in
accordance with U.S. Generally Accepted Accounting Principles (GAAP).
7
NOTE 1:
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
B.
Description of Funds (Continued)
The accounting policies of the Borough of Middlesex conform to the
accounting principles applicable to municipalities which have been
prescribed by the Division of Local Government Services, Department of
Community Affairs, State of New Jersey. Such principles and practices
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. Under this
method of accounting, the financial transactions and accounts of the
Borough of Middlesex are organized on the basis of funds and an account
group which is different from the fund structure required by GAAP. A fund
or account group is an accounting entity with a separate set of self-
balancing accounts established to record the financial position and results
of operation of a specific government activity. As required by the Division
of Local Government Services the Borough accounts for its financial
transactions through the following individual funds and account groups:
Current Fund - resources and expenditures for governmental operations
of a general nature, including grant funds.
Trust Fund - receipts, custodianship and disbursement of funds in
accordance with the purpose for which each reserve was created.
General Capital Fund - receipts and disbursement of funds for the
acquisition of general capital facilities, other than those acquired in the
Current Fund.
Swimming Pool Utility Operating and Capital Funds - account for the
operations and acquisition of capital facilities of the municipally-owned
swimming pool.
General Fixed Assets Account Group - utilized to account for property,
land, buildings and equipment that have been acquired by other
governmental funds.
C.
Basis of Accounting
The accounting principles and practices prescribed for municipalities by
the State of New Jersey differ in certain respects from generally accepted
accounting principles applicable to local government units.
The more
significant accounting policies and differences in the State of New Jersey
are as follows:
A modified accrual basis of accounting is followed with minor exceptions.
8
NOTE 1:
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
C.
Basis of Accounting (Continued)
Revenues - are recorded when received in cash except for certain
amounts which are due from other governmental units. Federal and State
grants are realized as revenue when anticipated in the Borough's budget.
Receivables for property taxes are recorded with offsetting reserves on
the balance sheet of the Borough's Current Fund; accordingly, such
amounts are not recorded as revenue until collected. Other amounts that
are due the Borough, which are susceptible to accrual, are also recorded
as receivables with offsetting reserves and recorded as revenue when
received. GAAP requires revenues to be recognized in the accounting
period when they become susceptible to accrual, reduced by an
allowance for doubtful accounts.
Expenditures - are recorded on the "budgetary" basis of accounting.
General expenditures are recorded when an amount is encumbered for
goods or services through the issuances of a purchase order in
conjunction with the Encumbrance Accounting System.
Outstanding
encumbrances, at December 31, are reported as a cash liability in the
financial statements and constitute part of the Borough's regulatory
Appropriation
Reserve
balance.
Appropriation
reserves
covering
unexpended appropriation balances are automatically created
at
December 31"1 of each year 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 fiscal year.
Lapsed appropriation reserves are recorded as
income. 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.
Encumbrances - Contractual orders, at December 31, are reported as
expenditures through the establishment of encumbrances payable.
Under GAAP, encumbrances outstanding at year end are reported as
reservations of fund balance because they do not constitute expenditures
or liabilities.
Foreclosed Property - is recorded in the Current Fund at the assessed
valuation when such property was acquired and is fully reserved. GAAP
requires such property to be recorded in the General Fixed Assets
Account Group at its market value.
Sale of Municipal Assets - The proceeds from the sale of municipal
assets can be held in a reserve until anticipated as a revenue in a future
budget. GAAP requires such proceeds to be recorded as a revenue in
the year of sale.
9
NOTE 1:
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
C.
Basis of Accounting (Continued)
lnterfunds - lnterfund 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.
lnterfund
receivables in the other funds are not offset by reserves. GAAP does not
require the establishment of an offsetting reserve.
General Fixed Assets - N.J.A.C. 5:30-5.6 Accounting for Governmental
Fixed Assets, which differs in certain respects from generally accepted
accounting principles, requires the inclusion of a statement of general
fixed assets of the Borough as part of its basic financial statements.
General fixed assets are defined as non-expendable personal property
having a physical existence, a useful life of more than one year and an
acquisition cost of $500.00 or more per unit.
Public domain
("infrastructure") general fixed assets consisting of certain improvements
other than buildings, such as roads, bridges, curbs and gutters, streets
and sidewalks and drainage system are not capitalized.
Property and equipment acquired by the Current and General Capital
Funds are recorded as expenditures at the time of the purchase and are
not capitalized in their own respective funds. The Borough has valued its
land and buildings at assessed values. GAAP requires capital assets to
be recorded at their historical cost or estimated historical cost.
Additionally, GAAP requires depreciation to be calculated on capital
assets, with the exception of land.
General Fixed Assets that have been acquired and that are utilized in the
Current and General Capital Funds are instead accounted for in the
General Fixed Asset Account Group. No depreciation has been provided
on general fixed assets or reported in the financial statements.
Fixed assets acquired through grants in aid or contributed capital have
not been accounted for separately.
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 balance sheets.
GAAP requires the cost of inventories to be reported as a current asset
and equally offset by a fund balance reserve.
Fixed Capital - Swimming Pool Utility - Accounting for utility fund "fixed
capital" is done in compliance with N.J.A.C. 5:30-5.6.
Property and
equipment purchased by the Swimming Pool Utility Fund are recorded in
the capital account at cost and are adjusted for disposition and
abandonment.
The amounts shown do not purport to represent
reproduction costs or current value. The fixed capital reported is as taken
from the municipal records and does not necessarily reflect the true
condition of such fixed capital. Contributions in aid of construction are not
capitalized.
10
NOTE 1:
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
C.
Basis of Accounting (Continued)
Fixed Capital - Swimming Pool Utility (continued) - The balance in the
Reserve for Amortization and Deferred Reserve for Amortization accounts
in the utility capital fund represents changes to operations for the cost of
acquisitions of property, equipment, and improvements. The utility does
not record depreciation on fixed assets.
Accounting and Financial Reporting for Pensions -
Governmental
Accounting Standards Board (GASB) Statement No. 68 Accounting and
financial reporting for pensions administered
by
state
and
local
government employers improves accounting and financial reporting by
state and local governments for pensions. It also improves information
provided by state and local government employers about financial support
for pensions that is provided by other entities. This Statement results from
a comprehensive review of the effectiveness of existing standards of
accounting and financial reporting for pensions with regard to providing
decision useful information, supporting assessments of accountability and
interperiod equity, and creating additional transparency.
Under GAAP, municipalities are required to recognize the pension liability
in Statements of Revenues, Expenses, Changes in Net Position (balance
sheets) and Notes to the Financial Statements in accordance with GASB
68. The liability required to be displayed by GASB 68 is displayed as a
separate line item in the Unrestricted Net Position area of the balance
sheet.
New Jersey's municipalities and counties do not follow GAAP accounting
principles and, as such, do not follow GASB requirements with respect to
recording the net pension liability as a liability on their balance sheets.
However, N.J.A.C. 5:30 6.1(c) (2) requires municipalities to disclose
GASB 68 information in the Notes to the Financial Statements. The
disclosure must meet the requirements of GASB 68.
The New Jersey Division of Local Government Services issued Local
Finance Notice 2021-10 which allows local units to disclose the most
recently available information as it relates to the New Jersey Division of
Pension and Benefits reporting on GASB 68. As of the date of this report,
the information for the period ended June 30, 2022 was not available,
therefore the information dated June 30, 2021 is disclosed.
11
NOTE 1:
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
C.
Basis of Accounting (Continued)
Accounting and Financial Reporting for Postemployment Benefits Other
Than Pensions (OPES)
The Governmental Accounting Standards Board (GASB) has issued
Statement
no.
75,
"Accounting
and
Financial
Reporting
for
Postemployment Benefits Other Than Pensions". This statement
establishes standards for measuring and recognizing liabilities, deferred
outflows and inflows of resources, and expenses for postemployment
benefits other than pensions.
It also requires the State of New Jersey to calculate and allocate to each
participating member, for note disclosure purposes only, the OPES net
liability of New Jersey Health Benefits Local Government Retiree Plan
(the Plan). The statement does not alter the amount of funds that must be
budgeted for OPES payment under existing state law.
Under GAAP, municipalities are required to recognize the OPES liability
in Statements of Revenues, Expenses, Changes in Net Position (balance
sheets) and Notes to the Financial Statements in accordance with GASS
75. The liability required to be displayed by GASS 75 is displayed as a
separate line item in the Unrestricted Net Position area of the balance
sheet.
New Jersey's municipalities and counties do not follow GAAP accounting
principles and, as such, do not follow GASS requirements with respect to
recording the OPES liability as a liability on their balance sheets.
However, N.J.A.C. 5:30 6.1(c) (2) requires municipalities to disclose
GASS 75 information in the Notes to the Financial Statements. The
disclosure must meet the requirements of GASS 75.
The New Jersey Division of Local Government Services issued Local
Finance Notice 2021-10 which allows local units to disclose the most
recently available information as it relates to the New Jersey Division of
Pension and Benefits reporting on GASS 75. As of the date of this report,
the information for the period ended June 30, 2022 was not available,
therefore the information dated June 30, 2021 is disclosed.
D.
Basic Financial Statements
The GASB codification also defines the financial statements of a
governmental unit to be presented in the general purpose financial
statements to be in accordance with GAAP. The Borough presents the
financial statements listed in the table of contents of the "Requirements of
Audit and Accounting Revision of 1987" as prescribed by the Division of
Local Government Services, Department of Community Affairs, State of
New Jersey and which differ from financial statements required by GAAP.
12
NOTE 2:
CASH AND CASH EQUIVALENTS
The Borough considers petty cash, change funds, and cash in banks, deposits in
the New Jersey Cash Management Fund and certificates of deposit as cash and
cash equivalents.
A.
Deposits
New Jersey statutes permit the deposit of public funds in institutions
which are located in New Jersey and which meet the requirements of the
Governmental Unit Deposit Protection Act (GUDPA) or the State of New
Jersey Cash Management Fund. GUDPA requires a bank that accepts
public funds to be a public depository. A public depository is defined as a
state bank, a national bank, or a savings bank, which is located in the
State of New Jersey, the deposits of which are insured by the Federal
Deposit Insurance Corporation. The statutes also require public
depositories to maintain collateral for deposits of public funds that exceed
certain insurance limits. All collateral must be deposited with the Federal
Reserve Bank or a banking institution that is a member of the Federal
Reserve System and has capital funds of not less than $25,000,000.00.
Under GUDPA, if a public depository fails, the collateral it has pledged,
plus the collateral of all other public depositories, is available to pay the
full amount of the deposits to the governmental unit.
The Borough of Middlesex had the following cash and cash equivalents at
December 31, 2022:
Cash in
Reconciling
Fund
Bank
Items
Total
Current Fund
$
6,510,382.30
$
(241,346.33) $
6,269,035.97
Grant Fund
18,183.04
18,183.04
Trust - Animal Control Fund
33,643.46
(103.71)
33,539.75
Trust -Assessment Fund
12,008.28
12,008.28
Trust Fund
3,664,782.97
(74,544.00)
3,590,238.97
Public Assistance Trust Fund
9,834.19
9,834.19
General Capital Fund
3,473,641.45
(113,648.91)
3,359,992.54
Swimming Pool Operating Fund
253,215.20
(51.91)
253,163.29
Swimming Pool Capital Fund
54,296.89
(17.10)
54,279.79
Total December 31, 2022
$
14,029,987.78
$
(429,711.96) $
13,600,275.82
13
NOTE2:
CASH AND CASH EQUIVALENTS (CONTINUED)
A
Deposits (Continued)
Custodial Credit Risk - Deposits - Custodial credit risk is the risk that in
the event of a bank failure, the deposits may not be returned.
The
Borough does not have a specific deposit policy for custodial credit risk
other than those policies that adhere to the requirements of statute. As of
December 31, 2022, based upon the coverage provided by FDIC and
NJGUDPA, no amount of the bank balance in the bank was exposed to
custodial credit risk. Of the cash balance in the bank, $250,000.00 was
covered by Federal Depository Insurance and $13,639,621.82 was
covered by NJGUDPA. The New Jersey Cash Management Fund is an
investment pool and is not insured by either FDIC or GUDPA.
The
Borough has $140,365.96 in the New Jersey Cash Management Fund.
B.
Investments
The purchase of investments by the Borough is strictly limited by the
express authority of the New Jersey Local Fiscal Affairs Law, N.J.S.A.
40A:5-15.1. Permitted investments include any of the following type of
securities:
1.
Bonds or other obligations of the United States of America or
obligations guaranteed by the United States of America;
2.
Government money market mutual funds which are purchased
from an investment company or investment trust which is
registered with the Securities and Exchange Commission under
the "Investment Company Act of 1940," 15 U.S.C. 80a-1 et seq.,
and operated in accordance with 17 C.F.R. § 270.2a-7 and which
portfolio is limited to U.S. Government securities that meet the
definition of an eligible security pursuant to 17 C.F.R. § 270.2a-7
and repurchase agreements that are collateralized by such U.S.
Government securities in which direct investment may be made
pursuant to paragraphs (1) and (3) of N.J.S.A. 5-15.1.
These
funds are also required to be rated by a nationally recognized
statistical rating organization.
3.
Any obligation that a federal agency or a federal instrumentality
has issued in accordance with an act of Congress, which security
has a maturity date not greater than 397 days from the date of
purchase, provided that such obligation bears a fixed rate of
interest not dependent on any index or other external factor.
4.
Bonds or other obligations of the Local Unit or bonds or other
obligations of school districts of which the Local Unit is a part or
within which the school district is located.
14
NOTE 2:
CASH AND CASH EQUIVALENT (CONTINUED)
B.
Investments (Continued)
5.
Bonds or other obligations, having a maturity date not more than
397 days from date of purchase, approved by the Division of Local
Government Services of the Department of Community Affairs for
investment by local units.
6.
Local government investment pools that are fully invested in U.S.
Government securities that meet the definition of eligible security
pursuant to 17 C.F.R. § 270a-7 and repurchase agreements that
are collateralized by such U.S. Government securities in which
direct investment may be made pursuant to paragraphs (1) and
(3) of N.J.S.A. 5-15.1. This type of investment is also required to
be rated in the highest category by a nationally recognized
statistical rating organization.
7.
Deposits with the State of New Jersey Cash Management Fund
established pursuant to section 1 of P.L. 1977, c. 281 (C. 52:18A-
90.4); or
8.
Agreements for the repurchase of fully collateralized securities if:
a.
the
underlying securities are permitted investments
pursuant to paragraphs ( 1) and (3) of this subsection;
b.
the custody of collateral is transferred to a third party;
c.
the maturity of the agreement is not more than 30 days;
d.
the underlying securities are purchased through a public
depository as defined in section 1 of P.L. 1970, c. 236 (C.
17:19-41); and
e.
a master repurchase agreement providing for the custody
and security of collateral is executed.
The Borough of Middlesex's investment activities during the year were in
accordance with the above New Jersey Statute.
As of December 31, 2022, the Borough has $140,365.96 on deposit with
the New Jersey Cash Management Fund. Based upon the limitations set
forth by New Jersey Statutes 40A:5-15.1 and existing investment
practices, the Borough is generally not exposed to credit risks, custodial
credit risks, concentration of credit risks and interest rate risk for its
investments nor is it exposed to foreign currency risk for its deposits and
investments.
15
NOTE 3:
MUNICIPAL DEBT
The Local Bond Law, Chapter 40A:2, governs the issuance of bonds to finance
general municipal capital expenditures.
All bonds are retired in annual
installments within the statutory period of usefulness. All bonds issued by the
Borough are general obligation bonds, backed by the full faith and credit of the
Borough.
Bond Anticipation Notes, which are issued to temporarily finance
capital projects, are included in the below Summary of Municipal Debt and
Summary of Statutory Debt Condition Annual Debt Statement:
Issued:
General:
Bonds, Notes and Loans
Swimming Pool Utility:
Bonds, Notes and Loans
Less:
Cash on Hand - Excess BAN Proceeds
Reserve for Payment of Debt Service
Authorized but not Issued
General:
Bonds, Notes and Loans
Swimming Pool Utility:
Bonds, Notes and Loans
Total Authorized but not Issued
Net Bonds and Notes Issued and
and Authorized but not issued
$
YEAR2022
14,207,286.71 $
410,000.00
14,617,286.71
18,409.15
94,399.90
14,504,477.66
3,979,181.76
156,330.00
4,135,511.76
YEAR 2021
13,664,927.82 $
539,000.00
14,203,927.82
56,943.53
14,146,984.29
3,997,531.79
250,000.00
4,247,531.79
YEAR 2020
13,685,144.61
663,500.00
14,348,644.61
14,348,644.61
3,369,421.05
250,000.00
3,619,421.05
$
18,639,989.42 $
18,394,516.08 $
17,968,065.66
16
NOTE 3:
MUNICIPAL DEBT (CONTINUED)
SUMMARY OF STATUTORY DEBT CONDITION ANNUAL DEBT STATEMENT
The summarized statement of debt condition which follows is prepared in accordance with the
required method of setting up the Annual Debt Statement and indicates a statutory net debt
of0.953%:
Gross Debt
Deductions
Net Debt
Local School District Debt
$6,806,000.00
$6,806,000.00
-0-
Swimming Pool Utility Debt
566,330.00
566,330.00
-0-
General Debt
18,186,468.47
112,809.05
$18,073,659.42
$25,558,798.47
$7,485,139.05
$18,073,659.42
Net debt $18,073,659.42 divided by equalized valuation
basis
per
N.J.S. 40A:2-2,
$1,897,181,559.33 equals 0.953%
Borrowing Power Under N.J.S.A. 40A:2-6 as Amended
Equalized Valuation Basis - December 31, 2022
3 1/2% of Equalized Valuation Basis
Net Debt
Remaining Borrowing Power
$
1,897,181,559.33
$
66,401,354.58
18,073,659.42
$ ==4=8="',3=2=7=,6=95=·=16=
Equalized Valuation Basis is the average of the equalized valuation of real estate,
including improvements and the assessed valuation of Class II railroad property of the
Borough of Middlesex for the last three (3) preceding years.
17
NOTE 3:
MUNICIPAL DEBT (CONTINUED)
LONG-TERM DEBT
General Serial Bonds:
$2,878,000 in General Obligation Bonds dated July 16, 2015 due in annual
remaining installments ranging between of $301,000.00 and $326,500 due
on July 15 of each year with interest rates from 2.000% to 2.500%
$3,700,000 in General Obligation Refunding Bonds dated December 19,
2019, due in annual remaining installments ranging between $740,000.00
and $750,000.00 due on February 15 of each year with interest rates from
4.000% to 5.000%.
$4,965,000 in General Obligation Bonds dated May 12, 2022, due in
annual installments ranging between $210,000.00 and $420,000.00 due on
May 1 of each year with interest rates from 3.000% to 5.000%.
Swimming Pool Utility Serial Bonds:
$1,235,000 in General Obligation Bonds dated July 16, 2015 due in annual
remaining installments ranging between of$132,000.00 and $141,500 due
on July 15 of each year with interest rates from 2.000% to 2.500%
BONDS AND NOTES AUTHORIZED BUT NOT ISSUED
$953,000.00
2,250,000.00
4,965,000.00
$8,168,000.00
$410,000.00
$410,000.00
At December 31, 2022, the Borough has authorized but not issued bonds and notes as
follows:
General Capital Fund
Swimming Pool Capital Fund
Total
$
3,979,181.76
156,330.00
$
4,135,511.76
18
YEAR
2023
2024
2025
2026
2027
2028-2032
2033-2035
NOTE 3:
MUNICIPAL DEBT (CONTINUED)
CALCULATION OF "SELF-LIQUIDATING PURPOSE" SWIMMING POOL UTILITY
PER N.J.S.A. 40A:2-45
Cash Receipts from Fees, Rents or Other
Charges for Year and Anticipated Surplus
Deductions:
Operation and Maintenance
Debt Service
Total Deductions
Excess in Revenue - Self-Liquidating
$ 396,000.00
78,528.00
$
500,566.03
474,528.00
$
26,038.03
SCHEDULE OF ANNUAL DEBT SERVICE FOR PRINCIPAL AND INTEREST
FOR BONDED DEBT ISSUED AND OUTSTANDING
General Capital
Principal
Interest
$1,263,000.00
$404,725.42
1,283,500.00
256,700.00
1,421,500.00
197,237.50
420,000.00
151,200.00
420,000.00
130,200.00
2,100,000.00
373,800.00
1,260,000.00
60,375.00
$8,168,000.00
$1,574,237.92
GREEN TRUST LOANS
Swim Pool Utility Capital
Principal
$132,000.00
136,500.00
141,500.00
$410,000.00
Interest
$9,590.00
6,950.00
3,537.50
$20,077.50
1989 Loan Program
LOAN
LOAN
YEAR
PRINCIPAL
INTEREST
TOTAL
2023
$
6,433.82
$
64.30
$
6,498.12
$
6,433.82
$
64.30
$
6,498.12
19
Total
$1,809,315.42
1,683,650.00
1,763,775.00
$5,256,740.42
NOTE 3:
MUNICIPAL DEBT (CONTINUED)
ENVIRONMENTAL INFRASTRUCTURE TRUST LOANS
FUND
TRUST LOAN
LOAN
YEAR
PRINCIPAL
INTEREST
PRINCIPAL
TOTAL
2023
$
60,174.08
$
17,333.64
$
66,862.71
144,370.43
2024
60,041.02
14,876.66
31,991.95
106,909.63
2025
5,000.00
12,425.00
31,991.95
49,416.95
2026
5,000.00
12,175.00
31,991.95
49,166.95
2027
5,000.00
11,925.00
31,991.95
48,916.95
2028-2032
45,000.00
54,375.00
159,959.75
259,334.75
2033-2037
50,000.00
43,137.50
159,959.75
253,097.25
2038-2042
60,000.00
34,262.50
159,959.75
254,222.25
2043-2047
75,000.00
21,793.76
159,959.75
256,753.51
2048-2051
65,000.00
6,800.00
127,968.28
199,768.28
$ 430,215.10
$229,104.06
$ 962,637.79
$ 1,621,956.95
MIDDLESEX COUNTY IMPROVEMENT AUTHORITY CAPITAL LEASE
LOAN
PRINCIPAL
LOAN
INTEREST
TOTAL
2023
$
220,000.00
$
8,800.00
$
228,800.00
$
220,000.00 $
8,800.00
$
228,800.00
BOND ANTICIPATION NOTES
In accordance with NJSA 40A:2-8.1, a local unit may, in anticipation of the
issuance of bonds, borrow money and issue notes if the bond ordinance or
subsequent resolution so provides.
Any such note shall be designated as a
"bond anticipation note" and shall be subject to the following provisions:
( 1) every note shall contain a recital that it is issued for a period not exceeding
one year and may be renewed from time to time for additional periods, none
of which shall exceed one year;
(2) all such notes, including renewals, shall mature and be paid not later than
the first day of the fifth month following the close of the tenth fiscal year next
following the date of the original notes; and
20
NOTE 3:
NOTE4:
NOTE 5:
MUNICIPAL DEBT (CONTINUED)
BOND ANTICIPATION NOTES (CONTINUED)
(3) no such notes shall be renewed beyond the third anniversary date of the
original notes unless an amount of such notes, at least equal to the first
legally payable installment of the bonds in anticipation of which those notes
are issued, is paid and retired on or before each subsequent anniversary date
beyond which such notes are renewed from funds other than the proceeds of
obligations.
The Borough had the following outstanding bond anticipation note( s) at year end:
Interest Rate
Maturity Date
Amount
General Capital
1.70%
05/12/23
$
4,420,000.00
FUND BALANCES APPROPRIATED
Fund balance, at December 31, 2022, which was appropriated and included as
anticipated revenue in its own respective fund for the year ending December 31,
2023, was $1,600,000.00 for the Current Fund and $38,658.00 for the Swimming
Pool Utility Operating Fund.
PROPERTY TAXES
Property Taxes attach as an enforceable lien on property as of January 1. Taxes
are levied based on the final adoption of the current year municipal budget, and
payable in four installments on February 1, May 1, August 1 and November 1.
The Borough bills and collects its own property taxes and also the taxes for the
County and the Local School District. The collections and remittance of county
and school taxes are accounted for in the Current Fund. Borough property tax
revenues are recognized when collected in cash and any receivables are
recorded with offsetting reserves on the balance sheet of the Borough's Current
Fund.
Taxes Collected in Advance - Taxes collected in advance and recorded as cash
liabilities in the financial statements are as follows:
Prepaid Taxes
21
Balance
December
31, 2022
$ 253,546.21
Balance
December
31.2021
$
216,614.57
NOTE 6:
PENSION PLANS
Substantially all eligible employees participate in the Public Employees'
Retirement System (PERS), or the Police, Firemen's Retirement System (PFRS)
or the Defined Contribution Retirement System (DCRP), which have been
established by state statute and are administered by the New Jersey Division of
Pensions and Benefits. The Division issues a publicly available financial report
that includes the financial statements and required supplementary information for
the Public Employees Retirement System, Police and Firemen's Retirement
System and Consolidated Police and Firemen's Pension Fund. These reports
may be obtained by writing to the Division of Pensions and Benefits, P.O.
Box
295,
Trenton,
New
Jersey,
08625
or are
available
online
at
www.nj.gov/treasury/pensions/annrprts.shtml.
Public Employees' Retirement System (PERS) -
The Public Employees'
Retirement System (PERS) was established as of January 1, 1955, under the
provisions of N.J.S.A. 43:15A, to provide retirement, death, disability and medical
benefits to certain qualified members. The PERS is a cost-sharing multiple
employer plan. Membership is mandatory for substantially, all full-time
employees of the State of New Jersey or any county, municipality, school district
or public agency, provided the employee is not required to be a member of
another state-administered retirement system or other state pension fund or local
jurisdiction's pension fund.
Police and Firemen's Retirement System (PFRS) - The Police and Firemen's
Retirement System (PFRS) was established as of July 1, 1944, under the
provisions of N.J.S.A. 43:16A. to provide retirement, death, and disability benefits
to its members. The PFRS is a cost-sharing multiple-employer plan. Membership
is mandatory for substantially, all full-time county and municipal police or firemen
or officer employees with police powers appointed after June 30, 1944.
Defined Contribution Retirement Program (DCRP) - The Defined Contribution
Retirement Program (DCRP) was established July 1, 2007, under the provisions
of Chapter 92, P.L. 2007 and Chapter 103, P.L 2007, and was expanded under
the provisions of Chapter 89, P.L. 2009. The DCRP provides eligible employees
and their beneficiaries with a tax-sheltered, defined contribution retirement
benefit, along with life insurance coverage and disability coverage.
Vesting and Benefit Provisions
The vesting and benefit provisions for PERS are set by N.J.S.A. 43:15A and
43:36. All benefits vest after ten years of service, except for medical benefits,
which vest after 25 years of service. Members may seek early retirement after
achieving 25 years of service credit or they may elect deferred retirement after
achieving ten years of service credit, in which case, benefits would begin the first
day of the month after the member attains normal retirement age.
22
NOTE 6:
PENSION PLANS
Vesting and Benefit Provisions (Continued)
The vesting and benefit provisions for PFRS are set by N.J.S.A. 43: 16A and
43:36. All benefits vest after ten years of service, except for disability benefits,
which vest after four years of service. Retirement benefits for age and service are
available at age 55. Members may seek special retirement after achieving 25
years of creditable service or they may elect deferred retirement after achieving
ten years of service.
Newly elected or appointed officials that have an existing DCRP account, or are
a member of another State-administered retirement system are immediately
vested in the DCRP. For newly elected or appointed officials that do not qualify
for immediate vesting in the DCRP, employee and employer contributions are
held during the initial year of membership. Upon commencing the second year of
DCRP membership, the member is fully vested. However, if a member is not
eligible to continue in the DCRP for a second year of membership, the member
may apply for a refund of the employee contributions from the DCRP, while the
employer contributions will revert back to the employer. Employees are required
to contribute 5.5% of their base salary and employers contribute 3.0%.
Funding Policy
The contribution policy for PERS is set by N.J.S.A. 43: 15A and requires
contributions by active members and contributing employers. State legislation
has modified the amount that is contributed by the State. The State's pension
contribution is based on an actuarially determined amount, which includes the
employer portion of the normal cost and an amortization of the unfunded accrued
liability. Funding for noncontributory group life insurance benefits is based on
actual claims paid. For fiscal year 2021, the State's pension contribution was less
than the actuarial determined amount. The local employers' contribution amounts
are based on an actuarially determined rate, which includes the normal cost and
unfunded accrued liability.
During 2022 PERS provides for employee
contributions of 7.50% of employees' base salary.
The contribution policy for PFRS is set by N.J.S.A. 43:16A and requires
contributions by active members and contributing employers. State legislation
has modified the amount that is contributed by the State. The State's contribution
amount is based on an actuarially determined rate, which includes the normal
cost and unfunded accrued liability. The local employers' contribution amounts
are based on an actuarially determined rate, which includes the normal cost and
unfunded accrued liability. For the fiscal year 2021, the State contributed an
amount less than the actuarially determined amount. During 2022, PFRS
provides for employee contributions of 10.00% of employees' base salary.
The Borough's share of pension, which is based upon the annual billings
received from the State, amounted to $1,614,738 for 2022 $1,559,422 for 2021,
and $1,368,010 for 2020.
Certain Borough employees are also covered by the Federal Insurance
Contribution Act.
23
NOTE 6:
PENSION PLANS (CONTINUED)
Accounting and Financial Reporting for Pensions - GASB 68
The Governmental Accounting Standards Board (GASB) has issued Statement
No. 68 "Accounting and Financial Reporting for Public Employees Pensions"
which requires the State of New Jersey to calculate and allocate, for note
disclosure purposes only, the unfunded net pension liability of Public Employees
Retirement System (PERS) and the Police and Firemen's Retirement System
(PFRS) of the participating municipality as of December 31, 2021.
The
statement does not alter the amounts of funds that must be budgeted for pension
payments under existing state law.
Under accounting principles and practices prescribed by the Division of Local
Government Services, Department of Community Affairs, State of New Jersey,
any unfunded net pension liability of the municipality, allocated by the State of
New Jersey, is not required to be reported in the financial statements as
presented and any pension contributions required to be paid are raised in that
year's budget and no liability is accrued at December 31, 2021.
Public Employees Retirement System (PERS)
At June 30, 2021, the State reported a net pension liability of $4,613,283.00 for
the Borough 's proportionate share of the total net pension liability. The total
pension liability for the June 30, 2021 measurement date was determined by an
actuarial valuation as of July 1, 2020, which was rolled forward to June 30, 2021.
The Borough's proportion of the net pension liability was based on a projection of
the Borough's long-term share of contributions to the pension plan relative to the
projected contributions of all participating employers, actuarially determined. At
June 30, 2021, the Borough's proportion was 0.0389421639 percent, which was
a decrease of 0.0002089098 percent from its proportion measured as of June 30,
2020.
For the year ended June 30, 2021, the State recognized an actuarially
determined pension benefit of $432,732.00 for the Borough 's proportionate
share of the total pension expense. The pension expense recognized in the
Borough's financial statements based on the April 1, 2022 billing was
$456,058.00.
24
NOTE 6:
PENSION PLANS (CONTINUED)
Accounting and Financial Reporting for Pensions - GASB 68 (Continued)
Public Employees Retirement System (PERS) (Continued)
At June 30, 2021, the State reported deferred outflows of resources and deferred
inflows of resources related to PERS from the following sources:
Differences between expected and actual
experience
Changes of assumptions
Net difference between projected and actual
earnings on pension plan investments
Changes in proportion and differences
between Borough contributions and
proportionate share of contributions
$
Deferred
Outflow of
Resources
72,757.00
24,026.00
388,913.00
Deferred
Inflow of
Resources
$
33,026.00
1,642,359.00
1,215,260.00
190,637.00
$
485,696.00 $ 3,081,282.00
Other local amounts reported by the State as the Borough's proportionate share
of deferred outflows of resources and deferred inflows of resources related to
pensions will be recognized in the State's actuarially calculated pension expense
as follows:
Year Ended
June 30,
2022
2023
2024
2025
2026
25
Amount
($1,048,878.80)
(737,555.80)
(490,269.80)
(358,690.80)
39,809.20
($2,595,586.00)
NOTE6:
PENSION PLANS (CONTINUED)
Accounting and Financial Reporting for Pensions - GASB 68 (Continued)
Public Employees Retirement System (PERS) (Continued)
Actuarial Assumptions
The total pension liability for the June 30, 2021 measurement date was
determined by an actuarial valuation as of July 1, 2020, which rolled forward to
June 30, 2021. These actuarial valuations used the following assumptions:
Inflation
Price
Wage
Salary Increases
Through 2026
Thereafter
Investment Rate of Return
June 30, 2021
2.75%
3.25%
2.00-6.00%
3.00-7.00%
Based on
Years of Service
7.00%
Pre-retirement mortality rates were based on the Pub-201 O 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.
The actuarial assumptions used in the July 1, 2020 valuation were based on the
results of an actuarial experience study for the period July 1, 2014 to June 30,
2018.
26
NOTE 6:
PENSION PLANS (CONTINUED)
Accounting and Financial Reporting for Pensions - GASB 68 (Continued)
Public Employees Retirement System (PERS) (Continued)
Long-Term Rate of Return
In accordance with State statute, the long-term expected rate of return on plan
investments (7.00% at both June 30, 2021 and June 30, 2020) is determined by
the State Treasurer, after consultation with the Directors of the Division of
Investment and Division of Pensions and Benefits, the board of trustees and the
actuaries. The long-term expected rate of return was determined using a building
block method in which best-estimate ranges of expected future real rates of
return (expected returns, net of pension plan investment expense and inflation)
are developed for each major asset class. These ranges are combined to
produce the long-term expected rate of return by weighting the expected future
real rates of return by the target asset allocation percentage and by adding
expected inflation. Best estimates of arithmetic rates of return for each major
asset class included in PERS's target asset allocation as of June 30, 2021 are
summarized in the following table:
Assets Class
US Equity
Non-U.S. Developed Market Equity
Emerging Market Equity
Private Equity
Real Estate
Real Assets
High Yield
Private Credit
Investment Grade Credit
Cash Equivalents
U.S. Treasury's
Risk Mitigation Strategies
Discount Rate
Target
Allocation
27.00%
13.50%
5.50%
13.00%
8.00%
3.00%
2.00%
8.00%
8.00%
4.00%
5.00%
3.00%
Long-Term
Expected Real
Rate of Return
8.09%
8.71%
10.96%
11.30%
9.15%
7.40%
3.75%
7.60%
1.68%
0.50%
0.95%
3.35%
The discount rate used to measure the total pension liability was 7.00% as of
both June 30, 2021 and June 30, 2020. The projection of cash flows used to
determine the discount rate assumed that contributions from plan members will
be made at the current member contribution rates and that contributions from
employers and the nonemployer contributing entity will be based on 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.
27
NOTE6:
PENSION PLANS (CONTINUED)
Accounting and Financial Reporting for Pensions - GASS 68 (Continued}
Public Employees Retirement System (PERS) (Continued)
Sensitivity of the Borough's proportionate share of net pension liability to
changes in the discount rate
The following presents the Borough's proportionate share of the net pension
liability of the participating employers as of June 30, 2021 respectively,
calculated using the discount rate as disclosed above as well as what the
Borough's proportionate share of the net pension liability would be if it
was calculated using a discount rate that is 1-percentage point lower
or 1-percentage point higher than the current rate:
Borough's proportionate share
1%
Decrease
6.00%
of the pension liability
$6,282,356.00
Pension plan fiduciary net position
June 30, 2021
At Current
Discount Rate
7.00%
$4,613,283.00
1%
Increase
8.00%
$3,196,838.00
Detailed information about the pension plan's fiduciary net position is available in
the separately issued Financial Report for the State of New Jersey Public
Employees Retirement System (PERS). The report may be obtained at State of
New Jersey Division of Pensions and Benefits P.O. Box 295 Trenton, New
Jersey 08625-0295 http://www.state.nj.us/treasury/pensions.
Police and Firemen's Retirement System (PFRS)
At June 30, 2021, the State reported a net pension liability of $6,847,458.00 for
the Borough 's proportionate share of the total PFRS net pension liability. The
total pension liability for the June 30, 2021 measurement date was determined by
an actuarial valuation as of July 1, 2020, which was rolled forward to June 30,
2021. The Borough's proportion of the net pension liability was based on a
projection of the Borough's long-term share of contributions to the pension plan
relative to the projected contributions of all participating employers, actuarially
determined.
28
NOTE6:
PENSION PLANS (CONTINUED)
Accounting and Financial Reporting for Pensions - GASB 68 (Continued)
Police and Firemen's Retirement System (PFRS) (Continued)
At June 30, 2021, the Borough's proportion was 0.0936833489 percent, which
was a decrease of 0.0016956163 percent from its proportion measured as of
June 30, 2020.
For the year ended June 30, 2021, the State recognized an actuarially
determined pension benefit of $478,207.00. The pension expense recognized in
the Borough's financial statements based on the April 1, 2022 billing was
$1,139,462.00.
At June 30, 2021, the State reported deferred outflows of resources and deferred
inflows of resources related to PFRS from the following sources:
Deferred
Deferred
Outflow of
Inflow of
Resources
Resources
Differences between expected and actual
experience
$
78,121.00 $
820,255.00
Changes of assumptions
Net difference between projected and actual
earnings on pension plan investments
Changes in proportion and differences
between Borough contributions and
proportionate share of contributions
36,436.00
2,052,152.00
2,917,925.00
1,358,806.00
250,817.00
$ 1,473,363.00 $ 6,041,149.00
Other amounts reported as deferred outflows of resources and deferred inflows
of resources related to pensions will be recognized in pension expense as
follows:
Year Ended
June 30
Amount
2022
$
(1,595,434.20)
2023
(1,142,345.20)
2024
(948,761.20)
2025
(932,518.20)
2026
76,021.80
Thereafter
(24,749.00)
$
(4,567,786.00)
29
NOTE 6:
PENSION PLANS (CONTINUED)
Accounting and Financial Reporting for Pensions - GASB 68 (Continued)
Police and Firemen's Retirement System (PFRS) (Continued)
Actuarial Assumptions
The total pension liability for the June 30, 2021 measurement date was
determined by an actuarial valuation as of July 1, 2020, which rolled forward to
June 30, 2021. This actuarial valuation used the following assumptions:
Inflation:
Price
Salary Increases
Through All Future Years
Investment Rate of Return
June 30, 2021
2.75%
3.25-15.25%
Based on Years of
Service
7.00%
Employee mortality rates were based on the Pubs-2010 amount-weighted
mortality table with a 105.6% adjustment for males and 102.5% adjustment for
females For healthy annuitants, mortality rates were based on the Pubs-201 O
amount-weighted mortality table with a 96.7% adjustment for males and 96.0%
adjustment for females Disability rates were based on the PubS-201 O amount-
weighted mortality table with a 152.0% adjustment for males and 109.3%
adjustment for females. Mortality improvement is based on scale MP-2021.
The actuarial assumptions used in the July 1, 2020 valuation were based on the
results of an actuarial experience study for the period July 1, 2013 to June 30,
2018.
30
NOTE 6:
PENSION PLANS (CONTINUED)
Accounting and Financial Reporting for Pensions - GASB 68 (Continued)
Police and Firemen's Retirement System (PFRS) (Continued)
Long-Term Rate of Return
In accordance with State statute, the long-term expected rate of return on plan
investments (7.00 percent at June 30, 2021 and June 30, 2020) is determined by
the State Treasurer, after consultation with the Directors of the Division of
Investment and Division of Pensions and Benefits, the board of trustees and the
actuaries. The long-term expected rate of return was determined using a building
block method in which best-estimate ranges of expected future real rates of
return (expected returns, net of pension plan investment expense and inflation)
are developed for each major asset class. These ranges are combined to
produce the long-term expected rate of return by weighting the expected future
real rates of return by the target asset allocation percentage and by adding
expected inflation. Best estimates of arithmetic rates of return for each major
asset class included in PFRS's target asset allocation as of June 30, 2021 are
summarized in the following table:
Assets Class
US Equity
Non-U.S. Developed Market Equity
Emerging Market Equity
Private Equity
Real Estate
Real Assets
High Yield
Private Credit
Investment Grade Credit
Cash Equivalents
U.S. Treasury's
Risk Mitigation Strategies
31
Target
Allocation
27.00%
13.50%
5.50%
13.00%
8.00%
3.00%
2.00%
8.00%
8.00%
4.00%
5.00%
3.00%
Long-Term
Expected Real
Rate of Return
8.09%
8.71%
10.96%
11.30%
9.15%
7.40%
3.75%
7.60%
1.68%
0.50%
0.95%
3.35%
NOTE 6:
PENSION PLANS (CONTINUED)
Accounting and Financial Reporting for Pensions - GASS 68 (Continued)
Police and Firemen's Retirement System (PFRS) (Continued)
Discount Rate
The discount rate used to measure the total pension liability was 7.00% as of
both June 30, 2021 and June 30, 2020, respectively. The projection of cash flows
used to determine the discount rate assumed that contributions from plan
members will be made at the current member contribution rates and that
contributions from employers and the nonemployer contributing entity will be
based on 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.
Sensitivity of the Borough's proportionate share of the net pension liability to
changes in the discount rate
The following presents the Borough's proportionate share of the net pension
liability of the participating employers as of June 30, 2021 respectively,
calculated using the discount rate as disclosed above as well as what the
Borough's proportionate share of the net pension liability would be if it
was calculated using a discount rate that is 1-percentage point lower
or 1-percentage point higher than the current rate:
1%
Decrease
6.00%
Borough's proportionate share
of the PFRS pension liability
$10,397,651.00
32
June 30, 2021
At Current
Discount Rate
7.00%
$6,847,458.00
1%
Increase
8.00%
$3,892,306.00
NOTE6:
PENSION PLANS (CONTINUED)
Accounting and Financial Reporting for Pensions - GASB 68 (Continued)
Police and Firemen's Retirement System (PFRS) (Continued)
Special Funding Situation
In accordance with 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.c. 2001, Chapter 86, P.L. 2001,
Chapter 511, P.L. 1991, Chapter 109, P.c. 1979, Chapter 247, P.L. 1993 and
Chapter 201, P.L. 2001. The amounts contributed by the State on behalf of the
Borough 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 Borough does not contribute under this legislation
directly to the plan (except for employer specific financed amounts), there is no
net pension liability or deferred outfiows or inflows to disclose in the notes to the
financial statements of the Borough related to this legislation.
At June 30, 2021 and 2020, the State's proportionate share of the net pension
liability attributable to the Borough for the PFRS special funding situation is
$1,925,846.00 and $1,912,663.00, respectively.
At June 30, 2021, the Borough's and State of New Jersey's proportionate share
of the PFRS net pension liability were as follows:
Borough's Proportionate Share of Net Pension liability
State of New Jersey Proportionate Share of
Net Pension liability Associated with the Borough
Pension plan fiduciary net position
$6,847,458.00
1,925,846.00
$8,773,304.00
Detailed information about the pension plan's fiduciary net position is available in
the separately issued Financial Report for the State of New Jersey Police and
Firemen's Retirement System (PFRS). The report may be obtained at State of
New Jersey Division of Pensions and Benefits P.O. Box 295 Trenton, New
Jersey 08625-0295 http://www.state.nj.us/treasury/pensions.
33
NOTE 7:
NOTES:
NOTE 9:
NOTE 10:
COM PENSA TED ABSENCES
The Borough has permitted employees to accrue unused sick pay, which may be
taken as time off or paid at a later date at an agreed upon rate. It is estimated
that the cost of such unpaid sick and vacation pay would approximate
$148,834.74 for 2022. This amount represents the current value of all
accumulations and is not intended to portray amounts that would be recorded
under GAAP. Expenditures for payments of accrued sick and vacation benefits
are recorded in the period in which payments are made as part of the current
year's operating budget appropriation. In addition, the Police are entitled to
compensation hours capped at a maximum of 480 hours per officer. The
estimated cost of such compensation would approximate $325,142.49 for 2022.
DEFERRED COMPENSATION PLAN
The Borough offers its employees a deferred compensation plan created in
accordance with Internal Revenue Code Section 457. The plan, available to all
Borough employees, permits them to defer a portion of their salaries until future
years. The Borough does not make any contribution to the plan. The deferred
compensation is not available to employees until retirement, death, disability,
termination or financial hardships.
In accordance with the requirements of the Small Business Job Protection Act of
1996 and the funding requirements of Internal Revenue Code Section 457(9), the
Borough's Plan was amended to require that all amounts of compensation
deferred under the Plan are held for the exclusive benefits of plan participants
and beneficiaries. All assets and income under the Plan are held in trust, in
annuity contracts or custodial accounts.
The accompanying financial statements do not include the Borough's Deferred
Compensation Plan activities. The Borough's Deferred Compensation Plan is
fully contributory and the Borough has no liabilities in conjunction with the plan.
LITIGATION
The Borough's Attorney's letters did not indicate any litigation, claims or
contingent liabilities which would materially affect the financial statements of the
Borough.
TAX APPEALS
There are tax appeals filed with the State Tax Court of New Jersey requesting a
reduction of assessments for 2022. Any reduction in assessed valuation will
result in a refund of prior year's taxes in the year of settlement, which may be
funded from current tax revenues, through the establishment of a reserve, or by
the issuance of refunding bonds per N.J.S.A. 40A:2-51. The Borough has a
reserve of $24,496.20 at December 31, 2022.
34
NOTE 11:
NOTE 12:
NOTE 13:
CONTINGENT LIABILITIES
The Borough participated in several federal and state financial assistance grant
programs. Entitlement to the funds is generally conditional upon compliance with
terms and conditions of the grant agreements and applicable regulations,
including the expenditure of funds for eligible purposes. These programs are
also subject to compliance and financial audits by the grantors or their
representatives. As of December 31, 2022, the Borough does not believe that
any material liabilities will result from such audits.
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.
The Borough maintains insurance coverage through the
Middlesex County Joint Insurance Fund (JIF) covering each of those risks of
loss.
Management believes such coverage is sufficient to preclude any
significant uninsured losses to the Borough. Settled claims have not exceeded
this commercial coverage in any of the past three fiscal years.
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. Below is a summary of Borough's
contributions, employee contributions, reimbursements to the State for benefits
paid, and the ending balance of the Borough's expendable trust fund for the
current and previous two years:
Amount
Ending
Year
Contributions
Reimbursed
Balance
2022
$
736.28
$
3,740.87
$
187,539.92
2021
1,164.09
3,236.62
190,544.51
2020
2,072.31
4,301.88
192,617.04
ACCOUNTING AND FINANCIAL REPORTING FOR POSTEMPLOYMENT
BENEFITS OTHER THAN PENSIONS - GASB 75
As of the date of this report, the New Jersey Division of Pension and Benefits has
not provided updated actuarial valuations for other post-employment obligations
for the year ended June 30, 2022. The New Jersey Division of Pension and
Benefits will post these reports on their website as they are made available. The
footnote below includes the most current information made publicly available,
which had a reporting date of June 30, 2021.
35
NOTE 13:
GASB 75: POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS
(CONTINUED)
The Governmental Accounting Standards Board (GASB) has issued Statement
No. 75, "Accounting and Financial Reporting for Postemployment Benefits Other
Than Pensions". This statement establishes standards for measuring and
recognizing liabilities, deferred outflows and inflows of resources, and expenses
for postemployment benefits other than pensions. OPEB obligations are non-
pension benefits that the municipality has contractually or otherwise agreed to
provide employees once they have retired and, in most instances, will be for
retirement health, prescription and dental insurance coverage.
Under current New Jersey budget and financial reporting requirements, the
municipality is not required to fund any amounts in excess of their current costs
on a pay-as-you-go basis or to accrue funds, create a trust or issue debt to
finance their other post-employment benefit liability. Additionally, the municipality
is not required to recognize any long-term obligations resulting from OPEB on
their financial statements.
Plan Description and Benefits Provided
The State Health Benefit Local Government Retired Employees Plan (the Plan) is
a cost-sharing multiple-employer defined benefit other postemployment benefit
(OPEB) plan with a special funding situation. It covers employees of local
government employers that have adopted a resolution to participate in the Plan.
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; therefore, assets are
accumulated to pay associated benefits.
The Plan provides medical and prescription drug coverage to retirees and their
covered dependents of the 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.
36
NOTE 13:
GASS 75: POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS
(CONTINUED)
Plan Description and Benefits Provided (Continued)
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.
Contributions
The Borough's contributions to SHBP for the years ended December 31, 2021
and 2020 were $453,815.00 and $399,058.00 respectively, which equaled the
required contributions for the year.
Total Net OPES Liability
At June 30, 2021, the Plan reported a Liability of $22,510,706.00 for the
Borough's proportionate share of the collective Net OPES liability. The total Net
OPES Liability measured as of June 30, 2021 was determined by an actuarial
valuation as of June 30, 2020, which was rolled forward to June 30, 2021.
The Borough's proportion of the Net OPES Liability was based on the ratio of the
plan members of an individual employer to the total members of the Plan's
nonspecial funding situation during the measurement period July 1, 2020 through
June 30, 2021.
At June 30, 2021, the Borough's proportion was 0.125061 percent, which was an
increase of 0.003180 percent from its proportion measured as of June 30, 2020.
For the year ended June 30, 2021, the State reported OPES expense of
$238,597.00. This OPES expense was based on the OPES plans June 30, 2021
measurement date.
37
NOTE 13:
GASB 75:
POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS
(CONTINUED)
Total Net OPEB Liability ( continued)
At June 30, 2021, the Borough reported deferred outflows of resources and
deferred inflows of resources related to OPEB from the following sources:
Deferred
Deferred
Outflow of
Inflow of
Resources
Resources
Differences between expected and actual
experience
$
505,113.00 $
4,709,572.00
Changes of assumptions
3,238,232.00
3,979,032.00
Net difference between projected and actual
earnings on pension plan investments
10,763.00
Changes in proportion
2,216,281.00
2,037,518.00
$ 5,970,389.00 $ 10,726,122.00
Other amounts reported as deferred outflows of resources and deferred inflows
of resources related to pensions will be recognized in OPEB expense as follows:
Year Ended
June 30
Amount
2021
$
(1,308,344.40)
2022
(1,310,112.40)
2023
(1,311,728.40)
2024
(926,487.40)
2025
(126,006.40)
Thereafter
226,946.00
$
(4,755,733.00)
38
NOTE 13:
GASB 75: POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS
(CONTINUED)
Actuarial Assumptions and Other Inputs
The total OPEB liability as of June 30, 2021, was determined by an actuarial
valuation as of July 1, 2020, which was rolled forward to June 30, 2021. The
actuarial assumptions vary for each plan member depending on the pension plan
the member is enrolled in. this actuarial valuation used the following actuarial
assumptions, applied to all period measurements:
Inflation rate
Salary Increases*:
2021
2.50%
Public Employees Retirement System (PERS):
Initial Fiscal Year Applied
Rate Through 2026
Rate Thereafter
2.00% to 6.00%
3.00% to 7.00%
Police and Firemen's Retirement System (PFRS):
Rate for All Future Years
3.25% to 15.25%
Mortality:
PERS
PFRS
Pub-2010 General classification headcount weighted
mortality with fully generational mortality improvement
projections from the central year using scale MP-2021
Pub-2010 Safety classification headcount weighted
mortality 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 July 1, 2020 valuation were based on the
results of the PFRS and PERS experience studies prepared for July 1, 2013 to
June 30, 2018 and July 1, 2014 to June 30, 2018, respectively.
100% of active members are considered to participate in the Plan upon
retirement.
Discount Rate
The discount rate for June 30, 2021 was 2.16%. 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.
39
NOTE 13:
GASS 75: POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS
(CONTINUED)
Sensitivity of the Borough's Proportionate Share of the Net OPEB Liability to
Changes in the Discount Rate
The following presents the Net OPEB Liability associated with the Borough's as
of June 30, 2021, calculated using the discount rate as disclosed above as well
as what the Net OPEB Liability would be if it was calculated using a discount rate
that is 1 -percentage point lower or 1-percentage point higher than the current
rate:
Total OPES Liability
1.00%
Decrease (1.16)
June 30, 2021
At Discount
Rate (2.16)
$26,490,784.00 $22,510,706.00
1.00%
Increase (3.16%)
$19,356,410.00
Sensitivity of the Borough's Proportionate Share of the Net OPEB Liability to
Changes in Healthcare Trends
The following presents the total Net OPEB Liability associated with the Borough's
as of June 30, 2021, calculated using the healthcare trend rate as disclosed
above as well as what the Net OPEB Liability would be if it was calculated using
a healthcare trend rate that is 1- percentage point lower or 1-percentage point
higher than the current rate:
1.00%
Decrease
June 30, 2021
Healthcare Cost
Trend Rate
Total OPES
$18,781,511.00
$22,510,706.00
OPEB Plan Fiduciary Net Position
1.00%
Increase
$27,376,845.00
Detailed information about the OPEB plan's fiduciary net position is available in
the separately issued Financial Report for the State of New Jersey State Health
Benefits Local Government Retired Employees Plan. The report may be obtained
at State of New Jersey Division of Pensions and Benefits P.O. Box 295 Trenton,
New Jersey 08625-0295 http://www.state.nj.us/treasury/pensions.
40
NOTE 14:
NOTE 15:
DEFERRED SCHOOL TAXES
School taxes raised in the calendar year for the school fiscal year (July 1 to June
30) which remain unpaid at December 31 may be deferred to current fund
balance in an amount not exceeding fifty percent (50%) of the levy providing the
school district has not requisitioned the funds.
The balance of unpaid local
school taxes levied, amount deferred and the amount reported as a liability
(payable) at December 31, 2022, are as follows:
Total Balance of Local Tax
Deferred Taxes
Local Tax Payable
$13,700,343.00
12,568,492.00
$ 1131 851.00
INTERFUND RECEIVABLES AND PAYABLES
The following interfund balances remained on the balance sheet at December
31, 2022:
Fund
Current Fund
Grant Fund
Assessment Trust Fund
Animal Control Fund
Trust Other Fund
Payroll Trust Fund
General Capital Fund
Swimming Pool Utility Operating Fund
Swimming Pool Utility Capital Fund
lnterfund
Receivable
$138,671.30
23,775.02
602,467.53
7,164.08
148,599.90
$920,677.83
lnterfund
Payable
$79,680.54
7,912.51
23,342.15
62.10
546,562.01
114,518.62
148,599.90
$920,677.83
All balances resulted from the time lag between the dates that short-term loans
were disbursed and payments between funds were made.
41
NOTE 16:
NOTE 17:
Land
LENGTH OF SERVICE AWARDS PROGRAM
The Borough of Middlesex adopted an ordinance establishing a Length of
Service Awards Program for the members of the Middlesex Fire Department
pursuant to N.J.S.A. 40A:14-183 et seq.
All assets of the plan are held by an independent administrator, the Lincoln
Financial Advisers.
Under this program, each volunteer that performs the mImmum amount of
service will have an annual amount of $1,150.00 deposited into a tax deferred
income account that will earn interest for the volunteer. The cost amounted to
$49,450.00 in 2022.
The accompanying financial statements do not include the Borough's Length of
Service Awards Program's activities. The Borough's Length of Service Awards
Program's financial statements are contained in a separate review report, as
required by state regulations.
FIXED ASSETS
The Borough's governmental fixed assets are reported as follows:
Balance
Balance
December 31,
December 31,
2021
Additions
Deletions
2022
$
5,864,700.00
$
5,864,700.00
Building and Improvements
6,533,000.00
6,533,000.00
Machinery and Equipment
10,539,023.00
$
598,066.09
$
127,699.00
11,009,390.09
NOTE 18:
$
22,936,723.00
$
598,066.09
$
127,699.00
$
23,407,090.09
LONG TERM TAX EXEMPTIONS
The Borough provides for long-term tax exemptions, as authorized and permitted
by New Jersey State Statutes, N.J.S.A. 40A:20-1 et seq. sets forth the criteria
and mechanism by which property taxes can and are abated. The exemption
provided by the Borough are predominately for affordable housing projects.
Taxes are abated include municipal, local, school and county taxes. The Borough
is required to remit five percent (5.00%) to the County for any payments received
in lieu of taxes (PILOT payments). The Borough PILOT billings in 2022 were
$1,360,500.00 and taxes in 2022 that otherwise would have been due on these
long-term tax exemptions amount to $1,916,084.52, based upon the assessed
valuations of the long-term tax exemption properties.
42
NOTE 19:
SUBSEQUENT EVENTS
The Borough has evaluated subsequent events occurring after the financial
statement date through May 25, 2023, which is the date the financial statements
were available to be issued. Based upon this evaluation, the Borough has
determined that no subsequent events need to be disclosed.
43
BOROUGH OF MIDDLESEX
SUPPLEMENTARY SCHEDULES - ALL FUNDS
YEAR ENDED DECEMBER 31, 2022
"A-4"
BOROUGH OE MIDDLESEX
CURRENT FUNQ
SCHEDULE OF CASH - TREASURER
REF.
CURRENT FUND
GRANT FUND
Balance, December 31, 2021
A
$
5,827,688.96
$
544,550.88
Increased by Receipts:
Miscellaneous Revenue Not Anticipated
A-2
$
555,226.76
$
Taxes Receivable
A-6
48,260,378.78
Sewer Rents Receivable
A-2
885,793.35
Revenue Accounts Receivable
A-9
4,539,798.18
State of New Jersey-Senior Citizens and Veterans
A-12
85,589.04
Prepaid Taxes
A-15
253,546.21
Tax Overpayments
A-16
58,063.33
Various Accounts Payable and Reserves
A-18
270,260.83
Grants Receivable
A-19
162,215.55
Grants Unappropriated
A-21
724,196.35
lnterfunds Returned
A-10:A-22
99,483.74
5,456.00
55,008,140.22
891,867.90
$
60,835,829.18
$
1,436,418.78
Decreased by Disbursements:
Appropriations
A-3
$ 19,353,045.83
$
Sewer Rents Receivable Refunds
A-2
1,897.80
Appropriation Reserves
A-11
693,646.94
County Taxes
A-13
7,379,059.00
Local District School Tax
A-14
26,972,408.00
Tax Overpayments
A-16
32,902.55
Various Accounts Payable and Reserves
A-18
128,831.69
Grants Appropriated
A-20
1,418,235.74
lnterfunds Returned
A-10
5,501.40
54,567,293.21
1,418,235.74
Balance, December 31, 2022
A
$ ____Q_,268,535.97
$
18,183.04
Collector - Treasurer
Municipal Court
Construction
Borough Clerk
Swim Pool Utility
BOROUGH OF MIDDLESEX
CURRENT FUND
SCHEDULE OF CHANGE FUNDS
REF.
$
BALANCE
DECEMBER 31,
2022 AND 2021
200.00
150.00
50.00
50.00
50.00
$ =======5=0=0-=00=
A
BALANCE
DECEMBER
YEAR
2020
2021
2022
REF.
$
$
Collector (Including Homestead Credi1)
31 2021
250.00
521,741.88
561 991.88
A
$
$
Due From State Of New Jersey Per Chapter 20. P.l. 1971
TAX YIELD
Genera! Purpose Tax
Added Taxes (54:4-63.1 et seq.)
TAX LEVY
Local District School Tax (Abstract)
County Taxes:
Coun\yTax
County Open Space Preservation Tax
County Added
Local Tax for Municipal Purposes (Abstract)
Municipal Library Taxes
Add: Additional Tax Levied
Local Tax for Municipal Purposes Levied:
BOROUGH OF MIDDLESEX
CURRENT FUND
§CHEDLJLE OF TAXES RECEIVABLE AND ANAL YS!S OF PROPERTY TAX LEVY
2022 LEVY
$
48,681,059.16
48 681 059.16
$
ADDED TAXES
2-50.00
$
1,115.73
9,812.67
11178.40
$
COLLECTIONS
=
216,614.57
216 614.57
A-2:A-15
BsE.,
A-4
A-12
2022
$
500.00
514,219.59
47,833,108.51
$
48 347 828.10
A-2
$
48,260,378.78
87.,_449.32
$
48 347 828.10
ANALY$1$ QF 2022 PROPERTY TAX LEVY
A-2:A-14
A-13
$
6,792,991.35
A-13
573,784.36
A-13
12,283.29
A-2
$
13,334,453.56
A-2
634,457.63
77,017.97
TRANSFERRED
TO TAX
TITLE LIENS
$
10,593.27
$
1059327
A-7
$
48,595,254.69
85~
$
27,256,071.00
7,379,059.00
14,045,929.16
~A-6"
BALANCE
OVERPAYMENTS
DECEMBER
CANCELED
APPLIED
31 2022
$
$
$
4,045.89
4,592.13
92,413.75
538,141.73
$
96 459.64
$
4 592.13
$
538141.73
A-2:A-16
A
$
48,681 059.1.§_
$
4tl,®J.,®~,J!}
Balance, December 31, 2021
Increased by:
Transferred From Taxes
Balance, December 31, 2022
BOROUGH OF MIDDLESEX
CURRENT FUND
SCHEDULE OF TAX TITLE LIENS
A
A-6
A
$
87,720.06
10,593.27
$ =====9=8.:;,3,;;13;;,.3;,;3=
BOROUGH OF MIDDLESEX
CURRENT FUND
SCHEDULE OF SEWER FLOW CHARGES RECEIVABLE
Balance, December 31, 2021
Increased by:
Sewer Flow Charges: User Charges
Decreased by:
Revenues
Balance, December 31, 2022
A
Reserve
A-2
A
$
33,195.41
905,474.69
938,670.10
883,895.55
$ ====54='=77=4=.5=5=
"A-9"
BOROUGH OF MIDDLESEX
CURRENT FUND
SCHEDULE OF REVENUE ACCOUNTS RECEIVABLE
BALANCE
BALANCE
DECEMBER
ACCRUED
COLLECTED BY
DECEMBER
REF.
31 2021
IN 2022
TREASURER
31 2022
Clerk:
Alcoholic Beverage Licenses
A-2
$
$
13,801.80
$
13,801.80
$
Other Licenses
A-2
43,818.00
43,818.00
Fees and Permits:
Construction Code Official
A-2
511,944.00
511,944.00
Other
A-2
3,862.00
3,862.00
Municipal Court - Fines and Costs
A-2
7,057.66
84,167.42
82,048.90
9,176.18
Interest and Costs on Taxes
A-2
139,363.11
139,363.11
Interest on Investments and Deposits
A-2
50,770.98
50,770.98
Payment in Lieu of Taxes - Presbyterian Homes
A-2
55,756.50
55,756.50
Payment in Lieu of Taxes - 150 Lofts, LLC
A-2
306,598.28
306,598.28
Payment in Lieu of Taxes - Midmarket Urban Renewal
A-2
48,700.75
48.700.75
Energy Receipts Tax
A-2
1,779,814.00
1,779,814.00
General Capital Fund Balance
A-2
68,281.62
68,281.62
Cable Franchise Fees
A-2
92,321.29
92,321.29
Host Community Benefit Funds
A-2
48,476.40
48,476.40
Payment in Lieu of Taxes - RG Middlesex Urban Renewal, LLC
A-2
543,514.27
543,514.27
Payment in Lieu of Taxes - The View at 220 Lincoln Blvd
A-2
161,862.32
161,862.32
Payment in Lieu of Taxes M CP Middlesex, LLC
A-2
119,358.75
119,358.75
Sewer TieMlns
A-2
238.750.00
238,750.00
Payment in Lieu of Taxes M The View at 220 Lincoln Blvd
A-2
42,039.49
42,039.49
Payment in Lieu of Taxes M 150 Lofts, LLC
A-2
47,480.19
47,480.19
Reserve for Payment of Debt Service
A-2
56,943.53
56,943.53
Hazardous Waste Facilities Siting Act
A-2
50,000.00
50,000.00
School Garbage Reimbursement
A-2
34,292.00
34,292.00
$
7 057.66
$
4 541 916.70
$
4 539 798.18
$
9176.18
REF.
A
Reserve
A-4
A
"A-10"
BOROUGH OF MIDDLESEX
CURRENT FUND
SCHEDULE OF INTERFUNDS
SWIMMING
ASSESSMENT
ANIMAL
GENERAL
POOL
GRANT
TRUST FUND
CONTROL
TRUST FUND
PAYROLL
CAPITAL
OPERATING
REF.
TOTAL
FUND
FUND
TRUST FUND
TRUST OTHER
TRUST FUND
FUND
FUND
Balance, December 31, 2021:
lnterfunds Receivable
A
$
232,455.99
$
$
702.12
$
18,530.22
$
$
70.11
$
98,634.92
$
114,518.62
lnterfunds Payable
A
82,780.18
3,461.52
79,318.66
Statutory Animal Control Excess
A-1
4,811.93
4,811.93
Grant Revenues
A-2
1,480,377.55
1,480,377.55
Interest on investments
A-2
841.72
46.31
795.41
Grant Appropriations
A-3
1,482,372.05
1,482,372.05
Receipts
A-4
99,463.74
803.42
98,634.92
45.40
Disbursements
A-4
5,501.40
5,456.00
45.40
Various Accounts Payables and Reserves
A-18
361.86
361.86
Balance. December 31, 2022:
lnterfunds Receivable
A
$
138,671.30
$
$
748.43
$
23,342.15
$
$
62.10
$
$
114,518.62
lnterfunds Payable
A
79.680.54
0.02
79,680.52
"A-11"
Sheet #1
BOROUGH OF MIDDLESEX
C!.,!RRENT FUND
SCHEDULE OF 2021 APPROPRIATION RESERVES
BALANCE
DECEMBER
ENCUMBRANCES
ADJUSTED
PAIDOR
BALANCE
31 2021
PAYABLE
BALANCE
CHARQED
LAPSED
Salaries and Wages:
General Administration
$
4.42 $
$
4.42 $
$
4.42
Mayor and CouncU
16.83
16.83
16.83
Clerk
678.93
678.93
678.93
Financial Administration
1,272.19
1,272.19
1,272.19
Assessment of Taxes
65.14
65.14
65.14
Collection of Taxes
281.71
281.71
281.71
Code Enforcement
15,685.44
15,685.44
15,685.44
Joint Land Use Board
2,000.00
2,000.00
2,000.00
Police
155,469.03
155,469.03
89,065.43
66,403.60
Juvenile Conference Committee
0.18
0.18
0.18
Municipal Court
11,517.49
11,517.49
11,517.49
Road Repairs and Maintenance
33,568.35
33,568.35
33,568.35
Shade Tree Commission
38.38
38.38
38.38
Solid Waste Collection
4,742.07
4,742.07
4,742.07
Garbage and Trash Removal
11,066.01
11,066.01
11,066.01
Bu~dings and Grounds
97.36
97.36
97.36
Senior Nutrition - Program Costs
4,217.00
4,217.00
4,217.00
Tille Ill Senior Medical Transportation• Program Costs
6,217.00
6,217.00
6,217.00
Tille Ill Information & Assistance - Program Costs
9,558.62
9,558.62
9,558.62
Recreation Services and Program
10,194.65
10,194.65
10,194.65
Parks and Playgrounds
27,299.27
27,299.27
27,299.27
Senior Citizens Bus T ransportalion
6,850.00
6,850.00
6,850.00
Senior Cilizens Coordinator
1,983.84
1,983.84
1,983.84
Housing and Community Advisory Board
300.00
300.00
300.00
Construction Department
7,225.45
7,225.45
7,225.45
Sewer Processing and Disposal
2,894.80
2,894.80
2,894.80
Other Expenses:
General Administration
2,871.70
905.00
3,776.70
905.00
2,871.70
Mayor and Council
2,869.15
379.00
3,248.15
235.00
3,013.15
Clerk
720.51
7,383.88
8,104.39
6,784.18
1,320.21
Postage for All Departments
3,042.14
184.93
3,227.07
184.93
3,042.14
Printing and Advertising
2,593.54
359.90
2,953.44
776.90
2,176.54
Financial Administration
10,377.87
3,525.36
13,903.23
13,845.36
57.87
Elections
121.91
121.91
121.91
Annual Audit
39,000.00
39,000.00
4,000.00
35,000.00
Assessment of Taxes
41.63
8.99
50.62
50.62
Collection of Taxes
2,334.21
358.00
2,692.21
258.00
2,434.21
Legat Services and Costs
26,856.00
30,601.00
57,457.00
41,806.00
15,651.00
Engineering Services and Costs
31,106.75
1,200.00
32,306.75
3,757.00
28,549.75
Board of Health
154.45
154.45
154.45
Computer Data Services
33,362.75
14,237.64
47,600.39
24,736.15
22,864.24
Environmental Legal and Engineering Services and Costs
1,979.31
3,902.75
5,882.06
4,578.00
1,304.06
Code Enforcement
17,301.13
70.00
17,371.13
490.50
16,880.63
Purchasing Agent
912.27
162.77
1,075.04
162.77
912.27
Joint Land Use Board
17,462.92
121.80
17,584.72
1,443.75
16,140.97
Beautification Committee
793.07
793.07
793.07
Temporary Olsabllily Insurance
3,734.82
3,734.82
3,734.82
Long-Term Olsabmty Insurance
2,067.58
2,067.58
2,067.58
Liability Insurance
1,486.54
1,486.54
1,486.54
Workmen's Compensation
3,952.89
3,952.89
3,952.89
Employee Group Insurance
196,589.49
590.00
197,179.49
1,090.00
196,089.49
Health Insurance Waiver
5,156.19
5,156.19
5,156.19
Flood Plan Management
14,770.50
14,770.50
14,770.50
Police
27,977.17
13,549.14
41,526.31
15,488.19
26,038.12
Juvenile Conference Committee
250.00
250.00
250.00
Office of Emergency Management
4,283.13
741.93
5,025.08
546.27
4,478.79
Public Defender
7,325.00
7,325.00
900.00
6,425.00
Fire Department
20,266.07
5,640.96
25,907.03
15,350.96
10,556.07
First Aid Organization • Rescue Squad Contribution
10,000.00
10,000.00
10,000.00
Fire Hydrant Fees
17,741.69
17,741.69
17,741.69
Municipal Prosecutor's Office
1,666.74
1,666.74
1,666.66
0.08
Municipal Court
3,281.03
18.02
3,299.05
514.11
2,784.94
Road Repairs and Mainlenance
2,100.92
17,313.83
19,414.75
18,764.14
650.61
Shade Tree Commission
40.00
37,550.00
37,590.00
36,950.00
640.00
Rental of Rescue Squad Building
1,200.00
1,200.00
1,200.00
Garbage and Trash Removal
11,478.34
6,082.46
17,560.80
16,016.46
1,544.34
Community Services Act (Condominium Cosls)
224.28
224.28
224.28
Buildings and Grounds
26,535.03
24,464.89
50,999.92
41,430.71
9,569.21
Animal Control
23,000.00
23,000.00
21,400.00
1,600.00
"A-11"
§heel#2
BOROUGH QF MIDDLE§EX
CURRENT FUND
SCHEDULE OF 2021 APPROPRIATION RESERVES
BALANCE
DECEMBER
ENCUMBRANCES
ADJUSTED
PAID OR
BALANCE
31 2021
PAYABLE
BALANCE
CHARGED
LAPSED
Recreation Services and Program
$
5,356.67 $
297.53 $
5,654.20 $
119.13 $
5,535.07
Parks and Playgrounds
350.63
14,327.35
14,677.98
7,954.14
6,723.84
Senior Citizens Bus Transportation
3,471.75
3,471.75
3,471.75
Senior Citizens Coordinator
6,464.05
308.66
6,772.71
608.66
6,164.05
Housing and Community Advisory Board
100.00
100.00
100.00
Construction Department
1,924.75
143.50
2,068.25
239.36
1,828.89
Multi-Family Solid Waste CoUeclion
24,600.00
24,600.00
24,600.00
Electriclly
40,975.58
40,975.58
11,835.70
29,139.88
Street Lighting
24,573.87
24,573.87
13,717.63
10,856.24
Telephone
10,254.42
10,254.42
1,803.99
8,450.43
Water
15,834.14
15,834.14
1,390.12
14,444.02
Gas (Natural or Propane)
11,614.71
11,614.71
4,264.23
7,350.48
Fuel Oil (Diesel Fuel)
31,790.30
31,790.30
6,497.61
25,292.69
Gasoline
2,723.69
2,723.69
2,683.10
40.59
Sewer Processing and Disposal
17,370.12
165.00
17,535.12
6,391.92
11,143.20
Sanitary Landfill Fees
33,391.80
33,391.80
33,391.80
Celebration of Public Events
5,578.47
368.05
5,946.52
668.05
5,278.47
Conlingent
7,812.60
7,812.60
7,812.60
Social Security System
10,122.93
10,122.93
10,122.93
Public Employees' Retirement System of NJ
2,864.00
2,864.00
2,864.00
Police and Firemen's Retirement System
2,713.99
2,713.99
2,713.99
Defined Contribution Retirement Plan
1,914.62
1,914.62
191.73
1,722.89
Middlesex County Utilities Authority Sewerage
Treatment Contractual
49,345.16
174,345.16
156,049.30
18,295.86
Piscataway Sewerage Authority - Share of Costs
146,647.13
21,647.13
21,647.13
Middlesex County Improvement Authority -
Curbside Recycling Collection
22,516.00
22,516.00
22,044.00
472.00
LOSAP
100,000.00
100,000.00
49,450.00
50,550.00
Slormwater Pollution Programs:
NJPDES/Stormwaler Permit
3,000.00
3,000.00
3,000.00
$
1,471,660.57 $
188,886.03 $
1,660,546.60 $
693,646.94 $
966,899.66
TOTAL
REF.
A
A-17
A-4
A-1
Balance, December 31, 2021
Increased by:
Deductions Per Tax Billings
Deductions Allowed
Decreased by:
Receipts
Deductions Disallowed
BOROUGH OF MIDDLESEX
CURRENT FUND
SCHEDULE OF DUE STATE OF NEW JERSEY
FOR SENIOR CITIZEN AND VETERAN DEDUCTIONS
A
A-12
A-12
$
86,000.00
1,750.00
Senior Citizen and Veteran Deductions Adjustment
A-4
A-12
A-1
85,589.04
300.68
55,161.17
Balance, December 31, 2022
REVENUE REALIZED:
Deductions Per Tax Billings
Deductions Allowed by Collector
Less: Deductions Disallowed by Collector
A
A-12
A-12
A-12
A-6
$
54,050.89
87,750.00
$
141,800.89
141,050.89
$ =====7=50
... 0=0=
$
86,000.00
1,750.00
300.68
$ ====8=7'=,4=49=.3=2=
2022 Tax Levy:
County Tax
County Open Space Preservation Tax
County Added
Decreased by:
Payments
BOROUGH OF MIDDLESEX
CURRENT FUND
SCHEDULE OF COUNTY TAXES PAYABLE
REF.
A-6
A-6
A-6
A-1
A-4
$
6,792,991.35
573,784.36
12,283.29
SCHEDULE OF LOCAL DISTRICT SCHOOL TAXES PAYABLE
Balance, December 31, 2021
School Taxes Payable
Deferred School Taxes
Increased by:
2022 Tax Levy - Calendar Year
Decreased by:
Payments
Balance, December 31, 2022
School Taxes Payable
Deferred School Taxes
REF.
A
$
848,188.00
12,568,492.00
A-1:A-6
A-4
A
1,131,851.00
12,568,492.00
$
7,379,059.00
$==7=,3=7==9=,o=ss=.o=o=
$
13,416,680.00
27,256,071.00
40,672,751.00
26,972,408.00
$
13,700,343.00
"A-15
11
BOROUGH OF MIDDLESEX
CURRENT FUND
SCHEDULE OF PREPAID TAXES
Balance, December 31, 2021
A
$
216,614.57
Increased by:
Collections of 2023 Taxes
A-4
253,546.21
$
470,160.78
Decreased by:
Applied to Taxes Receivable
A-6
216,614.57
Balance, December 31, 2022
A
$
253,546.21
11A-16
11
BOROUGH OF MIDDLESEX
CURRENT FUND
SCHEDULE OF TAX OVERPAYMENTS
Balance, December 31, 2021
A
$
153,751.55
Increased by:
Collections of 2022 Taxes
A-4
58,063.33
$
211,814.88
Decreased by:
Overpayments Refunded
A-4
32,902.55
Balance, December 31, 2022
A
$
178,912.33
11A-17"
BOROUGH OF MIDDLESEX
CURRENT FUND
SCHEDULE OF ENCUMBRANCES PAYABLE
REF.
Balance, December 31, 2021
A
$
188,886.03
Increased by:
2022 Appropriations
A-3
192,107.17
$
380,993.20
Decreased by:
Transfer to 2021 Appropriation Reserves
A-11
188,886.03
Balance, December 31, 2022
A
$
192 107.17
"A-18"
BOROUGH OF MIDDLESEX
CURRENT FUND
SCHEDULE OF CHANGES IN VARIOUS ACCOUNTS PAYABLES AND RESERVES
BALANCE
BALANCE
DECEMBER
CASH
CASH
DECEMBER
31.2021
RECEIPTS
DISBURSEMENTS
31.2022
Accounts Payable:
Vendor Accounts Payale
$
99.557.47 $
$
$
99.557.47
Marriage License Filing Fees
550.00
1,425.00
1,425.00
550.00
State Training Fees
45,894.00
44.431.00
1,463.00
Due County - PILOT
13,250.00
59,915.24
59.915.24
13.250.00
Subtotal
113.357.47
107,234.24
105.771.24
114.820.47
Reserve for:
Codification of Ordinances
6.389.15
6,389.15
FEMNNJDEP Buyout
171.76
171.76
Master Plan
1,161.96
1.161.96
Tax Appeals
24.496.20
24.496.20
Sewer Overpayments
172.49
172.49
Farmers Market
215.00
215.00
RAB Payments
500.00
1,000.00
1.000.00
500.00
Other Liens
35.00
69,184.59
22.060.45
47,159.14
Staff Appreciation
17.930.02
400.00
761.86
17,568.16
Sale of Assets - Cell Tower
14.644.96
14,644.96
Municipal Relief Fund
92.842.00
92,842.00
Subtotal
65,716.54
163.426.59
23,822.31
205,320.82
Total
$
179,074.01 $
270.660.83 $
129,593.55 $
320,141.29
REF.
A
A
Cash Receipts
A-4
$
270,260.83
Due Current Fund
A-10
400.00
$
270,660.83
Cash Disbursements
A-4
$
128,831.69
Due Current Fund
A-10
761.86
$
129,593.55
:8::.111:
BOROUGH OF MIDDLESEX
GRANT FUND
SCHEDULE OF GRANTS RECEIVABLE
BALANCE
UNAPPROPRIATED
BALANCE
DECEMBER
ACCRUED
RESERVE
DECEMBER
31,2021
2022
RECEIPTS
APPLIED
31 2022
Middlesex County Info Assist and T ransp
Assist - Older American Act of 1965
$
252.00
$
$
$
$
252.00
Middlesex County - Info Assist and Transp
Assist - Older American Act of 1965
5.155.00
5,155.00
Older Americans Act ~ Information Assistance
7,000.00
6,881.00
119.00
Older Americans Act - Transportation Assisstance
10,000.00
10,000.00
Middlesex County Open Space
667,631.79
667,631.79
Municipal Alliance on Alroholism and Drug Abuse - 2018
5,280.25
5,280.25
Municipal Alliance on Alroholism and Drug Abuse - 2019
6,108.66
6,108.66
Municipal Alliance on Alcoholism and Drug Abuse - 2020
4,080.80
4,080.80
NJ Div of Highway Traffic Safety- 2018 Udriva, Ulext, Upay
6,600.00
6,600.00
Community Development Block Grant
CDBG-County HUD Funds (2012/2013-201612017)
8,450.15
4,334.06
4,116.09
CDBG - County HUD Funds (2017/2018)
14,060.98
14,060.98
CDBG- County HUD Funds (2019/2020)
26,802.94
398.94
26,404.00
CDBG - County HUD Funds (2020/2021)
43,279.00
19,679.00
23,600.00
CDBG - County HUD Funds (2021/2022)
63,854.00
31,423.00
32,431.00
CDBG - County HUD Funds (2022/2023)
63,854.00
63,854.00
American Rescue Plan Act of 2021
1,310,590.97
1,310,590.97
Body Armor Replacement Fund - Federal
4,447.58
1,976.70
6,424.28
Body Armor Replacement Fund " State of New Jersey
1,553.08
1,553.08
Clean Communities
29,107.73
29,107.73
Distracted Driving Grant - 2022
7,000.00
7,000.00
Dove Sober or Get Pulled Over Year End Holiday Crackdown
6,000.00
5,400.00
600.00
Municipal Alliance on Alcoholism & Drug Abuse
1,900.00
7,978.00
7,978.00
1,900.00
Municipal Alliance DMHAS leadership
5,000.00
2,719.39
2,280.61
Recycling Tonnage Grant
26,050.98
36,317.07
36,317.07
26.050.98
$
889 954.13
$
1,480,377.55
$
162,215.55
$
1,310,590.97
$
897,525.16
REF.
A
A-2,A-22
A4
A-21
A
Year2005
NJ Hepatitis "B" Grant
Year2006
Livable Communities Grant
County of Middlesex - Victor Crowell Park
Year2008
County of Middlesex - Mountain View Park
Year 2011
NJ Alcohol Education & Rehab
Year 2012
Haz-Mat Grant
CDBG - Manhole Retrofit
County of Middlesex - Mountain View Park
NJ Alcohol Education & Rehab
Older Americans Act - Information Assist
Year2013
CDSG - Lincoln Fire House Doors
CDBG - Passive Improvements
NJ Alcohol Education & Rehab
Yea, 2014
NJ Alcohol Education & Rehab
Forestry Grant Match
BOROUGH OF MIDDLESEX
GRANT FUND
SCHEDULE OF RESERVE FOR GRANTS - APPROPRIATED
$
BALANCE
DECEMBER
31, 2021
2,549.00
24.43
198,625.66
3.745.75
1,121.54
136.44
139.00
119,386.51
161.80
167.44
800.00
365.15
53.96
52.77
875.00
RESERVE FOR
ENCUMBRANCE
DECEMBER 31, 2021
$
TRANSFERRED
FROM 2022
BUDGET
$
PAID OR
CHARGED
$
TRANSFERRED/
CANCELED
800.00
365.15
$
"A-20"
SHEET#1
BALANCE
DECEMBER
31,2022
2,549.00
24.43
198.625.66
3,745.75
1,121.54
136.44
139.00
119,386.51
161.80
167.44
53.96
52.77
875.00
Year 2015
Municipal Alliance on Alcoholism and Drug Abuse
Year2016
NJ Alcohol Education & Rehab
Municipal Alliance on Alcoholism and Drug Abuse
CDBG - Senior Center Improvements
DWI • Municipal Court
Middlesex County Open Space
Year 2017
Body Armor Replacement Fund
Drunk Driving Enforcement Fund
Municipal Alliance on Alcoholism and Drug Abuse
NJ Alcohol Education & Rehab
Older Americans Act - lnfom1ation Assist
Year 2018
Body Armor Replacement Fund
CDBG
Drunk Driving Enforcement Fund
NJ Alcohol Education & Rehab
Older Americans Act - Information Assist
Year2019
Body Armor Replacement Fund
CDBG Senior Center Improvements
Clean Communities Grant - CH 159
Drunk Driving Enforcement Fund
Municipal Alliance on Alcohollsm and Drug Abuse
NJ Alcohol Education & Rehab
BOROUGH OF MIDDLESEX
GRANTFUND
SCHEDULE OF RESERVE FOR GRANTS· APPROPRIATED
BALANCE
DECEMBER
31 2021
575.26
362.59
20,965.00
7,146.00
58.93
191,553.20
10.08
27,973.68
64.34
18,301.50
1,140.56
12,237.94
3,162.76
2,196.67
552.85
108.76
26,404.00
13,394.01
6,314.53
1,637.80
562.62
RESERVE FOR
ENCUMBRANCE
DECEMBER 31. 2021
1,601.40
2,180.40
TRANSFERRED
FROM 2022
BUDGET
PAID OR
TRANSFERRED/
CHARGED
CANCELED
20,965.00
7,146.00
1,601.40
(20,965.00)
2,016.76
3.320.96
15,419.85
(3,181.91)
1,257.52
15,977.15
9,270.81
179.00
"A-20"
SHEET#2
BALANCE
DECEMBER
31 2022
575.26
362.59
58.93
191.553.20
10.08
48,938.68
64.34
16,284.74
1,905.24
2,196.67
552.85
108.76
10.426.85
4,123.20
6.135.53
1.637.80
562.62
Year2020
Recycling Tonnage Grant
Community Development Block Grant
Municipal Alliance on Alcoholism and Drug Abuse - Match
NJ Alcohol Education & Rehab
Body Armor Grant
Clean Communities Grant
Yea,2021
Recycling Tonnage Grant
Clean Communities Program
CDBG
Drive Sober or Get Pulled Over Year End Holiday Crackdown
Municipal Alliance on Alcohol & Drug Abuse
Municipal Alliance on Alcohol & Drug Abuse - Match
Body Armor Grant - Federal
Body Armor Grant - State
Drunk Driving Enforcement Fund
Older Americans Act
Year 2022
American Rescue Plan Act of 2021
Recycling Tonnage Grant
Clean Communities Program
CDBG
Distracted Driving Grant - 2022
Municipal Alliance on Alcohol & Drug Abuse
Municipal Alliance on Alcohol & Drug Abuse - Match
Municipal Alliance DMHAS Leadership
Body Armor Grant- Federal
Body Armor Grant - State
Older Americans Act
Disbursements (Net -of Refunds)
ARPA Transferred to General Capital Fund
Encumbrances Payable
REF.
A-4
A-4
A
BOROUGH OF MIDDLESEX
GRANT FUND
SCHEDULE OF RESERVE FOR GRANTS • APPROPRIATED
BALANCE
DECEMBER
31, 2021
1,249.00
30,279.00
4,089.16
3,834.28
3,101.97
26,323.50
12,682.14
28,014.86
63,854.00
5,280.00
1,029.95
1,728.55
4,447.58
2,280.10
6,268.76
2,368.00
$
859,758.38
A
RESERVE FOR
ENCUMBRANCE
DECEMBER 31. 2021
3,490.96
7,272.76
A
$
TRANSFERRED
FROM 2022
BUDGET
1,310,590.97
36,317.07
29,107.73
63,854.00
7,000.00
7,978.00
1,994.50
5,000.00
1,976.70
1,553.08
17,000.00
1,482,372.05
A-3,A-22
$
$
$
PAID OR
CHARGED
578.67
6,679.00
146.07
2,794.76
10,233.67
14,844.78
36,275.00
690.00
1,029.95
1,728.55
4,447.58
1,047.85
1,310,590.97
23,042.00
23,257.10
4,767.66
6,815.00
399.00
4,750.00
17,000.00
1,525,290.30
144,165.63
1,274,070.11
107,054.56
1,525,290.30
$
TRANSFERRED/
CANCELED
$
"A-20"
SHEET#3
BALANCE
DECEMBER
31, 2022
670.33
23,600.00
3,943.09
3,834.28
307.21
26,323.50
5,939.43
13,170.08
27,579.00
4,590.00
1,232.25
6,268.76
2,368.00
13,275.07
5,850.63
63,854.00
2,232.34
1,163.00
1,595.50
250.00
1,976.70
1,553.08
824,112.89
A
"A-21"
BOROUGH OF MIDDLESEX
GRANT FUND
SCHEDULE OF RESERVE_FOR GRANTS - UNAPPROPRIATED
BALANCE
BALANCE
DECEMBER 31,
CASH
ANTICIPATED
DECEMBER 31,
DESCRIPTION
2021
RECEIPTS
AS REVENUE
2022
American Rescue Plan Act
$
594,710.39 $
715,880.58 $
1,310,590.97 $
National Opioid Settiement
6,526.56
6,526.56
Body Armor Replacement Fund - State of New Jersey
1,789.21
1,789.21
$
594,710.39 $
724,196.35 $
1,310,590.97 $
8,315.77
REF.
A
A-4
A-19
A
BOROUGH OF MIDDLESEX
GRANT FUND
SCHEDULE OF INTERFUNDS RECEIVABLE/PAYABLE - GRANT FUND
GENERAL
CURRENT
CAPITAL
REF.
TOTAL
FUND
FUND
Balance, December 31, 2021:
lnterfunds Receivable
A
$
27,236.52
$
3,461.52 $
23,775.00
Grant Revenues
A-19
1,480,377.55
1,480,377.55
Grant Appropriations
A-20
1,482,372.05
1,482,372.05
Receipts
A-4
5,456.00
5,456.00
Balance, December 31, 2022:
lnterfunds Receivable
A
$
23,775.02
$
0.02 $
23,775.00
"B-2"
BOROUGH OF MIDDLESEX
TRUST FUND
SCHEDULE OF CASH-TREASURER
PUBLIC
ANIMAL
TRUST
ESCROW
PAYROLL
ASSISTANCE
REF.
ASSESSMENT
CONTROL
OTHER
TRUST
FUND
TRUST
Balance, December 31, 2021
B
$
11,961.97
$
29,578.02
$
2,039,610.08
$
611,879.43
$
112,201.09
$
9,833.07
Increased by Receipts:
Due Current Fund
8-7
46.31
Animal Control Licenses
8-4
4,498.33
Due State of New Jersey - Dog Licenses
B-5
666.60
Reserve for Various Trust Deposits
8-8
795,669.30
Reserve for Developers Deposits
8-9
808,366.79
Reserve for Public Assistance
8-10
37.99
Reserve for Payroll Deductions
8-11
10,033,344.30
lnterfunds
8-13,8-14
400.00
795.41
$
46.31
$
5,164.93
$
796,069.30
$
808,366.79
$
10,034,139.71
$
37.99
Decreased by Disbursements:
Due Current Fund
B-7
Animal Control Licenses
8-4
536.60
Due State of New Jersey - Dog Licenses
B-5
666.60
Reserve for Various Trust Deposits
B-8
372,317.63
Reserve for Developers Deposits
B-9
421,793.22
Reserve for Public Assistance
B-10
36.87
Reserve for Payroll Deductions
B-11
10,016,351.30
lnterfunds
B-13,8-14
761.86
803.42
1,203.20
373,079.49
421,793.22
10,017,154.72
36.87
Balance, December 31, 2022
B
$
12,008.28
$
33,539.75
$
2,462,599.89
$
998,453.00
$
129,186.08
$
9,834.19
BOROUGH OF MIDDLESEX
TRUST FUND
SCHEDULE OF ASSESSMENTS RECEIVABLE
ASSESSMENT TRUST FUND
BALANCE
BALANCE
BALANCE
DECEMBER
DECEMBER
PLEDGED TO
ORDINANCE
IMPROVEMENT DESCRIPTION
31.2021
31. 2022
GENERAL CAPITAL
01/10/03
Curbs and Gutters
$
1,470.00 $
1,470.00 $
1,470.00
$
1,470.00 $
1,470.00 $
1,470.00
REF.
B
B
BOROUGH OF MIDDLESEX
TRUST FUND
SCHEDULE OF RESERVE FOR ANIMAL CONTROL EXPENDITURES
ANIMAL CONTROL TRUST FUND
Balance, December 31, 2021
Increased by:
Dog License Fees
Cat License Fees
Decreased by:
Excess Transferred To Current Fund
Disbursements
Balance, December 31, 2022
B
B-2
B-2
B-12
B-2
B
$
LICENSE FEES COLLECTED
YEAR
AMOUNT
2020
2021
$
5,339.72
4,850.08
$ ===10=, 1=8=9.=80=
4,140.18
358.15
4,811.93
536.60
$
11,040.00
4,498.33
$
15,538.33
5,348.53
$
10,189.80
Balance, December 31, 2021
Increased by:
Receipts
Decreased by:
Disbursements
Balance, December 31, 2022
BOROUGH OF MIDDLESEX
TRUST FUND
SCHEDULE OF DUE TO STATE OF NEW JERSEY
ANIMAL CONTROL TRUST FUND
B
B-2
B-2
B
$
7.80
666.60
$
674.40
666.60
$
7.80
======
Balance, December 31, 2021
Balance, December 31, 2022
Balance, December 31, 2021
Increased by:
Cash Receipts
Balance, December 31, 2022
BOROUGH OF MIDDLESEX
TRUST FUND
SCHEDULE OF DUE TO GENERAL CAPITAL FUND
ASSESSMENT TRUST FUND
B
B
SCHEDULE OF DUE TO CURRENT FUND
ASSESSMENT TRUST FUND
B
B-2
B
"B-6
11
$
7,164.08
$ ====7,=16=4=.0=8=
"B-7"
$
702.12
46.31
$====74=8=.4=3=
"B-8"
BOROUGH OF MIDDLESEX
TRUST FUND
SCHEDULE OF RESERVE FOR MISCELLANEOUS TRUST DEPOSITS
OTHER TRUST FUND
BALANCE
BALANCE
DECEMBER
DECEMBER
31.2021
INCREASED
DECREASED
31. 2022
Reserve for Unemployment
$
190,544.51 $
736.28 $
3,740.87 $
187,539.92
Miscellaneous Reserves:
Accumulated Absence Liability
15,828.51
37,900.03
53,728.54
Affordable Housing
1,135,821.36
1,135,821.36
Baekeland Avenue Improvements
277,156.15
277,156.15
Commodity Resale Program
Gasoline - Borough of Dunellen
82,051.86
102,185.98
144,153.76
40,084.08
Developers Escrow Unclaimed Funds
15,812.00
15,812.00
Development
19,351.54
2,658.00
16,693.54
Non-Residential Development
62,913.39
92,193.50
155,106.89
Federal Asset Forfeitures
4,919.22
19.04
4,938.26
Hurricane Ida
Library Repairs
65,471.83
17,113.00
48,358.83
Fire Equipment
10,336.98
310.00
10,026.98
VC Playground
48,162.64
48,162.64
Municipal Law Enforcement Trust
19,080.70
73.89
19,154.59
Older Americans Act
1,103.48
11,064.00
9,635.19
2,532.29
Outside Police Services
7,076.36
7,076.36
Police Found Money
4,049.24
4,049.24
Parking Offense Adjudication Act
2,983.62
112.00
349.93
2,745.69
PILOT Due to County of Middlesex
59,915.24
59,915.24
Police Application Fees
318.85
318.85
Public Defender Fees
2,267.50
1,300.00
850.00
2,717.50
Police Communities Education
5,080.22
2,435.00
801.28
6,713.94
Premium on Tax Sale
268,000.00
176,000.00
26,000.00
418,000.00
Police Memorial Fund
50.00
50.00
Police Donations
6,953.23
79.84
7,033.07
Police- DARE
1,635.00
1,635.00
Police 911 Fund
19.84
19.84
Recreation Fund
145,576.43
91,723.64
94,070.58
143,229.49
Recycling Trust
35,091.74
27,672.41
18,800.39
43,963.76
Restitution
5,782.99
5,782.99
Sanitary Sewer
880.00
880.00
Senior Assisted Transportation
9,582.76
662.00
10,244.76
Special Inspection
3,672.28
3,672.28
Storm Recovery
6,000.00
6,000.00
Street Opening Deposits
165,095.81
25,625.00
6,169.00
184,551.81
Third Party Outside Lien Redemption
97,602.44
97,602.44
Tree Replacement Fund
39,962.06
36,000.00
9,875.00
66,087.06
UFC Dedication Penalties
53.86
53.86
Uniform Fire Safety Penalties
12,405.53
12,405.53
100th Anniversary
2,993.27
2,993.27
$ 2,641,715.75 $
795,669.30 $
372,317.63 $ 3,065,067.42
REF.
B-2
B-2
Reserve for Unemployment
B
$
190,544.51
$
187,539.92
Various Trust Deposits
B
2,451,171.24
2,877,527.50
$ 2,641,715.75
$ 3,065,067.42
BOROUGH QF MIDDLESEX
TRUST FUND
SCHEDULE OF RESERVE FOR DEVELOPERS' DEPOSITS
OTHERTRUST FUND
BALANCE
DECEMBER 31,
2021
RECEIPTS
DISBURSEMENTS
Developers' Escrow - Water & Soil
$
20,062.00 $
514.40 $
$
Reserve for Various Deposits
591,817.43
807,852.39
421,793.22
$
611,879.43 $
808,366.79 $
421,793.22 $
REF.
B
B-2
B-2
"B-9"
BALANCE
DECEMBER 31,
2022
20,576.40
977,876.60
998,453.00
B
Balance, December 31, 2021
Increased by:
Cash Receipts
Decreased by:
Cash Disbursements
Balance, December 31, 2022
Balance, December 31, 2021
Increased by:
Cash Receipts
Decreased by:
Cash Disbursements
Balance, December 31, 2022
BOROUGH OF MIDDLESEX
TRUST FUND
SCHEDULE OF RESERVE FOR PUBLIC ASSISTANCE
PUBLIC ASSISTANCE TRUST FUND
B
B-2
B-2
B
SCHEDULE OF RESERVE FOR PAYROLL DEDUCTIONS
OTHER TRUST FUND
B
B-2
B-2
B
$
9,833.07
37.99
$
9,871.06
$ ____
~36_.8_7_
$ ====9=,8=3=4.=19=
"B-11"
$
112,130.98
10,033,344.30
$
10,145,475.28
10,016,351.30
$
129,123.98
BOROUGH OF MIDDLESEX
TRUST FUND
SCHEDULE OF DUE TO CURRENT FUND
Balance, December 31, 2021
Increased by:
Statutory Excess Due to Current Fund
Balance, December 31, 2022
ANIMAL CONTROL FUND
REF.
B
B-4
B
"B-12"
$
18,530.22
4,811.93
$ ===2=3,=34=2=.1=5=
BOROUGH OF MIDDLESEX
TRUST FUND
SCHEDULE OF INTERFUNDS RECEIVABLE
Balance December 31, 2021
Increased by:
Cash Disbursements
Decreased by:
Cash Receipts
Balance December 31, 2022
OTHER TRUST FUND
B
B-2
B-2
B
DUE FROM
CURRENT
FUND
$ 79,318.66
761.86
80,080.52
400.00
$ 79,680.52
DUE FROM
GENERAL
CAPITAL
FUND
$ 522,787.01
522,787.01
$ 522,787.01
Balance December 31, 2021
Increased by:
Cash Receipts
Decreased by:
Cash Disbursements
Balance December 31, 2022
BOROUGH OF MIDDLESEX
PAYROLL TRUST FUND
SCHEDULE OF INTERFUNDS RECEIVABLE
REF.
B
B-2
B-2
B
$
$
DUE TO
CURRENT
FUND
70.11
795.41
$
865.52
803.42
$
62.10
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF CASH • TREASURER
Balance, December 31, 2021
Increased by Receipts:
Deferred Charges to Future Taxation - Unfunded
Serial Bonds Issued
New Jersey Infrastructure Bank
Capital Improvement Fund
State Aid Receivable
Bond Anticipation Notes Payable
Reserve for Payment of Debt Service • Premium on BAN
Decreased by Disbursements:
C
C-5
C-5
C-5
C-8
C-16
C-9
C-18
Fund Balance - Surplus Anticipated in Current Fund
C-1
Contracts Payable
C-7
Bond Anticipation Notes Payable
C-9
Reserve for Debt Service
C-18
lnterfund Payable
C-20
Balance, December 31, 2022
C
$
$
1,753,050.55
255,476.00
5,050,000.00
366,569.00
200,000.00
2,978,730.20
4,420,000.00
94,399.90
13,365,175.10
$
15,118,225.65
68,281.62
3,701,700.04
7,832,673.00
56,943.53
98,634.92
11,758,233.11
$
3,359,992.54
Fund Balance
Capital Improvement Fund
Improvement Authorizations-Funded
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
ANALYSIS OF CASH
Unfunded Improvements Expended - Listed on "C-5"
Contracts Payable
Reserve for Grant Receivable
Reserve for Capital Projects
Reserve for Payment of Debt Service
Unexpended Proceeds of Bond Anticipation Notes - Listed on "C-5"
lnterfunds
State Aid Receivable
Excess BAN's - Listed on "C-5"
C
SCHEDULE OF DEFERRED CHARGES TO
FUTURE TAXATION - FUNDED
Balance, December 31, 2021
Increased by:
Serial Bonds Issued
Environmental Infrastructure Trust
Environmental Infrastructure Fund
Decreased by:
Appropriation to Pay Bonds
Environmental Infrastructure Trust
Environmental Infrastructure Fund
Capital Leases
Green Trust
Balance, December 31, 2022
C
C-11
C-12
C-13
C-11
C-12
C-13
C-14
C-15
C
$
4,965,000.00
320,000.00
949,095.00
1,041,000.00
45,607.96
65,887.02
215,000.00
12,677.13
$
BALANCE
DECEMBER
31.2022
219,398.03
98,676.40
1,357,735.92
(2,803,100.36)
3,340,657.80
143,025.40
4,838.08
94,399.90
1,615,455.77
539,397.93
(1,268,901.48)
18,409.15
$==3=,3=5=9,..,99=2=.5=4=
$
4,933,363.82
6,234,095.00
11,167,458.82
1,380,172.11
$ ===9=7=8=7=2=86=. 7=1=
ORDINANCE
~
1SOS.12
1857-14
1893-16
1907-17!
,..,.,,
1909-17
~920.-17
1922•17
1924.17
1947-18
1961-19
"1962-19/
2068-22
1975-19
1979-19
1997,20
2002-20
2039-21
2062-22
2071-22
IMPROVEMENT QESCRIPTION
Acquisition and oemomion of Certair, Flood Prone Properties
Improvements to Mar1borougll Ave - (NJDOT - $300,000}
Various Capital Improvements
Sanitary Sewer Improvements
Amend Ordinance 1907-17
South Awa Improvements
2017 capital lmprovemerrts
Wanenvme Road lmprovemerrts
George Ave Improvements
Variou5 Capital Improvements
vaoous capital \mproVemeflts
Sound Srock Road Streetscape Project
Amend ordinance 1962· 19
sewer study and Improvements
Tax.Maps, Various Capitsl lmprovemerrts
lnfrastruc:lure Improvements
V8flous Acquisitions and lmpf'overnerrts
various Capital lm~
Various Capital lmp:ovements
Acquisition of Presbyterian Chureh
New Jersey lnfras.tructure Sank Loan
C,as.h Receipls
Bol'll:I Atltieipation Nole$ Payable
Less: cash on Ham! to P.ay Notes
improvernem Al.ltholiZation$ Unfunded
Li;;ss: unexpended f'roeeeds of Bond Anticlpabon Notes
8ALANCE
DECEMBER
31 2021
166,547.55 •
30,400.00
949,780.00
2,827,500.00
100,000.00
1,661,125.00
370,500.00
482,870.00
1,740.159.24
62,800.00
104,440.00
47,500.00
1,179,775.35
1,439.589.50
1,567,700.00
$ 12710686.64 '
8EF
C
C-21
C·2
C-17
C-3
C-10
C-3
BOROUGH OF MIDQI esex
GENERAL CAPITAL FUND
SCHEDULE OF DEFERRED CHARGES TO FUTURE TAXATION- UNFUNDED
2022
BONDS
BUDGET
AUTHQRlZA T!ONS -
GRANTS
"'-"'
APPROPRIATION
'
$
19,170.00
691,17(HX!
36.000.00
1,265,460.00
100.000.00
1.576,955.00
65,000.00
3,631.00
9,250.00
388,411.00
25,730.00
1,$39,833.00
100,328.00
300.000.00
750,000.00
750,000.00
1,636,870.00
200000.00
iass e1_9.oo
5 050 000.00 $
100000.00
S 1265-480.00
$
25$476.00
C-,0
C-2
C-'7
C-2
'
898,891.00
366 569.00
.$ 1265-480.00
IMPROVEMENT
SAlANCE
AUTHORIZATIONS
OECEMSER
CANCELED
31 2022
'
88,415.99 •
58,961.56 '
25,576.73
4,823.27
221,560.18
1,049.82
1,562,040.00
19,170.00
152,836.13
204,782.87
38,289.00
10.440.00
0.24
62,800.00
404,440.00
47,500.00
1.179,nS.35
1.439,seg.so
1.567,700.00
1,635,870.00
200000.00
• 5'5848.03
$
s380n2.s1
$
c.10
C
BONO
ANTICIPATION
NOTES
62,800.00
104.440.00
47,500.00
t,179,n5.35
1,439,589.50
1,567,486.00
4 401590.SS
C-17
4.420,000.00
11H09.1S
4,401 590.SS
~
ANAL YSJS OF BALANCE
DECEMBER 31 2022
EXPENDITURES
$
58,961.56
4,823.27
1.049,82
1,408.478.34
204,782.87
10,440.00
299,749,74
814.814.76
$
2 803 100.36
$
C-3
UNEXPENDED
IMPROVEMENT
AUTHORIZATIONS
153,561.66
0.24
250.26
214.00
822.055.24
200000.00
1.176081.40
2,791.537.17
(1615455.77)
1176081.40
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF RESERVE FOR INSURANCE REFUND
Balance, December 31, 2021
and December 31, 2022
Balance, December 31, 2021
Increased by:
Improvement Authorizations
Decreased by:
Improvement Authorizations
Disbursements
Balance, December 31, 2022
REF.
C
SCHEDULE OF CONTRACTS PAYABLE
C
C-10
C-10
2,342,503.22
C-2
3,701,700.04
C
$ ====4=,8=3=8.=08=
"C-7"
$
2,342,503.22
7,042,357.84
$
9,384,861.06
6,044,203.26
$
3,340,657.80
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF CAPITAL IMPROVEMENT FUND
REF.
Balance, December 31, 2021
C
$
24,862.43
Increased by:
2022 Appropriations
C-2
200,000.00
$
224,862.43
Decreased by:
Appropriated to Finance Improvement Authorizations
C-10
126,186.03
Balance, December 31, 2022
C
$
98,676.40
"C-9"
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF BOND ANTICIPATION NOTES PAYABLE
ORIGINAL
BALANCE
BALANCE
DATE OF
DATE OF
DATE OF
INTEREST
DECEMBER
DECEMBER
ORDINANCE
DESCRIPTION
ISSUE
ISSUE
MATURITY
RATE
31 2021
INCREASED
DECREASED
31 2022
1893-16
Various Capital Improvements
06128118
06123121
06/23122
1.00%
$
949,780.00
$
$
949,780.00
$
1920-17
2017 Capital lmprovements
06128118
06123121
06/23122
1.00%
1,661,125.00
1,661,125.00
1922-17
Warrenville Rd Improvements
06128118
06123121
06/23122
1.00%
166,225.00
166,225.00
1924-17
George Ave Improvements
06128118
06123121
06/23122
1.00%
462,870.00
462,870.00
1947-18
Various Capital Improvements
06/26119
06123121
06/23122
1.00%
1,740,159.00
1,740,159.00
1961-19
Various Capital Improvements
06/25120
06123121
06123122
1.00%
62,800.00
62,800.00
1961-19
Various Capital Improvements
06/25120
05112122
05/12123
1.70%
62,800.00
62,800.00
1962-19
Bound Brook Road
06125120
06123121
06/23122
1.00%
104,440.00
104,440.00
1962-19
Bound Brook Road
06125120
05112122
05112123
1.70%
104,440.00
104,440.00
1975-19
Sewer Study and Improvements
06125120
06123121
06/23122
1.00%
47,500.00
47,500.00
1975-19
Sewer Study and Improvements
06125120
05112122
05112123
1.70%
47,500.00
47,500.00
1979-19
Tax Maps, Various Capital Improvements
06/25120
06123121
06/23122
1.00%
1,195,625.00
1,195,625.00
1979-19
Tax Maps, Various Capital Improvements
06125120
05/12122
05112123
1.70%
1,195,625.00
1,195,625.00
2002-20
Various Capital Improvements
06/23121
06123121
06123122
1.00%
1,442,149.00
1,442,149.00
2002-20
Various Capital Improvements
06/23121
05112122
05112123
1.70%
1,442,149.00
1,442,149.00
2039-21
Various Capital Improvements
05/12122
05112122
05112123
1.70%
1,567,486.00
1,567,486.00
$
7,832,673.00
$
4,420,000.00
$
7,832,673.00
$
4,420,000.00
REF.
C
C-2
C-2
C:C5
ORDINANCE
~
1808-12
1855-14
1857-14
1893-16
1899-16
1900.16
1907-17/
2040-21
1920-17
1922-17
1924-17
1947-18
1961-19
1962-19
206822
1958-19
1979-19
1997-20
2002-20
2039-21
2062-22
2071-22
IMPROVEMENT AUTHORIZATIQNS
Acquisition and DemoHtion of Certain Flood Prone Properties
Various Capital Improvements (MCIA)
Improvements to .Marlbotough Ave· (NJ DOT· $300,000)
Various Capital Improvements
Various Capital Improvements
Milling and Paving of Various Roads
Sanitary Sewer Improvements
Amend Ordinance t 907.17
2017 Capita! Improvements
Warrenville Road Improvements
George Ave Improvements
Various Capital Improvements
various Capital Improvements
Bound Brook Road Streetscape Project
Amend Ordinance 1962-19
2019 Library HVAC & Tax Revaluation
Ta>: Maps, Various Capital lm~ments
Infrastructure Improvements
Various Acquisitions and Improvements
Various Capita! Improvements
Various Capita! Improvements
Acqulsilion of Presbyterian Church
Deferred Charges to Future Taxation - Unfurnted
Grants Receivable
Capita! Improvement Fund
fund Baiaoce
Deferred Charges to Future Trucation - Unfunded
!ill.
C-5
C-16
C-8
C-1
C-5
BOROUGH OE MtQQ:bESEX
!;aENER8b Q8PITA!., FUNQ
SCHEDULE OF IMPROVEMENT ALJTHQRIZATIQNS
BALANCE
ORDINANCE
DECEMBER 31 2021
NEW
Q8IE
AMOUNT -
~1NFJJND!;Q
AlJTHQRIZAT1QNS
03127112 '
2,540,000.00 '
$
88,415.99 '
09/09/14
888,325.00
09f09/14
332,000.00
25,576.73
08/09/1'
1,393,000.00
40,708.95
10/11/16
614,202:14
82,932.49
10(11/16
300,000.00
98,968.74
02(14/17
2,450,000.00
178,606.40
09/'14121
500,000.00
05/23117
1,$37,500.00
66,057.51
07!25117
400,000.00
152,636.13
09/19/17
514,600.00
48,729.32
08/14118
1,981.165.00
210,307.92
06/1111-9
620,000.00
3.89
06f11/i9
1,135,000.00
787,260.26
104,440.00
300,000.00
09127122
300.000.00
08/13/19
344.816.68
86,171.68
10J22/19
1,258,553.00
467,112.40
06')9/20
750,000.00
750,000.00
05123/20
2,031,210.00
812,941.11
08/24/21
2,032,000.00
36,188.29
1,567,700.00
06/28122
2,279,000.00
2,279,900.00
,o=
1,300,000.00
1,300.000.00
'
1,093521.46
S 3,761,436.35
$
4 629 900.00
C
C
$
2,886,870.00
1,616,843.97
126,188.03
$
4,629 900.00
'.'.Q:1Q'.'.
2021
2022
BALANCE
CONTRACTS
CONTRACTS
AUTHORIZATIONS
DECEMBER 31 2022
PAYABlE
PAYABLE
CANCELED
FUNDED
UNFUNDED
'
'
88,415.99
$
'
23,425.00
23,425.00
25,576.73
1,050.00
39,658.95
82,932.49
98,968.74
896,679.61
919,724.35
153,561.66
34,575.10
2,020.86
98,611.75
152,836.13
48,729.32
t7,031.44
193,276.24
0.24
23,655.71
13,692.26
9,967.34
101,91724
1,293,367.24
250.26
219,195.00
244,967.00
60,399.68
67,190.00
294,211.80
240,090.60
742,490.00
7,510.00
561,997.80
725,445.21
649,493.70
413,867.76
1,303,837.92
716,118.13
1,457,844.76
822,055.24
3 450.00
1,096,550.00
200000.00
$ 2,342,503.22 '
7,042 357.84 '
635 730.10 '
1357735.92
$
2 791 537,17
C-7
C-7
C
C:C-5
$
89,882.07
545,848.03
• 635,730.10
"C~11"
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF GENERAL SERIAL BONDS
MATURITIES OF BONDS
OUTSTANDING
BALANCE
BALANCE
DATE OF
ORIGINAL
DECEMBER 31, 2022
INTEREST
DECEMBER
DECEMBER
PURPOSE
llifil!.!;
ISSUE
DATE
AMOUNT
RATE
31 2021
ISSUED IN 2022
DECREASE
31 2022
General Obligation Bonds of 2015
07116/15
$
2,878,000.00
07/15123
$
308,000.00
2.000%
07/15/24
318,500.00
2.500%
07/15/25
326,500.00
2.500%
$
1,254,000.00
$
301,000.00
$
953,000.00
General Obligation Refunding Bonds 2019
12/05/19
3,700,000.00
02115123
745,000.00
5.000%
02/15124
755,000.00
5.000%
02/15/25
750,000.00
5.000%
2,990,000.00
740,000.00
2,250,000.00
General Obligation Bonds of 2022
05/12/22
4,965,000.00
05/01/23
210,000.00
5.000%
05/01/24
210,000.00
5.000%
05/01/25
345,000.00
5.000%
05/01/26
420,000.00
5.000%
05/01/27
420,000.00
5.000%
05/01128
420,000.00
5.000%
05/01/29
420,000.00
5.000%
05/01/30
420,000.00
3.000%
05/01/31
420,000.00
3.000%
05101/32
420,000.00
3.000%
05/01/33
420,000.00
3.125%
05/01/34
420,000.00
3.125%
05/01/35
420,000.00
3.250%
4,965,000.00
4,965,000.00
4,244,000.00
$
4,965,000.00
$
1,041,000.00
$
8,168,000.00
$
REF.
C
C-4
C-4
C
BOROUGK OF MIDOLESEX
GENERAL CAPITAL FUND
SCKEDULE OF STATE Of NEW JERSEY TRUST LOAN PAYABLE· NEW ,IERSEY ENVIRONMENTAL INFRASTRUCTURE TRUST LOANS
PRINCIPAL REQUIREMENTS
Of LOAN OUTSTANDING
BALANCE
DATE Of
ORIGINAL
DECEMBER 31, 2022
INTEREST
DECEMBER
PURPOSE
ISSUE
ISSUE
DATE
AMOl!NT
&.re
~ IN!,flEASEQ
QE~R!lil§ED
NJ Environmental Infrastructure Trust 2004 A
08/01/05
$
850,000.00
08/01123
$
55,174.08
3.000%
08/01124
55,041.02
3.250%
$
155,823.06
$
$
45,807.96
NJ Environmental Infrastructure Trust 2022 A
08/01122
320,000.00
8/1123-28
5,000.00
5,000%
8/1/29-33
10,000.00
5,000%
08/01134
10,000.00
3.250%
811135-37
10,000.00
3,375%
811138-40
10,000.00
3,500%
08/01/41
15,000.00
3.500%
811142-43
15,000.00
3,625%
08101/44
15,000,00
3.500%
8/1(45-50
15,000.00
4,000%
08/01/51
20,000.00
4.000%
320,000.00
$
155,823.06
$
320,000.00
···---·---·-
--·-·····-==-
~
C
C-4
C-4
:&.lz:
BALANCE
DECEMBER
~
$
110,215.10
~000.00
$
430,215.10
=
C
"C-13"
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF STATE OF NEW JERSEY FUND LOAN PAYABLE - NEW JERSEY ENVIRONMENTAL INFRASTRUCTURE FUND LOANS
PRINCIPAL REQUIREMENTS
OF LOAN OUTSTANDING
BALANCE
BALANCE
DATE OF
ORIGINAL
DECEMBER 31, 2022
DECEMBER
DECEMBER
PURPOSE
ISSUE
!§.§llia
DATE
AMOUNT
31 2021
INCREASED
DECREASED
31,2022
NJ Environmental Infrastructure Trust 2004 A
08/01/05
$
844,828.00
02/01/23
$
1,820.60
08/01/23
33,050.16
$
79,429.81
$
$
44,559.05
$
34,870.76
NJ Environmental Infrastructure Trust 2022 A
08/01/22
949,095.00
2/1/23-51
10,663.98
811/23-50
21,327.97
08/01/51
21,328.45
949,095.00
21,327.97
927,767.03
$
79,429.81
$
949,095.00
$
65,887.02
$
962,637.79
REF.
C
C-4
C-4
C
"C~14"
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF CAPITAL LEASES PAYABLE
MATURITIES OF BONDS
OUTSTANDING
BALANCE
BALANCE
AMOUNT OF
FEES
DECEMBER 31, 2022
INTEREST
DECEMBER
DECEMBER
PURPOSE
LOAN
PAYABLE
DATE
AMOUNT
RATE
31,2021
DECREASE
31, 2022
Capital Equipment - 2013
$ 2,900,567,38
$
56,064, 13
08/15123
$
220,000,00
4,000%
$
435,000,00
$
215,000,00
$
220,000,00
$
435,000,00
$
215,000,00
$
220,000,00
REF.
C
C-4
C
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF STATE OF NEW JERSEY LOAN PAYABLE - GREEN TRUST LOAN PROGRAM
PAYMENT
NUMBER
39
Total Balane Due
Principal and Interest
37
38
PAYMENT
DATE
January 15, 2023
$
$
REF.
January 15, 2022
$
July 15, 2022
$
REF.
INTEREST
PAYMENTS
64.30 $
64.30 $
191.11 $
128.04
PRINCIPAL
PAYMENTS
6,433.82
6,433.82
C
6,307.03
6,370.10
319.15 $ ===12=,6=7=7 ...
13=
C-4
BALANCE
LOANS
PAYABLE
$
6,433.82
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF STATE AID RECEIVABLE
Balance, December 31, 2021
Increased by:
New Grants Awarded
Decreased By:
Receipts
2022 Budget Appropriations
Improvement Authorizations Canceled
Balance, December 31, 2022
Analysis of Balance:
Middlesex County
Federal Homeland Security
State of NJ DOT - Beechwood Ave
State of NJ DOT - Greenbrook Road
State of NJ DOT - Beechwood Ave
State of NJ DOT - Parker Street
State of NJ DOT - Marlborough Avenue
State of NJ DOT - Warrenville Road
State of NJ DOT - Runyon Avenue
State of NJ DOT - Harris Avenue, Ashland Road, Fischer Ave
State of NJ DOT - Bound Brook Road
State of NJ DOT - Harris, Sherman, Chestnut
State of NJ DOT - Milling and Overlay
State of NJ DOT - Hazelwood Ave/Lonande Dr.
C
C-10
C-2
C-2
C-17
C
1643-05
1688-06
1715-07
1736-08
1772-10
1797-11
1857-14
1893-16
1947-18
1961-19
1962-19
2002-20
2039-21
2062-22
2,952,250.20
26,480.00
316,746.71
"C-16"
$
2,947,534.42
1,616,843.97
$
4,564,378.39
3,295,476.91
$ ==1=,2;;;;6=8=,9=01=.4=8=
$
35,966.00
8,805.00
69,476.44
56,250.00
16,361.77
15,238.34
22,708.56
83,478.74
48,371.21
215,721.32
257,640.00
174,016.65
125,734.95
139,132.50
$ ===1,2=6=8=,9=01=.4=8=
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF RESERVE FOR GRANT RECEIVABLE
Balance, December 31, 2021
Decreased by:
Cash Receipts
Improvement Authorizations Canceled
Balance, December 31, 2022
Analysis of Balance
Description
Middlesex County - Cedar Avenue
State of NJ DOT - Runyon Avenue
2014 Loan Reimbursement
REF.
C
C-5
C-16
C
Ord
1643-05
1947-18
100,000.00
316,746.71
SCHEDULE OF RESERVE FOR PAYMENT OF DEBT SERVICE
REF.
Balance, December 31, 2021
C
Increased by:
Premium on BAN's
C-2
Decreased by:
Cash Disbursements
C-2
Balance, December 31, 2022
C
$
$
°C-17"
559,772.11
416,746.71
143,025.40
56.00
48,371.21
94,598.19
$
143,025.40
$
56,943.53
94,399.90
$
151,343.43
56,943.53
$
94,399.90
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF DUE CURRENT FUND
Balance, December 31, 2021 (Due From)
C
Balance, December 31, 2022 (Due From)
C
$
7,164.08
$ ====?=,
1=64=.0=8=
Balance, December 31, 2021
Decreased by:
Cash Disbursements
Balance, December 31, 2022
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF INTERFUNDS PAYABLE
REF.
C
$
C-2
C
$
DUE TO
CURRENT
FUND
98,634.92
98,634.92
$
$
DUETO
GRANT
FUND
"C-20
11
DUE TO
TRUST OTHER
FUND
23,775.00 $
522,787.01
$23,775.00 $
$522,787.01
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF NEW JERSEY INFRASTRUCTURE BANK LOAN
Balance, December 31, 2021
Decreased by:
Transferred to Deferred Charges Unfunded
REF.
C
C-5
$
898,891.00
$ ===a=s=a,=as=1=.o=o=
BOROUGH OF MIDDLESEX
GENERAL CAPITAL FUND
SCHEDULE OF BONDS AND NOTES AUTHORIZED BUT NOT ISSUED
BALANCE
ORDINANCE
DECEMBER
NUMBER
IMPROVEMENT DESCRIPTION
31, 2022
1808-12
Acquisition and Demolition of Certain Flood Prone Properties
$
58,961.56
1857-14
Improvements to Marlborough Ave
4,823.27
1893-16
Various Capital Improvements
1,049.82
1907-17/2040-21
Sanitary Sewer Improvements
1,562,040.00
1922-17
Warrenville Road Improvements
204,782.87
1924-17
George Ave Improvements
10,440.00
1947-18
Various Capital Improvements
0.24
2039-21
Various Capital Improvements
214.00
2062-22
Various Capital Improvements
1,636,870.00
2068-22
Amend Ordinance 1962-19
300,000.00
2071-22
Acquisition of Presbyterian Church
200,000.00
$
3 979 181.76
"D-5"
BOROUGH OF MIDDLESEX
SCHEDULE OF SWIMMING POOL UTILITY CASH AND INVESTMENTS - TREASURER
REF.
OPERATING FUND
SNACK BAR ACCOUNT
CAPITAL FUND
Balance - December 31, 2021
D
$
306,145.02
$
3,001.00
Increased by Receipts:
Miscellaneous Revenue
D-3
$
114,124.34
Fees - Membership
D-3
324,913.69
Snack Bar
D-5
$
39,698.00
lnterfunds Receivable/Payable
D-10
45.40
lnterfunds Receivable/Payable
D-14
54279.79
439,038.03
39,743.40
54,279.79
745,183.05
42,744.40
54,279.79
Decreased by Disbursements:
2022 Budget APpropriations
D-4
436,713.15
2021 Appropriation Reserves
D-9
4,027.82
Snack Bar
D-5
39,698.00
lnterfunds Receivable/Payable
D-10
54,279.79
45.40
495,020.76
39,743.40
Balance - December 31, 2022
D
$
250,162.29
$
3,001.00
$
54,279.79
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY CAPITAL FUND
ANALYSIS OF SWIMMING POOL UTILITY CAPITAL CASH AND INVESTMENTS
Capital Improvement Fund
Due to Swimming Pool Operating Fund
Fund Balance
Improvement Authorization Unfunded Expended
( ) Denotes Deficit or Deduction
REF.
$
BALANCE
DEC. 31,
2022
7,730.10
148,599.90
54,279.79
(156,330.00)
$ ======5=4=,2=79=. 7=9=
D
Account
Swimming Pool and Grounds
Improvements - 1987
Improvements - 1991
Improvements - 1997
Improvements - 2010
Improvements - 2014
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY CAPITAL FUND
SCHEDULE OF FIXED CAPITAL
TRANSFERRED
BALANCE
FROM
DECEMBER
AUTHORIZED
31,2021
& UNCOMPLETED
$
234,000.00 $
217,721.56
65,300.00
149,270.00
256,330.00
1,248,339.21
$
BALANCE
DECEMBER
31. 2022
234,000.00
217,721.56
65,300.00
149,270.00
256,330.00
1,248,339.21
$
666,291.56
$
1,504,669.21
$ ==2='=17=0=,9=60=·=77=
REF.
D
D-8
D
"D-8"
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY CAPITAL FUND
SCHEDULE OF FIXED CAPITAL AUTHORIZED AND UNCOMPLETED
ORD.
NO.
IMPROVEMENT DESCRIPTION
General Improvements:
1771-10
Swimming Pool lmprovemments
1852-14
Swimming Pool lmprovemments
ORDINANCE
DATE
AMOUNT
07/27/10
06/24/14
$
350,000.00
1,300,000.00
REF.
BALANCE
DEC. 31.2021
TRANSFERRED
TO FIXED
CAPITAL
IMPROVEMENT
AUTHORIZATIONS
CANCELED
$
350,000.00
$
256,330.00
$
93,670.00
1,300,000.00
1,248,339.21
51,660.79
$ 1,650,000.00
$
1,504,669.21
$
145,330.79
D
D-7
D-15
"D-9"
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY OPERATING FUND
SCHEDULE OF 2021 APPROPRIATION RESERVES
RESERVE FOR
BALANCE
BALANCE
ENCUMBRANCES
AFTER
PAID OR
BALANCE
DEC. 31, 2021
DEC. 31, 2021
MODIFICATION
CHARGED
LAPSED
Operating:
Salaries and Wages
$
14,720.24 $
$
14,720.24 $
$
14,720.24
Other Expenses
50,049.51
5,202.99
55,252.50
4,027.82
51,224.68
Statutory Expenditures:
Contribution to:
Social Security System (OAS.I.)
4.83
4.83
4.83
$
64,774.58 $
5,202.99 $
69,977.57 $
4,027.82 $
65,949.75
Ref.
D
D
D-5
D-1
"D-10
11
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY OPERATING FUND
SCHEDULE OF INTERFUNDS RECEIVABLE/PAYABLE
SWIMMING POOL
POOL UTILITY
CURRENT
Ref.
TOTAL
CAPITAL FUND
FUND
Balance, December 31, 2021
Due From
D
$
94,320.11 $
94,320.11 $
Due to
D
114,518.62
114,518.62
Cash Receipts
D-5
45.40
45.40
Cash Disbursements
D-5
54,325.19
54,279.79
45.40
Balance, December 31, 2022
Due From
D
$
148,599.90 $
148,599.90 $
Due to
D
114,518.62
114,518.62
Balance - December 31, 2021
Increased by:
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY CAPITAL FUND
SCHEDULE OF RESERVE FOR AMORTIZATION
REF.
D
Bonds Paid by Swimming Pool Budget Appropriation
Bonds Paid by Current Budget Appropriation
D-17
D-17
$
78,528.00
50,472.00
Decreased by:
Fully Funded Ordinance Cancelled
Balance - December 31, 2022
D-2
D
SCHEDULE OF CAPITAL IMPROVEMENT FUND
REF.
Balance - December 31, 2021
D
Balance - December 31, 2022
D
"D-11
11
$
1,362,291.56
129,000.00
1,491,291.56
51,660.79
$
1,439,630.77
$
7,730.10
$
7,730.10
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY CAPITAL FUND
SCHEDULE OF DEFERRED RESERVE FOR AMORTIZATION
ORD.
NO.
IMPROVEMENT DESCRIPTION
General Improvements:
1771-10
Swimming Pool lmprovemments
1852-14
Swimming Pool lmprovemments
ORDINANCE
DATE
AMOUNT
07/27/10
06/24/14
$
350,000.00
1,300,000.00
BALANCE
DEC. 31. 2021
BALANCE
DEC. 31. 2022
$
100,000.00
$
100,000.00
65,000.00
65,000.00
$
165,000.00
$
165,000.00
Ref.
D
D
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY CAPITAL FUND
SCHEDULE OF INTERFUNDS RECEIVABLE/PAYABLE
SWIMMING POOL
UTILITY OPERATING
REF.
TOTAL
FUND
Balance, December 31, 2021
Due to
D
$
94,320.11 $
94,320.11
Increased by:
Cash Receipts
D-5
54,279.79
54,279.79
Balance, December 31, 2022
Due to
D
$
148,599.90 $
148,599.90
80ROUGH OF MIDDl,J:S_~
SCHEDULE OF IMPROVEMENT AUTHORIZATIONS
SWIMMING POOL UTILITY CAPITAL FUND
ORDINANCE
BALANCE
DEC. 31, 2021
"D-15"
ORD.
NO.
IMPROVEMENT DESCRIPTION
DATE
AMO_t,J_NT
FUNDED
UNFUNDED
CANCELLED
General Improvements:
1771-10
Swim Pool Improvements
07/27/10 $
350,000.00 $
$
93,670.00 $
93,670.00
1852-14
Swim Pool Improvements
06/24/14
1,300,000.00
51,660.79
51,660.79
$
51,660.79 $
93,670.00 $
145,330.79
Ref.
D
D
D-8
11D-16"
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY OPERATING FUND
SCHEDULE OF ACCRUED INTEREST ON BONDS AND NOTES
REF.
Balance - December 31, 2021
D
$
5,577.92
Decreased by:
Accrued Interest Canceled
D-1
1,182.50
Balance - December 31, 2022
D
$
4,395.42
Analysis of Balance - December 31, 2022:
Principal
Outstanding
Interest
12/31/22
Rate
From
To
Period
Amount
Bonds
$
410,000.00
2.000%
07/15/22
12/31/22
5 1/2 months
$
4,395.42
DESCRIPTION
General Improvement Bonds of 2015
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY CAPITAL FUND
SCHEDULE OF GENERAL SERIAL BONDS
DATE OF
AMOUNT OF
INTEREST
MATURITIES OF BONDS
ISSUE
ISSUE
RATE
DATE
AMOUNT
07/16/15 $
1,235,000.00
2.000%
07/15/23
$
132,000.00 $
2.500%
2.500%
Bonds Paid by Swim Pool Budget Appropriations
Bonds Paid by Current Budget Appropriations
07/15124
07115/25
136,500.00
141,500.00
Ref.
D-11
D-11
$
BALANCE
DEC. 31,
2021
$
539,000.00
539,000.00 $
D
$
$
DECREASED
$
129,000.00
129,000.00 $
78,528.00
50472.00
129 000.00
-
"D-17"
BALANCE
DEC. 31,
2022
410,j)_00.00
410,000.00
D
ORD.
BOROUGH OF MIDDLESEX
SWIMMING POOL UTILITY CAPITAL FUND
SCHEDULE OF BONDS AND NOTES
AUTHORIZED BUT NOT ISSUED
IMPROVEMENT
BALANCE
AUTHORIZATIONS
NO.
IMPROVEMENT DESCRIPTION
DEC. 31. 2021
CANCELED
1771-10 Swim Pool Improvements
$
250.000.00
$
93,670.00
$
250.000.00
$
93,670.00
"D-18"
BALANCE
DEC. 31. 2022
$
156,330.00
$
156,330.00
PART II
BOROUGH OF MIDDLESEX
STATISTICAL DATA
LIST OF OFFICIALS
COMMENTS AND RECOMMENDATIONS
YEAR ENDED DECEMBER 31. 2022
COMPARATIVE STATEMENT OF OPERATIONS AND
CHANGE IN FUND BALANCE - CURRENT FUND
REVENUE AND OTHER INCOME REALIZED
Fund Balance Utilized
Miscellaneous• From Other Than
Local Propery Tax Levies
Collection of Delinquent Taxes
and Tax Title Liens
Collection of Current Tax Levy
Total Revenue
EXPENDITURES
Budget and Emergency Authorizations:
Municipal Purposes
County Taxes
Local District School Tax
Other Expenditures
Total Expenditures
Excess in Revenue
Fund Balance, January 1
Decreased by:
Utilized as Anticipated Revenue
Fund Balance, December 31
YEAR 2022
AMOUNT
$
1,600,000.00
8,527,533,84
514,719,59
48,049,723,08
$
58,691,976,51
$
22,031,190.49
7,379,059.00
27,256,071.00
1,897,80
$
56,668,218,29
$
2,023,758.22
2,741,284.94
$
4,765,043, 16
1,600,000.00
$
3,165,043.16
44
YEAR 2021
'.'t.
AMOUNT
%
2,72% $
1,400,000.00
2,51%
14,53%
6,955,026.28
12.47%
0.88%
547,348.94
0,98%
81,87%
46,885,651,87
84,04%
100,00% $
55 788,027,09
100,00%
38,88% $
20,251,084,23
37,52%
13,02%
6,795,477.67
12.59%
48,09%
26,684,052,00
49.44%
0,01%
244 964.81
0.45%
100.00% $
53,975,578.71
100,00%
$
1,812,448,38
2,328,836.56
$
4,141,284.94
1,400,000.00
$
2,741,284,94
COMPARATIVE STATEMENT OF OPERATIONS AND
CHANGE IN FUND BALANCE - SWIMMING POOL OPERATING FUND
YEAR 2022
YEAR2021
AMOUNT
%
AMOUNT
%
REVENUE AND OTHER INCOME REALIZED
Fund Balance
$
61,528.00
10.84% $
21,157.81
3.14%
Fees - Membership
324,913.69
57.23%
302,246.88
44.79%
Miscellaneous
181,256.59
31.93%
351,401.58
52.07%
Total Revenues
$
567,698.28
100.00%
674,806.27
100.00%
EXPENDITURES
Budget Appropriations:
Operating
$
378,500.00
79.76%$
369,500.00
79.89%
Debt Service
78,528.00
16.55%
78,528.00
16.98%
Statutory Expenditures and Deferred Charges
17,500.00
3.69%
14,500.00
3.13%
Total Expenditures
$
474,528.00
100.00%$
462,528.00
100.00%
Excess/(Deficit) in Revenues
93,170.28
212,278.27
FUND BALANCE
Balance - January 1
$
213,392.02
$
22,271.56
$
306,562.30
$
234,549.83
Decreased by:
Utilization as Anticipated Revenue
61,528.00
21,157.81
Balance - December 31
$
245,034.30
$
213,392.02
45
COMPARATIVE SCHEDULE OF TAX RATE INFORMATION
2022
Tax Rate
$9.891
Appointment of Tax Rate:
Municipal
Municipal Library
County General
County Open Space
Local School
Year 2022
Year 2021
Year 2020
2.714
0.129
1.383
0.117
5.548
$491,307,776.00
2021
$9.639
2.713
0.116
1.276
0.105
5.429
$491,481,557.00
COMPARISON OF TAX LEVIES AND COLLECTION CURRENTLY
2020
$9.422
2.721
0.104
1.130
0.095
5.372
$492,104,366.00
A study of the tabulation will indicate a possible trend in future tax levies. A decrease in
the percentage of current collection could be an indication of a probable increase in future tax
levies.
PERCENTAGE
CASH
OF
YEAR
TAX LEVY
COLLECTIONS
COLLECTION
2022
$48,681,059.16
$48,049,723.08
98.70%
2021
47,453,509.38
46,885,651.87
98.80%
2020
46,402,353.48
45,808,928.24
98.72%
PROPERTY ACQUIRED BY TAX TITLE LIEN LIQUIDATION
No properties have been acquired in 2022 by foreclosure or deed, as a result of
liquidation of tax title liens. The value of property acquired by liquidation of tax title liens on
December 31, on the basis of the last assessed valuation of such properties was as follows:
2022
2021
2020
46
AMOUNT
$1,423,139.00
1,423,139.00
1,423,139.00
DELINQUENT TAXES AND TAX TITLE LIENS
This tabulation includes a comparison, expressed in percentage of the total of delinquent
taxes and tax title liens, in relation to the tax levies of the last three years.
AMOUNT OF
AMOUNT OF
PERCENTAGE
DECEMBER
TAX TITLE
DELINQUENT
TOTAL
OF TAX
31. YEAR
LIENS
TAXES
DELINQUENT
LEVY
2022
$98,313.33
$538,141.73
$636,455.06
1.31%
2021
87,720.06
521,991.88
609,711.94
1.28%
2020
415,884.70
553,291.95
969,176.65
2.09%
COMPARATIVE SCHEDULE OF FUND BALANCES
Current Fund
Swimming Pool Utility
Operating Fund
YEAR
2022
2021
2020
2019
2018
2022
2021
2020
2019
2018
47
BALANCE
DECEMBER 31
$
3,109,881.99
2,741,284.94
2,328,836.56
1,497,915.47
2,586,086.89
245,034.30
213,392.02
22,271.56
151,693.18
186,532.20
UTILIZED IN BUDGET
OF SUCCEEDING
YEAR
$
1,600,000.00
1,600,000.00
1,400,000.00
1,100,000.00
2,200,000.00
38,658.00
61,528.00
21,157.81
75,028.00
78,628.00
OFFICIALS IN OFFICE AND SURETY BONDS
The following officials were in office during the period under audit 2022:
NAME
John Madden
James Eodice
Jeremiah Carnes
Michael Conahan
Jack Mikolajczyk
Martin Quinn
Douglas Rex
Joe Costa
Caroline Benson
Darcy Delcecchio
Carmen Modica
Linda Chismar
Merari Gaud
Spero Kalambakas
Christopher M. Corsini, Esq.
Robert Klein
Terry Brundage
Dawn Guttschall
TITLE
Mayor
Council President
Councilmember
Councilmember
Councilmember
Councilmember
Councilmember
Interim Business Administrator
Chief Financial Office/
Treasurer
Tax Collector
Purchasing Agent
Municipal Clerk
Court Administrator
Municipal Court Judge
Attorney
Construction Code Official
Health Officer
Tax Assessor
BOND
•
•
•
•
•
•
•
•
•
•
•
* All officials and employees handling and collecting Borough funds are covered by the
Borough's insurance policy and blanket bond through the Municipal Excess Liability Joint
Insurance Fund.
48
COMMENTS AND RECOMMENDATIONS
GENERAL COMMENTS
CONTRACTS AND AGREEMENTS REQUIRED TO BE ADVERTISED FOR (N.J.S.A. 40A:11-4)
"Every contract or agreement, for the performance of any work or the furnishing or hiring
of any materials or supplies, the cost or the contract price whereof is to be paid with or out of public
funds not included within the terms of Section 3 of this act, shall be made or awarded only by the
governing body of the contracting unit after public advertising for bids and bidding therefore, except
as is provided otherwise in this act or specifically by any other law. No work, materials or supplies
shall be undertaken, acquired or furnished for a sum exceeding in the aggregate the amount set
forth in, or the amount calculated by the Governor pursuant to Section 3 P.L. 1971 C. 198 (C.
40A: 11-3), except by contract or agreement.•
Effective July 1, 2020, the bid threshold in accordance with N.J.S.A. 40A:11-4 is
$17,500.00 or up to $44,000.00 if the entity has a Qualified Purchasing Agent. The Borough has a
Qualified Purchasing Agent and has elected to increase its bid threshold to $44,000.00. The
governing body of the Municipality has the responsibility of determining whether the expenditures
in any category will exceed $44,000.00 within the fiscal year.
Where question arises as to
whether any contract or agreement might result in violation of the statute, the Borough Counsel's
opinion should be sought before a commitment is made.
The minutes indicate that bids were requested by public advertising for the following items:
Police Vehicle Equipment
Two (2) 2022 Utility Interceptor Vehicles
Route 28 Streetscape Project
Middlesex Library RTU Replacement Project
2023 Chevrolet Tahoe
2021 and 2022 Road Projects
The minutes indicate that resolutions were adopted and advertised authorizing the
awarding of contracts or agreements for "Professional Services" per N.J.S.A. 40A:11-5 for the
following services:
Municipal Attorney
Municipal Auditor
Municipal Engineer
Municipal Prosecutor
Bond Counsel
Labor Attorney
Inasmuch as the system of records did not provide for an accumulation of payments for
categories for the performance of any work or the furnishing or hiring or any materials or supplies,
the results of such an accumulation could not reasonably be ascertained. Disbursements were
reviewed, however, to determine whether any clear cut violations existed.
Our examination of expenditures did not reveal any individual payments, contracts or
agreements in excess of $44,000.00 for the performance of any work or the furnishing or hiring of
any materials or supplies, other than those where bids had been previously sought by public
advertisement or where a resolution had been previously adopted under the provisions of N.J,S.A.
40A:11-6.
49
GENERAL COMMENTS {CONTINUED)
COLLECTION OF INTEREST ON DELINQUENT TAXES AND ASSESSMENTS
The statute provides the method for authorizing interest and the maximum rates to be
charged for the nonpayment of taxes or assessments on or before the date when they would
become delinquent.
The governing body on January 4, 2022 adopted the following resolutions authorizing
interest to be charged on delinquent taxes:
BE IT RESOLVED by the Mayor and Council of the Borough of Middlesex, as follows:
In the event the quarterly payment of taxes or assessments are not paid on the date on
which they become delinquent, but are paid within ten days on the date on which they
become delinquent, the Tax Collector be and is hereby authorized to collect interest on all
such delinquent payments; and
In the event that quarterly payment of taxes and assessments are nit paid within ten days
of the date on which they become delinquent, and the total amount of said delinquency is
less than $1,500.00, the Tax Collector be and is hereby authorized to collect 8% interest
per annum from the date said payments first become delinquent up to $1,500.00 of the
delinquency and 18% interest on all such delinquent payments over $1,500.00.
Pursuant to N.J.S.A. 54:4-67, which is the New Jersey statute defining a tax delinquency,
the Governing Body of the Borough of Middlesex does hereby fix a penalty to be charged
to a taxpayer with a delinquency in excess of $10,000.00 who fails to pay the delinquency
prior to the end of the calendar year 2022 and the penalty so fixed shall be six (6%) of the
amount of the yearly delinquency.
DELINQUENT TAXES AND TAX TITLE LIENS
The last tax sale was held on November 30, 2022 and was complete.
Inspection of tax sale certificates on file revealed that all tax sale certificates were
available for audit.
2022
2021
2020
AMOUNT
9
9
10
VERIFICATION OF DELINQUENT TAXES AND OTHER CHARGES
A test verification of delinquent charges and current payments was made in accordance
with the regulations of the Division of Local Government Services, including the mailing of
verification notices as follows:
Information Tax Positive Confirmation
25
Delinquent Tax Positive Confirmation
25
50
GENERAL COMMENTS (CONTINUED)
PAYROLL
Our audit of the Payroll account disclosed that there was no resolution authorizing the use
of ADP as the Borough's third party payroll service provider in accordance with N.J.A.C. 5:30-
17 .3, there was no resolution approving an official responsible for the oversight of ADP, and there
was no signed contract approving ADP as a third party provider.
SENIOR CITIZEN AND VETERAN DEDUCTIONS
Our audit of the senior citizen and veteran deductions revealed that applications that are
required to be maintained were not on file.
CASH MANAGEMENT PLAN
New Jersey statute 40A:5-14 requires each local unit to adopt a cash management plan
and shall deposit, or invest, or both deposit and invest, its funds pursuant to that plan. The cash
management plan shall be approved annually by the governing body.
OTHER COMMENTS
Transactions invariably occur in one fund which require a corresponding entry to be made
in another fund, thus creating interfund balances. Reference to the various balance sheets show
the interfund balances remaining at year end. As a general rule all interfund balances should be
closed out as of the end of the year. It is the Borough's policy to review and liquidate all interfund
balances on a periodic basis.
51
RECOMMENDATIONS
*That a resolution authorizing the use of the Borough's third party payroll service provider in
accordance with N.J.A.C. 5:30-17.3 be adopted.
*That there be a signed contract approving a third party provider.
*That interfunds at a minimum be liquidated by the end of the year when possible.
That all senior citizen and veteran deduction application be on file for review.
That a Cash Management Plan be developed in accordance with NJ State statute 40A:5-14.
*Unresolved 2021 Audit Recommendation
52
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"...13" 11D-14n 11D-15JI "D-16" "D-17 11 "D-18 11 PART II Statistical Data BOROUGH OF MIDDLESEX I N D E X (CONTINUED) Officials in Office and Surety Bonds Comments and Recommendations PAGES 44-47 48 49-52 BOROUGH OF MIDDLESEX PARTI INDEPENDENT AUDITOR'S REPORT ON AUDIT OF FINANCIAL STATEMENT..."
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Apr 2, 2026
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Apr 2, 2026
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