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03/06/2024   Authority and Housing Authority Budget Templates
12/20/2023   Authority Post-Adoption Amendments
02/22/2024   Local Finance Notice 2024-04 - New Russia-Belarus Law Developments
09/21/2023   New Local Finance Notices 2023-15 and 2023-16
09/22/2023   New Mandatory GovConnect Enrollment Categories
09/08/2023   New Workplace Accountability in Labor List (The WALL)
08/23/2023   N.J.A.C. 5:34-6.1 Amendment - Emergency Adoption & Concurrent Proposal
08/17/2023   Russia-Belarus Law: Temporary Suspension of Enforcement
08/08/2023   LFN 2023-14 Pay-to-Play Law Update (Elections Transparency Act)
07/06/2023   Design Build Procurements - Prime Bidder Requirements
06/01/2023   Hearings on Service Charge Revisions by MUAs and Sewerage Authorities
05/09/2023   CY2022 Audit Deadline Extension; GASB 68 & 75 for Municipal and County
05/04/2023   LFN 2023-09 LIHWAP and Winter Termination Programs
05/01/2023   FAST Authority and Housing Authority Audit Module

Authority and Housing Authority Budget Templates - 03/06/2024

Updated Authority and Housing Authority Budget templates are now available on the Division's FAST webpage: https://www.nj.gov/dca/dlgs/Fast.shtml. These templates, Version 2024-2025 for both authorities and housing authorities, are required to be used for all authority and housing authority budget cycles starting July 1, 2024 and after. The version number for the document is listed on the Instructions tab in each workbook. Authorities and housing authorities are reminded that all budgets and related documents must be submitted through the FAST system: https://njdca.dynamics365portals.us/SignIn.

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Authority Post-Adoption Amendments - 12/20/2023

Authorities and housing authorities submitting post-adoption budget amendments to the Division are required to submit such amendments through the FAST system. Authorities and housing authorities are required to upload a full copy of the amended budget to FAST, not just the amended pages. A copy of the resolution amending the budget after adoption, and any additional documentation regarding the amendment, must also be uploaded as part of the post-adoption amendment submission process. Existing FAST access to the authority and housing authority modules will allow for access to the amendments tab within the adopted budget folder. A user guide regarding this process is available on the FAST webpage

at: https://www.nj.gov/dca/dlgs/FAST/FAST%20Authority%20Post-Adoption%20Amendment%20User%20Guide.pdf.

Please contact Matt Gallello at Matthew.Gallello@dca.nj.gov with any technical questions regarding the FAST system.

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Local Finance Notice 2024-04 - New Russia-Belarus Law Developments - 02/22/2024

Local Finance Notice 2024-04, available at https://www.nj.gov/dca/dlgs/lfns/2024/2024-04.pdf, explains important new developments on the Russia-Belarus law and the reinstatement of a revised contractor/vendor certification for State and local contracting units. 

In light of recent legal developments, on January 22, 2024 the New Jersey Department of the Treasury issued a notice reinstating the Russia-Belarus vendor/contractor certification requirement (https://www.nj.gov/treasury/administration/pdf/NoticeRussia.pdf).  Now, when a contract for goods or services is awarded, renewed, amended, or extended, a contracting unit shall now 1) require a vendor or contractor to certify, using the State Treasury’s vendor certification as a template (https://www.nj.gov/treasury/administration/pdf/DisclosureofProhibitedActivitesinRussiaBelarus.pdf), that the vendor or contractor is not identified on the U.S. Treasury’s Office of Foreign Assets Control (OFAC) list due to activity related to Russia and/or Belarus, and 2) type the vendor’s or contractor’s name and address into the OFAC list search to determine whether they appear on the list due to activity related to Russia and/or Belarus.

Please note that this certification process must be followed before designating a redeveloper under the Local Redevelopment and Housing Law (N.J.S.A. 40A:12A-1 et seq.), entering into an agreement for a payment in-lieu of taxes (PILOT), or otherwise awarding a municipal property tax abatement.

A new stand-alone model Iran Investment certification form is also available at https://www.nj.gov/dca/dlgs/programs/lpcl_docs/YB%20-%20Disclosure%20of%20Iran%20Investments.docx.

Please review Local Finance Notice 2024-04 closely for additional details.

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New Local Finance Notices 2023-15 and 2023-16 - 09/21/2023

Local Finance Notice 2023-15, available at https://www.nj.gov/dca/dlgs/lfns/2023-15.pdf, includes certain bidding thresholds recently updated by State Treasury. See pages 2 and 4 of the Notice for updates implemented as of July 1, 2023. In addition to the updated bidding thresholds, the Notice contains an updated link to the State Comptroller's contract submission webpage. Otherwise, the guidance remains identical to that in Local Finance Notice 2020-14R.

Local Finance Notice 2023-16 summarizes U.S. Treasury's new 2023 Interim Final Rule, which expands the types of uses for which ARP LFRF Funds may be used. As with the preexisting eligible uses, LFRF funds for newly eligible uses must be obligated by December 31, 2024. Please review the Notice at https://www.nj.gov/dca/dlgs/lfns/2023-16.pdf for critical details.

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New Mandatory GovConnect Enrollment Categories - 09/22/2023

The Local Finance Board recently adopted amendments to N.J.A.C. 5:30-16.2 requiring the following officials to enroll in GovConnect by November 1, 2023: Municipal Business Administrators and Managers, County Administrators and Managers, Certified Public Works Managers (CPWMs), and individuals designated to serve as a local unit's purchasing agent (both QPA and non-QPA). The covered officials will receive GovConnect and E-Government for Government (EGG) notifications via e-mail from the Division of Local Government Services (DLGS).

These EGG Notices provide crucial information to local officials, including updates on new guidance, summaries of important notices, changes in certification requirements, notifications about newly enacted legislation, and important upcoming deadlines.

The above-referenced officials must register by November 1, 2023 by emailing EGG@dca.nj.gov with their name, title, local unit, and email address. Once registered in the DLGS GovConnect Portal, the official will receive an email from EGG with instructions on how to activate the authorization code on the MyNewJersey portal.

Municipal CFOs, County CFOs, Municipal Clerks, Clerks to County Boards of Commissioners, and Tax Collectors are reminded of their current obligation to enroll in GovConnect. The board of commissioners for each local authority (including regional authorities) and fire districts must also designate at least one representative to be enrolled in GovConnect. Officials holding one or more of these roles and have not yet registered must contact EGG@dca.nj.gov to initiate the signup process. A Municipal Clerk or Tax Collector, or a Municipal or County CFO, will be required to authorize access by providing a resolution, email, or similar documentation upon their registration.

Officials are responsible for updating their GovConnect enrollment information.

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New Workplace Accountability in Labor List (The WALL) - 09/08/2023

P.L. 2019, c. 366 (N.J.S.A. 34:1A-1.16) authorized the New Jersey Department of Labor and Workforce Development (NJDOL) to create a list on its website, dubbed the Workplace Accountability in Labor List (The WALL), of any person found in violation of any State wage, benefit, and tax laws and against whom a final order has been issued by the NJDOL for such violation.  Any person or business named on The WALL is prohibited from contracting with any contracting unit until the liability for violations of State wage, benefit, and tax laws have been paid in full. 

The WALL is now live at https://www.nj.gov/labor/ea/osec/wall.shtml. A Local Finance Notice will be issued to provide local governments and boards of education with further implementation guidance. Pending further guidance, Local Public Contracts Law and Public School Contracts Law contracting units must cross-check prospective contractor and vendor names against the WALL before awarding any contract over the quote threshold. A contract cannot be awarded to any contractor or vendor appearing on the WALL.

Please note that contracting units must continue to check applicable debarment lists as part of their procurement process. Although a person or business has been removed from The WALL, that there may be other reasons why they remain ineligible for public contracting. For example, a business may be debarred for a period of time under the New Jersey Prevailing Wage Act.

Any questions about The WALL or a given person's status for purposes of The WALL should be directed to the NJDOL Office of Strategic Enforcement and Compliance at OSECInquiries@dol.nj.gov or 609-376-4952.

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N.J.A.C. 5:34-6.1 Amendment - Emergency Adoption & Concurrent Proposal - 08/23/2023

The Director of the Division of Local Government Services ((DLGS) has adopted on an emergency basis and concurrently proposed an amendment to N.J.A.C. 5:34-6.1 permitting municipalities that are under enhanced State oversight to award a multi-year emergency contract for solid waste collection and/or recycling collection, under certain circumstances, subject to Director approval. Pursuant to the amendment, a municipality is deemed subject to enhanced State oversight if the municipality is under the Transitional Aid to Localities Program or any successor discretionary aid programs for municipalities in fiscal distress (N.J.S.A. 52:27D-118.42a), State Supervision Act (N.J.S.A. 52:27BB-54 et seq.), Municipal Rehabilitation and Economic Recovery Act (N.J.S.A. 52:27BBB-1 et seq.), Municipal Stabilization and Recovery Act (N.J.S.A. 52:27BBBB-1 et seq.), or a financial review board instituted pursuant to N.J.S.A.52:27D-118.30a. The Notice of Emergency Adoption and Concurrent Proposal is available on the DLGS Rules and Regulations webpage at https://www.nj.gov/dca/dlgs/rules_reg.shtml under the Proposed Rules and Recently Adopted Rules headings.

Please submit written comments by September 20, 2023, via email to Jason.Martucci@dca.nj.gov or by regular mail to:

Jason R. Martucci, Esq.

Department of Community Affairs

PO Box 803Trenton, New Jersey 08625

If no further action is taken by October 1, 2023, the amendment will expire and N.J.A.C. 5:34-6.1 will revert to its prior form.

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Russia-Belarus Law: Temporary Suspension of Enforcement - 08/17/2023

.L. 2022, c. 3, signed into law on March 9, 2022, required the State Department of the Treasury (Treasury) to develop, based on credible information available to the public, a list of persons and entities engaging in prohibited activities in Russia or Belarus (Russia-Belarus list). On August 4, 2023, a company obtained a temporary restraining order (TRO) from the United States District Court for the District of New Jersey, which enjoins the State from enforcing N.J.S.A. 52:32-60.1 against that company on the ground that the statute is likely inconsistent with federal law. Due to the ongoing litigation, Treasury has removed the Russia-Belarus list from its website, and the State (along with its agencies and instrumentalities) has voluntarily suspended further implementation of the Russia-Belarus law until further order of the Court.

While the State continues to defend the law in court, in light of the Court's decision and the Russia-Belarus list being taken down, contracting units under the Local Public Contracts Law, Public School Contracts Law, and County College Contracts Law are not required to enforce the Russia-Belarus vendor/contractor certification requirement at this time.

At this time, the Russia-Belarus list also does not apply to redeveloper designations under the Local Redevelopment and Housing Law (N.J.S.A. 40A:12A-1 et seq.) and to agreements for payments-in-lieu-of-taxes (PILOTs) or other municipal property tax abatements. This could change based upon future legal developments. Please review the Treasury Notice at https://www.state.nj.us/treasury/administration/pdf/NoticeRussia.pdf for further information. 

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LFN 2023-14 Pay-to-Play Law Update (Elections Transparency Act) - 08/08/2023

The Elections Transparency Act (P.L. 2023, c. 30) made various significant changes to New Jersey's pay-to-play laws. Local Finance Notice 2023-14 explains the law and its impacts on non-fair and open contract awards, along with other areas such as the elimination of local pay-to-play policies. Links to newly updated pay-to-play model forms are also provided. Local Finance Notice 2013-14 is available at https://www.nj.gov/dca/divisions/dlgs/lfns/23/2023-14.pdf.

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Design Build Procurements - Prime Bidder Requirements - 07/06/2023

There have been reports that some municipalities are allowing Contractors to bid on Design-Build projects who are not DPMC classified in the Design Build trade (C007) and therefore are not approved to perform work as a Design Build Contractor in accordance with P.L. 2021, c. 71. For Design Build projects undertaken by local governments and boards of education, N.J.A.C. 5:34-10.7(5) requires the bidder on a project to be classified with DPMC in the Design-Build trade (C007). No other DPMC trade classifications are allowable or appropriate for the prime contractor/bidder on a Design-Build project. See the DLGS Design-Build regulations at for further details. In the near future, DLGS will be issuing a Local Finance Notice with further guidance on the design build process.

Notice sent to: Procurement Officials; Municipal & County CFOs; Administrators/Managers; Authority Officials; Fire District Officials; Auditor Listserv

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Hearings on Service Charge Revisions by MUAs and Sewerage Authorities - 06/01/2023

Proposed revisions in the service charge schedule of a municipal utilities authority (MUA) or sewerage authority (SA) must be considered at a public hearing advertised at least 20 days after notice of the proposed adjustment and hearing is 1) mailed to the clerk of each municipality serviced by the authority and 2) published in at least two newspapers of general circulation in the area serviced by the authority. P.L. 2023, c. 39 amended N.J.S.A. 40:14A-8 and 40:14B-23 to allow an MUA or SA to provide a live recording of the hearing upon request to any interested party in lieu of a hearing transcript. The recording, which may be audio-only or with video and audio, shall be provided at no cost.

The full text of the law is available at https://pub.njleg.state.nj.us/Bills/2022/PL23/39_.PDF.

 

Notice sent to: Authority Officials; Chief Financial Officers; Municipal Clerks; Clerks - County Boards of Commissioners

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CY2022 Audit Deadline Extension; GASB 68 & 75 for Municipal and County - 05/09/2023

The Director of DLGS has extended to September 29, 2023 the deadline for all local units with a calendar year budget cycle to complete and file their 2022 audits.  This extension applies to counties, calendar year municipalities, and all calendar year authorities, including fire districts. The Order is available on the DLGS Rules and Regulations webpage. 

For the annual audits of counties and calendar year municipalities only, the Division is authorizing inclusion of the GASB 68 and GASB 75 information most recently published by the Division of Pensions and Benefits.

Counties and calendar year municipalities do not need to wait for the 2022 audited GASB 68 & GASB 75 information to be issued before completing and filing their audits. Authorities and fire districts are still required to include the 2022 audited GASB 68 and GASB 75 information in their CY2022 audits.

Please review Local Finance Notice 2023-10 for further details at  https://www.nj.gov/dca/divisions/dlgs/lfns/23/2023-10.pdf.

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LFN 2023-09 LIHWAP and Winter Termination Programs - 05/04/2023

Local Finance Notice 2023-09 explains recent legislation on the Low-Income Household Water Assistance Program (LIHWAP) and the Winter Termination Program.

The Notice is available at https://www.nj.gov/dca/divisions/dlgs/lfns/23/2023-09.pdf and explains local unit obligations under both programs.

LIHWAP is a federally funded program that provides funds to assist low-income households with water and sewer bills.  To be eligible for LIHWAP benefits, the household must be responsible for their own water/sewer costs and have a gross income that falls at or below 60% of the New Jersey State Median Income level.  The Winter Termination Program allows eligible residential customers to avoid service shutoff from November 15 through March 15 for non-payment of water, sewer, or electric service.

Local unit officials are encouraged to review the Notice closely.

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FAST Authority and Housing Authority Audit Module - 05/01/2023

The Authority and Housing Authority Audit Module is now available in the FAST portal. All Authority and Housing Authority audit reports beginning with FY 2022 and CY 2022 and forward are required to be submitted to the Division of Local Government Services (DLGS) through an upload in the FAST module. 

 

To complete the audit submission in FAST, the Auditor of Record must first upload the Audit, Audit Questionnaire, and any other supporting documentation. Once complete, the Auditor of Record will submit their portion of the audit. Auditors of Record with existing FAST access can have authorities added to their account by requesting access in FAST. 

 

Only after submission by the Auditor, an authority official (Chief Financial Officer, Executive Director, or equivalent) must upload the Audit Resolution, Audit Affidavit, Proof of Publication of Synopsis of Audit, and Corrective Action Plan (if applicable). Once uploaded, the designated authority official will submit their portion of the Audit. Authority officials who have submitted the authority budget will be able to submit the audit without the need for any additional FAST access. 

An Authority's designated official is not able to complete this process until the Auditor of Record has fully completed their portion of the Audit submission. The Audit submission process is not considered complete until the authority official has submitted. There is no data entry that takes place directly in the portal. 

Please refer to the Authority and Housing Authority Audit User Guide for detailed instructions:

https://www.nj.gov/dca/divisions/dlgs/pdf/Authority%20and%20Housing%20Authority%20Audit%20User%20Guide.pdf

For technical questions regarding the FAST Authority and Housing Authority Audit module, please contact Matt Gallello at matthew.gallello@dca.nj.gov.

Municipal officials, please forward to the Authority and Housing Authority Officials for those authorities located in your municipalities.

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Updated: 03/07/2024