a. A municipality may reduce its reserve for uncollected taxes by deducting any or
all payments anticipated during the fiscal year from the sale of the total property
tax levy pursuant to section 16 of P.L.1997, c. 99 (C.54:5-113.5), from the reserve for uncollected taxes as calculated pursuant to N.J.S.40A:4-40 and N.J.S.40A:4-41, provided that the obligation to make such payment is entered into prior to adoption
of the budget. Any revenues received pursuant to this section shall be excluded from any calculation
of the tax collection rate pursuant to N.J.S.40A:4-41 or receipts from delinquent taxes pursuant to N.J.S.40A:4-29.
b. A municipality shall not execute a contract for the sale of the total property
tax levy unless the Division of Local Government Services in the Department of Community
Affairs has reviewed the fiscal impact of the sale of the total property tax levy. The municipality shall forward a copy of a proposed contract and the fiscal analysis
of the impact of the sale required to be provided to the municipal governing body
pursuant to section 14 of P.L.1997, c. 99 (C.40A:4-40.3), as soon as they are available, to the Division of Local Government Services for
review. The division shall review the fiscal impact of the contract within 15 business days
after receipt and shall approve or disapprove the contract in writing within that
time. The director of the division may condition the approval of the contract on budget
actions that the director may determine.
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
Was this helpful?
Welcome to FindLaw's Cases & Codes
A free source of state and federal court opinions, state laws, and the United States Code. For more information about the legal concepts addressed by these cases and statutes, visit FindLaw's Learn About the Law.