N.J. Admin. Code § 5:34-7.17

Current through Register Vol. 56, No. 23, December 2, 2024

Section 5:34-7.17 - Accounting requirements for commodity resale systems

(a) The accounting requirements set forth in this section shall apply only to contracting units subject to the requirements of the Local Public Contracts Law (40A:11-1 et seq.). Boards of education shall be subject to the financial and contractual details set forth in the Public School Contracts Law (N.J.S.A. 18A:18A-1.1 et seq.) and the administrative requirements contained in N.J.A.C. 6A:23A.

(b) Expenditure of lead agency funds applicable to its own use of the commodity shall be charged to current fund appropriations in its annual budget.

(c) The lead agency shall request approval of the Director for a Dedication by Rider pursuant to 40A:4-39, entitled "Receipts from Other Agencies participating in the (Name of System) Commodity Resale System, System Identifier." In order to meet the statutory requirement that expenditures under a Rider may be made only in accordance with the availability of funds, the following steps shall be taken:

1. The authorized contracting agent of each registered member shall issue a purchase order to the lead agency, together with a copy of its certification of available funds, and resolution of the governing body if projected expenditures exceed the statutory bid threshold;

2. The lead agency, at agreed upon intervals, shall submit to the participating members of the system an invoice for the amount of the commodity consumed. Payments to the lead agency shall be made by appropriation in the annual budget; and

3. Funds received by the lead agency from registered members shall be:

i. Placed in a bank account established by Rider and held in trust; and

ii. Used only for the payment or purchase of the resale commodity consumed.

N.J. Admin. Code § 5:34-7.17

New Rule, R.1995 d.633, effective 12/4/1995.
See: 27 N.J.R. 3259(a), 27 N.J.R. 4885(b).
Recodified from N.J.A.C. 5:34-7.19 and amended by R.2000 d.485, effective 12/4/2000.
See: 32 N.J.R. 3237(a), 32 N.J.R. 4300(a).
Former N.J.A.C. 5:34-7.17, Commodity resale system registration, recodified to N.J.A.C. 5:34-7.15. Inserted a new (a); recodified former (a) and (b) as (b) and (c); and in the new (c), substituted a reference to system identifiers for a reference to ID numbers in the introductory paragraph, and substituted "established by" for "pursuant to the approved" following "account" in 3i.
Amended by R.2013 d.123, effective 9/13/2013.
See: 45 N.J.R. 1205(a), 45 N.J.R. 2203(a).
In (a), updated the N.J.A.C. reference.
See: 32 N.J.R. 3237(a), 32 N.J.R. 4300(a).