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Posted on: October 31, 2022

DLGS Announces Municipal Budget Appropriations for Fire Districts

On October 19 the Division of Local Government Services (DLGS) released Local Finance Notice 2022-19 (LFN). The notice reports that municipalities may appropriate funds for use by their volunteer fire companies or boards of fire commissioners in accordance with N.J.S.A 40A:14-34. Every two years, the Director must adjust the statutory limits for inflation. A COLA adjustment of 3.5% has been applied for the CY 2023/SFY2024 yielding a maximum annual contribution of $161,526, with an additional $50,000 annually for each additional volunteer fire company/district in municipalities with three or more companies or boards.
  
 Pursuant to N.J.S.A 40A:14-34, a volunteer fire company or board of fire commissioners must use at least 50% of the municipality’s annual appropriation for the purchase of fire equipment, materials, and supplies. The company or board must also provide the municipal governing body an annual accounting of the use of all funds so appropriated.
  
Contact: Andrew LaFevre, Legislative Analyst, alafevre@njlm.org, 609-695-3481, x116.

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