The basic financial statements present the general fund and special revenue fund on a GAAP basis. Budgetary comparison statements or schedules (RSI) are presented for the general fund and special revenue fund to demonstrate finance-related legal compliance in which certain revenue is permitted by law or grant agreement to be recognized in the audit year, whereas for GAAP reporting, revenue is not recognized until the subsequent year or when expenditures have been made. The general fund is presented in the accompanying schedules on the modified accrual basis with the exception of the revenue recognition of the last state aid payment in the current budget year, which is mandated pursuant to N.J.S.A. 18A:22-44.2. For GAAP purposes that payment is not recognized until the subsequent budget year due to the state deferral and recording of the last state aid payment in the subsequent year. The special revenue fund is presented in the accompanying schedules on the grant accounting budgetary basis, which recognizes encumbrances as expenditures and also recognizes the related revenues, whereas the GAAP basis does not. The special revenue fund also recognizes the last state aid payment in the current budget, consistent with N.J.S.A. 18A:22-4.2. As a result, the federal accounts receivable balance in the special revenue fund on the budgetary basis differs from the GAAP basis as follows: Accounts Receivable Budgetary Basis Less: Encumbrances GAAP Basis Federal $572,002 $50,612 $521,390 The net adjustment to reconcile from the budgetary basis to the GAAP basis is ($99,174) for the general fund and $293,547 for the special revenue fund. See note to required supplementary information for a reconciliation of the budgetary basis to the modified accrual basis of accounting for the general and special revenue funds (C-3). Awards and financial assistance revenues are reported in the District’s basic financial statements on a GAAP basis as presented below: Federal State Total General Fund $ 59,516 $ 45,733,217 $ 45,792,733 Special Revenue Fund 3,558,403 6,740,264 10,298,667 Debt Service Fund 2,428,392 2,428,392 Food Service Fund 936,412 52,581 988,993 Total financial award revenues $ 4,554,331 $ 54,954,454 $ 59,508,785
Amounts reported in the accompanying schedules agree with the amounts reported in the related federal and state financial reports.
Revenues and expenditures reported under the Food Donation Program represent current year value received and current year distributions, respectively. TPAF Social Security Contributions represent the amounts reimbursed by the State for the employer’s share of social security for TPAF members for the year ended June 30, 2025. The post retirement pension, medical and long-term disability benefits received on-behalf of the District for the year ended June 30, 2025 amounted to $28,247,288. Since on-behalf post retirement pension, medical, and long-term disability benefits are paid by the State directly, these expenditures are not subject to a single audit in accordance with New Jersey OMB Circular 15-08; however, they are reported on the Schedule of Expenditures of State Financial Assistance, as directed by the funding agency.