Several amendments to the Borough Code were enacted this fall. All of these amendments were supported by PSAB and are effective December 23, 2018.
Concise Annual Financial Reporting – Act 135 (SB 771)
Act 135 amends the Borough Code to provide for publication in a newspaper of general circulation concise annual financial information, approved by the auditor(s) and consistent with the audited financial statements, for:
- Total assets, total liabilities and total net position at the end of the fiscal year, and
- Total revenue, total expenses and changes in total net position for that fiscal year.
The legislation also requires that the newspaper publication include reference to a place within the borough where full copies of the annual financial reporting information may be examined. The act further stipulates that if the full required annual financial reporting information is not published, a copy shall be supplied to the publishing newspaper when the request for publication is submitted.
Prior to the Act 135 the Borough Code required the auditors to annually publish in a newspaper of general circulation, a financial statement setting forth all of the following:
(1) The balance in the treasury at the beginning of the fiscal year.
(2) All revenue received during the fiscal year by major classifications.
(3) All expenditures made during the fiscal year by major functions and the current resources and
liabilities of the borough at the end of the fiscal year.
(4) The gross liability and net debt of the borough.
(5) The amount of assessed valuation of the borough.
(6) The assets of the borough with their character and value.
(7) The date of the last maturity of the respective forms of funded debt.
(8) The assets in each sinking fund.
This amendment will reduce advertising costs while maintaining financial transparency.
Emergency Contracts – Act 99 (HB 99)
This act expressly exempts from public bidding and price quotation requirements purchases made during a real or potential emergency.
these amendments are added to section 1402 of the Borough Code
Bidding exemption for purchasing personal property from a volunteer fire co., EMS.
Raises the bidding threshold for the sale of borough personal property from $1,000 to $2,000.