CMFO Review Exam Questions With Complete Solutions
"Dedicated revenues" are defined and regulated within the Local
Budget Law. This section required any anticipated deficit in
expenditures to which dedicated revenues are applicable shall be
provided for by an appropriation in the operating budget Correct
Answers true
A bond ordinance may be introduced by title and approved by
the majority vote of the full membership of the governing body
Correct Answers true
A bond ordinance shall be finally adopted by what vote of the
governing body? Correct Answers 2/3 of full membership
A capital budget would best be described as Correct Answers a
plan for capital projects
A change order would not be permitted to change the number of
units or items originally advertised and contracted for, even
though unit prices were sought in the original specifications.
Correct Answers false
A contracting unit may reject all bids for which of the following
reasons Correct Answers abandon project, use state contract,
lowest bidder exceeds contracting units appropriation
A corrective action plan must be submitted to the DLGS within
__ days from the date the audit is received by the governing
body? Correct Answers 60
,A Length of Service Award Program (LOSAP) may be created
by a municipality by which action Correct Answers ordinance
of the governing body
A local contracting unit has advertised for the same good or
service on two occasions. On one occasion no bids were
received and on one occasion all bids were rejected because of
price. The local contracting unit is not permitted to proceed in
which of the following methods? Correct Answers negotiate
and award contract by 2/3 vote of the governing body
A local government officer that serves on a local government
agency that approved development applications would refer to a
member of which board Correct Answers planning board
A municipal governing body has determines that a parcel of land
is no longer required for public use and so concluded that said
parcel be sold at auction. The parcel of land will generate sale
proceed that would benefit town property owners if anticipated
in the municipal budget as revenue. In order for the proceeds to
be an anticipated revenue in the budget the obligation to make
payment to the municipality must be entered into: Correct
Answers prior to the adoption of the budget
A New Jersey municipality has a fleet of police cars exceeding
50 vehicles. One of the vehicles is damaged beyond repair in a
motor vehicle accident. The police chief recommend authorizing
the purchase of a replacement vehicle as an "emergency
purchase". Since this vehicles is used for public safety it may be
purchased without public bidding or prior governing body
approval Correct Answers false
,A New Jersey municipality is prohibited from increasing its' tax
levy by what percentage rate before permitted exclusions are
added to the tax levy Correct Answers 2
A payment process requires a purchase order system to have a
particular document as part of the purchase order and this same
document is the basis of payment. This document is a Correct
Answers voucher
A resolution authorizing the adoption of an emergency
appropriation shall be adopted by what vote of the governing
body? Correct Answers 2/3 of full membership
A statutorily permitted amount to be added to the CAP base is
which of the following Correct Answers 2.5% or the index rate,
whichever is less
A synopsis of audit along with recommendations shall be
published by whom and without how many days or receipt of
audit Correct Answers clerk and 30
A tax point is equal to which of the following? Correct Answers
one- ten thousandth of net valuation
According to Local Bond Law the short term borrowing
instruments are known as Bond Anticipation Notes and these
notes may not be issued for a period of time exceeding: Correct
Answers 1 year
, According to Local Bond Law, bond anticipation notes may be
sold at what type of sale? Correct Answers private
According to the Local Bond Law, a bond ordinance shall
contain in substance which of the following: Correct Answers
authorization for the issuance of obligations, authorization for
the assumption by the local unit of the obligations of an
authority ot be dissolved, a determination of the period of
usefulness
All advertisement for bids on contracts for the collection and
disposal of municipal solid waste shall be published not less
than how many days prior to the receipt of said bids? Correct
Answers 60
All bond anticipation notes shall mature and be paid not later
that which anniversary of the date of the original notes? Correct
Answers 10 years
All budgets shall be introduced, approved, amended and adopted
by what vote and by which action of the governing body?
Correct Answers resolution of majority of the full governing
body
All construction contract documents entered into in accordance
with the provisions of the Local Public Contract Law shall
provide that disputes arising under the contract shall be
submitted to a process of resolution pursuant to alternative
dispute resolution practices prior to being submitted to a court
for adjudication. Correct Answers true
"Dedicated revenues" are defined and regulated within the Local
Budget Law. This section required any anticipated deficit in
expenditures to which dedicated revenues are applicable shall be
provided for by an appropriation in the operating budget Correct
Answers true
A bond ordinance may be introduced by title and approved by
the majority vote of the full membership of the governing body
Correct Answers true
A bond ordinance shall be finally adopted by what vote of the
governing body? Correct Answers 2/3 of full membership
A capital budget would best be described as Correct Answers a
plan for capital projects
A change order would not be permitted to change the number of
units or items originally advertised and contracted for, even
though unit prices were sought in the original specifications.
Correct Answers false
A contracting unit may reject all bids for which of the following
reasons Correct Answers abandon project, use state contract,
lowest bidder exceeds contracting units appropriation
A corrective action plan must be submitted to the DLGS within
__ days from the date the audit is received by the governing
body? Correct Answers 60
,A Length of Service Award Program (LOSAP) may be created
by a municipality by which action Correct Answers ordinance
of the governing body
A local contracting unit has advertised for the same good or
service on two occasions. On one occasion no bids were
received and on one occasion all bids were rejected because of
price. The local contracting unit is not permitted to proceed in
which of the following methods? Correct Answers negotiate
and award contract by 2/3 vote of the governing body
A local government officer that serves on a local government
agency that approved development applications would refer to a
member of which board Correct Answers planning board
A municipal governing body has determines that a parcel of land
is no longer required for public use and so concluded that said
parcel be sold at auction. The parcel of land will generate sale
proceed that would benefit town property owners if anticipated
in the municipal budget as revenue. In order for the proceeds to
be an anticipated revenue in the budget the obligation to make
payment to the municipality must be entered into: Correct
Answers prior to the adoption of the budget
A New Jersey municipality has a fleet of police cars exceeding
50 vehicles. One of the vehicles is damaged beyond repair in a
motor vehicle accident. The police chief recommend authorizing
the purchase of a replacement vehicle as an "emergency
purchase". Since this vehicles is used for public safety it may be
purchased without public bidding or prior governing body
approval Correct Answers false
,A New Jersey municipality is prohibited from increasing its' tax
levy by what percentage rate before permitted exclusions are
added to the tax levy Correct Answers 2
A payment process requires a purchase order system to have a
particular document as part of the purchase order and this same
document is the basis of payment. This document is a Correct
Answers voucher
A resolution authorizing the adoption of an emergency
appropriation shall be adopted by what vote of the governing
body? Correct Answers 2/3 of full membership
A statutorily permitted amount to be added to the CAP base is
which of the following Correct Answers 2.5% or the index rate,
whichever is less
A synopsis of audit along with recommendations shall be
published by whom and without how many days or receipt of
audit Correct Answers clerk and 30
A tax point is equal to which of the following? Correct Answers
one- ten thousandth of net valuation
According to Local Bond Law the short term borrowing
instruments are known as Bond Anticipation Notes and these
notes may not be issued for a period of time exceeding: Correct
Answers 1 year
, According to Local Bond Law, bond anticipation notes may be
sold at what type of sale? Correct Answers private
According to the Local Bond Law, a bond ordinance shall
contain in substance which of the following: Correct Answers
authorization for the issuance of obligations, authorization for
the assumption by the local unit of the obligations of an
authority ot be dissolved, a determination of the period of
usefulness
All advertisement for bids on contracts for the collection and
disposal of municipal solid waste shall be published not less
than how many days prior to the receipt of said bids? Correct
Answers 60
All bond anticipation notes shall mature and be paid not later
that which anniversary of the date of the original notes? Correct
Answers 10 years
All budgets shall be introduced, approved, amended and adopted
by what vote and by which action of the governing body?
Correct Answers resolution of majority of the full governing
body
All construction contract documents entered into in accordance
with the provisions of the Local Public Contract Law shall
provide that disputes arising under the contract shall be
submitted to a process of resolution pursuant to alternative
dispute resolution practices prior to being submitted to a court
for adjudication. Correct Answers true
