The Local Bond Law governs the issuance of bonds and notes to finance general municipal capital expenditures. Bonds are retired in serial installments with the statutory period of usefulness. Bonds issued by the Township are general obligations bonds backed by the full faith and credit of the Township. Bond anticipation notes are issued to temporarily finance capital projects prior to the issuance of serial bonds. The terms of the notes cannot exceed one year but the notes may be renewed from time to time for a period not exceeding one year. All such notes must be paid no later than the tenth anniversary of the date of the original note. The State of New Jersey also prescribes that on or before the third anniversary date of the original note a payment of at least equal to the first legally payable installment of the bonds in anticipation of which such notes were issued be paid. A second legal installment must be paid if the notes are to be renewed beyond the fourth anniversary date of the original issuance and so on. Tax anticipation notes are issued if the cash on hand is not sufficient to carry on normal operations of the municipality at any time during the year. Such notes are authorized by a resolution adopted by the governing body.
Summary of Township Debt – Annual Debt Statement:
| Year 2013 | Year 2012 | Year 2011 | |
|---|---|---|---|
| Issued & Outstanding | |||
| General: | |||
| Bonds, Loans & Notes | $ 27,977,337.00 | $ 31,362,337.00 | $ 29,200,000.00 |
| Deductions: | |||
| Open Space Trust (40A:2-44h) | 5,759,000.00 | 6,299,000.00 | 6,822,000.00 |
| Funds Temporarily Held to pay Bonds & Notes | 1,911,533.00 | 1,881,143.00 | 1,853,771.00 |
| Total Deductions | 7,670,533.00 | 8,180,143.00 | 8,675,771.00 |
| Net Debt Issued | 20,306,804.00 | 23,182,194.00 | 20,524,229.00 |
| Authorized But Not Issued | |||
| General - Bonds & Notes | 1,891,241.00 | - | - |
| Total Net Debt | $ 22,198,045.00 | $ 23,182,194.00 | $ 20,524,229.00 |
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