12-24-07 A-1135-07T2
The prohibition of the New Jersey Local Budget Law, N.J.S.A.
40A:4-1 to -88, on deficit financing, N.J.S.A. 40A:4-3, and the
New Jersey Local Bond Law, N.J.S.A. 40A:2-1 to -64, on using
bond proceeds to finance current expenses, N.J.S.A. 40A:2-3(b),
override the provisions of the Local Budget Law, N.J.S.A.
40A:4-1 to -88, permitting counties to recognize proceeds from
the sale of county property as miscellaneous revenue, N.J.S.A.
40A:4-27, and the New Jersey County Improvement Authorities Law,
N.J.S.A. 40:37A-44 to -135, permitting counties to guarantee
bonds issued by county improvement authorities, N.J.S.A. 40:37A-
80. Thus, a county may not recognize the proceeds of the sale
of county property to a county improvement authority as
miscellaneous revenue to finance current expenses when the
county undertakes to guarantee bonds issued by the county
improvement authority to finance the purchase of county
property. [*Approved for Publication date]
