2009 New Jersey Code
TITLE 18A - EDUCATION
Section 18A:24
18A:24-73 - Annual installment to retire bonds;  calculation;  school budget  item;  sinking fund;  disposition of excess

18A:24-73.  Annual installment to retire bonds;  calculation;  school budget  item;  sinking fund;  disposition of excess
    The issuing board shall annually cause to be made calculations of the average amount of the principal of bonds issued and outstanding under this act and of the average amount of the reserve provided for in section 6, for the 12-month period prior to such calculation.  The calculations shall be made not more than 3 months prior to the date for the publication of the annual school budget.  Said budget shall contain provision, as a mandatory item, of an amount  equal to that sum which would be sufficient as a level annual installment to  retire in full the net amount resulting from the subtraction of the average  reserve from the average outstanding principal, at that rate of interest that  would be applicable if all bonds were held to maturity, if such installments  were paid over the full term of the blanket bond.  The amount annually required  for said item shall be placed in a separate sinking fund to be invested and  reinvested in the same manner as provided in section 6, and shall be applied  only to the satisfaction of bonds outstanding at the maturity of the last  blanket bond.  Any excess, remaining after full satisfaction of such bonds, or  the making of provisions therefor, shall be and become general funds available  to the issuing board but for authorized school purposes only.

     L.1971, c. 36, s. 8, eff. March 4, 1971.