New Jersey § 40a:2-44

§ 40a:2-44.

There shall be deducted from the gross debt of the local unit, to the extent included

therein, the amount of bonds or notes issued and authorized but not issued: a. for school purposes by a municipality or by a school district with boundaries coextensive

with such municipality or of which such municipality is a part (other than a regional

school district) to the extent of the following percentages of the equalized valuation

basis of such municipality as provided in section 18A:24-19 of the New Jersey Statutes . If such school district does not have title to any one of the facilities mentioned

in such section, the authorization of debt for the procurement of such school facilities

shall be deductible within the limitations prescribed in such section; b. for school purposes by a regional school district; c. for purposes which are self-liquidating as provided in this chapter, but only to

the extent permitted by this chapter; d. by a public body other than the local unit and the principal and interest of which

is guaranteed by the local unit but only to the extent permitted by this chapter or

any other law; e. as bond anticipation notes in anticipation of bonds then authorized or issued; f. for which there are funds on hand or sinking funds applicable only to the payment

thereof and not otherwise deductible, including the proceeds of any bonds or notes

held for that purpose and any accounts receivable or amounts which may be payable

from the Federal Government, this State or any public instrumentality thereof, which

funds are applicable only to the payment of any part of the gross debt not otherwise

deductible; g. for any other purpose for which a deduction is authorized by law ; and h. for any purpose authorized pursuant to P.L.1997, c. 24 ( C.40:12-15.1 et seq. ) which is otherwise bondable pursuant to the “Local Bond Law,” N.J.S.40A:2-1 et seq. when the debt service on the obligations will be paid solely from a county or municipal

trust fund created pursuant to P.L.1997, c. 24 ( C.40:12-15.1 et seq. ) . No deduction shall be allowed for any obligations authorized or issued to finance

a purpose for which a deduction is allowed if, combined with a purpose for which a

deduction may not be taken, or for any obligation issued to fund or refund bonds or

notes if any of the outstanding bonds or notes paid, funded or refunded shall have

been issued for or combined with a purpose or indebtedness for which no deduction

can be taken under this chapter.