New Jersey § 52:27d-118

§ 52:27d-118.

a. The board shall determine the total amounts of grants and loans, or any combination

thereof, to be provided to each eligible municipality and the director shall certify

that amount to the State Treasurer and the governing body of the eligible municipality. In the case of loans to an eligible municipality, the board shall set forth the

terms of the loan agreement, including whether or not any interest shall be paid and,

if so, the rate of that interest. The term of a loan authorized under the provisions of P.L.1987, c. 75 ( C.52:27D-118.24 et seq. ) shall not exceed 10 years. As a condition of receiving assistance under the provisions of P.L.1987, c. 75 ( C.52:27D-118.24 et seq. ) , an eligible municipality shall implement any government, administrative and operational efficiency, and oversight measures necessary

for the fiscal recovery of the municipality as recommended by the director and approved by the board, and be subject to management and fiscal audit by the director. The determination of the board pursuant to P.L.1987, c. 75 as to the amount of financial assistance to be paid to an eligible municipality shall

be final and conclusive, and there shall be no appeal therefrom nor any review thereof. b. The director may withhold from an eligible municipality any State aid payments

that are disbursed by the Division of Local Government Services if the director finds

the municipality has failed to implement fiscal recovery measures approved by the

board. Upon withholding an aid payment, the director shall report to the board the circumstances

surrounding the reasons for withholding aid. The board shall then hold a hearing to give the eligible municipality an opportunity

to explain why such aid payments should not continue to be withheld, and what action

the eligible municipality plans to take to implement the fiscal recovery measures. Upon completion of the hearing, the board shall determine if State aid payments

should continue to be made to the municipality, establish a schedule for such payments

when appropriate, and determine what other actions should be taken. c. If an eligible municipality receives increased amounts of aid under P.L.1987, c.

75 ( C.52:27D-118.24 et seq. ) after January 1, 1999 and continues to receive such aid for two continuous fiscal

years, at the end of each second year, or at such other time the board deems appropriate,

the board shall hold a hearing for the eligible municipality to demonstrate why the

board should not create a financial review board to oversee the fiscal condition of

the eligible municipality. If the board finds that the eligible municipality has successfully implemented fiscal

recovery measures or has otherwise acted to improve sufficiently its fiscal condition,

the board shall permit the eligible municipality to continue to receive aid without

the creation of a financial review board and be subject to such other fiscal recovery

conditions the board may place on it; otherwise, the board shall order, by resolution,

the creation of a financial review board to operate in accordance with the provisions

of subsections b. through d. of section 5 of P.L.1999, c. 156 ( C.52:27D-118.30a ).