Municipal Building, 60 Margaret King Ave., Ringwood, NJ 07456 | (973) 962-7037 | Monday - Friday 8:30am - 4:30pm

Home  |  Contact Us  |  Sitemap

Bonding

 

Bonding , the final means of financing local government , is borrowing money through bond sales and bond ordinances. The Borough has incurred such debts for large local projects, construction of the municipal garage, and other projects that require money beyond the scope of local taxation. Ringwood's bond rating is A-1, considered excellent for a Borough of its size. The rating determines the interest rate Ringwood must pay for the bonds.

The extent of municipal debt is limited by state law to 3.5 percent of equalized assessed valuation averaged over a three-year period. The debt limit would normally increase each year for a growing town. School debt is considered separately and is set by state law at 4 percent of evaluation with the exception that when a school district has reached its debt limit, it may draw upon the unused credit of the municipality. In the event that the need of the community is greater than the combined capacity of the school and Borough, both have the right to petition the state for an extension of their credit.

Additional Links