Title
Dept/ Agency: Finance
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Purpose: Application to Local Finance Board for approval
of bond ordinance
Name of Project(s): Emergency Temporary Appropriation - Refunding Bonds
Amount to be Financed: $30,100,000.00
Funding Source: Bonds and/or Bond Anticipation Notes
Local Finance Board meeting date(s): February 12, 2026
Project Information:
(Description/ Project No./ Amount Appropriated/Ordinance No.)
RESOLUTION OF THE CITY OF NEWARK, IN THE COUNTY OF ESSEX, STATE OF NEW JERSEY (THE “CITY”) AUTHORIZING THE SUBMISSION OF AN APPLICATION TO THE LOCAL FINANCE BOARD (A) PURSUANT TO N.J.S.A. 40A:2-51 AND N.J.S.A. 40A:2-55 IN CONNECTION WITH THE ISSUANCE OF NOT TO EXCEED $30,100,000.00 AGGREGATE PRINCIPAL AMOUNT OF REFUNDING BONDS AND/OR REFUNDING NOTES TO FUND AN EMERGENCY TEMPORARY APPROPRIATION TO REPAY A LOAN IN THE AMOUNT OF $30,000,000.00 RECEIVED FROM THE DIVISION OF LOCAL GOVERNMENT SERVICES WITHIN THE DEPARTMENT OF COMMUNITY AFFAIRS OF THE STATE OF NEW JERSEY, AND (B) FOR THE APPROVAL OF A REFUNDING BOND ORDINANCE OF THE CITY PURSUANT TO THE PROVISIONS OF THE MUNICIPAL QUALIFIED BOND ACT, N.J.S.A. 40A:3-1 ET SEQ. (THE “ACT”)
Additional Information:
body
WHEREAS, the Municipal Council of the City of Newark, in the County of Essex, State of New Jersey (the “City”), desires to submit an application to the Local Finance Board within the Division of Local Government Services in the Department of Community Affairs of the State of New Jersey (the “Local Finance Board”) requesting it to approve (i) the issuance of refunding bonds and/or refunding notes in an aggregate principal amount not to exceed $30,100,000.00 (the “Refunding Obligation s”), (ii) the final adoption of the refunding bond ordinance related thereto, all in accordance with N.J.S.A. 40A:2-1 et seq., as amended and supplemented (the “Local Bond Law”), specifically 40A:2-51 and §40A:2-55 of the Local Bond Law, and (ii) the final adoption of the Refunding Bond Ordinance pursuant to the provisions of the Municipal Qualified Bond Act, N.J.S.A. 40A:3-1 et seq. (the “Act”), specifically N.J.S.A. 40A:3-4(b); and
WHEREAS, the proceeds of the Refunding Obligations shall be used to fund an emergency temporary appropriation pursuant to N.J.S.A. 40A:4-20 authorized by a resolution adopted by the Municipal Council of the City on the date hereof and filed with the Director of the Division of Local Government Services in the Department of Community Affairs to repay a $30,000,000.00 Transitional Aid to Localities loan from the Division of Local Government Services within the Department of Community Affairs of the State of New Jersey (the “Division”) payable by the City to the Division no later than March 3, 2026; and
WHEREAS, the City believes that:
(a) it is in the public interest to accomplish such refunding;
(b) said refunding is for the health, wealth, convenience or betterment of the inhabitants of the City;
(c) the amounts to be expended for said refunding are not unreasonable or exorbitant;
(d) the refunding is an efficient and feasible means of providing services for the needs of the inhabitants of the City and will not create an undue financial burden to be placed upon the City.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, IN THE COUNTY OF ESSEX, STATE OF NEW JERSEY THAT:
1. The submission of an application (the “Application”) to the Local Finance Board for the purposes referenced in the recitals above is hereby authorized and approved. Wilentz, Goldman & Spitzer, P.A., the City’s Bond Counsel (“Bond Counsel”), and NW Financial Group LLC, the City’s municipal advisor (the “Municipal Advisor”), along with other officials and representatives of the City, are hereby authorized and directed to prepare and submit such Application to the Local Finance Board and to represent the City in such matters pertaining thereto and any previous actions taken by Bond Counsel and the Municipal Advisor, along with other officials and representatives of the City, related to the preparation and submission of the Application are hereby ratified and confirmed.
2. The City Clerk is hereby directed to prepare and file certified copies of this resolution, as adopted, and the refunding bond ordinance, after first reading, with the Local Finance Board as part of such Application.
3. The Local Finance Board is hereby respectfully requested to consider such Application and to record its approval as provided by the applicable provisions of the Local Bond Law and the Municipal Qualified Bond Act, specifically N.J.S.A. 40A:3-4, and provide its consent to be endorsed upon the Refunding Bond Ordinance.
4. This resolution shall take effect immediately,
STATEMENT
Resolution authorizing the submission of an application to the Local Finance Board in connection with the issuance of not to exceed $30,100,000.00 aggregate principal amount of refunding bonds and/or refunding notes to fund an emergency temporary appropriation to repay a loan in the amount of $30,000,000.00 received from the Division of Local Government Services within the Department of Community Affairs of the State of New Jersey.