Hunterdon County is moving to create a new improvement authority with the goal of helping its municipalities reduce borrowing and debt management costs by leveraging the county’s financial standing.
The Hunterdon County Commissioners approved a resolution last week to apply to the New Jersey Local Finance Board for the establishment of the Hunterdon County Improvement Authority.
The idea came out of recommendations from the county’s Shared Services forums, according to a press release.
The authority, if approved by the state board, seeks to provide voluntary, cost-effective financing solutions for towns undertaking capital projects.
According to county officials, the projects could include improving roadways, purchasing police patrol vehicles and heavy equipment, and enhancing open space and public parks.
An independent analysis conducted by Phoenix Advisors indicated that municipal taxpayers in Hunterdon County could have saved close $700,000 in interest fees over the past two years if such a program had been operational.
Commissioner Zach Rich, a member of the budget committee, pointed to the financial benefits for local municipalities.
“Through this shared service model, our local municipalities will see lower interest rates and administrative expenses by working directly with county government on borrowing needs,” Rich said.
Municipalities won’t have to partake in the program, officials said.
The program will be a direct benefit to taxpayers from the county’s “decade of no debt, strong financial controls, and top-tier credit rating,” Rich stated.
Commissioner Director John Lanza noted the broad impact of the step to create the authority.
“This marks another step forward in Hunterdon County’s commitment to shared services and good governance,” said Lanza. “It’s a key part of the ongoing ‘New Era of Partnership’ we’ve built with our municipalities.”
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