58:25-9 - Municipal collector system inoperable due to unavailable interceptor system; state aid for interest and debt service costs - New Jersey Statutes

58:25-9.  Municipal collector system inoperable due to unavailable interceptor system;  state aid for interest and debt service costs
    Whenever any local governmental unit, pursuant to an order or in the case of  a municipality in a county of the first class, pursuant to an order or written  approval of the Department of Environmental Protection and in compliance  therewith, has completed installation of a sanitary sewerage collector system  and issued bonds or bond anticipation notes to finance such system, and such  system is inoperable because the sewerage authority charged with the duty of  providing an interceptor system has not yet so provided and therefore no  interceptor system is ready to receive the effluent from such municipal  collector system through no fault of the local governmental unit, the State  shall reimburse such governmental unit for annual interest and debt service  costs for the collector system.  Such payments shall be made for such period  that the collector system remains inoperative and should the system become  operable for any portion of a year, payment shall be made for the entire year.   That portion of the reimbursement representing principal received at any time  on or after July 1, 1982, shall be treated as a loan to be repaid by the local  governmental unit to the State over a period of years equal to the number of  years during which those loan payments were received by the local governmental unit and in the same amount per year and same order each year as those loan payments were received, but the repayments shall not commence until the first  full calendar year after the collector system becomes operative and after all  principal and interest on the outstanding obligations of the local governmental  unit for the collector system have been repaid.  Upon receipt of a written  request from a local governmental unit, the Local Finance Board, if compelling  reasons are demonstrated, may modify the repayment schedule, provided all  repayments are made within the same number of years as required hereinabove.     L.1979, c. 321, s. 19, eff. Jan. 18, 1980.  Amended by L.1981, c. 400, s. 1, eff. Jan. 6, 1982;  L.1981, c. 468, s. 1.