DLS issues storm-related borrowing guidelines

The Division of Local Services has issued guidelines for addressing emergency spending needs resulting from Tropical Storm Irene.

The five-page bulletin, “Hurricane Damage, Financing Emergency Expenses,” explains how municipalities can “deficit spend” for emergency purposes on both a short-term and long-term basis. Municipalities can authorize short-term borrowing to pay for emergency-related costs. Long-term borrowing, defined as lasting more than two years, requires the approval of the Municipal Finance Oversight Board and can be used only for capital purposes.

• Download “Hurricane Damage, Financing Emergency Expenses” (40K PDF)