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Camden County Announces Recovery Zone Facility Bonds
The Camden County Freeholders announced that Camden County has been authorized to issue $25,626,000 of Recovery Zone Facility Bonds (RZFB), a program of the American Recovery and Reinvestment Act (Recovery Act). Recovery Zone Bonds are targeted to areas particularly affected by job loss and will help local governments obtain financing for much needed economic development projects, such as public infrastructure development.
“The low cost financing options provided under this program will stimulate economic development in the designated recovery zone areas, as designated by the Freeholder Board”, said Louis Cappelli, Director of the Camden County Board of Freeholders. “The recovery zone areas are located throughout the County”, added Cappelli.
The County has re-allocated its RZFB authorization to and has specifically designated the Camden County Improvement Authority as the conduit issuer of any and all RZFBs in the County. Pursuant to the Act and as specifically set forth by resolution of the Board of Freeholders, projects financed with RZFBs must be located in designated Recovery Zones as described in the Act and established by resolution of the Freeholders.
The Recovery Act included $25 billion for two new types of Recovery Zone Bonds – $10 billion for Recovery Zone Economic Development Bonds and $15 billion for Recovery Zone Facility Bonds. Recovery Zone Economic Development Bonds are one type of taxable Build America Bond that allow state and local governments to obtain lower borrowing costs through a new direct federal payment subsidy, for 45 percent of the interest, to finance a broad range of qualified economic development projects, such as job training and educational programs. Recovery Zone Facility Bonds are a type of traditional tax-exempt private activity bond that may be used by private businesses in designated recovery zones to finance a broad range of depreciable capital projects.
Of the $15 billion RZFB authorization, $376,655,000 has been allocated to New Jersey based on 2008 job losses, with additional sub-allocations made to counties and large cities on the basis of their job losses. Specifically, Camden County has been allocated $25,626,000 of RZFB issuance authorization.
To apply for Recovery Zone Facility Bonds, please visit http://business.camdencounty.com/RZFBs_ApplicationPackage.aspx
“The low cost financing options provided under this program will stimulate economic development in the designated recovery zone areas, as designated by the Freeholder Board”, said Louis Cappelli, Director of the Camden County Board of Freeholders. “The recovery zone areas are located throughout the County”, added Cappelli.
The County has re-allocated its RZFB authorization to and has specifically designated the Camden County Improvement Authority as the conduit issuer of any and all RZFBs in the County. Pursuant to the Act and as specifically set forth by resolution of the Board of Freeholders, projects financed with RZFBs must be located in designated Recovery Zones as described in the Act and established by resolution of the Freeholders.
The Recovery Act included $25 billion for two new types of Recovery Zone Bonds – $10 billion for Recovery Zone Economic Development Bonds and $15 billion for Recovery Zone Facility Bonds. Recovery Zone Economic Development Bonds are one type of taxable Build America Bond that allow state and local governments to obtain lower borrowing costs through a new direct federal payment subsidy, for 45 percent of the interest, to finance a broad range of qualified economic development projects, such as job training and educational programs. Recovery Zone Facility Bonds are a type of traditional tax-exempt private activity bond that may be used by private businesses in designated recovery zones to finance a broad range of depreciable capital projects.
Of the $15 billion RZFB authorization, $376,655,000 has been allocated to New Jersey based on 2008 job losses, with additional sub-allocations made to counties and large cities on the basis of their job losses. Specifically, Camden County has been allocated $25,626,000 of RZFB issuance authorization.
To apply for Recovery Zone Facility Bonds, please visit http://business.camdencounty.com/RZFBs_ApplicationPackage.aspx