The Denville, Kinnelon and Boonton boards of education are the latest entities to take advantage of the Morris County Improvement Authority’s Guaranteed Capital Equipment Lease Program, which allows towns and school districts to borrow money at low interest rates to finance needed equipment.
The Denville Board of Education used the MCIA to facilitate a loan of more than $1.9 million for temporary classroom units, temporary office units, school buses, laptop computers, telephone and playground equipment.
The Kinnelon Board of Education used the MCIA to help transact two loans totaling more than half a million dollars for school buses and temporary classrooms, while the authority helped the Boonton Board of Education facilitate a $299,510 loan for new computer equipment.
“We’ve been very pleased with using the Improvement Authority,” said Juanita a Petty, school business administrator for the Boonton Board of Education. “They are very attentive, cooperative and they turn things around quickly. We’ve gone through two bonds with the authority and have been very pleased with both.”
The Guaranteed Capital Equipment Lease Program, backed by a guarantee from the Morris County Board of Freeholders, is an alternative method of funding, on a Triple-A tax-exempt basis, capital equipment such as vehicles, public works equipment and computers that may have been funded entirely through the budget process.
“This program offers a number of benefits to municipalities and school districts,” said Morris County Freeholder John Inglesino, liaison to the MCIA. “They are able to finance equipment at tax-exempt rates, the paperwork involved on their part is minimal, the payment schedule is flexible and Morris County’s Triple-A rating on the bond enables the town or school district to achieve the lowest possible interest cost.”
The boards of education in Denville, Kinnelon and Boonton join the Roxbury, Parsippany, Lincoln Park, Boonton Township, Randolph and Morris School District boards of education and Morristown, Dover and Mine Hill who have successfully used the lease-purchase program to facilitate nearly $7.5 million in loans since the program was established by the MCIA in 2004.
For more information, contact the Morris County Improvement Authority at (973) 285-6020 or visit the MCIA Web site, morriscountyimprovementauthority.org.