March 17, 2013

Re: Executive Order Expands eligibility requirements for 
       FEMA Community Disaster Loan Program

Dear Mayor

On Friday, March 15, 2013 Governor Chris Christie signed Executive Order No. 128 requiring every local governmental entity in the state that can meet the eligibility requirements to apply for a FEMA Community Disaster Loan. The order also empowers the Division of Local Government Services within the Department of Community Affairs and the Commissioner of Education the authority to implement the Community Disaster Loan  Program in New Jersey and to require application to the program be made by local governments. Every municipality, county, school district, fire district, local authority and every other local governmental entities in New Jersey is subject to this order.

Please click here to download a copy of Executive Order 128.

The League and Division of Local Government Services have already issued guidance on this Program. See League Mayors letter of March 13, 2013 and additional notices the Division has previously sent  www.nj.gov/dca/divisions/dlgs/lfns/13/2013-8.pdf and www.nj.gov/dca/divisions/dlgs/lfns/13/2013-10.pdf

Responding to the League's request, tomorow (Monday March 18) the DLGS will be extending the application deadline to May 15, 2013 to give towns more time to apply. It is very important to note that local governments must be able to show they reasonably expect to lose 5% of revenues in 2013 (ratable losses, fees, etc to be eligible for the program). The League and DLGS have already worked together to ensure towns are applying and in fact 33 towns have applied and we anticipate the others to follow shortly.

It is also very important that all towns that apply for this program encourage their school counterparts to do this as well. Education dollars make up a substantial portion of the local property tax bill and they need to do all they can to help reduce that burden.

Again we applaud the Governor in signing this Executive Order and we appreciate the help and assistance we continue to receive from DLGS in implementing this important program.

Very Truly Yours,

William G. Dressel, Jr.
Executive Director