Millions in bond swap with the library to aid the Hoboken budget gap?

NJ.com reports the Hoboken Library may if the City Council approves it, make an exchange of $4.6 million in capital funds for a bond from the City of Hoboken to aid it in covering its massive budget deficit this year.

The Ravi Bhalla budget deficit was reportedly in the area of $14 million prior to the pandemic.

From the NJ.com story:

The Hoboken Public Library is scheduled to undergo its first major renovation in its more than 100-year history in 2021, officials said.

A $4.6 million bond for the project is scheduled for introduction by the City Council on Wednesday. In exchange for the bond, the library would pay the city back with cash from its capital reserve to help with immediate city budget concerns, said library board President Jerome Abernathy.

The bond would include a downpayment of $230,700 and would last would last 20 years..."

Talking Ed Note: The NJ.com story confirms the weekend reporting here to premium members over the weekend. It's unclear if the action is legal under the rules governing NJ municipalities forbidding bonding to cover actual budget expenses. 

The proposal on the City Council agenda is put up by the Bhalla Administration but the City Council remains in the dark asking when it will see an actual budget? There's no answer forthcoming.

The budget dominoes are tumbling one over another. Where's the transparency?