Type I School District debt is included in which part of the municipality?

Type I School District debt is primarily included in the debt service fund. This is because the debt service fund is specifically designed to manage the financial obligations resulting from borrowing, including the payment of interest and principal on the debts incurred by the school district. This fund is separate from the general fund, which covers day-to-day operational costs, and the current fund, which typically addresses ongoing expenses.

Including Type I School District debt in the debt service fund ensures that the municipality can allocate resources specifically for meeting these financial obligations without affecting other areas of the budget. The capital improvement budget focuses on funding long-term investments and infrastructure projects and is not directly associated with the regular servicing of existing debt.

Recognizing the classification of these funds aids in understanding the financial structure and obligations within the municipal budget, ensuring transparent financial management and accountability.