Requires public referendum prior to issuance of general obligation bonds by local units.

This bill requires local governments in New Jersey to hold a public referendum before issuing general obligation bonds, which are loans used to fund major projects like schools or infrastructure. Under the new rule, a local unit must first publish details about the proposed debt and hold a hearing where residents can voice their opinions before a vote is scheduled. The legislation amends existing state laws to ensure that borrowing decisions are directly approved by the voters rather than solely by local officials. This change directly affects municipalities, school districts, and other local entities that currently have the authority to issue bonds without a direct public vote.