Governor Phil Murphy today announced that his administration has an agreement on bonding.
The senate will move on legislation to give the Murphy Administration full authority to have the funds necessary to keep the state’s finances afloat, Murphy said.
“I want to explicitly thank the senate president and the speaker,’ Murphy said.
Senator Declan O’Scanlon (R-13) struck out at the deal.
“We learned by press release that Democrat leaders have come to a private agreement to fast-track the largest borrowing scheme in New Jersey history and likely the largest that any state has ever issued,” said the Monmouth-based Republican. “Within the next week, they plan to give Governor Murphy the ability to borrow nearly $10 billion to cover State spending, without demanding any real attempts to achieve savings.
“This plan represents fiscal irresponsibility on a scale that is unprecedented even by Trenton standards.
“To fund spending over the next fiscal year, taxpayers will be on the hook for $10 billion of debt and potentially more than $30 billion of interest payments over the 35-year repayment period that the proposal allows. At the same time, Wall Street bankers will collect hundreds of million of dollars in fees at New Jersey’s expense.
“To saddle the next generation of New Jerseyans with potentially $40 billion of debt repayments for spending that will occur next year is beyond insane. That’s exactly why schemes like this must be approved by the public.
“Unsurprisingly, the Democrats’ partisan agreement fails to address the simple fact that this record-setting, multi-billion borrowing scheme to fund State operating expenses remains unconstitutional without voter approval.”