January 23, 2008
Contact: Bill Murray / 609-292-5199Senator Leonard Lance (R-23), Senator Tom Kean (R-21)
Senators Thomas Kean, (R-21), and Leonard Lance, (R-23), issued the following statement today blasting the Corzine administration for agreeing to borrow an additional $2.5 billion. The additional debt will be used to fund unfinished building projects in the 31 Abbott special needs districts.
“The Governor is reneging on his commitment to the people of New Jersey to reduce the state’s debt,” Lance stated. “The words are barely out of his mouth and the ink isn’t even on the paper yet on his ‘debt reduction’ plan and he intends to borrow an additional $2.5 billion. Of course the administration does not intend to seek the consent of the voters as the state constitution requires.”
In a letter, the Attorney General’s office told the Supreme Court that they would borrow $2.5 billion for school construction projects. Administration officials have stated that they intend to dedicate income tax revenue to the debt service. The additional $2.5 billion in general obligation bonds will bring total state debt by some estimates to more than $40 billion. This will be one of the highest debt loads per resident in the United States.
“I am astonished that the Governor would propose to borrow an additional $2.5 billion after stating in his State of the State message that ‘It is up to those of us in this room to change the credit card culture of New Jersey’s finances, ’’’ Kean said. “Additionally, if he intends to define income tax collections as a dedicated revenue stream then all of the fiscal reforms he proposed during his State of the State won’t be worth the paper they are printed on.”
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- Lance Dismayed By Administration’s Decision To Permit $2.5 Billion In Borrowing Without Voter Approval
February 20, 2008 - Bateman: Corzine Should Conditionally Veto Massive New Borrowing and Ask the Voters to Approve Original Amount
June 25, 2008 - Lance: $3.9 Billion in Debt Needs Voter Approval
June 20, 2008 - Extra $1 Billion Demonstrates Why Voters Need to Approve All Borrowing
March 10, 2008 - Lance Urges Governor to Drop School Borrowing Plans
May 22, 2008
