Governor Plans To Pay Off Visa With Amex

January 11, 2008

Contact: Bill Murray
(609) 292-5199

Jon Corzine has been telling the public that his plan will reduce debt. The opposite is true.

Jon Corzine’s plan issues almost $40 billion in additional debt. Some of the new debt will replace existing debt. But our long term debt load is not disappearing in any way, shape, or form. It is simply being pushed around. Jon Corzine has been telling the public that his plan will pay down long term bonded debt faster. The opposite is true.

Currently, our State commits approximately $3 billion in the State budget to paying down our long term bonded debt. Governor Corzine has proposed immediately reducing the level of money we set aside in the budget to pay down long term bonded debt. In the short term, there will be small revenue increases from tolls to also pay down debt, but that small increase will come nowhere close to the retreat from the current commitment to making payments to retire long term bonded debt. In the later years, our commitment will have to increase dramatically in return for the upfront savings which is why the Governor needs to increase tolls so dramatically in the out years after he has left office.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: