N.J. Governor Wants Bonds to Offset Billions in Lost Revenue
- Emergency may let state bypass court ban on deficit borrowing
- Higher sales, property taxes if revenue doesn’t materialize
Phil Murphy
Photographer: David Dee Delgado/BloombergThis article is for subscribers only.
New Jersey Governor Phil Murphy is pitching a borrowing plan to help make up for billions of dollars of lost revenue in the current and next budget amid a virus-induced lockdown.
The New Jersey Covid-19 Emergency Bond Act, outlined in draft legislation seen by Bloomberg, would authorize the Murphy administration to issue general-obligation bonds and “emergency liquidity notes,” and apply for loans from the federal government “to maintain and preserve the fiscal integrity of the state.”