Wednesday, May 23, 2012

Christie administration will close shortfall by borrowing transportation money despite promise

TRENTON — Undeterred by disappointing revenue figures, Gov. Chris Christie declared today that the state can still afford his proposed income tax cuts.

But in order to close the shortfall and pay for his signature tax cuts, the administration said it will borrow an extra $260 million for transportation projects instead of relying on cash on hand as promised. The decision marks a reversal by Christie, who pledged last year to cut down on transportation borrowing.

"This is a one-year initiative, and we do not make this recommendation casually," State Treasurer Andrew Sidamon-Eristoff told the Assembly Budget Committee today.

Democratic lawmakers quickly pounced on this, accusing Christie of borrowing money to give income tax cuts to the wealthy.......................

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