A deal between Gov. Phil Murphy and Senate President Steve Sweeney to borrow up to $10 billion to plug holes in the state budget created through the coronavirus pandemic was finalized this morning, the New Jersey Globe has learned.
Murphy made a couple of changes to the original proposal to help bring Sweeney and the Senate Democrats on board.
Legislation will include the creation of a commission that will approve the issuance of bonds. Sweeney and Assembly Speaker Craig Coughlin will name a four-member commission members.
The bill will authorize the state to borrow up to $2.7 billion between now and September, and another $7.2 billion between September and June 2021.
That doesn’t necessarily mean the Legislature will approve every request State Treasurer Elizabeth Muoio sends to the commission.
The Senate had initially sough to approve individual expenditure.
Coughlin became Murphy’s partner on the borrowing plan in late May after Murphy agreed to allow legislative oversight and some budget cuts.
Murphy and the legislative leaders are expected to make an announcement at 1 PM.