New Jersey and New York City, two of the municipal bond market’s largest borrowers, lead the biggest week of state and local government sales in a month as issuers test demand after investors pulled $12.5 billion from muni mutual funds in December.
New Jersey Governor Chris Christie and lawmakers are pushing for the state’s first general- obligation bond issue for higher education in almost 25 years in a bid to staunch the nation’s biggest exodus of college students.
Power companies raced to assess damage, clear trees and begin restoring electricity to more than 6.2 million people left without electricity by super-storm Sandy, warning some blackouts may persist through next week.
New Jersey’s pension fund has only two-thirds of the assets needed to pay future benefits, and the gap widened even as Governor Chris Christie boosted employee contributions and froze raises, according to state data.
New Jersey has indefinetely postponed an Oct. 30 sale of $2.6 billion of short-term debt, its largest ever, as Hurricane Sandy threatens to make landfall in the area that day, said a spokesman for the state’s treasurer.
Governor Chris Christie ’s pledge to erase New Jersey ’s budget deficit by disparaging public-worker unions has helped make him a national Republican star. Those who buy the state’s bonds are less impressed.
Four months before he joined Governor Chris Christie’s administration as New Jersey’s chief economist, Charles Steindel recommended a tax surcharge on the state’s wealthiest residents, a view his current boss opposes.