A key fiscal panel is recommending the state continue with a plan to borrow up to $1.75 billion for capital projects in the coming fiscal year, despite the potential for fiscal headwinds from the federal government shutdown and layoffs of federal workers.

The recommendation Thursday by the Capital Debt Affordability Committee sticks to a borrowing plan originally set two years ago.

“Maintaining the current level of debt at the $1.75 billion will enable the state to continue to make progress on priority capital needs, including school construction, economic development, housing affordability and replacement of state-owned facilities,” said Acting Budget Secretary Marc Nicole. “Recommending any less than $1.75 billion will hamper our progress on these critical investments.”

Approval from the panel took less than 10 minutes.

The unanimous recommendation by the committee is not binding on the governor nor the legislature. But the recommendation is not expected to encounter problems as it is a continuation of a proposal to increase capital spending approved by the panel two years ago.

“Maintaining the level at $1.75 billion should not raise significant concerns for the two bond rating agencies that are continuing to rate us AAA, as we are matching our prior year plans,” Nicole said.

READ FULL ARTICLE HERE

The post Panel Recommends Issuing Up To $1.75 Billion In Bonds For Coming Fiscal Year appeared first on citybiz.

This contant was orignally distributed by citybiz. Blockchain Registration, Verification & Enhancement provided by NewsRamp™. The source URL for this press release is Panel Recommends Issuing Up To $1.75 Billion In Bonds For Coming Fiscal Year.