HARTFORD, Conn. (AP) — Gov. Dannel P. Malloy has authorized $550 million in temporary lines of credit at the request of the state treasurer in case the state needs cash to pay its bills.
Treasurer Denise Nappier says state government is facing reduced cash levels and obtaining credit lines is a precautionary measure. Malloy's authorization doesn't mean money from the credit lines will be used.
The Democratic governor's approval comes as state Comptroller Kevin Lembo is projecting a $415 million deficit in this year's $20 billion state budget. The shortfall estimate is $50 million higher than the one by the Malloy administration.
Republican lawmakers say they're against borrowing money to pay operating expenses. They say they've been questioning the adequacy of the state's cash reserves for months.
Copyright 2013 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Did you like this article? Vote it up or down! And don't forget to add your comments below!
northlander41 | December 5 2012 1:17pm
The Democrats have borrowed incredible amounts of Money using very low borrowing rates. When those rates go up, which they will, just watch the Dems will borrow just to pay the interest on the debt they allowed us to accumulate. Then there will be much pain by the taxpayers and the handout recipients as the CT system collapses along with the Federal system. But the voters here are just too dumb or entitled to do anything about it - sickening..
Hosed-by-the-system | December 5 2012 12:33pm
Ever sense the first smoke & mirrors budget this administration passed its been getting worse and worse........borrow....borrow.....borrow..........
northlander41 | December 5 2012 12:11pm
The CT Democrats are misleading the public again. This deficit created by the CT Dems will grow every month and borrowing money to pay for it is hiding the fact that the CT Democrats have spent beyond our means. I expect WTNH will also work to hide this from the public. CT the place where the handout takers come and are welcomed by our Democrat lawmakers to buy their votes...
Add a Comment
Sign in or join now to post a comment. All comments will display your username and avatar.