Public Benefit Corporation Would be Allowed to Issue More Debt
Without Legislative or Voter Approval

State Senator Kevin O’Toole (R-40) made the following statement today regarding the recent revelations concerning Governor Corzine’s asset monetization plan. It was revealed that the Public Benefits Corporation would be authorized to sell more bonds after the initial $40 billion issuance:

"Governor Corzine’s asset monetization plan is the largest bonding venture by any state government in our country’s history. The enormity of this 75 year, $40 billion deal is breathtaking and terribly complicated. We need to slow down the legislative review and thoroughly explore all the details of this plan.

"During yesterday’s Senate Budget and Appropriation’s hearing I asked Governor Corzine’s Director of Public Finance, Nancy Feldman, a very simple question and received a very startling answer. The Public Benefit Corporation would have the authority to issue more debt beyond the initial $40 billion in bonds. After this was revealed, it lead to more questions and more concerns. Ms. Feldman’s revelation exposed just how much unfettered power and independence this corporation will have. It begs the question, how much debt can be realized in this 75 years?

"With so many questions surrounding this corporation and who it really will be responsible to, we must ask whether it truly would provide a ‘public benefit’ as its name suggests."