Thompson: Report Shows Rapidly Rising State Debt, Contradicting Murphy Administration Claims

Senator Sam Thompson said the new state debt report issued today by the Treasury Department directly contradicts claims by Governor Phil Murphy and Treasurer Elizabeth Maher Muoio that they have reduced state debt.

“The professionals in Treasury have produced a debt report verifying that New Jersey’s total debt increased by $44 billion last year, including a $4.3 billion increase attributable to Governor Murphy’s wasteful and unnecessary deficit financing,” said Thompson (R-12). “The truth about New Jersey’s debt that’s revealed in the professional report stands in stark contrast to the false claims by Treasurer Muoio and Governor Murphy that the administration has reduced state debt. They haven’t been honest with people at all.”

Treasurer Muoio delivered the debt report today to the New Jersey Commission on Capital Budgeting & Planning on which Thompson serves.

Thompson also disputed Murphy administration claims that $5 billion in the new state budget has been dedicated for debt reduction.

“The Treasurer’s latest claim that $5 billion has been set aside in the budget for debt reduction is just as untrue as her prior claims that the Murphy administration has reduced debt,” added Thompson. “This funding is for new spending, including pork projects, that will be chosen by a star chamber in a back room without transparency or oversight. Most of these projects likely would not qualify for funding under prior debt authorizations, which will continue to be fully utilized. Frankly, the Treasurer has lost all credibility.”