The Star Ledger reports that S&P has cut New Jersey's debt rating from A+ to A, citing
Governor Chris Christie's budget and pension issues. This is the eighth downgrade for N.J. under Governor Christie's administration.
Standard & Poor’s today became the latest agency to downgrade New Jersey’s credit rating, saying that shorting the state's public employee pension obligation, making rosy revenue forecasts that didn't come true and relying on one-shot budget measures have put “additional pressure on future budgets.” ...
This is the eighth time a credit rating agency has downgraded New Jersey since Christie took office in January 2010. And it comes just five days after another agency, Fitch, knocked New Jersey’s rating down a peg. No New Jersey governor has had as many downgrades on his or her watch.
"The downgrade reflects our view that New Jersey will face increased long-term pressures in managing its long-term liabilities and that the revenue and expenditure misalignment will grow based on reduced funding of the state's unfunded actuarial accrued liability," said Standard & Poor's credit analyst John Sugden.
Christie is "doing a heck of a job" managing state affairs. I hope these pension, budget and debt troubles don't distract him from his busy schedule, "chris-crossing" the country raising money for the Republican Governors Association.
If these downgrades keep up like this, folks may start to question Governor Christie's competence as a leader and manager. (Snark alert!) Thank goodness he has reassured us of his "legendary" skills of getting along with Democrats so I'm sure we can look forward to a quick resolution of this crisis - not!