{"id":57881,"date":"2016-05-28T14:25:00","date_gmt":"2016-05-28T12:25:00","guid":{"rendered":"http:\/\/www.arabtelegraph.com\/?p=57881"},"modified":"2016-05-28T14:25:00","modified_gmt":"2016-05-28T12:25:00","slug":"n-j-governor-christie-signs-atlantic-city-rescue-package-into-law","status":"publish","type":"post","link":"https:\/\/www.arabtelegraph.com\/?p=57881","title":{"rendered":"N.J. Governor Christie signs Atlantic City rescue package into law"},"content":{"rendered":"<p dir=\"ltr\"><strong><span class=\"articleLocatio&lt;\/span&gt;n\">New Jersey Governor Chris Christie on Friday signed into law a package of legislation that provides distressed gambling hub Atlantic City with immediate cash help but also a potential state takeover if the city cannot fix its finances.<\/span><\/strong><\/p>\n<p dir=\"ltr\">The bills will help reform the city&#8217;s &#8220;overblown municipal government&#8221; while protecting state and local taxpayers, Christie said in a statement while continuing to take shots at local officials.<\/p>\n<p dir=\"ltr\">&#8220;We all agree that Atlantic City&#8217;s government has not demonstrated the competence to properly manage the people&#8217;s money without state guidance and oversight,&#8221; he said.<\/p>\n<p dir=\"ltr\">The legislation &#8220;embraces my demand that Atlantic City immediately account for every dollar it receives and spends, and triggers a series of strict conditions and rigorous requirements the city must meet immediately,&#8221; Christie said.<\/p>\n<p dir=\"ltr\">Atlantic City Mayor Don Guardian did not immediately respond to a request for comment. Earlier on Friday, Guardian marked the opening of summer beach season for the seaside resort city.<\/p>\n<p dir=\"ltr\">The bills provide a $60 million, six-month bridge loan from the state to the city and establish $120 million of payments annually from casinos in lieu of property taxes, a move aimed at stabilizing the city&#8217;s volatile, eroded tax base.<\/p>\n<p dir=\"ltr\">In return, the city must prepare a balanced budget for fiscal 2017, which begins Jan. 1, and a five-year recovery plan. If it falls short, the state can move to take over operations and throw out collective bargaining agreements, among other powers.<\/p>\n<p dir=\"ltr\">The package could prove positive for the city&#8217;s credit rating, which is deep in junk territory at Caa3, because it provides much-needed financial relief and removes the immediate threat of default or bankruptcy, Moody&#8217;s Investors Service said after the governor announced his signature.<\/p>\n<p dir=\"ltr\">But a bond restructuring, which Guardian has said the city will likely pursue, would be considered a default if it includes bondholder impairment, Moody&#8217;s said.<\/p>\n<p dir=\"ltr\">The city has about $240 million of bond debt outstanding.<\/p>\n<h1 class=\"article-headline\" dir=\"ltr\"><\/h1>\n","protected":false},"excerpt":{"rendered":"<p>New Jersey Governor Chris Christie on Friday signed into law a package of legislation that provides distressed gambling hub Atlantic City with immediate cash help but also a potential state takeover if the city cannot fix its finances. The bills will help reform the city&#8217;s &#8220;overblown municipal government&#8221; while protecting state and local taxpayers, Christie &hellip;<\/p>\n","protected":false},"author":3,"featured_media":57885,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[36],"tags":[],"class_list":["post-57881","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-te-public"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>N.J. 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