Posted by With a New Jersey state budget deficit estimated at nearly $10 billion in next year’s budget, and a deficit that may exceed $1 billion in the current fiscal year, Senate Republican Leader Tom Kean has called on Governor Jon Corzine to impound any unspent funds that exist in the current budget.
Under state law, the Governor has the legal authority to set aside and not spend money that has been appropriated in the budget.
Senator Kean’s call for an immediate impoundment of unspent funds is not unprecedented. Following the election of Jim McGreevey in 2001, the Governor’s incoming administration requested that the departing administration of Acting Governor Donald DiFrancesco freeze unspent funds. DiFrancesco complied with McGreevey’s request, impounding almost $1.2 billion of unspent funds…
