The good news is that with fiscally responsible spending reforms and a recovering economy, North Carolina is getting out of debt. Four years ago, we’d maxed out our borrowing options, depleted our savings accounts and risked losing our good credit.
The $2.6Billion debt to the federal government for unemployment benefits will be paid off in early spring. We’re paying down $6.8 Billion in debt we owe and we have not taken on any more in the last four years. With transformational tax, regulatory and infrastructure reforms, we’re seeing an economic recovery that outpaces the national and regional recoveries. We’re on the way out of debt and on the way to fiscal stability,
According to a report from the State Treasurer this week, things are so good that we are in a position to borrow money again. If we’ve learned any lessons from poor fiscal management over the last few decades, we know now is not the time for running up that debt again but for prudent consideration and restraint. It’s all part of this Carolina Comeback you hear the governor talk about. The governor has suggested a $1 Billion bond for transportation needs. Senator Phil Berger has said the General Assembly does not intend to push it’s borrowing limits.
State Budget Director and the State Auditor say any new debt should be approved by the taxpayers. They re right. After all, we’re the ones paying the bill.
