Democrats: LePage orders treasurer not to issue $100 million in voter-approved bonds

Source: Bangor Daily News

AUGUSTA, Maine — State Treasurer Neria Douglass says Republican Gov. Paul LePage has told her to withhold issuing nearly $100 million in bonds approved by voters last November.

In an email to Douglass, a Democrat, LePage canceled his authorization of some $100 million of bonds, according to a statement from Senate Democrats. Ericka Dodge, a spokeswoman for Senate President Justin Alfond, D-Portland, said the reason cited by LePage is that he wants to see the state’s cash reserves in the budget stabilization fund, otherwise known as the rainy day fund, reach $60 million before he’ll authorize issuance of the bonds.

The LePage administration did not immediately reply to requests for comment early Friday morning.

LePage has said previously said that he would withhold up to $100 million in voter-approved bonds because of a bill passed recently by the Legislature that restores $40 million in revenue sharing to Maine towns and cities that was cut as part of the two-year budget passed by the Legislature last year. LePage proposed last year in his biennial budget bill to cut revenue sharing completely for two years, but the Legislature restored some of that funding over LePage’s objections.

<more>

Read more: http://bangordailynews.com/2014/02/21/politics/democrats-lepage-orders-maine-treasurer-not-to-issue-100-million-in-voter-approved-bonds/?ref=comments