Borrowing Re-Emerges as a Budget Fix
(WSJ) — As shutdown of state government looms over budget negotiations between Gov. David Paterson and lawmakers, expectations are growing that Albany will have to borrow money to close a gaping deficit.
Negotiations between Mr. Paterson and legislators have stirred back to life after months of impasse because of the threat of a shutdown. But the prospects of closing a budget gap without borrowing hundreds of millions of dollars have dimmed, despite this week’s passage of a bill that trimmed Medicaid spending.
