New Jersey is ripping the last slip from its I.O.U. book.
In order to address a $12 billion debt, the state will refinance $300-400 million in existing bonds to take advantage of lower rates while also issuing up to $900 million more, maxing out the state’s bond capacity.
The move will keep the New Jersey’s trust fund breathing until March 2011, when lawmakers must come up with another solution to get the account through the next fiscal year.