New Jersey’s Unemployment Fund is Broke, Owes $1.3 Billion to Feds

PolitiFact New Jersey | New Jersey’s unemployment benefits fund is broke, with more than $1 billion owed to the federal government.

That is how, among other shortsighted tricks, the Christie administration balanced two consecutive budgets: By drawing money from other accounts, such as in this case, or by not meeting fiscal obligations, such as contributions to the Public Pension System.

It is a fiscal mirage, passing on the debt into the future.

The New Jersey Transportation Fund took about $1.5 billion from the Port Authority of NY and NJ. Then the PA raised the tolls.

But Christie is not the only governor at fault. His democrat predecessors tapped the unemployment fund as well.

New Jersey voters passed a constitutional amendment in November 2010 which prohibits drawing money out of the fund.