Fellow Democrats may thwart Rendell bond sale

Two top Democrats may prevent Pennsylvania Gov. Ed Rendell from issuing a billion-dollar bond sale during his final days in office.The governor needs approval from either the auditor general or treasurer to issue a bond offering, but Auditor General Jack Wagner, a Democrat, said he won’t sign off on Rendell’s proposed billion-dollar sale.The issue is “inappropriate” in the final days of Rendell’s tenure, said Wagner.”Taking on an additional one billion in debt means for the next 20 years we will have to pay an annual debt service of approximately 82 million dollars a year, beginning next year – 2011,” said Wagner. “That’s another $82 million added on to the deficit that’s projected to be $4 billion to $5 billion.”Treasurer Rob McCord, another Democrat, hasn’t decided whether  to approve the bonds. He’s sent a letter to Gov.-elect Tom Corbett asking for the Republican’s input.A Corbett spokesman said McCord will get a response later this week.Rendell’s spokesman, Gary Tuma, said Pennsylvania needs the bonds because most of the money will go toward construction projects already under way. Tuma said people will lose their jobs, and the state could be sued, if the money doesn’t come through.