A week after Governor Christie announced the appointments, the leader of the New Jersey Senate is voicing criticism of the selections of an emergency manager and consultant to stabilize Atlantic City’s finances.
Senate President Steve Sweeney says Christie’s appointment of restructuring specialist Kevin Lavin and Kevyn Orr, who helped guide Detroit through bankruptcy, is a horrible thing. “He put Atlantic City in a position where they’re not going to be able to function. When Atlantic City went out for debt just the other day, no one would buy it, but guess what, why would anybody buy debt in Atlantic City when you have bankruptcy officials involved in the management and oversight of the city.”
Sweeney says there could be a negative financial ripple effect on other cities in New Jersey. He says he won’t allow any community in the state to go bankrupt.
Sweeney is threatening to go to court if Lavin and Orr seek bankruptcy protection for Atlantic City.