Liquor Control Board Votes To Begin Borrowing Efforts
HARRISBURG (CBS) -- The Liquor Control Board voted Friday to retain advisers to help implement the governor's plan to borrow more than a billion dollars against future earnings.
What that means for legislative efforts to balance the state budget is unclear.
The Liquor Control Board approved contracting with financial advisers and legal counsel to pursue the borrowing. The LCB action comes just a few days after the state House voted for a plan to borrow $1.5 billion against future tobacco settlement payments.
At the time, the Senate majority leader said he was concerned about heading down two tracks, the House's plan versus Governor Wolf's intention to securitize $1.25 billion in liquor system profits.
Chairman Tim Holden said the LCB borrowing could be called off should the governor get an acceptable revenue plan from the legislature.
"It's not irreversible. Nothing's irreversible. There'd probably be some fees that would be incurred in the meantime. But we have no intention of rescinding this," Holden said.
Fees for two contracts authorized by the LCB were capped at $300,000 each.