MA Borrows Unprecedented Amount of Money in FY 2008

The state of Massachusetts needs to borrow $400-million in short-term loans in order to make more than $1-billion dollars in local aid payments next week. State treasurer Tim Cahill told WFCR’s Tina Antolini that the state fully expects to be able to repay the loan when tax revenues begin coming in, in April. Cahill says while the state has borrowed money every one of the five years he’s been treasurer, this year’s borrowing is unprecedented.