Puerto Rico's governor made a last-ditch effort yesterday to persuade a federal control board that furloughing tens of thousands of government workers would be an unnecessary blow to the U.S. territory's struggling economy, the Associated Press reported yesterday. Gov. Ricardo Rossello spoke at a news conference looking ahead to a Friday meeting at which the board that oversees the island's finances is scheduled to vote on whether to order furloughs and other measures to rein in spending by the debt-laden government, whose revenues have been strained by a 10-year recession. Rossello said the Puerto Rico administration has nearly $1.8 billion in cash, which he says is far more than what the board has required to avoid furloughs. The governor has vowed to go to court to fight any furloughs, which he said yesterday would have a $600 million negative economic impact. The board has not publicly said whether it will vote in favor of furloughs or take other actions when it meets today. The board also is expected to talk on Friday about ways to reform the public pension system, which faces nearly $50 billion in liabilities.
For updated news and analysis of Puerto Rico's debt crisis, along with current docket filings in Puerto Rico's case, be sure to visit ABI's "Puerto Rico in Distress" webpage.
