The largest city on the Jersey Shore released a five year plan to fight bankruptcy.
US.- Mayor Don Guardian and NJ council members came up with a strategy to set the city back on track towards a financial recovery. They passed the plan that combines revenue generators and cost-reducers measures that will help Atlantic City boost its economy and recover its potential.
Governor Chris Christie and state officials will have the final decision on whether accept or ban the plan. A special bill was created and passed earlier this year with the intention of addressing NJ’s gambling zone’s fiscal problems. The state has time until next week to decide the plan’s fate.
Atlantic City currently faces a debt of US$500 million, and the city debt grew to almost US$100 million over the last couple of years. The plan aims at helping the industry and fight bankruptcy.
In the last couple of years five of the twelve city casinos have closed their doors, including the Trump Taj Mahal, which stopped its activity in the last few months after a long fight with its former workers. The seven casinos that are still open to the public reduced their debts considerably in the last seven years, from US$20 billion to US$7 billion.
The Mayor said: “Once our Fiscal Recovery Plan is fully executed, Atlantic City will no longer struggle to pay its bills or address its capital improvement needs. No longer will our residents, or employees, have to watch and worry as the City moves from one crisis to the next in a constant state of uncertainty and instability. Instead we will return normalcy to City government through a sound financial foundation which will, in turn, provide the platform for private investment and a growing economy.”