Terrence Dopp

Christie, a second-term Republican, proposed the largest budget in state history in February to pay for rising costs of health benefits, pensions and debt.

New Jerseys credit rating was lowered one step by Fitch Ratings, which cited an $807 million revenue shortfall and Governor Chris Christies likely use of one-time measures to plug the gap.

New Jersey is rated three steps below benchmark debt, with a negative outlook. A one-step downgrade would place it with California and Illinois in the single-A category.

A cap on raises for New Jersey police and firefighters that mediators award when contract talks break down is set to end today, after lawmakers in the state Assembly didnt concur with Governor Chris Christies changes to an extension bill.

The second-term Republican said he would consider using executive actions if the Democratic-led legislature wont agree to more changes.