The state treasurer is loaning money to the Corbett administration so work can continue on state-supported construction and improvement projects like hospitals and bridges.
A top aide to Treasurer Rob McCord said Monday that the low-interest $500 million loan is expected to be repaid in the fall, when the Corbett administration will have to issue higher-priced bonds.
In the meantime, McCord's chief of staff, John Lisko, says the treasury loan will lower the state's cost to borrow and save millions in taxpayer dollars and might become a routine practice
for that reason.
The state most recently issued $650 million in bonds for the projects last winter. That money has run out.
Lisko says more than $55 million was released last week. The state has several billion dollars in project commitments.
