Conservative Debt Management
The Results
North Carolina has maintained a triple-A Bond rating for strong financial and debt management practices, and is recognized as one of only seven states to earn the rating by Standard and Poor’s, Moody’s Investment Services, and Fitch Ratings.
North Carolina has continued to rank as the 5th-best funded pension in the country (Pensions & Investments.)
Treasurer Cowell has accomplished the following during her first term to ensure conservative debt management and support North Carolina’s AAA bond rating:
Led the Debt Affordability Advisory Committee
Treasurer Cowell has led annual reporting to the General Assembly and has supplemented the annual report with regular advocacy regarding the importance of centralized debt management and effective debt planning within the state.
Spoke against the Raid on the Lottery
Treasurer Cowell has advocated against short-term fixes to solve budget matters such as lottery fund raids.
Spoke against State Furloughs
“...the state treasurer warned legislators about several fixes for the state budget shortfall that could hurt the state’s AAA bond rating. She said putting off debt payments or depleting the state’s rainy day fund could prompt rating services such as Moody’s to lower the state’s financial grade, leading to higher interest rates for public bonds.” (“Under the dome: Treasurer warns actions could hurt bond ratings,” News & Observer, March 25, 2009)
Allocated for Conservative Debt and Spending amongst Local Governments
Treasurer Cowell urged municipalities to “be thoughtful” about how they use stimulus money. “We need to use this (time), as painful as it may be, to measure our efficiency,” Cowell said. (State Treasurer Urges Cities, Counties to “Be Thoughtful” with Stimulus Money,” New Bern Sun Journal, June 26, 2009
Cowell consistently advised state leaders on the importance of centralized debt management for the state and local governments.
Advocated Statewide for Tax Reform
Treasurer Cowell has called for a more reliable tax structure aimed at stabilizing North Carolina’s finances and maintaining the state’s competitiveness.
In January 2011, Cowell called for overhauling the tax code as Raleigh’s top priority.
“Advocates for reform have made the case for years, and now apparently have an ally in state Treasurer Janet Cowell . . . North Carolina should expect Gov. Beverly Perdue and leaders of the new Republican majority . . . to similarly recognize the urgency of the situation and echo Cowell’s push for comprehensive tax reform this year.” (“Treasurer for tax reform,” Editorial, Greenville Daily Reflector, January 7, 2011)
“North Carolina State Treasurer Janet Cowell should be praised for demonstrating leadership on reforming the state’s revenue system as part of a balanced approach to closing the state’s estimated $3.7 billion budget shortfall next year.” (“NC Treasurer Backs State Revenue Reform,” The Progressive Pulse, Ed McLenaghan, January 8, 2011)
“State Treasurer Janet Cowell provided critical leadership recently when she announced her commitment to modernize the state’s revenue system as the way to better manage the state’s fiscal affairs for the long term.” (“To save jobs, state should modernize N.C.’s revenue system,” Alexandra Sirota, Charlotte Observer, January 30, 2011)
