New Jersey state Senator Michael Testa is calling on Governor Phil Murphy to place Newark under State oversight before releasing tens of millions of dollars in special funding, arguing the city has been allowed to bypass rules that other municipalities must follow.

In a letter sent to the Governor on Tuesday, Testa said Newark received a $22 million “loan” last year to balance its budget without undergoing the mandatory oversight that accompanies Transitional Aid.

He noted that Newark has already defaulted on its first repayment and that Murphy’s administration has promised the city another $30 million to help close this year’s deficit. Newark’s City Council is expected to adopt its new budget, which relies on the additional funding, on September 24.

“Last September, your Administration gave $22 million to Newark to prop up a profligate and unbalanced budget so the Mayor could avoid difficult decisions while running for Governor,” Testa wrote to Murphy.

“The grant was disingenuously labeled a “loan” to circumvent a statutory requirement that municipalities receiving grants to address unbalanced budgets must be placed under State oversight. Not surprisingly, the City is defaulting in its first required repayment of the “loan.” It should be clear they have no intention of ever repaying it,” the letter stated.

Testa contrasted Newark’s treatment with that of other municipalities that were forced to make difficult fiscal decisions after aid cuts, including Millville and Vineland in his district. He argued that the situation is unfair to communities across New Jersey that follow the rules.

Lakewood, which continues to be one of the fastest-growing municipalities in the state, also faces budget pressures, especially in areas like education, infrastructure, and services for a rapidly expanding population.

However, unlike Newark, Lakewood hasn’t received extraordinary, no-strings-attached bailouts from Trenton. Instead, Lakewood has had to rely on limited aid streams, such as state loans for the beleaguered pubic school district and and advocate through normal channels for small, one time grants through the state budget.