Former President Jimmy Carter died Sunday at the age of 100 at his home in Plains, Georgia, leaving a legacy that began with serving in state and local leadership and included deregulation that changed the transportation industry, and a key role in the near bankruptcy of New York City.
"On behalf of all of our nation's Governors, we are deeply saddened by the passing of former President Carter," said National Governors Association Chair Colorado Governor Jared Polis and Vice Chair Oklahoma Governor Kevin Stitt via a statement.
"He left a tremendous legacy as the oldest living president in history, a recipient of the Nobel Peace Prize, and Georgia's 76th Governor. We are grateful for his service. Our thoughts and prayers go out to his many friends and family."
Cater won the presidency as a Democrat in 1976 be defeating Gerald Ford, the Republican incumbent, after besting 16 other candidates in the primaries. He served as the Governor of Georgia from 1971-1975. He was a Georgia state senator from 1963-1967, during a time when civil rights was a particularly thorny issue in the deep South.
"Jimmy Carter didn't just leave his farm in Plains to serve as state legislator, or as a governor, or as a President," said Tim Storey, chief executive officer of the National Conference of State Legislatures, via a statement.
"He left it time and time again over a century of service to our nation and global community. NCSL will remember President Carter as the model of a servant leader and humanitarian."
Carter's one term presidency was marred by a troubled relationship with Congress including squabbles with his own party which held the majority in the House and Senate.
The Energy Crisis, caused by oil embargoes enacted by the Organization of Petroleum Exporting Countries led to natural gas shortages and long lines at gas stations.
The inflation rate was pegged at 13% in 1979, as short-term interest rates rose to 18% by 1980.
To bring inflation to heel, Carter appointed Paul Volcker to head the Federal Reserve in 1979. Volcker eventually raised the Federal Fund Rate to a peak of 20% by 1981.
When Carter took office, New York City was battling to stay out of bankruptcy due to underfunded pensions and an exodus of taxpayers to the suburbs. In 1975, the city's operating budget deficit was $600 million with an overall shortage of $11 billion.
Underwriters refused to underwrite new bonds to keep the city afloat, resulting in the creation of the Municipal Assistance Corporation, a hike in subway fares, and mass layoffs.
The state of New York stepped in and took control of the city's budget, by creating the Emergency Financial Control Board. President Gerald Ford signed legislation in 1975 extending $2.3 billion in federal aid to temporarily prop up the city's finances for three years.
In 1978, the city was still struggling financially as Carter offered a rescue plan to replace Ford's expiring plan. The new deal included federal guarantees for up to 15 years for as much as $2 billion in long-term bonds.
The bonds would be sold exclusively to city and state employee pension funds, without providing any money from the federal government. The plan provided the city with time to restructure its debt and eventually return to solvency.
Carter is also credited with prompting the deregulation of banking, airlines, railroads, and the trucking industry. The Air Cargo Deregulation Act of 1977, the Staggers Rail Act and the Motor Carrier Act of 1980 gets credit for greatly reducing freight rates and transforming the affected industries.
Carter propped up the Social Security System while he was in office by signing the Social Security Financing Amendments Act in 1977 that raised taxes while reducing benefits. The goal was to keep the system sound until 2030.
President Joe Biden has announced that Jan. 9 is designated as a national day of mourning for the former Chief Executive. The Securities Industry and Financial Markets Association is taking things a step further, per their statement.
"SIFMA today recommended an early market close at 2:00 pm EST on Jan. 9, 2025, for all fixed-income cash markets in recognition of the National Day of Mourning in honor of the 39th President of the United States."
