"New Jersey's sales tax is mired in the greatest contraction in its history," Rosen said in the report.
Even with the sales tax being mired in these difficulties, the Christie budget assumes a growth in sales tax revenue of 4.4 percent. He did warn us that he wasn't good at math.
Fairleigh Dickinson University's PublicMind poll of 611 randomly selected voters statewide was conducted from January 2 through January 7 and has a margin of error of +/- 4 percentage points.
51% think the state is "on the wrong track."
37% think the state is "moving in the right direction."
51% approve of the job Jon Corzine is doing.
29% disapprove of the job Corzine is doing.
45% approve of the job Frank Lautenberg is doing.
29% disapprove of the job Lautenberg is doing.
26% have "no opinion" about the job Lautenberg is doing.
58% say the sales tax increase affected them "just a little" or "not at all."
However, party identification colors voters' assessment of the increase: while just 31% of Democrats say the sales tax hike has made "some" or "a great deal" of difference to them personally, nearly half of Republicans (47%) say the increase has made "some" or "a great deal" of difference. Responses do not vary by income level despite that the sales tax is considered a regressive tax, taking a bigger bite from low income households than from high income earners.
54% think leasing the N.J. Turnpike is a "bad idea"
The Star Ledger talks about the new 211 phone number in NJ saying next time a crisis occurs in the Garden State, either natural or man-made, residents can get non-emergency help by dialing 2-1-1 on their telephones.
NJ Farmers shared the spotlight yesterday at the Farm Aid concert in Camden which hoped to encourage people to support their local family farmer.
The Bergen Record has found dozens of North Jersey construction officials working overlapping hours, raising questions about whether they have enough time to protect the public against shoddy construction and about the number of hours they're billing towns each week.
Effective 12:01 this morning, the state's 7 percent sales tax was extended to businesses such as tanning salons, massage parlors, limousine services, landscapers and flooring and rug services, as well as health club and shopping club memberships.
The Gloucester County Times says that school salaries are not a tax burden making up only about 5 percent of the total operating budgets for the county's schools.
"If local citizens choose other revenue sources to lessen their property tax burden, then who are we in Trenton to tell them they don't have the right to an alternative course?" he said. He specifically mentioned only the possibility of municipal impact fees, which would help offset the cost of services caused by new development.
Yesterday, the governor added local sales taxes to the mix, pointing out that most states allow the practice. A chart by the national Sales Tax Institute in Chicago indicates 35 states, including Pennsylvania and New York, permit municipalities or counties to impose their own sales taxes.
Corzine has proposed a variety of ideas (not all his own) for how to reduce or more fairly distribute the property tax burden, suggesting that it may be possible to eventually cut property taxes by about 20%. Republicans argue that it's not enough. Their plan is much simpler and has two components: The first is to say we should cut the average $6000 property tax burden by 50%-80% without actually explaining how it would be done. The second is to make absurdly embarassing statements like this:
If people in my town don't see a 3,000 to 4,000-dollar decrease, they are going to go ballistic," said Assemblyman Joseph Malone (R-Burlington), who was named a member of the shared-services committee.
The sky is falling! The sky is falling! If the people of his district realized they're represented by a crazy man, they'd really go ballistic. Way to make your party irrelevant again. In record time, too.
Big story: it's hot. Evil hot. Be careful out there.
Gov. Corzine announced plans to study the closing of 25 state hospitals in order to strengthen services and save tax money. Last year, nearly half the state’s hospitals lost money; the rest had profits of 1%. Meanwhile, a Department of Health and Senior Services task force is urging NJ hospitals to increase their surveilance of antibiotic-resistant microbes and to improve their infection-control practices.
Local contributions to pension plans will be skyrocketing, with an increase of a total of $267 million for local governments to contribute. Municipalities are warning that it could lead to reduced services and- you guessed it- higher property taxes.
The members of the bi-partisan, bi-cameral committees considering property tax reform were announced yesterday. Complete lists here.
Sen. Menendez has proposed a $500 property tax deduction ($1000 filing jointly) even if homeowners don't itemize on federal taxes. Menendez states it would bring direct relief to residents of Our Fair State; Republicans are calling it an election-year ploy.
The Republicans have big plans for your property taxes: cut them by $3000! 'Course, the article is clear that "Republicans did not mention a timetable or specifics..." but they want to cut spending and benefits and some other vauge stuff. Sometimes, it's really easy to be in the minority party, isn't it?
Flags in Our Fair State are being flown at half-staff today in honor of Army Staff Sgt. Robert Joseph Chiomento II, 34, who was killed in action July 17 in Afghanistan. Chiomento graduated from Pemberton Twp. High School; his family lives in Salem County.
While Joe Roberts was busy glooming and dooming over a penny sales tax hike, Jon Corzine was touring the state educating the public about our dire fiscal situation. At the time (April), polling showed that only 36% of voters approved of a sales tax increase, while 61% were opposed. It was the responsible thing to do, but Roberts (and George Norcross) were so paralyzed by fear of losing South Jersey seats that they didn't even propose a responsible alternative - and the budget deadline passed, requiring Corzine to shut down the state.
After several days of mounting pressure, Roberts relented and accepted the sales tax increase. In a stunning reversal, the public now agrees by 57% - 37% that the sales tax increase was a good idea. For the legislature, however, the damage had been done. Polls show that the public lays the blame for the budget crisis on the them more than on the governor.
Governor Corzine showed leadership and the willingness to do the right thing even when it was unpopular, and he brought the voters along with him. If Joe Roberts had done the same, we'd be in the exact same situation we are now, minus the pissed off voters over the shutdown. Heck - imagine how much better the poll numbers might be if he and the rest of the legislature had actually tried to be honest with their constituents and explained why the time for gimmicks is over. Imagine that, because until they care about anything other than their next re-election, it's never going to happen.
Two South Jersey Assemblymen are asking the governor to postpone implementing the sales tax increase for another two weeks. The article doesn't mention where they plan to make up the difference in lost revenue.
Tom Moran writes about what Corzine considers "pay to play" in the budget process. Democratic legislators agreed to the sales tax increase, but only in exchange for $300 million in pork barrell spending.
Corzine's plans for the special summer session on property tax reform includes improving efficiency through consolidation of services. A coalition group called the Citizens Convention Coalition, which includes the AARP, the League of Municipalities and other, "plans a press conference today to urge the Legislature to put a convention proposal on the ballot this year, not next."
Yesterday Corzine signed legislation which would create the Department of Children and Families. The governor says the purpose is to "make sure that there is dedication and focus primarily on the job of looking after our children in the welfare system."
Despite a threat of a primary challenge from 33rd district Assemblyman Brian Stack, Sen Bernard Kenny says he won't step aside.
The owners of the Tropicana casino are being sued by a nonsmoking worker who was diagnosed with lung cancer.
Hazy, hot and humid today! Ahhhh, summer in New Jersey.
Gov. Corzine yesterday confirmed that 45,000 state workers will be paid for time off during the state shutdown. The unions are happy about this, but critics such as State Senator Stephen Sweeny complained that it's just "more days off for state workers this year" while private sector workers who were affected will not recieve compensation.
Newark Mayor Corey Booker laid out his plan for the first 100 days of his administration, including plans to increase police patrols and a new office of child and family service.
The Gypsy Moths are back, estimated to infest over 125,000 acres in South and Central Jersey this year. Great.
While the Bush Administration refuses to do the same, the Meadowlands Commission has decided to adhere to the Kyoto Protocol in their district. The commission has plans for land use, renewable energy (go solar!), landfill-gas use, land preservation and transportation in order to comply with the treaty. Yay for the Meadowlands!!
New Jersey doesn't have any serious TV news networks, so we rely on the New York and Philadelphia media markets. But their TV networks have irresponsibly ignored New Jersey for too long. Only scandals and turmoil seem worthy of their attention - the last time was during the Torricelli switcheroo. And we wonder why our fair state is the butt of every joke.
One would think that given how infrequently they pay us any mind, they would be careful to at least do a reasonable job and accurately cover our state's situation the few times they do grace us with their presence. And then I awoke from my naive bubble.
Their coverage of the budget showdown was pretty impressive - by high school morning news show standards.
Usually, they'd show a bunch of people complaining that Corzine shut down the casinos. That's nice - it's important to know what the public reaction is, but that's where their coverage ended. Maybe it's different in Pennsylvania or New York, but for some reason, they didn't think it was important to inform viewers that in New Jersey, we have this pesky thing we like to call "The Constitution" that we have to follow. It wasn't Corzine's decision or choice at all - it's the law. But why get hung up on details like that? HE SHUT DOWN OUR CASINOS!! Burn him!!!
When they did manage to find their way out of Atlantic City, they were in the malls - talking to angry shoppers. I saw a reporter talking to a group of teenage girls who were furious about the penny sales tax increase. They were each carrying several bags worth of clothes and fuming about how much extra they would have had to pay if the tax rate were a penny higher. ZERO. The sales tax exempts clothing, but again, our "laws" are just pointless trivia to these so-called news networks, so why inform their viewers?
There is no excuse for this. They're either lazy, incompetent, or both. Perhaps others noticed this, too and are turning to other sources for their news. If so, that could explain our traffic more than doubling this week. Regardless, those news reporters should be fired for doing us all a disservice.
Details are sketchy, but a budget deal has just been reached. The sales tax will be increased from 6% to 7%. Half of that revenue will go towards property tax relief this year, but next year all of the revenue will go to property tax relief. There will be a referendum to constitutionally dedicate the funds for property tax relief, which will no doubt pass.
This means that the legislature effectively kicked the can down the road another year. Next year they won't have the option to raise the sales tax, and they will have even less revenue to work with than this year since it will all be dedicated to property tax relief. It's stunningly irresponsible.
A deal to break the budget stalemate that has prompted a six-day state government shutdown is near, key Democrats say.
At noon, Gov. Jon Corzine walked into Assembly Speaker Jospeh Robert's office to discuss a new compromise plan. When asked if there was progress, Senate President Richard Codey said: "Absolutely."
In an address to the state Legislature earlier in the morning, Corzine announced that he had put a new compromise on the table to end the budget stalemate with Assembly Speaker Joseph Roberts (D-Camden). The two have had a long stand-off with Corzine over the governor's plan to raise the sales tax from 6 percent to 7 percent.
Aides to the governor said Corzine has offered a new plan that would provide 50 percent of the sales tax increase to property tax relief each year if voters approve it in a constitutional amendment. Using a constitutional amendment would mean lawmakers would be forced to use half the sales tax for property tax relief even if there is a big budget crunch. Roberts had wanted 100- percent of the sales tax increase dedicated to property tax refrom (sic)
Several Democratic Assembly members who were in Roberts' camp said they were now willing to accept Corzine's proposal.
"I support the speaker's proposition that we should have the full billion in the sales tax torwards property tax relief. But it's not going to happen, and this represents a middle ground," said Assemblyman John Wisniewski (D-Middlesex).
This is the sixth day of an unprecedented state government shutdown prompted by a budget stalemate.
The Assembly Democratic Caucus just took a vote on Governor Corzine's proposal to raise the sales tax from 6% to 7% and only 15 out of 49 Democrats voted in favor. Roberts is meeting with Corzine to deliver the news. It's back to the drawing board for now.
Assemblyman Louis Greenwald says they have found $200mil in additional cuts and "efficiencies" Gov. Corzine acknowleges that the Assembly has made progress in the budget war, but he still feels the sales tax increase is the solution to balancing the budget. Talks are also underway about a proposed cut of $60mil to the requested $236mil for a new Department of Children and Families. And the negotiations go on...
Corzine signed the "Independence, Choice and Dignity in Long-Term Care Act" into law yesterday, which would help seniors in acquiring home-based or assisted-living care instead of using nursing homes when long-term care is required.
Camden Schools Superintendent Annette D. Knox will resign effective June 30th. Knox has been involved in scandals where she gave herself bonuses without school board approval, as well as a state criminal probe and an investigation into possible cheating on standardized tests.
A controversial Camden County redevelopment project has lost funding due to severe changes in the nature of the project. The Casino Reinvestment Development Authority has reduced their contribution by $7.5mil for the project that was once envisioned as a hockey arena and civic center, but is now a housing development in Pennsauken.
Hasbrouck Heights Library Director Michele Reutty refused to give police library circulation records without a subpoena, and is now possibly facing diciplinary action. Ms. Reutty states she complied with laws regarding privacy, and did provide all information when subpeoneas were issued.
Tough trip home yesterday? You weren't alone. Amtrak experienced a "power fluctuation" which delayed thousands- another display of the repairs needed to the rail lines. On the Turnpike, a truck accident backed up traffic three miles in either direction around exit 8. right toward the end of rush hour. Ahh, summer in New Jersey!
A bill in the NJ Assembly, A2064 would allow cameras only at accident- or fatality-prone intersections and limit photos to rear license plates.
The Bergen record has a story about the amount of overtime worked by state employees over the last 3 years saying that last year, nearly half the state's workforce of more than 80,000 put in extra hours.
The Star Ledger discusess net neutrailty about the trust me method being employed by telecoms saying
It looks like a home run for the telecom companies, which have spent billions of dollars deploying high-speed fiber optic lines across the country. They demand freedom to offer premium services -- heart monitoring, perhaps? -- and promise they won't rile consumers by blocking content.
Today an Assembly panel released bill A-3193 which would exempt hybrids, and any car that gets at least 35 mpg from the sales tax. On it's surface, this sounds like a great idea. For a $20,000 car, this would shave $1,200 off the total price, in effect partially subsidizing the added cost of hybrid vehicles and encouraging environmentally-conscious behavior. The reality is quite different.
Ironically enough, the flaw is that it applies to hybrid vehicles. That's the Chevrolet Silverado -- a hybrid truck that gets 17 mpg in city driving and 19 mpg on the highway. The base price is $30,000, meaning our state government would lose $1,800 in revenue to reward the purchase of a truck that gets half the mileage of the cars the bill should be intended for.
As the authors of the bill note, the purpose is to "create incentives for motorists to adopt more fuel efficient driving habits." The bill can and should be tweaked so it does exactly that. It can be counter-productive to reward specific technologies like hybrid. Instead, we should reward efficiency, whether it's achieved through a hybrid system, an efficient diesel engine, or any other technology. The qualification for sales tax exemption should simply be: does it achieve a fuel economy of at least 35 miles per gallon? Once that happens, I'll become this bill's strongest supporter.
Remember what the Dems in the legislature were proposing last month as a budget-balancing strategy? They were banking on a faith-based strategy of hoping that we'd collect more tax revenue than expected:
Two Democrats confirmed lawmakers are looking to pare down Corzine's $1.8 billion payment into the state pension system, trim his expanded list of items covered by the sales tax and hope for better-than-expected income tax collections in order to avoid a hike. (emphasis mine)
Previously, the budget deficit was estimated to be about $4.5 billion. Legislators had hoped that a bump in tax revenues would help close that gap. They've gotten lucky in previous years, but not this time. Instead, revenues are down by about half a billion dollars:
State Treasurer Bradley Abelow said the projected budget deficit for the next fiscal year could swell to as much as $5 billion, bad news for lawmakers already fighting the governor's proposed tax increases and spending cuts.
Rather than fantasizing and hoping that things will just magically work out, they could have spent the last month educating the public about the horrible state of our budget and the need to make difficult, responsible decisions and spread the pain around as equitably as possible. When the time comes to pass the inevitable penny sales tax increase (or its equivalent), they will wish they had.
I know there's a lot of uneasiness in New Jersey at the new voice coming from the Governor's office. We aren't used to someone telling us the truth. We aren't used to someone trying to do what's right over what's politically expedient.
It's again time to dust off reality and take a look at what we're facing.
The dilemma for New Jersey is how to address a persistent structural deficit and yet do so without further significant damage to business and economic conditions in the state. Unfortunately, there are just no easy answers.
A penny isn't worth much. Once upon a time (let me burnish my "old fart" credentials here) you could plop a shiny penny into a gumball machine and get a brightly colored ball of gum (hence the name "gumball machine") that would give you about ten minutes worth of chewing pleasure. Man, those were the good old days, for sure! One soda pop bottle could be traded in for ten pieces of crappy gum.
Hey, I was a kid, okay! Let a man cherish what few memories bring him pleasure!
Here's an experiment. Dig through your pocket and pull out a penny. Now, here's the tricky part of our experiment - give it to someone else. If you're alone in your rental unit, throw it out the window. Now, close your eyes and get in contact with your inner-Trump.
Feel broke? Throttled? Want to move to another state?
Politics NJ’s count of how races are going to swing is up. Currently the U.S. Senate race is listed in the “Toss Up� category but with a chance of moving towards the “Leans Democratic� column.
After switching from Democratic to Republican parties candidate for East Hanover Town Council, Philip Maenza , is still not fully accepted as a true GOP member by sitting council members. They feel that Maenza is running on the Republican ticked, not because his values have changed, but because he has a better chance of winning as a Republican in Morris County.
Staunch environmentalist, Congressman Frank Pallone (D-NJ6), is calling for expedited cleaning of PCBs in the Raritan River that have been harming fish and have the potential to harm humans as well. PCBs were outlawed and are now classified as a possible carcinogen that can cause nervous system disorders.
The smoking ban went into effect at 12:01 this morning. No smoking in bars, racetracks, bowling alleys, clubs and concert halls are just some of the provisions of the ban. Sorry smokers, maybe now is a good time to quit, no?
Governor Corzine’s sales tax hike has hit a major speed bump. Legislators from both sides of the aisle are strongly opposing it, and now rumors have started that it may not have enough votes to pass through the State Senate.
