Tuesday, February 06, 2007
A few Democrats get it
We sound like a broken record -- property tax credits does not equal property tax reform (and they don't equal property tax cuts either).
We're gald to see that a few Democrats understand that the watered down "credit" proposal doesn't solve anything.
At the end of the day this bad bill will become a bad law.
But at least some Democrats understand that it won't solve anything.
We're gald to see that a few Democrats understand that the watered down "credit" proposal doesn't solve anything.
But Sens. John Adler, D-Camden, and Nia Gill, D-Essex, questioned how the state would pay for the $2 billion credit program in the long run. A financial quirk gives the state government extra money to use for this year only. Adler and Gill both said the credit program, which will take the bite out of tax bills but not address root causes of high property taxes, falls short of true reform.
"If we were selling this tax package as a product, we would be in violation of the Consumer Fraud Act," Gill said. She later added, "In plain language: We do not have the money to pay for this."
Adler said the caps had been "gutted" and called for lawmakers to go back to the property tax reform drawing board, rather than pass watered-down bills and declare them "good enough."
"We should step back, take a breath, ask for a do-over," Adler said.
At the end of the day this bad bill will become a bad law.
But at least some Democrats understand that it won't solve anything.
Labels: John Adler, Nia Gill, property tax, property tax reform
Sunday, February 04, 2007
The Asbury Park Press gets it wrong
Ok, so its really Tom Hester Jr. of the Associated Press who got it wrong, but the Asbury Park Press is exacerbating the situation by printing Hester's article entitled Senate to vote Monday on property tax cut.
This is all quite simple: A property tax credit is not a property tax cut.
Joe Ryan of the Star-Ledger gets it right by calling the Democrats' plan what it is -- property tax relief.
But remember, property tax relief through tax credits is not property tax reform.
This is all quite simple: A property tax credit is not a property tax cut.
Joe Ryan of the Star-Ledger gets it right by calling the Democrats' plan what it is -- property tax relief.
But remember, property tax relief through tax credits is not property tax reform.
Labels: Asbury Park Press, Associated Press, new jersey, property tax, property tax reform, Star-Ledger
Thursday, January 25, 2007
The reform bill that wasn't
Have you ever wanted to reform a broken pension system by passing a bill that doesn't reform anything? You're in great company then, since the reform bill being pushed (or maybe its being pulled now) through the Legislature essentially does nothing. Or, as Senator William Gormley said, "this is like a slow death to reform. Every day something else comes out. There's not much else left."
He's right. First it was Governor Jon S. Corzine telling the Legislature to scrap all pension reforms that related to state workers under union contract. Then went the ban on dual officeholders and any meat in the office of comptroller. Now the Democrats in Trenton have scrapped "efforts to curb the hefty public pensions that some municipal assessors, building inspectors and other professionals build up by working part-time for multiple towns."
This is reform? It sounds like business as usual to us.
He's right. First it was Governor Jon S. Corzine telling the Legislature to scrap all pension reforms that related to state workers under union contract. Then went the ban on dual officeholders and any meat in the office of comptroller. Now the Democrats in Trenton have scrapped "efforts to curb the hefty public pensions that some municipal assessors, building inspectors and other professionals build up by working part-time for multiple towns."
The new version of the bill would stop lawyers and engineers from tacking together taxpayer-funded retirement benefits from various local governments. But it carves out an exception for other professionals including health officers, tax collectors and municipal clerks.
It marks the latest of a host of reforms recommended by a special legislative panel last year to fall by the wayside as lawmakers attempt to reach consensus on pension reform.
* * *
Senate President Richard Codey, D-Essex, sponsor of the reform bill introduced Tuesday, said the professionals affected by the new provisions are distinct from lawyers and engineers, in that they generally are direct municipal employees without income from private firms.
But a list compiled last year by state pension officials showed that assessors and other professionals can rack up hefty combined salaries and retirement benefits from multiple public jobs.
When told that six of the 20 highest total paychecks on the list went to people who would be exempted from the new legislation, Codey said that provision might have to be reviewed.
The most highly paid assessor on that list, Edward L. Kerwin, collected a total of $243,124 in salaries from eight communities in Somerset and Hunterdon counties last year.
This is reform? It sounds like business as usual to us.
Labels: Jon Corzine, property tax reform
Wednesday, January 24, 2007
Why the Democrats' property tax "reform" won't work
We have said many times already that to achieve true property tax reform, the state must first reform the entities that survive on property taxes (counties, municipalities and school districts). Rebates and credits are not reform.Case in point: As the Democrats in control in the state Legislature and the Governor's office attempt to create a property tax rebate of up to 20%, Union County is, for the seventh year in a row, raising their tax rate. This year the rate is going up 5.7%, with the average homeowner's bill climbing to $1,367, from $1,298. If this proposed increase is approved, the county portion of Union County residents' property tax bills will have jumped 56%, or roughly $490, since 2000.
Labels: property tax reform
New NJ Quinnipiac poll
Some interesting bits from a Quinnipiac University poll released today:
New Jersey Governor Jon Corzine has an evenly split 42 - 42 percent overall approval and a negative 30 - 51 percent approval on his handling of the property tax issue. The State Legislature gets a negative 27 - 54 percent overall approval and an even bigger negative 16 - 62 percent approval for its handling of the property tax issue.
There is a 46 - 46 percent split among voters on whether public employees should be required to pay more into their health insurance plans and to accept a reduction in retirement benefits.
Most people asked -- by a 53 - 34 percent margin -- oppose the Governor's proposal to sell or lease the New Jersey Turnpike or the Garden State Parkway as a way to reduce state debt and provide money for property tax relief.
Civil unions for same sex couples are ok, by a 54 - 41 percent margin. But most voters (49 - 45 percent), don't think mayors, county clerks and judges should be legally required to perform civil union ceremonies.
And as for the proposed repeal of the death penalty . . . voters oppose that by a 53 - 41 percent margin.
New Jersey Governor Jon Corzine has an evenly split 42 - 42 percent overall approval and a negative 30 - 51 percent approval on his handling of the property tax issue. The State Legislature gets a negative 27 - 54 percent overall approval and an even bigger negative 16 - 62 percent approval for its handling of the property tax issue.
"New Jersey voters are clearly skeptical that Gov. Corzine and the State Legislature will provide meaningful property tax relief this year. Despite apparent agreement on a plan, only about a third of voters say property tax reform is likely this year and a majority disapprove of the way both the Governor and Legislature are handling the issue," said Clay F. Richards, assistant director of the Quinnipiac University Polling Institute.
There is a 46 - 46 percent split among voters on whether public employees should be required to pay more into their health insurance plans and to accept a reduction in retirement benefits.
Most people asked -- by a 53 - 34 percent margin -- oppose the Governor's proposal to sell or lease the New Jersey Turnpike or the Garden State Parkway as a way to reduce state debt and provide money for property tax relief.
Civil unions for same sex couples are ok, by a 54 - 41 percent margin. But most voters (49 - 45 percent), don't think mayors, county clerks and judges should be legally required to perform civil union ceremonies.
And as for the proposed repeal of the death penalty . . . voters oppose that by a 53 - 41 percent margin.
Labels: civil unions, death penalty, Jon Corzine, property tax reform, Quinnipiac Poll
Wednesday, January 17, 2007
Corruption and waste safe for another day
"The legislation introduced has been watered down to the point of being useless." Or so says Senator Diane Allen, Republican of Edgewater Park, about a bill pending in the New Jersey Senate that was supposed to bar dual officeholding (i.e., a state senator cannot hold another elected position such as mayor), establish a state comptroller to review government contracts and budgets, and implement the property tax caps and credits the Democrats have been touting as "reform."
Well, the ban on dual officeholding is out "was removed in the face of political opposition late last week." There are currently 18 lawmakers (both Republicans and Democrats) that hold local or county elected positions. I'm betting its the Democrats members of that group of 18 that successfully go the ban removed from the bill. There is still hope. Senate President Richard J. Codey, Democrat of West Orange, and Assembly Speaker Joe Roberts, Democrat of Camden, both said they expect to bar dual officeholding in the future. We aren't going to hold our breath though.
As for the comptroller, well that isn't out. But it is being watered down.
But some think that's not good enough, including Senator Barbara Buono, Democrat of Metuchen, who has removed herself as a sponsor. "Recalling that the Willingboro school district required a $10 million bailout during the last budget because of poor management, Buono said existing audits aren't doing enough."
We agree with Senator Allen and Senator Buono. The comptroller needs more teeth.
Don't worry though . . . the 20% Property Tax Credits -- the Democrats so-called "property tax reform" -- are going untouched. Once again, rebates and credits are not reform. Does anyone else understand that?
Well, the ban on dual officeholding is out "was removed in the face of political opposition late last week." There are currently 18 lawmakers (both Republicans and Democrats) that hold local or county elected positions. I'm betting its the Democrats members of that group of 18 that successfully go the ban removed from the bill. There is still hope. Senate President Richard J. Codey, Democrat of West Orange, and Assembly Speaker Joe Roberts, Democrat of Camden, both said they expect to bar dual officeholding in the future. We aren't going to hold our breath though.
As for the comptroller, well that isn't out. But it is being watered down.
The comptroller plan now includes language preventing the office from auditing developers' agreements with municipalities. Other changes would eliminate automatic audits of government entities that spend $100 million or more and require the comptroller's office to first review existing local government audits before starting its own investigations.
But some think that's not good enough, including Senator Barbara Buono, Democrat of Metuchen, who has removed herself as a sponsor. "Recalling that the Willingboro school district required a $10 million bailout during the last budget because of poor management, Buono said existing audits aren't doing enough."
We agree with Senator Allen and Senator Buono. The comptroller needs more teeth.
Don't worry though . . . the 20% Property Tax Credits -- the Democrats so-called "property tax reform" -- are going untouched. Once again, rebates and credits are not reform. Does anyone else understand that?
Labels: Barbara Buono, Diane Allen, property tax reform
