New Jersey Jewish News Story
It may be quiet in Trenton, but there’s plenty to do
It’s been pretty quiet in Trenton these days. Not a lot to write
about and not much happening. But that is really quite deceptive. While the calm is rather pleasant after the McGreevey years, we should not mistake it for a lack of problems and issues. So, it’s probably a good idea to stop, while we have the chance, to take a quick look at some of the issues facing our state and our “month-old” governor.
Naturally, first and foremost is the budget. We will soon get to hear what Gov. Jon Corzine has in mind when he delivers his state budget address, but in the meantime, we can only wonder how he will close a projected $5 billion budget gap. Cosmetically, he has already made some preliminary moves, like a freeze on state hiring and a reduction in the staff in the governor’s office. But let’s face it, that isn’t going to save $1 billion, let alone five.
There are several components to the state’s financial problems. One of the most significant is the looming state pension problem.
It has been estimated that more than 20 percent of the state budget will go to employee pensions and health benefits by the year 2010, compared to just 8 percent today. As reported by Gannett, although 80 percent of privately employed workers have no employer-funded pensions, it is quite a different story for state employees.
There are a number of needed reforms for Corzine to tackle to help end pension system abuses. For instance, politicians should be barred from a practice known as tacking, where they take multiple government jobs to increase their pensions. Another practice is known as pension boosting, where politicians take high-paying jobs just before retirement to pad their pensions. Yet another abuse is to allow contactors and vendors to get into the pension system.
We need reforms requiring retirees and state workers to contribute at least something toward their health benefits and raising the state retirement age for full benefits from 55 to 60.
These matters will require tough negotiation when dealing with the state employees’ unions, which will be important despite Corzine’s past romantic relationship with and forgiven loan to the president of that union.
I previously devoted a column to the impending bankruptcy of the state’s Transportation Trust Fund, which is about to go broke, with all funds dedicated to merely covering interest on transportation debt. We need a new way to fund transportation projects in the state, together with guarantees that the money will be applied as intended: for transportation. Hand in hand with that is the question of whether it will be funded by an increase in the state gasoline tax to help pay for it. The tax is one of the lowest in the nation.
Another financial issue will be to provide better incentives for municipalities to consolidate services like police, fire, and schools and share the expenses as a means of cost cutting.
Of course one of the most important matters on the agenda this year is meaningful property-tax reform, which was perhaps the No. 1 issue in last fall’s gubernatorial campaign. New Jersey has the highest property taxes in the nation, and another way must be found to finance state and local government. In the past, the remedy has been to throw a few crumbs by way of an annual tax rebate, usually timed to coincide with Election Day and offering little real relief. As part of a meaningful relief program, Corzine has pledged to give a 10 percent rebate per year over four years. How he will find the money to fund the billions of dollars such a program will cost will be quite a feat.
There are many other issues besides budgetary ones that need to be faced.
A couple of these issues affect our private-property rights. The first is the repeal of the “fast track” law, which allows for speedy development permits without the protections otherwise afforded residents to slow down or stop a developer. It was a bad idea pushed through by former Gov. James E. McGreevey, and it should be repealed.
The second property issue is to strengthen laws regarding eminent domain in light of the United States Supreme Court decision on that issue, which allowed virtually any taking of private property for a “public use” — that can include allowing a private developer to come in and take property to build a new development or even a strip mall, if the developer can even arguably say it will generate higher property taxes for the municipality. New and stronger laws are needed to protect NJ homeowners from such abuse.
In this age of potential terrorism, it is important to address the matter of security at state chemical plants, including the requirement of evacuation plans for towns with these plants. We don’t want a disaster due to lack of planning and foresight.
These are just some of the many issues facing our state this year. The list is much longer, and there is much to do.
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