October 29, 2006
A Promise to Lower Property Taxes In New Jersey – A Political Memo
Lawmakers promised to find ways to lower what are the highest property taxes in the nation.
They started out in serious mode but now lawmakers have mired by partisanship and political reality.
"You know what we’re doing?" asked Assemblyman Joseph R. Malone III, a Republican from Burlington County. "We’re giving gumdrops to a terminally ill patient, that’s what we’re doing," he said. That statement capsulated the progress and determination directed at the tax reform intent by the lawmakers. (quoted from a NY Times article)
Commonly discussed cost-effective issues are consolidating town government functions, curbing abuses in the state pension system and revising the way schools are financed carry their degree of political freight.
Political damage and heat in changes for benefits for public union employees and school financing conflicts the Democrats. The Democratic Party’s constituencies, including organized labor are quite vocal about cutting their benefits. Local governments are not likely to volunteer to consolidate some of their functions with other governments with other governments.
"I think there’s a stalemate and a frustration on the committees given that everyone in the groups affected by property tax reform doesn’t seem to be cooperating," said David P. Rebovich, managing director of Rider University’s Institute for New Jersey Politics. "The status quo is really asserting itself during these hearings. I think the Legislature overpromised on this entire process." (quoted from a NY Times article)
The governor suggested a 3 percent annual cap on increases in property taxes, which was as high as 7 percent in recent years. Another is to allow municipalities to impose other taxes.
Re-addressing the state's obligation to state unions, the teacher retirement system, reducing school administration costs and the sharing of services like fire and police work by municipalities can produce some significant savings
Filed under Blog, New Jersey, Property Tax Legislation by George Bolton


















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