The newly seated Governor Chris Christie is taking hard steps to curtail costs. His plans won’t be popular to say the least.
New Jersey Governor Chris Christie proposed a $29.3 billion budget that would suspend property-tax rebates, skip the state’s $3 billion pension contribution and fire 1,300 workers next year. […]
The plan would reduce aid to schools by $820 million, towns by $446 million and higher education by $173 million. […]
Christie said he will ask lawmakers to institute an immediate 2.5 percent spending cap on state and local governments. The legislation would be used until a permanent, constitutional amendment can be approved. […]
[…]“All this is doing is pushing the state’s budget problems down to the local property taxpayers,” Assembly Budget Committee chair Louis Greenwald, a Cherry Hill Democrat, said in an interview yesterday. “I get the argument that the wealthiest New Jerseyans have options, but I wish they would get the message that many middle-class taxpayers don’t.” […] (Business Week)
Here in the State of New Jersey we have the highest property tax of any state in the nation. The property tax rebate (aka homestead rebate) was, albeit not much, at least something to offset the record high property taxes in New Jersey. Without the tax rebate to offset property taxes it amounts to a property tax increase for New Jersey home owners.
A reduction in aid to municipalities has a deep trickle down impact. Towns of all sizes, who are already facing their own budget problems will be forced to either raise local taxes, or curtail services even further, thus increasing those who are forced out of a job.
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