Former director of NJ Division of Taxation sentenced
Attorney General Jeffrey S. Chiesa announced that the former Director of the New Jersey Division of Taxation and an Assistant Deputy Director were sentenced today for accepting lavish gifts from a collections company, OSI Collections Services Inc., while continuing to take action on the company’s contracts with the state to collect unpaid taxes. The two men were found guilty of official misconduct in July following a bench trial. (Staff, PolitickerNJ)
NY Governor Andrew Como Reacts harshly to State Business Tax Climate Index
October 18, 2012
Joseph Henchman
As you know, last week we released our 2013 State Business Tax Climate Index, our annual comparison of state tax structures. The Index looks at over 100 variables to reduce many complex considerations to an easy-to-use ranking, providing a road map to improving each state’s business tax climate.
This year’s Index has already received wide attention, including statements made by the Governors of Florida, Illinois, Maine (“We are moving in the right direction and I am pleased to see it”), Michigan, New Jersey (“The fact that we moved from 50th to 49th is a testimony that we’re moving in the right direction. We’re not staying put.”), New York, and Wyoming (Gov. Mead AND the Mayor of Cheyenne).
This may be my understatement of the week, but New York Governor Andrew Cuomo certainly noticed our report, in which his state fell from 49th best tax system in the country (2nd worst) to last place. A key aide of his was sent out to the media to attack the Tax Foundation, questioning our methodology and accusing us of anti-New York bias:
He accused the foundation of writing its report ranking New York dead last in the country in business tax climate “based on ideology and not facts.”
“They basically took data and manipulated them to fit their world view,” he charged. “They support a flax tax, not the progressive tax we have.” He questioned why property taxes, which he claims burdens businesses even more than the corporate taxes, wasn’t weighed more heavily in the report.
For the record, New York was treated no differently than any other state in our methodology. The explanation is rather simple: New York scores poorly because it has poorly structured taxes with high rates and narrow bases. The state’s economic success is thanks to a legacy of a once-great business climate and good public services and opportunities. But New York’s taxes are now high and unfriendly. It’s not an ideological statement, it’s a fact.
Business leaders split the difference, noting that our insights were realistic and helpful but praising Cuomo for some recent achievements (which, to his credit, include some positive changes that have yet to take hold). The media also came to our defense, backing our findings and getting Cuomo to admit to his extensive past citation of our work.
The New York Daily News in particular took the Governor to task:
Cuomo — who has made genuine efforts to slay the Vampire State — could have taken these harsh grades as evidence that the job is far from finished.
Unfortunately, he chose instead to bash the messenger.
Lashing out in an interview on Talk 1300 radio in Albany, Cuomo aide Larry Schwartz dismissed the Tax Foundation as a “right-wing think tank” and charged that its report was “based on ideology and not facts.”
“They basically took data and manipulated them to fit their world view,” Schwartz said.
One problem with this complaint is that Cuomo himself has approvingly cited the Tax Foundation’s research in the past — including in his first State of the State speech last year, when he declared: “We have the worst business tax climate in the nation, period.”
The foundation’s ideology and formula-driven methodology have not changed significantly since then. What’s different is that now it’s Cuomo’s record under attack — not George Pataki’s or Eliot Spitzer’s or David Paterson’s.
The Buffalo News cited other examples of the Governor rejecting unfavorable facts:
In his first booklet released during his 2010 campaign promoting his positions on various policy ideas, Cuomo, on page 35, cited a Tax Foundation report about New York’s high property taxes.
The governor also dismissed the latest media report, this time in the New York Times today, about the state’s relatively high unemployment rates. “There are a number of ways to count the numbers,” he said of the various aspects of unemployment and job creation reports put out by the federal government.
The Rochester Democrat: waved aside the “carping” and said the Governor must do more:
The widely respected think tank ranked New York dead last among the 50 states in terms of cumulative tax burden on businesses — property, sales, income, unemployment-insurance and corporate income taxes.
Cuomo officials carped about the foundation’s methodology, but the fact remains: There is much to be done to improve New York’s business and tax climates.
And, last but not least, the New York Times emphasized our non-partisan nature:
Last week, the Tax Foundation, a nonpartisan research group, ranked New York last among the 50 states for its business climate, while the conservative Cato Institute gave Mr. Cuomo a “D” grade in assessing his tax and spending record.
In a radio interview last week, Governor Cuomo’s top aide, Lawrence S. Schwartz, said the reports were “more based on ideology and not facts,” adding that the groups “took a bunch of data sets and manipulated them to fit their worldview.”
Needless to say, it’s been a busy week for us, especially dealing with New York media, including the always-colorful New York Post (“Tax hell makes NY dead last for biz”). The Index also got major citations from the Associated Press, CNN Money, ABC News, the Wall Street Journal, the Seattle Times, the Florida Sun-Sentinel, the Detroit News, the Orange County Register, the New Jersey Star-Ledger, CNET, State Tax Notes, and scores of local papers, radio and TV stations.
Each year, the Index is downloaded over 500,000 times and referenced in hundreds of media reports. The most recent version has already been downloaded by 1,004 state legislators, including 13 state Speakers. The report’s analysis is incorporated in state tax reform efforts year-round.
Even Gov. Cuomo has gotten constructive with it already, admitting that New York has “more work to do.” As his tax study commission begins undertaking a comprehensive review of New York’s tax system, we of course are happy to provide constructive suggestions for improvement (as we are this year in over a dozen states). No hard feelings, Governor?
My sincerest thanks to you for supporting our work to bring this information to policymakers, business leaders, and taxpayers. The pressure of rankings, along with our research and advice, will improve many state tax systems in the year ahead.
President Obama’s Taxpayer-Backed Green Energy Failures
Ashe Schow
October 18, 2012 at 8:25 am(64)
It is no secret that President Obama’s and green-energy supporters’ (from both parties) foray into venture capitalism has not gone well. But the extent of its failure has been largely ignored by the press. Sure, single instances garner attention as they happen, but they ignore past failures in order to make it seem like a rare case.
The truth is that the problem is widespread. The government’s picking winners and losers in the energy market has cost taxpayers billions of dollars, and the rate of failure, cronyism, and corruption at the companies receiving the subsidies is substantial. The fact that some companies are not under financial duress does not make the policy a success. It simply means that our taxpayer dollars subsidized companies that would’ve found the financial support in the private market.
So far, 36 companies that have received federal support from taxpayers are faltering — either having gone bankrupt or laying off workers or heading for bankruptcy. This list includes only those companies that received federal money from the Obama Administration’s Department of Energy and other agencies. The amount of money indicated does not reflect how much was actually received or spent but how much was offered. The amount also does not include other state, local, and federal tax credits and subsidies, which push the amount of money these companies have received from taxpayers even higher.
The complete list of faltering or bankrupt green-energy companies:
Evergreen Solar ($24 million)*
SpectraWatt ($500,000)*
Solyndra ($535 million)*
Beacon Power ($69 million)*
AES’s subsidiary Eastern Energy ($17.1 million)
Nevada Geothermal ($98.5 million)
SunPower ($1.5 billion)
First Solar ($1.46 billion)
Babcock and Brown ($178 million)
EnerDel’s subsidiary Ener1 ($118.5 million)*
Amonix ($5.9 million)
National Renewable Energy Lab ($200 million)
Fisker Automotive ($528 million)
Abound Solar ($374 million)*
A123 Systems ($279 million)*
Willard and Kelsey Solar Group ($6 million)
Johnson Controls ($299 million)
Schneider Electric ($86 million)
Brightsource ($1.6 billion)
ECOtality ($126.2 million)
Raser Technologies ($33 million)*
Energy Conversion Devices ($13.3 million)*
Mountain Plaza, Inc. ($2 million)*
Olsen’s Crop Service and Olsen’s Mills Acquisition Company ($10 million)*
Range Fuels ($80 million)*
Thompson River Power ($6.4 million)*
Stirling Energy Systems ($7 million)*
LSP Energy ($2.1 billion)*
UniSolar ($100 million)*
Azure Dynamics ($120 million)*
GreenVolts ($500,000)
Vestas ($50 million)
LG Chem’s subsidiary Compact Power ($150 million)
Nordic Windpower ($16 million)*
Navistar ($10 million)
Satcon ($3 million)*
*Denotes companies that have filed for bankruptcy.
The problem begins with the issue of government picking winners and losers in the first place. Venture capitalist firms exist for this very reason, and they choose what to invest in by looking at companies’ business models and deciding if they are worthy. When the government plays venture capitalist, it tends to reward companies that are connected to the policymakers themselves or because it sounds nice to “invest” in green energy.
The 2009 stimulus set aside $80 billion to subsidize politically preferred energy projects. Since that time, 1,900 investigations have been opened to look into stimulus waste, fraud, and abuse (although not all are linked to the green-energy funds), and nearly 600 convictions have been made. Of that $80 billion in clean energy loans, grants, and tax credits, at least 10 percent has gone to companies that have since either gone bankrupt or are circling the drain.
UPDATE: Some of the companies on this list received money from government agencies other than or in addition to the Department of Energy. We are updating the numbers to reflect the most accurate figures available.
FOOD POLICE: GOP sees food fight as kids trash USDA fruit, vegetable guidelines
By Pete Kasperowicz – 10/19/12 03:04 PM ET
House Republicans say new U.S. Department of Agriculture (USDA) guidelines aimed at forcing students to eat fruits and vegetables are a failure because students across the country are simply tossing the healthy fare into the trash.
“[T]here remains great concern with the amount of food waste generated at school cafeterias, much of it brought on by requiring students to take fruits and vegetables rather than simply offer them,” Reps. John Kline (R-Minn.), Kristi Noem (R-S.D.) and Phil Roe (R-Tenn.) told USDA Secretary Tom Vilsack in a letter sent Thursday.
“This is a waste of federal, state and local funds and is contrary to the law’s goal of feeding as many low-income and hungry children as possible,” they said. “Once again, we are aware USDA has attempted to address this situation by allowing greater choice in reimbursable meals, but students should not have to take additional food if they have no intention of eating it.”
Republicans have been criticizing USDA school lunch guidelines for the last few months, in particular USDA rules that set maximum-calorie guidelines for all meals subsidized by taxpayers. Last month, Rep. Steve King (R-Iowa) introduced the No Hungry Kids Act, which would repeal these calorie restrictions.
Funding for handicapped accessible ramp approved in Ridgewood
FRIDAY OCTOBER 19, 2012, 1:57 PM
BY DARIUS AMOS
STAFF WRITER
THE RIDGEWOOD NEWS
After a lengthy discussion among Village Council members, the village opted to appropriate $95,000 for the construction of a new handicapped accessible ramp at Graydon Pool.
A county Community Development Block Grant for $55,000 will shoulder a portion of the cost for the proposed ramp, while the village will pick up the remainder of the price tag, with a maximum expenditure of $40,000.
The council voted 3-1 on Wednesday to approve the use of funds for the ramp, with Councilman Tom Riche casting the lone dissenting vote. But it was Councilwoman Bernadette Walsh who offered the biggest resistance, saying that she was uncomfortable approving the money with the ramp’s final design still unknown.
The village’s engineering department has been working on several renderings of two ramp designs that are based on the advice and recommendations of Jennifer Perry, an Americans with Disabilities Act specialist at the United Spinal Association. Perry toured Graydon Pool with members of the Ridgewood professional staff last month.
Unemployment rate drops despite N.J.’s shrinking public payroll
New Jersey’s private-sector employers added 1,100 jobs in September, while the state’s unemployment rate dropped by 0.1 percent, but public-sector employment dropped by 2,300, more than offsetting the private-sector gains, the state Department of Labor and Workforce Development announced.
According to today’s announcement, total employment fell by 1,200, while the August employment gain was revised downward by 3,000 jobs, from 5,300 to 2,300. The unemployment rate is now 9.8 percent. (Kitchenman, NJBIZ)
Survey: 40 Percent Of Americans Have $500 Or Less In Savings
October 19, 2012 12:30 PM
By John Ostapkovich
PHILADELPHIA (CBS) — A survey of about 1,100 Americans finds that more than 4-in-10 respondents admit they don’t have more than $500 in readily accessible savings.
The survey is a kind of departure for CreditDonkey.com, a website that compares credit card deals. Not respondents all were poor. Some had big houses, big mortgages or 401(k)s, but still no more than five Benjamins to rub together right now.
Jill Michal, president and CEO of the United Way of Greater Philadelphia and Southern New Jersey, reacts to the lack of liquid assets.
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Garage sale October 20th in Ridgewood 9AM to 4PM. No early birds! Furniture, clothing (men, women,kids and Maternity) toys, household items and much more. Including plants and a table of prints from a photographer. There is something for everyone! Hope to see you all there.
280 Lakeview Drive Ridgewood, NJ 07417 last street on right before detour signs.
Multiple Estate Sale 10.20.12 (Ridgewood, NJ)
ONE DAY
MULTIPLE ESTATE SALES
NO EARLY BIRDS
Saturday, October 20, 2012
9am – 4pm
collectibles, antiques, household items, equipment, furniture, pocketbooks, Wall Art, Electronics, CDs, golf clubs, jewelry, …. and SOOO MUCH MORE!!!
632 Eastbrook Road
Ridgewood, NJ
Moving/garage sale 9:00 to 3:00 Saturday & Sunday – $1 (Ridgewood)
BIG MOVING SALE!!!!!! Saturday, October 20 and Sunday October 21
197 KATHERINE ROAD (Lincoln Avenue or Ackerman Avenue to Bellair Road to Katherine Road)
Furniture, including dining room table and chairs, china cabinet, occasional tables, chairs…
Kitchen wares, flooring, art work, toys, clothes, and so much more!!!!!
The district’s summer school program and community school made thousands of dollars less than projected for the 2011-2012 school year
Ridgewood School District says its losses can be offset
THURSDAY OCTOBER 18, 2012, 3:36 PM
BY LAURA HERZOG
STAFF WRITER
THE RIDGEWOOD NEWS
The district’s summer school program and community school, which are a part of the operating budget, made thousands of dollars less than projected for the 2011-2012 school year, according to a preliminary audit report by the superintendent for business.
The district’s cafeteria, an enterprise program that required no infusion of funds from the Board of Education (BOE), also made thousands of dollars less than expected.
While the audits are not yet complete on these programs, village taxpayers will not have to pay for any of these losses in the 2013-2014 school year budget, officials said.
The cumulative losses for programs the district contributes to are relatively small – an “infinitesimal” percentage of the $90 million budget, noted Board of Education (BOE) Vice President Vince Loncto.
Readers Skeptical ”historic, bipartisan pension reforms signed into law in June 2011″
Those …”historic, bipartisan pension reforms signed into law in June 2011″ … are but a VERY minor down-payment on REAL MATERIAL needed financial reforms at least 10 times as great in savings. Between the ALREADY ACCRUED and UNDERFUNDED pension and retiree healthcare benefit promises for PAST service, NJ is in the hole RIGHT NOW to the tune of $150 Billion (that’s Billion). That’s money we are supposed to have in hand TODAY (so it can go grow to pay out much larger benefit promises in the future). Saving a few hundred Million is tenth-ths of pennies for each dollar of savings needed.
The fist step is CLEARLY to STOP digging the hole deeper (every day) by allowing continued accrual for FUTURE service based on pensions formulas and benefit promises that are magnitudes too generous (multiples greater than what comparable Private Sector workers get from their employers) and unnecessary to attract and retain a qualified workforce. We must immediately hard freeze the current defined Benefit Plans granted all State and Local Public Sector workers in NJ … INCLUDING police and judges…. ZERO future growth.
They should be replaced with Defined Contribution (401K-style) Plans with a taxpayer match of 2-4% of pay which is typical of what Private Sector employers grant their employees. With “cash pay” in the Public Sector no less than that of comparable Private Sector jobs (per the US Gov’t BLS), there is NO JUSTIFICATION for providing greater pensions and better benefits …. on the Taxpayers’ dime.
The financial rape of the Taxpayers by Public Sector Unions & workers must end and the self-serving, vote-selling, contribution-soliciting politicians who allowed it to happen should be voted out of office, civilly held accountable, and criminally charged (bribery ? conspiracy?) if at all possible.
When the Cheerleaders Referee the Game
By Doug Patton October 18, 2012 6:58 am
When will Republicans ever learn? Every four years, they agree to have their presidential debates “moderated” by liberal Democrats masquerading as journalists. The second of the three 2012 match-ups fell solidly into that category.
At a crucial juncture in Tuesday night’s so-called town hall style debate, CNN partisan Candy Crowley threw Barack Obama the lifeline he so desperately needed to save him from the only question of the evening concerning his near-criminal handling of the Benghazi, Libya, affair that killed four Americans, including U.S. Ambassador Christopher Stevens. After listening to the incessantly inane questions put forth by supposedly undecided voters — questions selected beforehand by Crowley herself — we finally got a direct question about the Libyan fiasco.
That direct question was this: “The State Department refused extra security for our embassy in Benghazi, Libya, prior to the attacks that killed four Americans. Who was it that denied enhanced security, and why?”
Obama started his two minutes of obfuscation by telling us how proud he is of all our diplomats around the world, what “an incredible job they do in a very dangerous situation,” how they represent him because he appoints them, and how he intended to “investigate” this whole incident until those responsible are “brought to justice” blah blah blah. It was an embarrassing display of bloviating, wherein he never answered the question. In fact, his answer ended with him blaming Romney for turning the whole thing into a political issue by criticizing the president’s actions — or lack of them.
Romney’s response was weak, but he did manage to point out that it was a terrorist attack, not a “spontaneous demonstration,” and that, immediately afterward, Obama had jetted off to a campaign fundraiser in Las Vegas. Filled with faux-indignity, Obama bristled that for Romney to dare to suggest that he or any of his team would use such a grave situation for political purposes was “offensive.”
He also stated that he had called the attack “an act of terror” the day after it happened.
At this point, it was obvious that Obama and Crowley were on the same page on this issue. When Romney challenged Obama’s statement that he had characterized Benghazi as an act of terror in his brief September 12th Rose Garden news conference, the president said, “Get the transcript.” And low and behold, Candy Crowley just happened to have one, which she used to back up Obama’s lie. Delighted, Obama piped up, “Could you say that a little louder, Candy?”
(Later, on her poorly rated network, CNN, when few people were watching, Crowley corrected herself by admitting that the generic reference the president had made at his news conference did not pertain to the Libyan attack at all. Of course, by then she had accomplished her mission of bailing Obama out of a very uncomfortable situation.)
Out of all the statements that have been made over the past month on this issue, ask yourself why Candy Crowley, who had personally chosen the audience questions in advance, would be armed with that particular transcript, if not for the purpose of preparing to provide Obama with a lifeline. How would she have known that this was the excuse the president would use?
Obama was indeed more aggressive in this debate than he was in Denver two weeks ago, when he appeared to barely have a pulse. But, as it so often does, his aggression took the form of petulance and indignation from a petty little man who does not like to be challenged, and who is accustomed to being surrounded by sycophants — both on his staff and in most of the media.
Focus groups across the political spectrum afterward confirmed that Romney clearly had the better answers on the economy and taxes, despite Obama’s class warfare protestations to the contrary. But on the issue that would have been the most damaging to this president — the attempted cover-up involving the murder of a diplomat and three other Americans in a terrorist attack his administration tried for two weeks to sell as a spontaneous demonstration — Obama slithered away from the question with the help of moderator Candy Crowley.
That’s what happens when you let the cheerleaders referee the game. Someday maybe Republicans will learn.
—
Doug Patton describes himself as a recovering political speechwriter who agrees with himself more often than not. Now working as a freelance writer, his weekly columns are syndicated exclusively by Cagle Cartoons newspaper syndicate. Astute supporters and inane detractors alike are encouraged to email him with their pithy comments at dpatton@cagle.com. For info on using his column at your publication or website, please email Cari Dawson Bartley at cari@cagle.com.
Recently there have been a number of reports of attempted luring incidents in Bergen County.
In these purported incidents, young children were approached by operators of automobiles
who engaged them in conversation by posing questions before trying to lure them into their
vehicles.
The safety of the children of the Village of Ridgewood is the foremost concern of the Board of
Education and administration. Districts around the county are sending out information to help
raise awareness. I am offering here the following list of safety tips for children:
1. Check first. Children should check first before going anywhere with anyone at any time
for any reason, including going with relatives and people the child knows. They should
always check first with the person who is caring for them at that time. If it is impossible
to check with the caregiver, then the answer is “NO! You may not go.”
2. Use the Buddy System. When outside, children should always walk with at least one
other person. Groups of more than two are optimal.
3. Remain anonymous. When outside the house, do not wear clothing, backpacks or other
articles with their name visible on it. Children are more likely to trust someone who calls
her or him by name.
4. Keep at arm’s length. Children should stay at least an adult arm’s length away from any
car that is occupied by a person trying to talk to them so that they cannot be reached by
the person inside the car.
5. Just say No. If someone encourages a child to get into a car, to help find a lost pet or to
leave with them for any reason, the child should yell “NO” as loudly as possible and run
to the closest adult whom they know and trust. Yelling “No” indicates the child has been
prepared for the situation.
6. Run in reverse. If necessary, children should know to run in the opposite direction from
the one the car is facing. It is harder to drive in reverse than forward.
7. Know who you are. Children should know their full name, address and the best phone
number (including area code) to call in case of an emergency. EDUCATION CENTER 49 COTTAGE PLACE RIDGEWOOD NJ 07451
www.ridgewood.k12.nj.us
8. Get the details. Older children should be taught to pay attention to the color and make
of the vehicle and/or its license information (state and number), the physical
characteristics of the person(s), and where he/she was when approached. If they have a
cell phone, they should immediately call 911 to report any attempted luring. This
information will assist the police in their investigation.
I hope the above common sense tips will help you in your discussions at home about safety. If
you have any questions or need additional information, please don’t hesitate to contact your
child’s principal or my office.
Sincerely,
Daniel Fishbein, Ed.D.
Superintendent of Schools
FRIDAY, OCTOBER 19, 2012
BY LAURA HERZOG
STAFF WRITER
THE RIDGEWOOD NEWS
Mayor Paul Aronsohn’s duties may include Village Council meetings, voting on policy and discussing residents’ concerns over coffee. But he has another duty that might get overlooked unless you’re invited to the wedding: officiating over marriages at Village Hall.
Jerry Lakusta and Laura Miller share a kiss as husband and wife after Mayor Paul Aronsohn (left) officiated their ‘second’ wedding ceremony, which they opted to hold at the Ridgewood Library.
So far, Aronsohn has married eight couples, including two Ridgewood High School teachers and two couples from Ho-Ho-Kus, where the town hall does not perform marriages.
“I was kind of excited about that part of the job,” Aronsohn said. “It definitely beats council meetings that go to midnight.”
Village Hall marriages are not uncommon occurrences in Ridgewood. About 35 to 50 people get married at Village Hall each year, according to Deputy Clerk Donna Jackson.
While village officials do not collect a fee for the ceremony, they ask the couple to donate some amount to a charity or non-profit. According to Village Clerk Heather Mailander, most people give between $35 and $100, sometimes donating to village non-profits like Ridgewood EMS or Friends of the Library.
While these simpler weddings are tens of thousands of dollars cheaper than the average ceremony, the memories remain priceless.
Newark teachers contract, performance bonuses – a game-changer
It is touted as a historic agreement, one that will remake how Newark teachers are judged and paid — one that may even serve as a model for other school districts around the country.
Announced yesterday, the tentative contract between the state-run Newark public school system and the 3,100-member Newark Teachers Union was hailed by such disparate players as Gov. Chris Christie and American Federation of Teachers President Randi Weingarten.
