The Ridgewood Blog Brings a Free Market Laissez-faire Point of View to Local, New Jersey State and National Issues.
I’m not a Murphy fan, by far, but if Honeywell just got a $40 mil tax credit, then why splitting after less than 4 years? It’s no secret that NJ taxes were oppressing residents and businesses for a while now. The big loss is opportunity for skilled positions leaving and headed 600 miles south. The influx of unskilled illegals now the Murph has declared us a sanctuary state simultaneously with the weed business is an abomination.
the staff of the Ridgewood blog
Morris Plains NJ, Just over three years after getting a $40 million tax credit to stay in New Jersey in 2015 Honeywell International Inc. is now fleeing the Garden State in a move to low tax and far more business friendly North Carolina.
In what can only be described as a major blow for the state ,Honeywell has joined the growing list of companies that has decided to leave New Jersey and its anti business high tax ways . The move is expected to result in 700 to 800 jobs for North Carolina . Honeywell is ranked 77 on the Fortune 500 list of the largest U.S.-based companies.
the staff of the Ridgewood blog
Ridgewood NJ, In light of yesterday’s Wall Street Journal report detailing Google’s plans to add 12,000 new jobs in New York City, Senate Republicans Tom Kean and Steven Oroho said that the expansion would cost New Jersey thousands of jobs and hundreds of millions of dollars in lost tax revenue.
Continue reading New Jersey Business Tax Policies Chase Away Jobs
the staff of the Ridgewod blog
Trenton NJ, NJBIA President & CEO Michele N. Siekerka, Esq. issued the following statement Thursday regarding Gov. Phil Murphy’s action on A-4495, which revises the Corporation Business Tax.
“We are extremely disappointed the governor has signed A-4495 into law, which extends well beyond the intended cleanup of the Corporation Business Tax (CBT) legislation passed in July and will place a significant additional financial burden on our state’s largest job creators and discourage startup companies from operating here.
file photo by Boyd Loving
Apr 17, 2018
by AFP
Trenton NJ, Americans for Prosperity-New Jersey (AFP-NJ) on Tuesday responded to a report released by the American Legislative Exchange Council (ALEC) that ranks New Jersey as having the fifth-worst economic outlook in the country. The 11th Edition of Rich States, Poor States: ALEC-Laffer State Economic Competitiveness Index ranks every states’ economic outlook based on fifteen policy variables like tax rates and labor policies; New Jersey is ranked 46.
“This report reaffirms what we’re reminded of every Tax Day – New Jersey residents are taxed too much and have nothing to show for it except an economy in dire straits with one of the highest out-migrations in the country,” said AFP-NJ State Director Erica Jedynak, who also serves as ALEC’s Private Sector Chair for the Garden State. “The economic situation will only worsen as more beleaguered New Jersey families scramble for the exit. If state and local leaders hope to reverse these trends we must begin to implement policies that provide tax relief and expand worker freedoms.”
“As states compete with each other for much-needed human and financial capital, there is generally a clear trend in favor of taxpayer-friendly, market-oriented reforms across the United States,” said Jonathan Williams, Chief Economist and Vice President for the Center for State Fiscal Reform at ALEC. “Unfortunately for the hardworking taxpayers of New Jersey, the Garden State is once again heading in the wrong direction with the discussion of tax increases. The new rankings show New Jersey is stuck in the bottom five in economic outlook because of high taxes, overwhelming government regulation and cronyism.”
“New Jersey’s poor ranking was well earned and is much deserved. It continues to tax and spend itself into obscurity,” said Senator Joe Pennacchio, who also serves as ALEC’s Public Sector Chair for New Jersey. “Governor Murphy’s first budget raises taxes 2 billion dollars and increased spending by 8 percent. People are fleeing our State leaving behind their families and communities. Whoever is left must shoulder an even higher tax burden. Not fair.”
April 18,2018
the staff of the Ridgewood blog
Arlington VA , The American Legislative Exchange Council (ALEC) today released the much anticipated 2018 edition of Rich States, Poor States. Utah again earns the top spot for states with the best economic outlook, followed by Idaho, Indiana, North Dakota and Arizona. Several states’ success in increased rankings can be tied directly to the success of federal tax reform and the resources it gave to lawmakers to cut taxes at the state level.
The 11th edition of Rich States, Poor States is characterized by great movement in state economic performance and outlook as a result of federal tax reform and the resulting actions of certain states.
Biggest movement in rankings:
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Biggest Gainers
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Spots Gained
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Biggest Losers
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Spots Fell
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Idaho
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8
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Tennessee
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7
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Georgia
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6
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South Carolina
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6
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Connecticut
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6
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Pennsylvania
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5
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Nebraska
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4
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Texas
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5
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Arizona
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3
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Illinois
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6
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The 15 economic policy variables used by the authors—top economist Jonathan Williams, White House Advisors Art Laffer and Stephen Moore—to rank the economic outlook of states have shown over time to be among the most influential variables for state growth. The top ten and bottom ten states for 2018 are:
Overall Economic Outlook for 2018
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Top Ten
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Bottom Ten
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1. Utah
2. Idaho 3. Indiana 4. North Dakota 5. Arizona 6. Florida 7. North Carolina 8. Wyoming 9. South Dakota 10. Virginia |
41. Oregon
42. Maine 43. Montana 44. Minnesota 45. Hawaii 46. New Jersey 47. California 48. Illinois 49. Vermont 50. New York |
“The untold story of federal tax reform is its impact at the state level, where the vast majority of states are now enjoying unexpected revenue gains,” said Jonathan Williams, Chief Economist and Vice President of the ALEC Center for State Fiscal Reform. “This trend is empowering additional pro-growth tax reform efforts that will provide an added level of benefits for hard-working taxpayers. As states compete with each other for much-needed human and financial capital, there is a clear trend in favor of taxpayer-friendly, market-oriented reforms.”
“The shakeup in rankings is exciting and a testament to how states are always competing to offer the most pro-growth tax climate. When states compete on the merits of good public policy, ultimately the taxpayer ends up being the real winner,” said North Carolina State Rep. and National Chairman Jason Saine.
In the past five years alone, 30 states have significantly reduced their tax burdens. Those that fail to adapt to this competitive environment can fall behind by simply standing still. The facts remain clear that pro-growth policies are working and there is a clear trend in favor of market-oriented reforms.
Rich States, Poor States examines the latest trends in state economic growth. The data ranks the 2018 economic outlook of states using 15 equally weighted policy variables, including various tax rates, regulatory burdens and labor policies. The 11th edition examines trends over the last few decades that have helped or hurt states’ economies.
Used by state lawmakers across America since 2008, Rich States, Poor States: ALEC-Laffer State Economic Competitiveness Index, is authored by White House Advisor and economist Dr. Arthur B. Laffer, White House Advisor and Economist Stephen Moore, and Jonathan Williams, Vice President of the American Legislative Exchange Council Center for State Fiscal Reform.
To download a copy of Rich States, Poor States and to see individual state data, visitrichstatespoorstates.org
New Jersey is currently ranked 49th in the United States for its economic performance. This rank is a backward-looking measure based on the state’s performance (equal-weighted average) in three important performance variables shown below. These variables are highly influenced by state policy.
| METRIC | VALUE | RANK |
|---|---|---|
| Cumulative GDP Growth, 2006 – 2016 | 23.7% | 41st |
| Cumulative Domestic Migration, 2007 – 2016 | -516,326 | 46th |
| Non-Farm Employment Growth, 2006 – 2016 | 0.54% | 42nd |
April 17,2018
the staff of the Ridgewood blog
Florham Park NJ, in what looks like the first of many, baby food giant Gerber food said Monday that it will be closing its headquarters in Florham Park and moving to Arlington, Virginia, beginning the transition in January 2019.
Gerber will move operations to the same building as its sister company Nestle USA, which also recently relocated to the Washington D.C. area, the company said in a statement.
This leaves close to 180 New Jerseyans will be out of a job mostly in corporate positions such as marketing, finance and HR. The company will offer a chance to relocate, as well as severance and outpatient support for those that can’t make the move.
A congratulations to Governor Murphy , who’s policies seem destine to produce the final mass exodus of companies and labor from the state of New Jersey.
November 24,2017
the staff of the Ridgewood blog
Hackensack NJ, Bergen County Executive Jim Tedesco , “This afternoon I was joined by my colleagues on the Bergen County Board of Chosen Freeholders, along with representatives from USUW 755, USUW 655, and the Executive Director of New Jersey Working Families Analilia Mejia, to announce and sign Executive Order No. 2017-01, officially making Bergen County the first county in the state of New Jersey to adopt a $15 minimum wage for its full time county workers.
Good people are essential to good government, and good managers understand that their employees need to be valued. County employees who put in 40 hours or more every week, in service to their friends and neighbors throughout Bergen County, deserve and have earned a $15 minimum wage. It is important to me that we do this for our workers in time for holidays.”
While the reality is most employers cannot simply raise prices to cover the higher minimum wage, particularly in the competitive services sector. … But a preponderance of evidence has shown that there are no positive effects on employment of low-skilled workers that offset the negative effects from an increase in the minimum wage.
Look for more automation , layoffs , business closings ,less full time work and even less opportunities for starter jobs in Bergen county.
By Dennis Malloy July 24, 2017 7:55 AM
It’s almost a forgone conclusion that Phil Murphy will be elected New Jersey’s next governor come this November. So prepare yourself for our version of “Murphy’s Law”.
“Any tax than can go up, will….and at the worst possible moment”.
Our current governor has a dismal approval rating of just below 15 percent. It’s the lowest in the country and maybe of all time. It’s very easy now to deride Governor Christie for any number of missteps and insults to us citizens over the last few years.
No matter who becomes governor, accountants worried about NJ economy
But as I’ve said many times, once “Chubby” pulls his fat little thumb out of the dyke, the torrent of taxes and fees coming our way to pay for what the Democrats want, will drown us all.
Read More: Get ready for New Jersey’s own version of ‘Murphy’s Law’ | https://nj1015.com/get-ready-for-new-jerseys-own-version-of-murphys-law/?trackback=tsmclip
STEVE HUGHES Staff Writer
New Jersey is one of 23 states still trying to boost its tax revenue levels to pre-recession levels, according to a Pew Charitable Trust report.
At its peak, the fourth quarter of 2007, the state took in $8.7 billion in revenue. It hit a low point at the end of 2011, with only $7.1 billion in revenue that quarter.
As of the end of 2016, the state’s quarterly tax revenue was 10.9 percent lower than the third quarter of 2008, Pew found, as the state took in $7.8 billion.
By Stephen Stirling | NJ Advance Media for NJ.com
on January 16, 2017 at 7:30 AM, updated January 16, 2017 at 7:53 AM
Charlene O’Brian doesn’t want help.
The 38-year-old single mother of two has built her life on being a strong, independent woman. The Hardyston divorcee has a full-time job training educators, which she balances with raising her 7 and 10 year-old boys, the latter of which has special needs. In her spare time she runs and designs grueling obstacle courses, the kind that make even the biggest fitness buff think twice.
But O’Brian knows today she needs help. She just doesn’t know where to turn to get it.
“It doesn’t make me feel good. It’s been a struggle,” O’Brian said. “But it makes me want to make a difference.”
By Stephen Stirling | NJ Advance Media for NJ.com
on December 13, 2016 at 8:36 AM, updated December 13, 2016 at 3:06 PM
The struggles of Atlantic City are well documented.
Casino closures. The threat of bankruptcy. The recent state takeover.
But while much has been made about the pain being felt by the city and its most famous commercial tenants, new data show its residents likely feel the sting more than most.
Updated: OCTOBER 20, 2016 — 3:39 PM EDT
by WAYNE PARRY, The Associated Press
ATLANTIC CITY, N.J. (AP) – The New Jersey Senate approved a measure Thursday that would punish billionaire Carl Icahn for shutting down the Trump Taj Mahal casino by prohibiting him from holding a casino license for it for five years.
The bill would only apply to Icahn at this time, even though four other Atlantic City casinos have shut down since 2014.
Icahn’s Atlantic City management team says the bill is unfair and unconstitutional, making it virtually impossible to reopen the Taj Mahal should they decide to do so.
The bill has not yet been voted on in the state Assembly. If passed by the full Legislature, it is likely to be vetoed by Republican Gov. Chris Christie, who has made criticism of some labor unions a key part of his political agenda.
April, 17, 2016
By Rep. Scott Garrett (New Jersey’s 5th Congressional District)
Ridgewood NJ, For too long, tax and spend politicians have used the tax code to confiscate more money from working families in New Jersey because they believe the government can spend the funds better than those that earned it. And each tax season, New Jerseyans are painfully reminded of their high tax burden.
At over 70,000 pages containing 4 million words, chances are you didn’t read the entire U.S. tax code before filing your taxes this year. In fact, the tax code is so long and complicated that you probably ended up having to pay a person or a service for their expertise — all the while hoping that they read and understood all 70,000 pages.
This is a tax code in desperate need for reform. Reform that keeps more money in New Jersey, ends the special interest loopholes, and lowers the overall tax margins for everyone.
Keep the money at home
Some politicians view tax reform and the ever-growing government as yet another opportunity to empower themselves at the expense of hardworking New Jersey taxpayers. By advocating for more programs and more benefits, big government spenders are really placing their faith in bureaucrats. So rather than send taxpayer dollars to Washington and hope bureaucrats send it back, I am fighting to keep more of your money in your own pocket.
Our overly complex tax code is the lifeblood of the biggest scam perpetuated by Washington politicians. They take your hard-earned money through a broken tax system that no one understands, and then cut backroom deals to give this money to their favored programs. And if some tiny amount actually comes home, the taxpayers are supposed to thank Washington for giving some of it back.
Think of it this way. If someone stole a $50 bill out of your pocket, would you thank that person after they brought you a happy meal from a fast food restaurant? f course not! It’s your money and you know better how it should be spent.
Even the playing field
Next, we must end the tax benefit system bestowed to Washington’s favored industries. The current tax code is a grab bag of loopholes, deductions, and escape routes for those fortunate enough to be able to hire an army of tax attorneys and lobbyists.
Every year, pinstriped lobbyists descend upon Washington to receive their tax carve outs — known as tax credits — for their industry. Not only does this arrangement let the federal government pick winners and losers, it misallocates the capital investment that so many struggling industries need. And the individual taxpayer, who has no lobbyist in Washington, is left picking up the tab.
This is not the type of economic liberty and freedom of opportunity the Founders envisioned.
New Jerseyans should no longer be expected to pay for government favors enjoyed by mega-corporations and Washington’s preferred industries. Every industry should play on the same, even playing field, not the rigged system of carve outs we have now. Additionally, the number of deductions — which allow businesses to lower their tax burden –should be significantly reduced.
If it’s broke, fix it
And on the individual level, we need a simpler, fairer, and flatter tax code free of loopholes. The average American spent 13 hours preparing their taxes last year — totaling more than 6 billion hours for all Americans. Navigating the tax code has become too complicated and time consuming. Instead, the tax code needs to be simplified so that high-powered corporate executives, who can hire expensive tax attorneys to lower their rates and find loopholes, don’t end up paying a lower percentage than a single mom working two jobs.
Thomas Jefferson once wrote, “I predict future happiness for Americans if they can prevent government from wasting the labors of the people under the pretense of taking care of them.”
New Jerseyans have been frustrated by bureaucrats in Washington who continuously waste tax dollars. Comprehensive tax reform will force the government to be more efficient, effective, and accountable to the people. Americans deserve a tax system that provides equal opportunity and economic freedom for everyone, not just those who have power and influence in Washington
By Eric Boehm / March 25, 2016
Religious institutions in New Jersey are no longer allowed to sell grave markers, thanks to a new state law that took effect this week.
Signed into law a year ago by Republican Gov. Chris Christie, the new regulations target the Roman Catholic Archdiocese of Newark, which in 2013 began selling grave markers for burial plots within the archdiocese’s cemeteries. The Monument Builders Association of New Jersey sued the archdiocese and then successfully lobbied for the passage of a law to protect their members from competition.
GRAVE MATTERS: Religious institutions in New Jersey, like the Archdiocese of Newark, headquartered in the Cathedral of the Sacred Heart, are no longer allowed to sell grave markers, thanks to a new state law that took effect this week.
Christie signed the bill in March 2015 but delayed its implementation for one year.
“We have dreaded this day for a year,” said Andrew P. Schafer, executive director of the Newark Archdiocese Office of Catholic Cemeteries.
But the courts will likely get the final say in the matter.
The grave marker business is a lucrative one. The archdiocese made about $500,000 in the first year after it started marketing headstones directly to consumers, and the MBA argued that its members lost more than one-third of their business.
The archdiocese’s business model differed from that of the for-profit memorialists. While the businesses simply sell headstones to consumers, the archdiocese sells “inscription rights,” retaining ownership of the headstone while allowing the bereaved to engrave a message on it. This means maintenance of the headstones in the archdiocese’s 11 Catholic cemeteries will be at the Church’s expense in perpetuity.
With the threat of losing more business to the Catholics, the Monument Builders Association sued the archdiocese in 2013, but the lawsuit failed because it was not illegal for religious institutions to sell grave markers.
Stopped by the courts, the MBA turned to the state legislature. A bill banning religious institutions from selling grave markers sailed through the state legislature in December 2014 with bipartisan support.
Lawmakers who backed the bill said they were worried about the nonprofit archdiocese taking business away from monument dealers.
“We’re not millionaires. We are small businesses trying to survive,” said John Burns Jr., president of the Monument Builders Association of New Jersey, told lawmakers.
Now the issue is back in court. The Archdiocese of Newark, along with two of its constituents and the Institute For Justice, a libertarian law firm, is challenging the banon religious institutions selling grave markers.
The state of New Jersey has asked the U.S. District Court in New Jersey to dismiss the complaint, but the case is still pending.
The Institute For Justice says the case could be a model for attacking similar protectionist regulations in other areas of the economy, an issue on which federal courts have established no settled rules.
Until that gets resolved, consumers in New Jersey will have fewer options when it comes time to purchase a grave marker for a family member or loved one. The state is one of just three in the country to ban religious institutions from selling gravestones.
“This new law protects only the interests of funeral directors and monument dealers while eliminating the rights of families we serve and our ministry,” Schafer said Wednesday.
