The Ridgewood Blog Brings a Free Market Laissez-faire Point of View to Local, New Jersey State and National Issues.
the staff of the Ridgewod blog
Trenton NJ, State Treasurer Elizabeth Maher Muoio issued a new voluntary disclosure statement to bond holders today, as required by law, providing the most detail, to date, on the potential impact COVID-19 may have on New Jersey’s finances, including revenue collections and pension fund contributions.
New Jersey has $234.7 billion in bills and only $25.9 billion in available assets to pay those bills
the staff of the Ridgewood blog
Ridgewood NJ, A new report on the financial condition of the 50 states ranks New Jersey no. 50 in the nation for its fiscal health. The report is based on the states’ 2018 comprehensive annual financial reports, the most recent data available.
Continue reading New Jersey Ranked Worst State in the Nation for Fiscal Health
July 28,2018
the staff of the Ridgewood blog
Mountain Lakes NJ, Jack Ciattarelli sounded very much like a man running for governor Wednesday night as he addressed the first “Brotherhood of Business and Labor” reception hosted by the New Jersey Organization for Economic Growth in Morris County.
Ciattarelli, who ran for the Republican nomination for governor last year, presented his ideas to cure New Jersey’s economic and tax ills, which included the elimination of the state tax on capital gains, phasing out the corporate business tax, and ending the practice of raising property taxes on people who update their homes without increasing the size of the house.
Ciattarelli’s philosophical approach is to not punish people who take risks or who invest in projects that create value and jobs. That philosophy was enthusiastically received by NJOEG Chairman Joseph Caruso, who said he welcomed Ciattarelli’s bold candor.
When Caruso asked the keynote speaker of the event if he was running for governor, Ciattarelli smiled and reeled off the exact number of months and days until the next gubernatorial election before admitting that he would run.
Ciattarelli was warmly received at the Brotherhood event, which included a number of elected and appointed officials including New Jersey State Republican Party Chairman Doug Steinhardt; State Sen. Joseph Pennacchio; Business Manager for the International Brotherhood of Electrical Workers Local 102 Patrick Delle Cava; and NJOEG Labor Liaison Christian Barranco
“I think Jack will be a great candidate and will make a tremendous governor. He understands economics and investment and he is willing to tackle tough issues without pandering to the special interests that are largely responsible for New Jersey’s horrid economic condition,” said Caruso, a business executive from Wayne.
Ciattarelli, a former assemblyman from the 16th Legislative District, stepped into the quagmire that is the state’s ongoing property tax crisis; saying bluntly, “You can’t fix the property tax problem in New Jersey without fixing the state’s school funding formula.”
Ciattarelli’s fix entails providing the same amount of per student funding for every child regardless of where they live.
He also waded into the pension crisis saying: “The state pension plan is busted. It was not designed to pay lifetime health benefits to people who live into their 90’s,” he said.
Ciattarelli took a few jabs at Gov. Phil Murphy and his progressive policies and tax increases, saying: “Murphy lights the fires of socialism.”
Della Cave, representing labor at the event, pointed out how his union is backing incentives for business investment because “businesses are not expanding in New Jersey without them.”
Delle Cave, who represents 2,500 electricians and has $1 million budget for political activity, said there are two main issues important to his members besides creating a robust economy. “Don’t do away with prevailing wage laws and don’t make this a right to work state,” he said.
Steinhardt said state officials need to address New Jersey’s problems by “resisting the temptation to do what is easy and what feels good.”
The State GOP chairman offered a few reforms he would like to see including a 2 percent cap on state spending (which now applies to municipal and county governments), public sector pension reform and a reduction in regulation that is killing business investment.
Barranco, who served as master of ceremonies for the event called it highly successful in furthering the dialogue among government, labor and business.
“New Jersey’s present economy is imbalanced with the few good things going to relatively few people, while everyone else – including private sector workers, homeowners, young people and business all getting squeezed to the breaking point. Through more events like this and more honest dialogue we can fix what’s wrong with New Jersey,” said Barranco.
file photo by Boyd Loving
February 22,2018
the staff of the Ridgewood blog
Trenton NJ, in another reason to leave the state , New Jersey Policy Perspective is championing returning the state sales tax rate to seven percent ,NJPP claims it could raise $600 million more for the state while having little impact on most residents.
The far left think tank New Jersey Policy Perspective is a group that also recommends , “A $15 Minimum Wage Would Help Over 1 Million Workers and Boost New Jersey’s Economy ” , “New Jersey Should Replicate ACA Penalty to Keep Coverage Affordable” , and our personal favorite “Why Unauthorized Immigrants Should Be Permitted to Drive Legally” .
Their website reads like a Christmas list of every New Jersey politician.
According to their website New Jersey Policy Perspective has never met a tax it didn’t like .
In the report on the proposal by NJ101.5, a senior policy analyst for New Jersey Policy Perspective said the tax rate cut adopted as part of the push to hike the state gas tax “was a gimmicky tax policy that no one asked for, and reversing it back to its original rate will largely go unnoticed.” But the move would have a big impact on the state’s finances, analyst Sheila Reynerston said in the radio station report.
NJPP also suggested the tax should be broadened to include accounting and bookkeeping, architects, attorney and engineer fees, among other things.
In the report, Reynerston said cutting spending alone won’t help New Jersey’s budget problems and that the state needs to consider ways to raise revenues. Interesting we have not herd anyone in New Jersey talk about cutting spending for over 40 years , thus the fiscal calamity the state now faces.
On the NJ101.5 Reynerston said , “Keep throwing things at the wall until something sticks. If it’s not the millionaires’ tax, then let’s revisit the estate tax. If it’s not the estate tax, let’s revisit the sales tax code,” she said in the radio station report.
RE : New Jersey should get its own house in order
this letter was also published NorthJersey 7:03 a.m. ET Dec. 15, 2017
In regard to the federal tax reform debate, it’s amazing to read the many letters to the editor justifying the deduction of local taxes because New Jersey gets so little back from the U.S. government in comparison to other states. New Jersey’s disgraceful local taxes have nothing to do with the federal government or with the actions of other states and everything to do with the reckless fiscal mismanagement brought about by elected officials of both parties.
We have a pension system that will never be solvent unless it undergoes major reform. We have a public educational system supported by billions of dollars in spending — much of which is siphoned off before it ever gets to the classroom, and thus resulting in a failure of education in our major cities. We have more than 500 municipalities with a duplication of services that’s unique to New Jersey. And we have government workers making salaries and benefits together with retirement packages that are out of control and continue to escalate.
Rather than looking to the federal government for a handout so New Jersey can continue its profligate spending, we should be demanding sound solutions to our fiscal mess from our elected leaders.
Philip Affuso
Ridgewood
December 12,2017
the staff of the Ridgewood blog
Trenton NJ, In an historic moment for the Garden State, Governor-elect Phil Murphy this morning formally nominated Bergen County Prosecutor Gurbir Grewal, a Sikh American to serve as the state’s next attorney general.
“Our state needs someone with a steel backbone who will stand up to President Trump to protect the values of our state and all 9 million of our residents,” Murphy told reporters at a Statehouse press conference, standing beside Grewal, who is poised to become the first South Asian attorney general in New Jersey history and the first Sikh to serve as an attorney general in American history.
Grewal is a Georgetown University grad, who attended law school at the College of William and Mary, and built his career in the U.S. Attorney’s Office and as Bergen County Prosecutor, where he oversees 3,000 law enforcement officers and 70 municipalities.
“We are turning the page in New Jersey and I am honored to have Gurbir. There should be no mistake. He is a proud son of immigrants. His story is the American story,” said the Governor-elect.
Murphy is clearly trying to make a point based on the race , the Ridgewood blog thinks Murphy blinded by politics may have gotten more than he bargained for . Grewal a Democrat who was appointed by Republican Chris Christie . The Democrats delayed the confirmation of Grewal for some time . It seems Grewal is pretty much a straight shooter unlike his political motivated predecessor and would not play ball for the usual Democrat talking points .
While Murphy bills Grewal as the point man against President Donald Trump , most experts think Trump policies are the lest of the Governor elect’s list of things to be worrying about . The states apocalyptic financial situation, depleted tax base , massive unfunded pension liabilities and a huge level of illegal aliens living in the state have most Trenton watchers placing bets as to date for the total collapse of New Jersey finances
N.J. school district’s budget crisis could cause 119 teacher layoffs
https://www.nj.com/ocean/index.ssf/2017/03/lakewood_schools_reportedly_facing_devastating_bud.html
We pay the highest taxes in the country for a few reasons… first, 500 odd local municipalities with their own governments, schools, etc… that’s not cheap…. then you have some of our larger cities requiring taxpayer based support…and the north subsidizes the south county wise (kind of like a microcosm of the country)…. but, the biggest reason is that NJ is the most “independent” state of the federal government. What that means is that we are a donor state to the tune of 10’s of BILLIONS every year, with most of these funds going to red states… we only get back about 60 cents for every dollar to DC… Our reps on both sides totally shaft us… why does no one see that as an issue? If we got about 70 cents back for every buck, we could fund everything and run a surplus to boot… yeah, some of the pension stuff is over the top but no one says boo about the federal transfer of payments deficit that we have…
New Jersey budget gap keeps growing
APRIL 14, 2014, 10:30 PM LAST UPDATED: MONDAY, APRIL 14, 2014, 10:32 PM
BY JOHN REITMEYER
STATE HO– USE BUREAU
THE RECORD
Four days after a downgraded credit rating, New Jersey has more bad financial news: Tax collections were once again short of Governor Christie’s already lowered expectations.
This time, the gap was $145 million for March – a full 7 percent short of what Christie projected for the month, according to data released Monday by the state Department of Treasury.
That means the Christie administration has to make up that gap with just three months left in the state’s fiscal year, time that includes the crucial income tax collection month of April. Already, the administration has said it cut nearly $700 million in spending to help balance Christie’s $33 billion budget after an earlier shortfall. More money was also raised this year by restructuring state tobacco bonds.
Treasury officials attributed the weaker-than-expected March tax collections to the lingering effects of harsh weather in February, and also to taxpayers’ use of new technology that is allowing income tax refunds to go out at a much faster rate than in prior years.
“Accelerated refund payments, in addition to February’s harsh weather, constrained March cash collections compared to projections,” Treasurer Andrew Sidamon-Eristoff said. “We do not believe these factors will carry over to April and the balance of the fiscal year.”
– See more at: https://www.northjersey.com/news/new-jersey-budget-gap-keeps-growing-1.981125#sthash.NGjYElcW.dpuf
