The Greatest Lie in New Jersey

by: Jersey Jazzman

Wed Nov 16, 2011 at 11:00:00 AM EST

New Jersey does not have a tax problem. That we don't have enough tax revenue. We have a spending and size of government problem and we need to start saying "no." And, today is another one of those examples of saying "no."

Well, if square-shootin', straight-talkin', plain-spoken man-of-the-people Chris Christie says so, it must be true, right?

Wrong:

Spending burden is total state and local government spending as a share of total state personal income.
NJ Rank: 40

Sorry, folks - looks like we let some facts intrude on a nice bit of demagoguery. Let's try that again:

Local government revenue tells only part of the story. If one looks at total state and local revenue from their own sources as a percent of residents' personal income, New Jersey ranks 31st in the country - i.e., in the lower half of states.

New Jersey's income tax revenue ranks 20th in the country as a share of residents' personal income, while its sales tax revenue ranks 38th and its excise taxes rank 45th. In addition, New Jersey and its localities impose few fees or charges for services, ranking 48th in the country.

When you're a high-income state, you pay more in taxes per capita; but that doesn't make you a high-tax state or a high-spending state relative to income.

And since we're a bedroom community, our residents pay a lot of taxes to New York or Pennsylvania. Can't exactly blame New Jersey policies for those.

Of course, the entire premise of Christie's argument against the millionaire's tax is that the wealthy will flee if we raise taxes on them. Too bad that just isn't true. Of course, in New Jersey, if you don't like the facts as the are, you can simply make up your own - if you are the governor.

What Happens in a Bad Economy?

by: The Journeying Progressive

Tue Aug 09, 2011 at 03:26:44 AM EDT

Come to think of it, they like to argue and obfuscate in abstractions, as well. They campaign in abstractions and make abstract pledges until those abstractions turn into something tangible, like a subprime lending crisis or a downgrade from a particular private rating agency.

We spend so much time wading through abstractions that we cannot get to the meat of the issues that face us today. Enough of that.

What really happens in a bad economy? And what is the public's role during these tough times?

Putting Ourselves at Risk: Cutting the EPA budget

by: epicsurvivor

Wed May 04, 2011 at 10:41:04 AM EDT

The Casual BS of Christie - Is NJ the Highest Spending State?

by: Jersey Jazzman

Mon Aug 23, 2010 at 10:51:48 AM EDT

Cross posted from Jersey jazzman

So I'm gearing up for Pension Week at Jersey Jazzman (yes, I'm bursting with excitement, too), and I come across a video from CNBC (below the jump) - Christie's first national interview after his election.

We already know Christie keeps saying we're "the most overtaxed people in America," (4:28). And we know that's not true.

But here he also claims: "We spend more on providing services... " (5:53).

Is it true? Is our spending the highest in the nation?

Well, here's a nifty little interactive map that compares state sending and taxes; where does NJ stack up (#1 rank means highest taxes or spending)?

Fewer Cuts - More Spending

by: Bill Orr

Thu Apr 01, 2010 at 11:07:59 AM EDT

More needs to be  done to harness the state's revenues in a proactive, positive manner. For the short-term Christie should increase taxes for wealthier residents and increase expenditures. An enlarged budget of about $2 billion would provide a better safety net for the most vulnerable and investments to generate recovery. Penny-wise pound-foolish budgeting only serves to dig a bigger hole and make rebounding more difficult. Ultimately it is wise government, not less government nor more government, which is most beneficial.  

The key is not to add to our debt, accomplished by increasing the tax rate on higher brackets and expending only such funds as become available through the added revenue. Equally important is to pay more into our self-funded debt, such as pension, and not enlarge our outside debt, such as highway bonds. Merrill Lynch said on Monday that New Jersey's debt should be downgraded to reflect the cost of paying its retiree pensions and health care. In effect, Wall Street analysts are more concerned by a state's debt overload, and as businessmen they can understand wise investments. What is needed  is to keep our budget in balance and not use accounting to mask debt or project unlikely revenue sources.

Funds raised through a progressive tax schedule can serve as investments. Done on a short-term two-year basis, it should not increase the flight of the wealthy as other states are adopting stern measures, and the wealthy can not quickly or easily liquidate assets such as their expensive homes in order to move elsewhere.

Penny-wise, pound-foolish approaches abound in our governor's budget, which, if reversed will help. Defunding women's health clinics, hurts their health, makes them less employable and increases the burden on more expensive emergency rooms which then seek reimbursement elsewhere. Does the governor think that reducing access to library books, a source of free job training and skills enhancement, will help the unemployed? Any increase of mass transit fares during a recession reduces people's job opportunities. Will refusing to pay into the pension fund help to recruit and retain good state employees or help to hold onto an acceptable credit rating?  Attacking TAG college tuition grants is no way help prepare people for the job market.

Housing is another example of an area in which government investments can help. The decrease of 8% in Northern New Jersey home prices in 2009 is a harbinger of continuing economic malaise. As the Record points out, "For most people, who are neither buying nor selling, lower values reduce household wealth, making consumers less willing - and able - to borrow and spend. This lost housing wealth has added to a sense of unease about the economy." Until prices stabilize, new home construction workers, remodeling contractors, real estate agents, Home Depot type staff, and others face continued unemployment. In California, with a budget probably even more stressed than ours, Business Week indicates, Governor Arnold Schwarzenegger last Thursday signed a bill aimed at selling California's vacant homes and encouraging new construction by extending a $10,000 state tax credit for first-time homebuyers.

Our governor already advocates more taxes - retrogressive fees on those who can afford them least - while harshly cutting government services and the higher-bracket tax rate. A two-year return to the $400,000 income tax rate by itself would yield approximately $1 billion, and additional rates at the $250,000 and $750,000 bracket could provide another $1 billion. With government investments more people can obtain employment, and both individuals and businesses can recover - creating a "virtuous cycle" rather than a downward spiral or a lengthy "stuck- in-the-mud" period. Then our Governor will still have time in office to cut the budget, reduce some taxes, and increase our surplus.

What I am advocating represents less than a 8% budget increase. It is the government's role to invest in hard times when citizens are in most need, and put on the brakes in the good times . We need smart, but increased expenditures and taxes now. Citizens and the legislature should urge this wiser approach.  

Did Christie just October Surprise himself?

by: Rosi Efthim

Mon Oct 19, 2009 at 02:50:23 PM EDT

The man on the street interviews are brutal. News 12:

Over at Channel 11, they're saying:

Taxpayers may have to foot more bills for state officials to travel if the GOP wins the governor's race next month.

Boom.  

Is Chris Christie trying to lose this election?

by: Rosi Efthim

Mon Oct 19, 2009 at 01:53:59 PM EDT

Christie's own expenditures as US Attorney regularly exceeded - often by a heap - rates allowed almost anybody else who works for state or federal government. That's how he'd play it as Governor? I mean, I can believe he'd spend like that if history's any indication. I just can't believe he'd say it out loud. Is he tired?

You'd think he'd avoid drawing attention to his unusual relationship with Michele Brown, put in charge (before she resigned) of FOIA requests to uncover Christie's travel documents, who turns out to be Christie's frequent travel companion in some very swanky hotels.  We now know he & Brown spent your money on:

a 3-night 2007 trip to Chicago, Indianapolis & Boston at $4,500 for hotel rooms?
a 2-night 2008 Vegas trip costing you $2,600?
a 4-night 2008 London trip costing you $8,800?

Imagine the example he could set if he traveled Newark to AC on public transportation. NJTransit's website is frozen right now but they're listed: 973-275-5555. Round-trip Newark to AC: $31 bucks. You could do that 22.65 times for what Christie billed taxpayers to limo in style. Maybe one of those bus trips where they fork over free casino chips and a steak dinner? And his Orlando trip?  AP points out there are 450 hotels in Orlando. He chose Ritz-Carlton, a luxury hotel.. Maybe a helpful state worker could point outhotels.com, where I clocked out after 12 pages of accommodations in-budget (300 hotels, plenty of pages left). Pool & breakfast, too.

Why is this guy - who campaigned on cutting government waste, touting integrity -  embracing his profligate spending of public dollars for his own convenience and comfort? Is he just winding down? Getting demoralized as the sun shines for Corzine and Daggett, at his expense? Or did somebody slip him some truth serum? Because if it's that, we've got some more questions.

What "BIG" government looks like

by: Scott Weingart

Thu Mar 12, 2009 at 11:04:21 AM EDT

The Star Ledger isn't kidding when they call the governor's budget "draconian.". Indeed, the proposed cuts in this year's budget cut dwarf anything seen in the past 60 years. In only five years since 1952 has state spending decreased, and never have cuts exceeded 2.21% of prior year's spending. Corzine's budget literally decimates spending; the $29.8 billion he is proposing for 2010 represents a cut of more than 10% from estimated 2009 expenditures of $33.2 billion. In fact, Corzine's cuts blow away the other five years combined, both in absolute dollars and in percentage:

State budget cuts since 1951

Year	Spending cut
	$ billion	percent
2010	$  3,403.5	10.2%
1976	$  61.0	2.2%
1993	$  258.3	1.7%
2009	$  375.0	1.1%
1955	$  1.4	0.6%
2006	$  135.1	0.5%

All of those governors are Democrats, and "BIG government" Jon Corzine is the only one who makes the list twice. It seems Ingle could use a semester or two of remedial math.

Politics As Usual in Ocean County

by: watcher

Mon Feb 16, 2009 at 01:52:38 PM EST

It is more probable, however, that the other old saying "Absolute power corrupts absolutely" is more appropriate.

Take for example, the campaign last year for Ocean County Clerk:  Jason Verano, the Democratic candidate alleged, that the incumbent Republican had misappropriated funds from a Dedicated Trust Fund under his control; that he had used the money for expensive trips; promotional items, and a 42? plasma TV, among other things.

"No, no, no," the incumbent said during the campaign,  "I wouldn't do anything like that!  Using the taxpayer money from the Dedicated Trust Fund for these expenses was completely legal! Please, believe me."

And, so, the voters of Ocean County did and reelected him, although by a margin almost 2/3 less than the one he had in his first election.

Then, after his swearing in, when he told us that Jason Varano was right; that he had misused the Dedicated Trust Fund money, Ocean County voters learned that he had abused our trust; that he had used our natural desire to believe our leaders for his own self-serving purposes.  "I've changed the way the Dedicated Trust will be used.  Trust me." he said.

Huh?  What about the hundreds of thousands of dollars this official now admits he misappropriated?  How do we, the taxpayers, recoup our money?

Hey, Watcher has an idea: How about he donates his salary back to the county until the debt to the rest of us is paid back?  That would work for Watcher.  How about all of you?  We could even have a public ceremony showing him handing over his $10,000 monthly salary check.  By my calculation, it would only take 2-1/2 years for him to pay back all the money that he used improperly.

Well, we know that won't happen, unfortunately, and that is why Watcher will be watching everything that happens in our government; tracking every expense; examining every contract and cross-checking them with every contribution to the party and telling you what our elected officials won't tell you.

Ocean County residents have the right to the truth, the whole truth, and nothing but the truth about our government and those who hold the power to spend out money.  We have the right to transparency about every action our elected officials take, every penny of taxpayer money they spend; and every benefit they receive.

To paraphrase the famous line from the movie "Network", "We're getting mad as hell and we're not going to take it anymore"

Scoring Points!

by: mikeshapiro

Tue Apr 29, 2008 at 09:54:32 PM EDT

Reining In Out-of-Control Spending

by: mikeshapiro

Tue Apr 22, 2008 at 07:12:44 PM EDT

Corzine, Like Clinton, Only With More Time to Turn It Around

by: mikeshapiro

Tue Feb 26, 2008 at 12:01:22 AM EST

Brother, Can You Spare $7.1 Billion?

by: Steven Hart

Fri Sep 28, 2007 at 09:07:24 AM EDT

So let us thank the Center for America Progress for providing this handy interactive map that allows the taxpayers of each state to determine the size of their financial contribution to this blood-drenched fiasco, and how much more money Bush and the Republicans wish to pour down the rathole.

For example, as a resident of the Garden State, I can point to $20.8 billion already vampirized from the state by George's little project, with another $7.1 billion set to follow it while our elected representatives mobilize for the important work of condemning advertisements from MoveOn.org.

So by all means, click on the map and contemplate your share of the tab. You might want to wait until after lunch, however. What you see is apt to spoil your appetite for the remainder of the weekend.

Cross posted at The Opinion Mill.