NJ 101.5: Christie's Budget...Responsible or Gimmicky

NJ 101.5
By Kevin McArdle

The Democratic chairman of the Assembly Budget Committee feels Governor Chris Christie's budget proposal is not the responsible plan the Governor claims it is. Assemblyman Lou Greenwald is also not sold on the concept that the proposed Fiscal Year 2011 does anything to address the state's structural deficit.

Greenwald says, "Our new Governor promised to cut New Jersey's income taxes across the board for all taxpayers. He promised property tax cuts. He said eliminating property tax rebates would be 'a declaration of war on the middle class' and promised to fully restore them. But - unfortunately - as we start our committee hearings on Gov. Christie's first budget plan, we all know those promises were quickly tossed to the wayside. What we have in front of us is a tax-laden budget plan that targets the middle-class, senior citizens and the poor."

The Governor is defending his budget plan. He says, "These politicians who just keep promising you the sun, the moon and the stars, they're the ones who put the state in the bankrupt position we're in now.......I did not put us in this position. I inherited this position and I don't have the money to spend." He's also quick to point out that his budget proposal does not include tax increases and he's telling lawmakers to remember that, "Mark my words; if you send a tax increase to my desk I will veto it."

Christie's budget plan does not seem to address the underlying and chronic structural woes of the state says Greenwald. The Governor proposal includes cuts in state aid to municipalities ($445 million) and education ($819 million). Greenwald says "If he intends to put this money back in, hopefully next year those aren't in fact structural cuts and it doesn't do anything to address the deficit."

"It would not be a structural cut if in fact we put that money back in," says Greenwald. "It's a one-shot for this year…….I will give the Governor credit if the cuts to municipal aid and schools stay in place for years to come. Then it effects the deficit."

The Governor says his budget proposal reins in spending and does not increase taxes. Greenwald obviously disagrees. He says, "We have the Christie plan to increase income taxes on the working poor. We have the Christie plan to tax already-struggling hospitals by eliminating the cap on the hospital assessment. We have Christie proposals to more than double fees for life-saving prescription drugs for our senior citizens. We have Christie plans to charge higher fees to the developmentally disabled. We have the Christie plan to bar new applicants in the Senior Freeze property tax relief program that has helped so many of our senior citizens. We have a Christie 25 percent hike in business filing fees. We have the Christie plan to slash millions of dollars in business tax credits."