January 30, 2007
RE: Assembly Action on Several
Special Property Tax Session Bills

Dear Mayor:

Yesterday, the Assembly took action on a number of bills relating to the recommendations of the four Joint Committees for property Tax Relief and Reform. If you would like a copy of our analyses of the bills, contact Donna Baltz at 609-695-3481, ext. 127. Those analyses are available on our website at Property Tax Session Updates.

Those bills include:

A1 - Establishes homestead credits to reduce property taxes; imposes 4% cap on local tax levies; permits Local Finance Bond to define capital and non-bondable current expenses; makes an appropriation.
Sponsors: Assemblymen Joseph Roberts (Speaker) John McKeon and John Burzichelli
1/25/2007 Introduced, 1st Reading without Reference, 2nd Reading
1/29/2007 Passed in Assembly 71-8-0
Status: Senate, 2nd Reading
League Position: OPPOSE – But support certain provision.

Please note: This bill includes a provisions that would reinstate, and apply retroactively to July 1, 2006, the exception to the expenditure cap for increased health insurance costs, which had expired last Spring. We fought hard for this provision. Please let your State Senator know how important this exception is to you and your constituents.

A2 - Establishes an independent Office of State Comptroller and consolidates financial audit and performance reviews of State and local government units.
Sponsors: Assemblymember Watson-Coleman, Burzichelli, Greenwald, Greenstein, Payne, Gusciora and Chivukula,
1/4/2007 Introduced, 1st Reading without Reference, 2nd Reading
11/8/2007 Passed by the Assembly (59-18-2)
1/8/2007 Received in the Senate without Reference, 2nd Reading
1/25/2007 Senate Amendment (19-18) (Kenny)
1/25/2007 Passed by the Senate (22-17)
1/25/2007 Received in the Assembly, 2nd Reading on Concurrence
1/29/07 Passed in Assembly and sent to Governor 47-30-1
Status: On Governor’s Desk
League Position: Oppose

A15 - Establishes "Local Unit Alignment, Reorganization, and Consolidation Commission"; establishes measures for local government efficiency; appropriates $95,000.
Sponsors: Assemblymember Wisniewski, Gordon, Malone, Schaer, Lampitt, Mayer, Greenwald, Cruz-Perez, Watson-Coleman, Burzichelli, Greenstein and Vas
12/7/2006 Introduced, 1st Reading without Reference, 2nd Reading
12/11/2006 Passed by the Assembly (71-7-2)
12/11/2006 Received in the Senate without Reference, 2nd Reading
1/22/2007 Senate Amendment (36-0) (Smith)
1/22/2007 Passed by the Senate (35-2)
1/22/2007 Received in the Assembly, 2nd Reading on Concurrence
1/29/2007 Passed in Assembly and sent to Governor 69-8-2
Status: On Governor’s Desk
League Position: Oppose.

S-14 - Provides for mandatory forfeiture of retirement benefits and mandatory imprisonment for public officers or employees convicted of certain crimes.
Sponsors: Senators Adler, Karcher and Codey and Assemblyman Panter and Assemblywoman Pou
1/9/2007 Introduced, 1st Reading without Reference, 2nd Reading
1/22/2007 Passed by the Senate (38-0)
1/22/2007 Received in the Assembly without Reference, 2nd Reading
1/29/2007 Substituted for A20
1/29/2007 Passed in Assembly and sent to Governor 79-0-0
Status: On Governor’s Desk
League Position: No position taken on this matter.

S-17 - Implements various recommendations of Joint Legislative Committee on Public Employee Benefits Reform concerning benefits and certain terms and conditions of public office employment.
Sponsors: Senators Codey and Karcher and Assemblywoman Nellie Pou and Assemblymen Kevin O’Toole and Thomas Giblin
1/22/2007 Introduced, 1st Reading without Reference, 2nd Reading
1/25/2007 Passed by the Senate (39-1)
1/25/2007 Received in the Assembly without Reference, 2nd Reading
1/29/2007 Assembly Floor Amendment Passed (Pou).
1/29/2007 Substituted for A21
1/29/07 Passed in Assembly 78-1-0
Status: Senate, 2nd Reading
League Position: Support in part. Oppose in part.

In addition to these, the Assembly acted on A-5 and A-17, which affect school district governance and administration. Both bills passed and were sent to the Governor.

Very truly yours,

                                                                        William G. Dressel, Jr.
                                                                        Executive Director

Mayors feel left out of NJ tax loop (Philadelphia Inquirer)