March 23, 2010
League of Municipalities’ President Comments on
Governor’s Proposed Budget
Today in Paramus, League of Municipalities’ President, Mayor James Anzaldi of Clifton, testified before the Senate Budget and Appropriations Committee. The Committee held its first public hearing on Governor Christie’s proposed State spending plan.
“We know how difficult your job is this year,” said Mayor Anzaldi. “Municipal officials expected deep cuts. But we did not anticipate the severity of the Energy Tax cuts. While this proposal meets the letter of the law, it clearly violates the property tax relief spirit of the Energy Tax statute. Further, the Division of Local Government Services has advised us that the State will reduce aid payments to those municipalities that use formula aid reductions as an add-on to the levy cap calculation. In other words, local officials, struggling to do the best for their citizens in an incredibly difficult year, will be punished for complying with State levy cap law. And that punishment will be felt by those citizens.
“There is no good way out of an $11.2 billion budget hole. But the best way will inevitably involve broadly shared sacrifices. We are braced to do our part, recognizing that our property taxpayers need to be insulated, as much as possible, from the impact of those sacrifices. For the sake of those taxpayers, a 20% cut in property tax relief funding must be accompanied by real reforms and immediate and significant mandates relief.
“Accordingly, we thank Governor Christie for his effort to provide local officials with meaningful tools to limit the, otherwise devastating, impact of the cuts. Coupled with next month’s report by Lieutenant Governor Guadagno’s Red Tape Review Group, and combined with the Senate’s bipartisan pension and benefit reforms, they can represent real progress. We urge you to act on binding arbitration reform, civil service reform and immediate and significant mandates relief BEFORE you adopt a budget containing further drastic property tax relief funding cuts. Legislative action on the helpful items in the Governor’s ‘tool kit’ and on mandates relief cannot wait until after this budget is put to rest.”
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For further information contact: William G. Dressel, Jr., Executive Director at (609)695-3481, extension 122 or 609-915-9072.