Lonegan, Christie & Merkt on other issues

OTHER ISSUES

Gun Control

Lonegan would appoint Conservative judges. This includes that they understanding the Second Amendment “right to keep and bear arms”.  The New Jersey Coalition for Self Defense is endorsing Lonegan.

“As Governor I will ensure every individual’s Constitutional rights are protected by overturning current right infringing laws, including the Florio Gun Ban, and vetoing anti-gun legislation. I will also sign a “Right to Carry” bill and appoint judges who understand the Second Amendment while removing those who do not.”

“Law-abiding citizens in New Jersey are deprived of their Second Amendment Rights”.

Merkt also refers to the US Constitution.

“The Second Amendment to the United States Constitution provides that the right to keep and bear firearms shall not be infringed.”

Christie has not stated his position, that I can find, but I did find this article that give some insight.

Home Rule vs Centralized Government

Lonegan believes in home rule stating smaller towns and districts are more efficient than large ones.

“Smaller governments with less bureaucracy operate more efficiently and in a less costly manner than the larger governments Trenton seeks to create.”  “We must preserve our towns and restore those local elected officials to their rightful positions so they can perform the duties they were elected to perform.”

Christie says that bureaucrats should not dictate consolidation.  Shared services and consolidation can be encouraged, but should not be forced.

Merkt said that the cost savings from forced consolidation would only be about 2%.  Adding that forced consolidation of schools or towns would not yield the desired tax savings.

I have myself done some comparisons on large and small municipalities and have found that the large cities are the ones receiving a great majority of the state and school aid.  The smaller towns are mostly on their own to balance their own budgets and are more efficient than large cities.

Lieutenant Governor choice

Christie does not have a short list of choices but has considered the criteria for the position.

Lonegan’s pick would come out of the private sector, someone who has built a business and knows how to grow jobs.

Merkt would pick a CEO type with business experience and a working knowledge of government.

Conservative Principles

Christie claims his record and his plan for the state shows he is conservative.

“While I was Freeholder in Morris County over the three years I was there we reduced taxes by 6 1/2 percent.”

This statement has been challenged.

Lonegan points to his efforts along with the taxpayers to defeat issues like Governor Corzine’ toll hike.  A flat tax rather than progressive tax is a conservative core principle.  Lonegan is a supporter of second amendment gun rights, and is pro-life.  Constitutionalist Phyllis Schlafy, founder of the Eagle Forum is a recent endorser of Lonegan’s conservative principles.

Merkt backs up his conservative fiscal principles in this statement.

“The days of increasing state spending through added debt and pushing off pension obligations are over, and I will enforce the constitutional mandate of a truly balanced state budget every year I serve as Governor.”

Undocumented (illegal) immigrants

Lonegan is opposed driver’s licenses for illegal aliens. Incentives in place for them set up by the Corzine administration, such as entitlement programs should be discontinued.

“When police arrest or incarcerate an illegal alien they should be deported immediately.”
He states that employers should not be held accountable to validate legality when the government encourages government entitlements and illegals are openly standing in the street looking for work.”

His proactive work against illegal immigration gained him endorsement by Minuteman Project Founder Jim Gilchrist.

Christie is opposed to driver’s licenses for illegal aliens for homeland security reasons.  He is opposed to instate tuition, which is supported by taxpayers.  Believes there should be employer verification.

Merkt notes that illegal’s are undermining jobs for Americans.  He believes there should be employer verification.

“As a legislator, I have introduced “The New Jersey Jobs Protection Act” to hold employers accountable for verifying that those they hire are eligible to work in the United States.”

My view on this is from the eye of the constant increase of rules and regulations imposed by government on businesses.  Businesses are a ‘convenient’ way for state and government to do jobs that they are unwilling to do.  This is on top of business being an easy target to be a free ‘clearing house’ to implement, regulate, and administer new rules and regulations. Businesses also act as uncompensated agents responsible for the collection of employee and sales tax money.  The responsibilities dictated by the federal and state authorities are already too much.

Reduction of Green House Gas omissions

Christie calls Corzine’s Energy Master Plan “a pie in the sky”.  Believes that lifting regulations on entrepreneurs who want to develop wind and solar technology would bring jobs to NJ.  Would allow windmills if technology was perfected.

Lonegan has been proactive in fighting against Corzine’s Energy Master Plan.

“Jon Corzine’s Emission Control Bill that was passed a couple of years ago will destroy NJ’s ability to manufacture and to produce and will drive jobs out of the state; will drive up the cost of fuel oil and energy for consumers by more than 100% over the next several years and help to undermine our economy.”  Increase in recently utility bills are funding private sector “ridiculous experimentation with these phony energy plans.”  “I will never stand for it.  I will cut those utility rate hikes the minute I step into office”.

Abortion

Lonegan’s has a consistent record as pro-life.  He is the candidate endorsed by the Republican National Coalition for Life (RNC/Life PAC).

Christie has a history of wavering and using weak statements.

“Hearing the strong heartbeat of my unborn daughter 14 years ago at 13 weeks gestation had a profound effect on me and my beliefs. The life of every human being is precious. We must work to reduce abortions in New Jersey through laws such as parental notification, a 24-hour waiting period and a ban on partial-birth abortion.”

For more information visit:

Steve Lonegan campaign site
Rick Merkt campaign site
Chris Christie campaign site

Lonegan, Christie & Merkt on reform

REFORM

Patronage jobs & I&R

Christie believes in Initiative and Referendum and every ten years a voter option of convening a Constitutional Convention.  He says that someone holding a public sector job shouldn’t accept any salary if they want a second position, such as town council or mayor.

“Chris Christie will ban the practice of one person holding a full time government job while also holding a salaried elected position.”  “No two public salaries.”

States that political patronage jobs do serve a purpose.

“Christie will not create boards and commissions where the memberships create new conflicts of interest.”

Lonegan describes a political patronage job as one that it is a political pay off to a donor.

“I am going to be looking to recruit the best and the brightest across the country to take leadership rolls in the various departments who share my vision of cutting the sizing the size of government, of down-sizing of prioritizing, of privatizing.”

“I’m going to look to the private sector for leadership, not the patronage mill.”

He believes in Initiative and Referendum because it would empower taxpayers to take charge of state government from an out-of-control legislature.

Merkt believes a certain amount of patronage positions is necessary.

“You do need to have a certain number of people that you bring in to run the departments, to run the divisions, and yes those are patronage positions.  That’s how they’re defined.  Otherwise the governor has no way of imposing his policy on the profession of bureaucracy.”

“I will tap tested and proven leaders from county and municipal governments throughout New Jersey, judging their merits based on the results they have achieved in the local government they serve. Our state is rich in public management talent, and it’s about time we take advantage of this resource to improve the way our state government works.”

Merkt was a primary sponsor of ACR226 that called for a “constitutional amendment to provide Statewide initiative and referendum for directing State fiscal restraint”.

Overcoming a Democrat ruled Legislature

Christie would end any new state department or state agency regulations for at least 90 days.  Form a “Red Tape Review Group” to look at regulations and make recommendations.  Implement significant reduction in state spending based on a review of Corzine’s budget, and impound funds if needed.

Christie would use the line item veto on every item that is unnecessary and wasteful.  He would put a taxpayer advocate, “Probably a former US Attorney one of the real good ones I had working for me” to review each and every purchase order.

Lonegan would use the numerous powers granted to the Governor as stated in the NJ Constitution.  These include veto power, appointments, and executive orders. He also states that, “the state will be in the hole for approximately $3 billion” in November. Downsize of departments by layoffs of about 10-15 thousand employees, starting at the top, in the first 100 days.  Eliminate each department having an affirmative action program of its own.  Eliminate economic development authorities.

Merkt would veto any tax hike proposal bill passed by the Legislature.  He would use “the line item veto to reduce state spending, so that higher state taxes aren’t needed.”

“Upon being sworn in as Governor, I will immediately impound state funds for agencies and programs that appear redundant, such as the Public Advocate, the Council on Affordable Housing, and the Highlands Council. Over the longer term, I will begin an ongoing review of every state department, agency, authority, and program (a process I call “peeling the onion”) to determine whether their activities are really needed, testing them against a consistent “core public responsibility” standard.”

First executive order

Lonegan would immediately roll back regulations such as project labor agreements.

Christie says he would freeze any new regulations presented to him by any state department or agency and put his Lieutenant Governor in charge of review of unnecessary administrative code.

Merkt would rescind executive orders that are anti business including prevailing wages and project labor agreements.

Public employee unions

Merkt thinks that the state would function more efficiently without state public unions, but that it is not reality.

Lonegan believes we should be a right to work state.

“People should have the right to opt out of all those dues and being in the union”.

Christie states, “Either you have civil service or collective bargaining, but not both.”

Protection of State Pension fund

Lonegan would change policies that allowed prior state mismanagement of funds.  He would crack down on out of control pensions, lavish medical benefits and order new and recent employees into 401(k) programs.  He would repeal the 9 percent pension hike that was passed in 2001.

Christie proposes that new state employees, “with the exclusion of law enforcement” (I find this exemption fascinating.), would change pensions from a defined benefit plan to a defined contribution plan (401K).  Part time employees would be eliminated from the pension system.

Another find-Here’s another ‘goodie’ from Christie’s closet.  John Inglesino, a friend for 15 years and a Christie advisor has been one of those part time employees for about thirteen years.  Evidently, it’s okay if he is ‘working’ for Christie’s campaign.

Merkt states that he “was the only legislator to vote against a 9% public pension hike, which helped produce the current $60 billion unfunded pension deficit.”

“The public pension system - which is a classic “defined benefit” retirement plan must be phased out over time and replaced with a “defined contribution” retirement plan for public employees. At the same time, active public employees must pay a reasonable share of the cost of their health insurance premiums, so the system remains solvent over the long term.”

For more information visit:

Steve Lonegan campaign site
Rick Merkt campaign site
Chris Christie campaign site

Lonegan, Christie & Merkt on property issues & Atlantic City

PROPERTY ISSUES & ATLANTIC CITY

Eminent Domain, Land Preservation & the Highlands Act

Lonegan while Mayor of Bogota, placed a question on the town ballot restricting the taking of private property for private development.  It passed by a great margin.  It is the only NJ town where property owners are protected against eminent domain abuse.

“As governor I will pose a question on the ballot so that voters can decide whether eminent domain should once again be limited to cases of a traditional public use.”

He proposes to take the state government out of purchase of open space and place it in the hands of local government.  Pointing out that the state purchased a lot of land when the values were high and now values are low.  He calls for an end to the Highlands Act saying it “is the biggest land grab in state history”.

Merkt considers eminent domain a threat to rights of the individual.

“Use of eminent domain to take private property for public use must be limited to traditional public uses only.”

“I will also act as Governor to halt state actions that exercise eminent domain without calling it what it is and without paying property owners the just compensation they are due. As an example, I will use the powers of my office to shut down the activities of the Highlands Council, which have unjustly deprived tens of thousands of New Jersey residents of the value of their property without providing just compensation to them.”

Cristie is against borrowing money for the purchase of open space at this time because the state is broke.  He feels there are appropriate uses of taxpayer money to buy open space.  Cristie states, “We have to figure out a way for those people to get compensation [in the Highlands]”.

An interesting note, Christie’s senior political advisor, John Inglesino is a real estate attorney who represents redevelopers.

Atlantic City

Lonegan would eliminate the Casino Redevelopment Fund stating, “that’s become a slush fund for taking money from the casinos and spreading it around the state”.  He also calls for an end to the hotel/motel tax.  A growth in an economy would give people more money to visit the casinos.  He agrees with allowing sports betting.  Any significant  change to the original intent of constitutional amendment and should be put on the ballot for the voters to decide.

Merkt would create a more modern and efficient casino regulatory system.  Stating that, the Casino Control Commission and the Division of Gaming Enforcement combination is an expensive system to operate.  He agrees to allow sports betting to be competitive with other states.

Christie basically agrees with Lonegan and Merkt.

For more information visit:

Chris Christie campaign site
Steve Lonegan campaign site
Rick Merkt campaign site

Lonegan, Christie, & Merkt on COAH & the NJ Supreme Court

COAH & THE NJ SUPREME COURT

Affordable Housing (COAH)

Christie wants affordable housing to be built in places it makes sense.  He states that he would get rid of quotas and mandates that are dictated to the towns, and fees that are imposed on builders.

“If we just abolish COAH without an alternative, it will just be brought back to the courts.”

“Chris will gut COAH and instead encourage the redevelopment of quality housing in our cities and transit centers. There’s no reason to bulldoze our last acres of open space when prime, accessible real estate is available in our city centers.”

“The Legislature has perverted the original court decision.  The original court decision was to stop exclusionary zoning in towns.  It was not to set up a huge Trenton bureaucracy that was going to determine where and how many units each town should have”.  Describes COAH as a “power grab”.

Lonegan would eliminate COAH entirely and has been campaigning against it for years.

“In order to eliminate COAH, I will get a question placed on the ballot allowing the voters to overturn the Mt. Laurel decision so that housing and zoning decisions can be returned to local municipalities, as was the case for our entire state history. Until I can place the question on a ballot, I will cut funding for COAH so it cannot impose its unrestrained will upon local communities.”

Merkt would eliminate COAH entirely, and “kill it”.  He would use the power to impound the funds and put it out of business.  Merkt coined Cristie’s statement of “gut” as “wishy-washy”.

“One of the most ill-advised policies of the Corzine administration has been a costly - and unfunded — affordable housing mandate dictated to New Jersey towns by the state’s Council on Affordable Housing (C.O.A.H.).  As Governor, I will kill C.O.A.H. on the day I am sworn into office by impounding the Council’s funding.  C.O.A.H. will be replaced with a new state housing policy that incorporates input from county and municipal elected officials throughout New Jersey.”

Supreme Court Justices

Lonegan states that he would replace four justices with strict constructionists.

 “Our next governor has the opportunity to fill four seats on our Supreme Court; two seats will be vacated by retirement, and two justices will be up for re-nomination. That is a majority of the court and the decisions of the justices appointed to fill those seats will have a significant impact upon our future.”

“As governor I will not re-nominate any justice currently sitting on the court. I will only nominate strict constructionists who understand the role of a judge, will refrain from judicial policy making, and will not legislate from the bench.”  “To further ensure our constitutional right that “all political power is inherent in the people,” and to curb the practice of judicial policy making, I propose placing the justices of the Supreme Court before the voters every six years so that the voters can decide whether they are worthy of retention.”

“An unaccountable [not elected by the people] State Supreme Court has become the most powerful branch of government”.

He states that the most liberal State Supreme Court chief justice in the country is Stuart Rabner.

“And, my opponent Chris Christie was the chief republican fan, proponent, supporter, and endorser of Stuart Rabner in the state of New Jersey. It’s hard to believe that Chris is going to take a hard line against any of these justices when he’s so close and friendly and supportive of who is arguably the most liberal chief justice of the Supreme Court in the United States of America.”

Cristie chastises Lonegan with condescending words about Lonegan’s comments on Stuart Rabner.  He states that the courts are supposed to interpret the statutes and the Constitution, not to make policy.

“I will conservatively and carefully remake the Supreme Court that has run absolutely out of control in this state and caused so many of the problems the you’re all talking about here in the debate tonight.”

When asked in the first debate if he would reappoint Justice Soto, Christie stated he has some deep concerns with Justice Soto’s judgment.  Adding, “I will remake the court and I will remake it in this one simple principle.  If you wanta legislate than run for the Legislature, don’t put on a black robe and go to the Supreme Court and there won’t be any justices that that I either reappoint or put on that court that do that.”

Also in the first debate was a question about his prior support of Chief Justice Stuart Rabner Christie responds,  “I think Stuart has a long way to go.  He has seven years more to show us what kind of justice he is going to be.  ” I’m hopeful because I like him and I think he’s a man of great integrity that he will not be legislating from the bench.”

Christie claims he would replace Justices Long and Wallace with conservative members.  He will take a look at Justice Hoens record over the period of seven years and consider her record over time.

Merkt tactfully corrects Christie’s statement that Wallace was to retire.  He points out that the Supreme Court will be lost for a generation if it is not changed now.  Merkt would replace activist justices with ones who will advocate judicial restraint and who have read Article III of the NJ Constitution that describes the separations of the three branches of government.  Also, Article IX tells how the Constitution is to be amended and the court has fallen short in upholding this.

“I will not reappoint any incumbent justice whose term expires while I serve as Governor.”

“New Jersey’s Supreme Court has a long history of judicial activism, exploiting causes brought before it to change state policy and even alter the New Jersey Constitution, in clear contravention of the separation of powers clause in Article III, and amendment provisions of Article IX.  The court has escaped scrutiny of its actions because the justices themselves act as final arbiters of its powers under the state constitution.”

He adds that if the Supreme Court is to be changed it has to happen in the next four years or it will be lost for a generation.
He explains that the Supreme Court is to sustain the will of the people and their job is to uphold the contract (Constitution).  The Supreme Court has increased our state debt from $5 billion to over $40 billion in 15 years through its’ decisions such as Abbott funding and COAH.

Note that I have updated my two prior posts, on Education and on Taxes, to include information from candidate Rick Merkt.  Note that Merkt was not part of the first two debates because he did not qualify for matching funds.   Therefore he was not present to answer some of the questions presented.

For more information visit:

Chris Christie campaign site
Steve Lonegan site campaign
Rick Merkt campaign site

Americans for Prosperity NJ Summit

Hurry time is running out to register for the best grassroots summit in NJ.

Attend the Defending the American Dream Summit on Saturday, May 30th at the East Brunswick Hilton and remind Trenton of our shared belief that New Jersey can reduce government, cut taxes and become prosperous once again. You will hear from leaders in government, academia, business, the media and talk radio.

    Agenda

8:00 am - 9:00 am      Registration

9:00 am - Noon         General Session

Assemblywoman Alison McHose
Assemblyman Michael Doherty
State Senator Steven Oroho
Congressman John E. Peterson
Best Selling author Dinesh D’Souza
Wall Street Journal Columnist Stephen Moore
Fox News Analyst Fred Barnes
WABC Radio Host Curtis Sliwa

Noon - 1:15pm        Lunch

1:15 - 2:15 pm        Panel Sessions I-IV

* Radio and Grassroots: How to Build a Successful Partnership to Take Back Our State
* Activism 2.0: Using the Internet to Become a More Effective Advocate
* The Healthcare Challenge
* The NJ Supreme Court: An Upcoming Opportunity for Change

2:30 - 3:15 pm      Panel Sessions V-VI

* New Jersey Blogosphere
* Energy: A Challenge and an Opportunity
* Running on Empty: The NJ State Budget and the Use of Federal Stimulus Funds
* The Eminent Domain Threat

3:30 - 5:00pm     Gubernatorial Roundtable Discussion

[I believe 5 candidates have confirmed]

Registration is only $39 and lunch is included.

Click here to register today! 

I look forward to seeing you May 30th!

Americans for Prosperity (AFP) is the nation’s premier grassroots organization committed to advancing every individual’s right to economic freedom and opportunity. AFP believes reducing the size and scope of government is the best safeguard to ensuring individual productivity and prosperity for all Americans. AFP educates and engages citizens in support of restraining state and federal government growth, and returning government to its constitutional limits.

For more information, visit www.americansforprosperity.org

Memorial Day

Remembering those in military service who died defending our Country.

Fleet Admiral Chester William Nimitz

Iraq & Afghanistan

The Vietnam Veterans Memorial Wall

Korean War Veterans Memorial

World War II Memorial

The World War I Memorial-Arlington National Cemetery

Civil War

Absentee ballots

Time is running out! In New Jersey, any voter can now vote by mail for any election. You do not need a reason to vote by mail. Don’t feel like going to the polls? Simply vote by mail. Now there is “no excuse” not to vote!

Mail the application to their County Clerk by mail up to 7 days prior to the election OR apply in person to the County Clerk until 3:00 p.m., the day before the election. (Mailing The County Clerk cannot accept faxed copies since an original signature is required.

Download Vote By Mail Application (24k pdf)

Lonegan, Christie & Merkt on education

EDUCATION

Public Schools

Lonegan discusses Abbott Districts and funding.  He has a good grasp on the issues.

 “The cost of educating children in the 31 Abbott districts  has in some cases grown to over $25,000 a year per child, far exceeding the statewide average. Although those districts only enroll approximately 21% of the state’s public school students, they receive 50% of state education aid.”  “Although students in these districts receive such excess funding, the educational progress that was promised has never been achieved.”

“Suburban taxpayers are forced to fund their own school districts as well as others”.

“I will distribute the state’s income tax equally, on a per student basis, to every town and city in the State of New Jersey”.  “That means a 20% property tax cut for every senior and non-senior who owns a home in the State of New Jersey”.

“It will be the proudest day of my administration when I sign a bill ensuring that any school district that cannot provide a child with a quality education for the same per pupil cost as the statewide average will be required to give a voucher to the parent of that child to send the child to a school of the parents’ choice within that district.”

“School vouchers will force competition into those districts and improve the quality of education provided to those children. Additionally, the law implementing school vouchers will drive down educational costs as it has done everywhere it has been implemented around the country.”

Lonegan is opposed to Universal Pre-K.

This exert, from a Paul Mulshine article is helpful in understanding the income tax and property relief connection.

“The entire income tax, as well as a half-cent of the sales tax, is constitutionally dedicated “exclusively for the purpose of reducing or offsetting property taxes.”

“Unlike the rest of the budget, this Property Tax Relief Fund has plenty of money in it to accomplish the task for which it is dedicated.  If you were to divide the money in the fund equally so that every pupil in the state received the same amount of state aid, property taxes would plummet in most suburban towns.”

Christie wants to see a longer school day and longer school year in Abbott Districts, more accountability, charter schools, and merit pay for teachers.  Christie points out that these ideas would be unpopular with the teachers union.  Christie declared that if these schools are not effectively and efficiently run and continued to fail the children he would impound their funds.

“All our current government does is simply throw more money at the problem without ever bringing about real change. Change won’t come just with more money. That’s the easy answer that hasn’t worked for far too long. Change will only come with increased accountability and greater parental involvement.”

Christie also said he would allow school vouchers in the Abbott Districts that could be used outside of the districts.

My concerns are with long distance busing issues, if allowed out of district, and also with some districts having empty schools while others become overcrowded.

As a note I am finding no Christie statement on equalization of money per child.  He is short on details, often noncommittal, and uses a lot of fill in exchange for lack of substance in his responses.  This also was sadly visible on my post on taxes.

Merkt believes in equal distribution of state aid and states that it would be within the governor’s power to do this.  It would not have to be put before the legislature.

“As Governor, I will move to block distribution of state aid to education unless it is based on giving every schoolchild in New Jersey equal access to state funding. Where public schools chronically fail their students, I will support a voucher system to let parents make best choices for their children. And I will use the appointment power of the Governor to reshape the present majority on the New Jersey Supreme Court, so that politically-accountable elected officials - not appointed judges - decide school-funding policy for the State of New Jersey.”

Higher Education funding

Christie says NJ schools are too expensive because state aid has been cut and rallying of union membership by Governor Corzine.  Feels that success of football athletics has not ended.

Lonegan proclaims that State debt is taking away from school funding.  Focus needs to be on a quality education rather than bells and whistles of new athletic buildings and athletic programs.

For more information visit:

Chris Christie campaign site
Steve Lonegan  campaign site
Rick Merkt campaign site

Candidate cleansing

It’s that time again!  When one opens the mailbox and out falls a plethora of those glossies we have all been waiting for.

I sort them for each family member and we find them to be great ‘bonding’ time.  Chuckles, and boos, and “you dirty rat” (among other anecdotes) eject out as though we are possessed.  It is such fun that even the TV takes second place.

Cherish this time and think about it as a sort of candidate cleansing.  A time when we should hope that the ‘dirty laundry’ is brought out of the dark back rooms and into the light of day before we proceed to ‘more of the same’ for the general election in November.

I wonder if there are campaign managers who lust over finding the perfect photo to go with the hand picked and out of context snippets.  Many of the passages meant to be an attack on the opposing candidate I actually find are quite complementary.

Oh, and you have to love the change of the background music on audios and videos.  A subliminal message I suppose.

Mass media bashings can be equally entertaining.  I have gratefully been privy to attending events that were later reported in papers or on TV.  There are some talented reporters, but sadly many of the articles are of abysmal quality.  Often there are key components omitted with no options given for where more information can be sought.

It can be confusing and tiresome to rummage through all the clutter in our brains.  Once June 2 arrives we hope that the information has been filtered enough to know which candidates best match our expectations.  It is most important that we are perceptive to the truths, half-truths, and sometimes flat out lies that some campaigns present.  The goal is, after a sort of exorcism, that one is left with a pure essence of valuable insight.

For all involved it is like a ‘right of passage’.  Candidates fight for votes, campaign rhetoric abounds, TV ads and endorsements are enough to make one crazy. In the middle of it all are the voters, some very passionately displaying lawn signs and stickers on their cars displaying their beliefs in their candidate and his or her values. Discussions and even arguments are many between the voters, talking up their candidate while putting down the opposition.  It all makes for a lively little party.

In the end the choice is more than just between ‘us and the voting booths’.  We can push the buttons that are most apt to have profound positive effects on future generations’ liberty and prosperity.  Or, one can choose the buttons that hold us on the same familiar tarnished path waving to our Constitution as it blurs in the distance.

P.S. My next post will be “Lonegan and Christie on education”.

Lonegan, Christie & Merkt on taxes

TAXES

Business and Corporate Taxes

Are we reaching the point where business owners are no longer working for a profit?  Businesses are in a bind as shown by the increases in closings and employee layoffs. Burdens imposed by government regulations, and taxes on top of the economic decline have created a very unfriendly business climate. Many business owners have invested their lives in the companies they run only to find themselves engaged in survival mode forcing them to make decisions that have negative effects on the economy and their employees.

Companies are not compensated for their tax collection services even though they act as agents of the state and government for these services.  Businesses contribute enormously to the economy through employment, the gratis tax collection, and other responsibilities dictated by the state of NJ.

Businesses are generators of employment, and collectors of sales and employee taxes.   By providing jobs, payments for unemployment are lowered.  Increased business will also create an environment where employers compete for workers.

The odds of business survival are not good even when the economy is vigorous.  Businesses now need to recuperate from high debt and inventory investment they are carrying because of the rather sudden and substantial decrease in consumer spending.

It seems that more and more that the employers are actually working to sustain their employees and the state of NJ.  It is the employees that get the paid vacations, paid sick days, and soon paid family leave: while many small business owners go without benefits and a regular paycheck.  The scales have tipped away from all the reasons business would want to open, or remain open in NJ.

Ultimately it is consumer who absorbs all ‘costs of doing business’ when they make a purchase; or employees who may be paid a lower wage or lose their job.

Steve Lonegan’s plan calls for elimination of business and corporate taxes.  He wants to eliminate the barriers to business growth.

Chris Christie has proposed lowering business taxes although he is noncommittal on the amount or timing of his proposed decrease, even after repeated requests.  But, Christie does have ideas of adding a few layers to the state.

“The Christie Administration will consolidate Trenton’s fragmented economic development activities into a new agency - “New Jersey Partnership for Action,” utilizing the resources of the current Economic Development Authority.”

“The Christie administration will overhaul New Jersey’s regulations – restoring balance and fairness – by creating a permanent “Red Tape Review Group.”  The “Red Tape Review Group” will bring both elected branches of government together in a bi-partisan fashion to perform a top-to-bottom overhaul of New Jersey’s Administrative Code [state regulations that have the force of law].”

“Where appropriate, rule-making scientific advisory committees will be established.”

Merkt states that he would refuse to sign anti-business bills passed by the Legislature and recognizes “that a state without business is a state without a future”.

 “The goal will be to reduce the number of permits, licenses, etc. a business needs to a more reasonable and manageable number. New Jersey depends on private industry to provide five out of every six jobs created in the state. It’s about time we made it easier for private industry to operate and grow in the Garden State, because our residents’ future employment depends on it, and with it, our state’s stream of tax revenues for needed public services.”

Personal Income Taxes

Steve Lonegan is proposing a flat tax beginning with 2.9%, decreasing to 2.5%, then to 2.1%.  Three recent endorsers of his plan are Dr. Arthur Laffer, NJ Taxpayers Union, and Peter Schiff.   Under our current tax policies Lonegan notes that,

“We are exporting wealth and importing poverty”.  Jobs are disappearing and low-income wage earners are losing their jobs, “that’s 100% tax”.  “New Jersey has a higher and more progressive income tax than any of its surrounding states. Therefore, New Jersey is at a competitive disadvantage to states such as Pennsylvania, Delaware, Connecticut, and even New York.”

Christie proposes retaining the progressive income tax, but cutting the rates across the board.  To date he has not answered to what amounts would be cut, or a timeline.  But states, “I’m taking my advice from Steve Forbes.”  Christie claims that Lonegan’s plan will raise taxes on a large majority of taxpayers and counters by saying,  “I believe everyone in NJ deserves a tax cut.”

Merkt would use the power of vetoes against any Legislative action that proposes a tax hike.

“State revenues have increased by 50% over the past eight years, yet Governor after Governor has failed to make ends meet and demanded that all of us pay even more in state taxes. The time has come to put an end to this reckless attitude, and I will do so as New Jersey’s next Governor.”

Sales Tax

Christie chastised Corzine for closing the state government in 2006 during the budget fight, and allowing earmarks for legislative pet projects.

Lonegan would roll the sales tax back to 6% after the budget is balanced.

Property Taxes

Christie would eliminate Aid to Distressed Cities Program that would save over $180 million.  The Public Advocate program (which is a NJ department) should go, savings unnamed.  Christie would retain the homestead rebates, even for seniors who make over $100 thousand a year.  He is also for encouraging consolidation and shared services in school districts on the municipal level.  He mentions that redundancy, and state mandates, are forcing up local property taxes.

“The Christie administration will end the use of PLAs [Project Labor Agreements] which create inexcusable waste on public construction projects and are a tool for political favoritism at a time when the economy is shedding jobs and taxpayers are struggling to make ends meet.”

“There will be a requirement that the law creating or expanding a program include clear and precise performance measurement standards so that the results of the program can be evaluated at the end of the “sunset” period.”

Lonegan proposes cuts to the state budget that add up to $8 5 billion (adjusted based on new figures for FY2009-2010 budget).  He would eliminate property tax rebates, which have been funded by borrowing money.  Instead, he calls for an equalization of school (Abbott) funding that will reduce taxes by about 20% for suburban homeowners.  Lonegan would end binding arbitration and project labor agreements that drive up costs on state and municipal projects by approximately 30%, adding to debt.

He would eliminate the Motion Picture Industry subsidy program for savings of $400 thousand, Department of the Community Affairs, Department of Labor and Workforce Development and Department of Public Advocate.  Any essential functions would be realigned to other departments.   He also wants to cut the Department of Environmental Protection to its core functions, realigning other functions elsewhere.  Department count would be reduced from 16 to 12 after the realignment.  “Downsize, prioritize, privatize”.  Favors home rule because he sees more efficiencies in smaller towns than in larger towns.  “What is forcing up local property taxes is not spending on the local level, it’s the state government itself “, states Lonegan.

Merkt is against homeowner rebates.  He describes it as a feel good political scam that has been going on for 30 years.  It is an excuse for real property tax reform.

“I think it’s a ludicrous idea to send money to Trenton in the hope that they are going to send it back to you.  If it’s your property and it’s your money, you should have it in the first place.  You shouldn’t have to send it to Trenton.  These property tax rebates have become nothing but a political gimmick as far as I am concerned.”

Merkt would make state budget cuts to the Distressed Cities Program, savings about $150 million a year, political subsidies to counties another $60 million a year, Urban Enterprise Zone (UEZ) sales kickbacks $100 million a year, South Jersey Port Payments, the Public Advocate, the Department of Redundancy Department.

This is my view on the rebates.  I see another problem with the property tax rebates.  The people who are in the most need of this money are in arrears in property tax payments to their municipalities or payments to their mortgage holders.  Municipalities can charge either 8% or 18% interest on the arrears.  If the property taxes are paid through the mortgage holder, the property owner could be in jeopardy of losing their home.  Meanwhile the state is holding and using this money, denying the property owner the ability to make payments in a timely manor.   We need reform, not rebates.

Summary of tax effects

Christie states he will reduce business, corporate taxes, property, and personal income taxes.  But he would not commit to by how much or when he expected it could be done.  He would retain property tax rebates.

“Chris Christie will appoint a “Taxpayer Advocate” in the Division of Purchase and Property.   The role of the “Taxpayer Advocate” will be to audit all government purchase orders to make sure they are for essential items.”

“Chris Christie proposes a State Constitutional Amendment to require a 2/3 majority of the State Legislature to impose any new tax, or to increase an existing tax. ”

Lonegan will eliminate taxes on businesses and corporations.  Would reduce property taxes and institute a flat personal income tax, decreasing over three years.  A flat tax would put NJ in line with the income taxes in our neighboring states and is simple to figure out (Income x .029) (Income x .025) (Income x .021).  He is against property tax rebates as a way to reduce our high property taxation stating, “My plan would cuts taxes for virtually every NJ taxpayer across the board”.

Christie claims that Lonegan’s flat personal income tax proposal will raise taxes on 70% of the people.  Lonegan disputes this claiming that the figures were based on tax filers and not taxpayers of which 3/4 of million have no income and file only to claim subsidies and rebates.  According to Lonegan, “Mr. Christie’s statement is based on flawed information”.

My view is that one must look at the net affects of an entire tax plan.  It is okay to dissect the segments, but it is the end result of the entire plan that counts.

Both candidates will be relying on business growth to help jumpstart the NJ economy.  The question is will some type of reduction in business taxes be enough, as suggested by Christie?  Or, is Lonegan’s plan of the elimination of business taxes the one that will inject the depressed business economy and quickly stimulate free market expansion?

Merkt feels that it a credible promise cannot be made to cut taxes because the legislature is Democratic ruled and Dick Cody would not support tax cuts.  The governor’s powers to appoint every top official and the Supreme Court, line item vetoes, reorganization and deregulation of state government, and executive orders that affect 7 out of 8 state employees are major tools of the governor (see NJ Constitution, Article V) apart from legislative involvement.  Rick believes that the political reality is a Republican Governor would be hard pressed to have legislative backing.

“ The time has come to put an end to this reckless attitude, and I will do so as New Jersey’s next Governor.  I will veto any tax hike proposal that passes the Legislature and use the line item veto to reduce state spending, so that higher state taxes aren’t needed.”

“The real trick to reduce taxes is to systematically shrink the size and cost of state government to a point that even the Legislature is compelled to admit to the public that it has more revenue than it needs. A Governor who enforces this restructuring and refuses to let the Legislature spend freely creates an environment in which state tax cuts become not only possible, but politically attractive to legislators.”

For an enlightenment on taxes read Paul Mulshine’s “On tax policy, New Jersey’s Republicans phones it in”.

For more information visit:
Steve Lonegan campaign site
Chris Christie campaign site
Rick Merkt campaign site