DeCroce Says She Cannot Support Amendment Using Corporate Business Tax For Open Space Purchases; Lawmaker Says Highland Owners Deserve Compensation From State

Source: Assembly Republican Press Release -

Assemblywoman BettyLou DeCroce said she cannot support an amendment to the New Jersey Constitution that would allocate state business tax funds to pay for open space and recreation because the legislation is ill-defined, redundant and fails to reimburse property owners in the Highlands region for the loss of their property values.

DeCroce (R-Morris, Essex Passaic) says the legislation behind the amendment dedicating 4 percent of the corporate business tax to an open space fund, saddles corporations with an ongoing tax to fund, not only open space acquisition, but environmental cleanup and a host of other obligations that have nothing to do with business incentives or job creation.

“It is not the responsibility of business to pay a tax that will finance historic preservation, open space purchases and environmental remediation in perpetuity ” said DeCroce, noting that the CBT dedicated to open space and allied programs will increase to 6 percent in 2019 under the proposed amendment approved by the legislature this month. For the amendment to become law voters must approve a referendum that will appear on the November ballot.

“When state legislative leaders wonder how come New Jersey has such a poor business reputation it is precisely because of legislation such as this which stifles business investment in our state,” added DeCroce, a small business owner.

With a corporate tax rate of 9 percent on most corporations, New Jersey has the fourth highest corporate tax in the nation.

DeCroce said while she supports open space preservation, the state already taxes property owners on local and county levels for open space purchases .She said hundreds of millions of dollars are taken from taxpayers under the name of open space preservation only to find the funds being used for a variety of purposes that have nothing to do with buying undeveloped land.

“Paying for the construction of tennis courts and artificial turf football fields is not how most people imagine their open space tax money being used,” said DeCroce. “And with this new amendment, the public is again being fooled into thinking that the corporate tax will be used primarily for open space preservation, when in fact, that is not the case.”

PROPERTY CONFISCATION

The assemblywoman said she is particularly disturbed that in the decade since the Highlands Act became law –and more than 1,343 square miles of the state were put under severe development restrictions — there has been no action from Trenton to reimburse property owners for the devaluation of their property. The act has severely crippled the economy of many rural communities such as West Milford.

“The Highlands Act spawned the largest taking of private property rights in the state’s history without fair compensation for land owners,” said DeCroce, whose district includes several Highlands Communities.

“If the state deems it good public policy to preserve vast areas of open space by enacting extremely strict development prohibitions that make people’s land practically worthless, then it has an obligation to pay the owners for the land,” said DeCroce.

“I encourage voters to vote against the misleading and unnecessary referendum that will be placed before them on the November ballot, said DeCroce.

DeCroce Has Plan To Fund Public Projects Without Tax Dollars (AUDIO)

Source: NJ 101.5 [audio] -

You may have heard of Kickstarter.com, the website that allows would-be filmmakers to solicit donations to help fund their movies. The process is called crowdfunding, and a New Jersey lawmaker wants towns and counties in the Garden State to be allowed to do it in lieu of using tax dollars to raise cash for community projects.

“We are bringing the public in to be a part of the process, and that’s the opposite of what happens in Trenton,” said Assemblywoman BettyLou DeCroce (R-Parsippany).

“Normally you’re dictated to. Whenever we pass a bill in Trenton we’re always imposing on the public, whether we’re dictating or mandating or requiring.”

According to the assemblywoman, towns have many worthwhile projects each year that don’t get funded because of fiscal issues, or a lack of public support for spending tax dollars. She said her bill gives people the option of donating for projects they do like, and they obviously would not have to contribute to projects that they do not support.

“With crowdfunding, they’re not being taxed for different things like an athletic field, a community center, storm disaster relief, historical preservation,” DeCroce said.

There are safeguards in place to ensure the donated funds are used for their stated purpose. DeCroce’s legislation would also allow for donor-based crowdfunding, where donors could contribute to a project and then reap any potential dividends.

Some other states already allow crowdfunding. In Portland, Oregon, it’s being used to raise money for a world-class bicycle park. In Kansas City, it was used to raise almost $420,000 in private funds for 90 shareable bikes. In the Boston area, crowdfunding was used to give iPads and Bluetooth headsets to students.

“Why not allow teachers in New Jersey to use crowdfunding for supplies?” DeCroce asked.

CLICK HERE to listen to audio

DeCroce Bill Extending Permit Extension Moratorium Date Helps State's Economic Development

Assembly Republican Press Release -

Legislation sponsored by Assembly Republican BettyLou DeCroce, R-Morris, Essex and Passaic, that re-instates the moratorium on the imposition of fees on non-residential construction projects through December 31, 2014, was approved by the General Assembly today. The moratorium had expired on July 1, 2013.

“The building industry is one of New Jersey’s key economic drivers as it creates jobs and facilitates commerce,” said DeCroce. “Extending the moratorium will save builders from re-applying for approvals previously obtained which only drives up the costs of a project. Unlike some recent legislative proposals that will hurt job growth in New Jersey, this bill will help build it.

“Many jobs are created both directly and indirectly due to the construction industry, such as suppliers, retailers, financial institutions and real estate,” stated DeCroce. “I would like to thank my colleagues Assemblymen Bramnick, Burzichelli, Singleton and Wimberly, and Assemblywoman Lampitt for working in a bipartisan manner on this legislation.”

The legislation, A-1907, provides that municipalities are required to return any monies paid by a developer during the time period between July1, 2013, through the effective date of the bill. Municipalities that have already spent such fees on affordable housing projects would not be required to provide a refund.

Fiocchi: Democrats' Plan 'Disastrous' For Struggling Middle-Class Families

Source: The Daily Journal -

Assembly Democrats are now on board with their Senate colleagues in pushing for higher income taxes on wealthy households to avoid cutting the pension payment in New Jersey’s 2015 budget.

Details of the Assembly Democrats’ budget blueprint remain sketchy, although Speaker Vincent Prieto, D-Hudson, said he hopes the spending plan and associated tax increases will be approved by the Assembly next Thursday. The deadline to adopt a budget is June 30.

“Judging from their single-minded pursuit of tax increases, the Trenton Democrats’ plan will be disastrous for middle-class families struggling to find jobs and make ends meet. The last time New Jersey tried to tax itself out of its fiscal woes, thousands of residents left our state along with more than $70 billion in wealth. Rather than fiscal solvency, we were left with the largest structural budget deficit in the entire country.” – Assemblyman Sam Fiocchi

Prieto said he hoped to start the income-tax hike at $1 million, rather than at the $500,000 level proposed Wednesday by Senate President Stephen Sweeney, D-Gloucester. He said other details envisioned by Senate Democrats, including a 15 percent surcharge on corporate business taxes and a one-year suspension of some grants to businesses, are similarly subject to ongoing talks.

“The way I look at it, the state of New Jersey has a revenue problem. I don’t think it has a spending problem,” Prieto said.

The Assembly proposes additional spending that wasn’t included in the Senate’s plan and lacks the detail about revenue-raisers that Sweeney announced this week.

Whatever the details of the Democrats’ compromise turn out to be, the plan will be vetoed by Gov. Chris Christie.

“Different day, same plan for an already severely overtaxed state,” Christie spokesman Michael Drewniak said.

This would be the fourth time Democratic lawmakers sent Christie a so-called “millionaires tax.” The governor vetoed similar plans in 2010, 2011 and 2012.

Senate Democrats estimated a 10.75 percent tax rate on income over $1 million would generate $565 million in the coming budget year, not counting a one-time infusion — estimated at $105 million, which includes the impact of a 10.25 percent tax rate on income above $500,000 — generated by applying the tax retroactively on income since January.

Foremost among the obligations that Democrats say are being shirked is a $2.25 billion payment to the pension funds, rather than the $681 million Christie is proposing to offset reductions in the forecast for income tax collections. Unions have gone to court seeking to block the cuts in both the current and upcoming budgets, which total nearly $2.5 billion.

Union leaders cheered the plan, as they did the Senate’s proposal. Business organizations and Republicans criticized it.

“This is the same old tired song we hear repeatedly at budget time,” said Assemblywoman Bettylou DeCroce, R-Morris, of the more detailed Senate plan.

“A back-breaker for job-creators,” said Assemblyman Christopher Brown, R-Burlington.

Assembly Sam Fiocchi, R-Cumberland, panned the idea of tax hikes in response to the Senate Democrats’ proposal.

“Judging from their single-minded pursuit of tax increases, the Trenton Democrats’ plan will be disastrous for middle-class families struggling to find jobs and make ends meet,” Fiocchi said. “The last time New Jersey tried to tax itself out of its fiscal woes, thousands of residents left our state along with more than $70 billion in wealth. Rather than fiscal solvency, we were left with the largest structural budget deficit in the entire country.”

DeCroce, Brown Balk As Assembly Democrats Push Income Tax Hike For Rich, Too

Source: Asbury Park Press -

Assembly Democrats are now on board with their Senate colleagues in pushing for higher income taxes on wealthy households to avoid cutting the pension payment in New Jersey’s 2015 budget.

 “This is the same old tired song we hear repeatedly at budget time.” – Assemblywoman Bettylou DeCroce, R-Morris.

 Details of the Assembly Democrats’ budget blueprint remain sketchy, although Speaker Vincent Prieto, D-Hudson, said he hopes the spending plan and associated tax increases will be approved by the Assembly next Thursday. The deadline to adopt a budget is June 30.

“A back-breaker for job-creators.” – Assemblyman Christopher Brown, R-Burlington.

Prieto said he hoped to start the income-tax hike at $1 million, rather than at the $500,000 level proposed Wednesday by Senate President Stephen Sweeney, D-Gloucester. He said other details envisioned by Senate Democrats, including a 15 percent surcharge on corporate business taxes and a one-year suspension of some grants to businesses, are similarly subject to ongoing talks.

“The way I look at it, the state of New Jersey has a revenue problem. I don’t think it has a spending problem,” Prieto said.

The Assembly proposes additional spending that wasn’t included in the Senate’s plan and lacks the detail about revenue-raisers that Sweeney announced a day earlier.

Whatever the details of the Democrats’ compromise turn out to be, the plan will be vetoed by Gov. Chris Christie.

“Different day, same plan for an already severely overtaxed state,” said Christie spokesman Michael Drewniak.

This would be the fourth time Democratic lawmakers sent Christie a so-called “millionaires tax.” The governor vetoed similar plans in 2010, 2011 and 2012.

Foremost among the obligations that Democrats say are being shirked is a $2.25 billion payment to the pension funds, rather than the $681 million Christie is proposing to offset reductions in the forecast for income tax collections. Unions have gone to court seeking to block the cuts in both the current and upcoming budgets, which total nearly $2.5 billion.

Union leaders cheered the plan, as they did the Senate’s proposal. Business organizations and Republicans criticized it.

“This is the same old tired song we hear repeatedly at budget time,” said Assemblywoman Bettylou DeCroce, R-Morris, of the more detailed Senate plan.

“A back-breaker for job-creators,” said Assemblyman Christopher Brown, R-Burlington.

DeCroce Calls Senate Democrat Budget Plan A Job Killer

Source: Assembly Republican Press Conference -

Assemblywoman BettyLou DeCroce (R-Morris, Essex Passaic) said the Senate Democrats’ budget proposal that increase taxes and cuts business incentives by $1.6 billion is a “job killer” that will send more people to the unemployment line and keep them there.

DeCroce, a member of the Commerce and Economic Development committee, decried the Senate Democrats plan for failing to include any spending cuts and again call for raising taxes on hard working, productive citizens in the state.

“This is the same old tired song we hear repeatedly at budget time,” said DeCroce. “Raising taxes is the typical response to too many in Trenton and discourages the people working the hardest to create jobs and make business investment in New Jersey.”

DeCroce said adding a 15 percent corporate business tax surcharge and suspending $175 million from the Economic Development Authority’s Business Employment Incentive Program will merely add to New Jersey’s reputation as a bad place to do business.

The Assemblywoman, a small business owner, said the last thing struggling business owners need is yet another tax on their earnings.

“I encourage my Democratic colleagues to look at the national data that continually ranks New Jersey near the bottom as the place to do business in the United States,” said DeCroce. “The state already has a bad business reputation that is responsible for high unemployment. The Senate Democrat plan will guarantee just one thing – fewer jobs.”

Forbes ranked New Jersey 48th in business costs and 38 in regulatory environment in 2013. And CNBC ranked the state 42nd in the cost of doing business and 41st in business friendliness.

“Does anyone think that adding a $1.6 billion burden on people who run businesses and guide corporate investment in New Jersey is going to encourage the creation of more jobs?” asked DeCroce.

The assemblywoman said any serious discussion on the state’s budget has to begin with cutting unnecessary spending.

“Any serious discussion of the state’s budget has to begin with cutting unnecessary spending. Any budget solution that begins with raising taxes ignores our real problems and puts jobs in danger,” said DeCroce.

DeCroce Intros Bill Giving Government Opportunity to Fundraise For Beneficial Community Projects

Assembly Republican Press Release -

‘Crowdfunding’ a different approach for public projects

Government entities in New Jersey may soon have a new mechanism at their disposal to raise private funds for projects that benefit the public thanks to legislation sponsored by Assemblywoman BettyLou DeCroce, R-Morris, Essex and Passaic.

“Crowdfunding” allows all governments entities, including the state, counties, municipalities, school boards and authorities to raise money via the internet or other direct solicitation vehicles for a variety of projects that governments are constrained from funding.

“These are tough economic times for many towns and school boards,” said DeCroce. “Crowdfunding offers an alternative to direct taxation to fund improvement projects that governments are unable to fund, but people want. I believe it can be a useful tool to help governments, civic groups and investors work together to make improvements that benefit the entire community without raising property taxes.”

DeCroce explained the need for the legislation, saying that there are many worthwhile projects in communities each year that do not get funded because of budget constraints or lack of community-wide support for a public expenditure. She cited projects such as bike paths, artificial turf and dog parks that crowdfunding could be used for.

“Each of these amenities has a constituency, but may not have the full support of the public if the funding had to go to a referendum,” explained DeCroce. “This measure gives governments and citizens an alternative funding method that doesn’t dip into taxpayers’ pockets.”

Crowdfunding is in use in several states and cities in the U.S., including Kansas City, Mo., which raised just under $420,000 to provide 90 shareable bikes at 12 sharing stations in the city’s downtown area. Another crowdfunding venture in the Boston area gave students iPads, Bluetooth headsets, and the training to use them.

In Portland, Oregon, the city is working on using crowdfunding to finance a world class bicycling park that will also be used for runners, picnickers, and others. The city does not have the money to develop the project, so the state Department of Transportation transferred a piece of vacant property to the city’s Parks & Recreation Bureau. A governor-appointed body, called Oregon Solutions, is using a crowdfunding website to obtain the initial capital. Although the finished project will cost millions, the campaign’s initial goal was to raise $100,000 to hire trail designers and landscape engineers to draft plans to eventually qualify for government and private grants, as well as obtain construction permits.

Cities in Europe are also turning to crowdfunding to supplement government financing. It is usually done with the assistance of a company that specializes in internet-based fundraising.

DeCroce’s legislation (A-3378) outlines the process governments must follow in New Jersey before starting a crowdfunding venture, including setting a specific fundraising target and implementing a time limit on the fundraising activity. Entities using crowdfunding for the first time must initiate a pilot project and, if successful, may take on multiple crowdfunding projects in the future.

Crowdfunding, according to DeCroce’s legislation, may be donor-based or investor- based. A donor-based effort shall specify that if the target funding amount is not reached, the funds will be allocated to the government entity in charge of the project for funding of another project.

In the case of investor-based crowdfunding initiatives, the money must be returned to the investors if the target goal is not reached.