Philly.com ‘Christie, legislative leaders argue over property-tax proposals’

By Adrienne Lu and Maya Rao, Inquirer Trenton Bureau

TRENTON - Gov. Christie and Democratic legislative leaders butted heads again Tuesday over proposals to curb the state's rising property taxes, with the governor accusing legislators of stalling on critical bills while the Democrats said they had made substantial progress.

Christie announced Monday that he would have a news conference at the state Capitol on Tuesday afternoon. About two hours before the governor's appearance was set to begin, Democratic lawmakers notified reporters of a news conference of their own, to start one hour before the governor's.

Senate President Stephen Sweeney (D., Gloucester) and Assembly Speaker Sheila Oliver (D., Essex) declared they had reached an agreement on a plan to cap salary arbitration awards at 2 percent. Their proposal would cap salary increases for police and firefighters' arbitration awards at 2 percent and would sunset in three years to allow lawmakers to gauge its effectiveness. Salary increases reached through collective bargaining would not be subject to the cap.

Christie has called for a 2 percent cap on all economic issues, including health insurance. Unions have argued that, with health-insurance costs rising in the double digits, a 2 percent cap including insurance would result in pay cuts.

Sweeney and Oliver did not release proposed legislation, instead giving reporters a three-page news release with bulleted highlights.

"We've been criticized for taking too long to deliberate, but we've taken this length of time so we could create a bill that satisfies all of the elements required for mayors, for town councils, and for our governor," Oliver said.

She said what taxpayers want and need is reform that controls property taxes but also recognizes that public safety personnel risk their lives every day and must be fairly compensated.

She said amendments would be made to an arbitration bill sponsored by Assemblyman Louis Greenwald (D., Camden) and posted for a vote at a Dec. 13 voting session. Sweeney said the upper house would act within the same time frame.

He called the new proposal a "revolutionary" change in binding arbitration.

"This is a huge step forward," said Somerdale Mayor Gary Passanante, adding that towns need it desperately.

Democratic lawmakers said they had advanced more than 20 property-tax overhaul bills this year, including many from Christie's property-tax "tool kit."

At Christie's news conference, the governor reiterated some of the points he has been making in town-hall meetings throughout the state since September.

He said the Legislature had 28 days left to take action on his property-tax overhaul proposals before a new 2 percent property-tax cap takes effect on Jan. 1.

Without the changes, the governor said, local officials will be forced to either lay off a significant number of people to meet the cap or try to persuade voters to approve through a referendum an exception to the cap.

Christie argued that the Legislature had wasted too much time on trivial bills while failing to take action on the issue that most concerns New Jerseyans - property taxes.

He said that he was prepared to sit down with legislative leaders to negotiate and compromise where possible, but that he would veto any watered-down proposals that reached his desk.

"I will not leave the taxpayers of this state out on the lurch," he said. "I will not give them false reform."

Contact staff writer Adrienne Lu at 609-989-8990 or alu@phillynews.com.