NJ Assembly advances property-tax changes

TRENTON - A legislative panel looking at ways to reduce government red tape advanced four proposals Monday that could help ease New Jersey's highest-in-the-nation property taxes by cutting costs the state imposes on local governments, counties, and school districts.

The bills tackle state-imposed requirements that municipalities have to pay for. They include: a 2006 mandate for security systems in local courts; requiring police officers to qualify to carry guns every six months rather than once a year; and a mandatory 16-hour autism training course for rescue service volunteers.

"Systemic reform is coming," said Assemblyman John McKeon (D., Essex), who sponsored the bills and chairs the Assembly Environment and Solid Waste Committee that heard them. "This is a part of the solution. I think it's clear this isn't going to be the magic bullet to lower property taxes, but it's part of it."

Proponents of the legislation have long complained that unfunded mandates cost municipal and county governments and school districts - and therefore taxpayers - millions of dollars a year. However, a panel created 14 years ago to review complaints about mandates has heard only 11 cases, in part because it's expensive for one town or school system to hire lawyers to present a case.

One proposal advanced Monday would allow groups like the League of Municipalities and the Association of Counties to bring complaints on behalf of their members.

The proposals come after Lt. Gov. Kim Guadagno signed an order establishing a permanent red tape review commission and Gov. Christie signed a law limiting annual property-tax increases to 2 percent. Towns, counties, and schools are looking for help to prepare budgets that stay within the cap without drastically cutting services.

Christie, a Republican, has proposed a property-tax "tool kit" of nearly three dozen bills, including pension and health-benefit changes for current and future public workers. Democratic lawmakers have proposed their own measures. McKeon said he hopes to have bills regarding municipal and education mandates and consolidation of services on the governor's desk by the end of the year.

New Jersey citizens pay the highest property taxes in the country, averaging $7,300 per household.

Dan Phillips of the Administrative Office of the Courts cautioned lawmakers against compromising security to save towns money. He testified against a bill in the package giving municipalities discretion in court-security plans.

The Sierra Club's Jeff Tittel objected to another bill that would allow towns to extend the time between reviews of their building and development rules to 10 years from the current six. Tittel said such a bill would save municipalities an average of just $60,000, while promoting poor environmental planning and sprawl.

"They're using the tool kit to dismantle good planning and environmental protections," Tittel said. "This has nothing to do with saving towns money. It's about taking care of developers."