Senate Democrats Want To Reinstate ‘Millionaires Tax’ To Balance New Jersey’s Budget
By David Madden
TRENTON, N.J. (CBS) - With a week and a half before New Jersey must legally adopt a new budget, senate Democrats have presented their alternative to Governor Chris Christie’s plan to slash pension payments to balance the spending plan. And they are bringing back an old, familiar proposal that Christie will almost certainly reject on its face.
Senate President Steve Sweeney insists the state must honor promises made to workers in return for the pension and health care reform package passed a couple years ago. With revenues down sharply, Sweeney wants to tap those he says are able to take the hit.
“Reinstate the millionaires tax in the state of New Jersey with a 15-percent corporate business tax surcharge and a few other tweaks with the budget and that will give him a balanced budget that meets the requirements to our retirees.”
That would raise over $1.5-billion to cover next year’s pension payment. Republicans are already dismissing the proposal. The Governor has consistently vetoed tax increases like this.
There are also a number of lawsuits filed in an attempt to force the Governor to pay the full pension obligation.