Video CBS Sunday Morning: Lest We Forget

The following video was part of this morning's CBS Sunday Morning Show. It documents the unselfish family tradition of Wayne Van Dornen and his efforts at placing flags at the grave sites of veterans near his home town of Clyde, Ohio.

The tradition started with his uncle and father, both WWII Vets, and now include 3 generations of Van Doren family members who placed over 1,000 American flags at McPherson cemetary alone last week.

"..When the Van Doren brothers returned from World War II they volunteered to place flags on Veteran's graves near their home in Clyde, Ohio and has now become a family tradition..."

President Obama's Weekly Adress: 5/29/10 Honoring the Fallen

Ahead of Memorial Day, the President asks all Americans to join him in remembering and honoring our men and women in uniform who have died in service to the country.

How Many Emails Did Middletown Receive When It Requested Resident Input Into Defeated School Budget? Not Close To 700 That Scharfenberger Stated

Well it seems that Middletown's sorry excuse for a Mayor, Gerry Scharfenberger, has been caught yet again in a gross exaggeration of facts, which leads to the impression that the additional $500K over and above the previously agreed to $1.6M worth of budget cuts that the Board of Education presented to the Middeltown Township Committee back on May 3rd and May 6th was politically motivated.

This latest example comes from the many emails that were sent to the township's website, after Sharfenberger came up with the brilliant idea to fore go an open public meeting to discuss further budget cuts that should be made to the Middletown school budget which was defeated on April 20th.

Scharfenberger stated at the May 17th Township Committee meeting and was quoted by all of the local newspapers that cover Middletown, that some 700 emails were sent to him via the suggestion portal that was set up on the township website for residents to voice their opinion on what items should or should not be cut from the school budget. Three days later a press release was posted on the township website stating that thanks to the residents for their input and that only 600 emails were gathered. Now after obtaining a copy of all those emails from the Township, I come to find out that the really number of emails sent in by residents was 501.

That's a pretty big difference if you ask me, more so if you consider that many of the emails seem to be duplicates or have nothing whatsoever to do with suggestions on how to trim the defeated school budget, like spam and self indulgent compliments on defeating the budget. After looking through them, it really looks as if only 300 or so could be considered as legitimate.

Which leaves the question of exactly how many residents sent suggestions to the portal? Were only 50, 100 or 501 residents responsible for sending them all of those emails? We'll never know for sure because only a small percentage of residents decided to sign their names to them, which was after all their prerogative, considering that the Township suggested that comments be left anonymously.

For anyone interested in reading all those emails themselves you can do so by clicking >>> Here

Note: For those that thought that their comments and suggestions would be kept confidential I am sorry to inform you otherwise, your comments are part of the public record for all to see whether you supported further school budget cuts or requested that the budget should stand as was at the time of the April 20th vote. Anyone could submit an OPRA request and receive the same information that I have.

Middletown school board to vote on final spending plan

Good job by Jennifer Bradshaw of the Asbury Park Press reporting on the Middletown school budget that will be voted on at tonights Board of Education meeting (I included her report at the bottom of this post).

The meeting agenda and resolutions were posted on the BoE website late Monday afternoon , I didn't see them posted until shortly after noon yesterday, but I was unable to post about it until know.

There are a number of things that I found interesting and that pertain to tomorrow night's meeting that will be open for discussion:

1. The Meeting Agenda - Page 5 of the agenda lists the reductions in the budget that the BoE will be moving forward with. As Jennifer Bradshaw reports in the article below the BoE did not follow the township committees suggestion to eliminate two vice principals, an assistant business administrator or a directors position for a savings of $347,000. Instead they found savings (breakage) from teachers that announced their retirements since the budget was first proposed.
2. Personnel Committee Report - This report lists the names of district employees that have announce their retirements, resignations or leaves of absences and contains the resolution which authorizes the further reduction of the work.
3. Certified Staff - This is a list of all the certified staff members that are being recommended for rehire with their salaries( I was happy to see some names that I am familiar with and disappointed in not seeing others)
4. Tenured Transfers Reassignments - A list of tenured teachers, guidance counselors and CST's that have been transferred to other schools or who have had their positions within the school district reassigned
5. Superintendent Compensation Freeze - Superintendent Karen Bilbao has forgone her contracted raise for the upcoming year and due to the recent change in state law will be contributing 1.5% of her salary towards health benefits. Currently Bilbao contributes $1,200 towards her benefits, that will now increase by $463 for a total of $1,663 inwhich she will have to pay towards her benefits.

I have to give the Board of Education some kudos here because unlike the Gerry Scharfenberger and the Township Committee, in a true showing of transparency, the BoE released the revised budget with all of the important information that pertains to it before their open public meeting tonight. By doing so, the BoE has allowed those interested in their child's education to see how the additional cuts to the budget will effect them and then allow those parents a chance to speak informatively at the meeting.

The Board of Education should also be commended at this time for not presenting a "doomsday" budget even though funds are tight and the budget is bare-bones, I didn't see anything about the need to cut sports programs or extracurricular activities at this time, which is a good thing. But we'll have to wait it out to be sure.

MIDDLETOWN — The Board of Education will vote on the final school budget numbers at its 7:30 p.m. meeting Wednesday night in the auditorium of High School North, 63 Tindall Road.

As part of a more than $2 million reduction ordered by the Township Council, $150,000 will be through a change in nursing services; $803,000 will be through a change to the district's health insurance carrier; $58,117 savings came from the elimination of a night watchman position; $136,796 through reductions to individual school budgets; $250,000 was saved through salary breakage related to six retirements; $140,000 through attrition; and $16,204 through the elimination of a PR position.

Administrative position cuts suggested by the council do not appear on the final cuts — the council had suggested the elimination of two vice principal positions at the high schools, for a savings of $130,000 each, the elimination of an assistant business administrator position for a savings of $91,000, and the elimination of a $126,000 director position.

The final numbers will have a 2.2 percent increase on township taxes, according to the agenda....

It's your Town Newsletter Volumn 2, Issue 10 For 5/17/10; Resolution 10-151 Outlining Defeated School Board Budget Cuts Included

The latest edition of It's Your Town Hall Newsletter is >>> Here.

In this edition the township bill list for the month is includes which makes the newsletter rather long. Also included are ordinances and resolutions that were voted on during the May 17th 2010, Middletown Township Committee meeting. These are at the end of the newsletter and can be reached using the links provided. The links are underlined in blue. There are links in the resolutions to bring you back to where you were originally.

Perhaps the most controversial resolution of the year, Resolution 10-151, which instructs the Middletown Board of Education to cut an additional $2.1M from its previously defeated school budget is also included. You can read what members of the Township Committee had to say about this resolution when it was introduced and voted on, as well as comments from members of the public that expressed concerns over the size and necessity of the additional spending cuts imposed.


As always, if you would like to be placed on a mailing list to have the It's Your Town Newsletter sent to your inbox, send an email to itsourtown@yahoo.com and request it.

It is important for everyone to know how our local government is being run and most of all, how our tax dollars are being managed.

Correction - At the top of page 2 of It's Your Town Newsletter the statement attributed to Deputy Mayor/Committeeman Tony Fiore is not accurate, it should read as follows:

"Committee looked very hard and tried not to cut that which would impact the children."

not

"Committee looked very hard and tried not to cut that which did not impact the children."

It was pointed out to me that a double negative was used in the sentences which
altered the meaning of what was said at the meeting. Sorry if there was any confusion.

NJPP Monday Minute 5/24/10: Stand Up rally brings record crowd to Trenton to protest budget cuts

In the largest rally ever seen in Trenton, 35,000 New Jerseyans from all walks of life came together last Saturday to protest Gov. Christie's proposed budget cuts that will harm the state's working families, children, seniors and schools.

The crowd was a diverse mix of community activists, union members, and even parents and children who cheered loudly when speakers criticized Christie's plans, saying that the state's most needy residents would suffer the most.

Over 100 community organizations endorsed the rally, among them faith-based organizations, environmental advocates, direct service providers, represents of Latino and African-American groups and children's advocacy organizations. Community turnout for the rally was coordinated by Better Choices for New Jersey with a clear message to the governor and Legislature: stop the cuts and restore the tax on New Jersey's highest income earners.

The Legislature last Thursday approved a bill to restore the income tax surcharge on those making $1 million or more. The Governor wasted little time vetoing it on the same night.

Primary Challenger Avallone Responds To Scharfenberger, While Gerry Ducks From Debate

In yesterday's Asbury Park Press, in an article about the Middletown Primary, Mr. Scharfenberger is quoted as saying that " I have a lot to learn". This is actually pretty funny, because for the past 2 weeks, I have written letters and called his office almost daily for a debate or a meet and greet.

To date, I have not had the decency of a return call. If I have "so much to learn" why is Mr. Scharfenberger afraid to debate me!

It's probably because, I have a MBA; I have been a resident of Middletown for over 25 year's; I have owned and managed a business for over 22 year's; have had to meet a payroll every Friday for 22 year's; have had to balance a budget for 22 year's; and been an active member of the community and our church.

What have we had with Mr. Scharfenberger in charge; a municipal tax rate that has gone up 16% over the last three year's.

And, he thinks "I have a lot to learn".

There is still plenty of time left before the June 8th primary, and I challenge you Mr. Scharfenberger to a debate. In fact you can name the venue, you can pick the moderator, and you can select the questions. Just let me know where and when. I will be there, and this time I hope you show up!

Tony Avallone

Republican Candidate for Middletown Committee

Saturday Morning Cartoons: Baby Huey - Quack-A-Doodle-Doo

Let's blop ourselves down on the easychair and breakout some "Quakers", It's cartoon time!

President Obama's Weekly Address: 5/22/10 BP Spill Independent Commission

The President announces that the independent commission he created for the BP Deepwater Horizon Oil Spill and Offshore Drilling will be chaired by former Florida Governor and Senator Bob Graham and former EPA Administrator Bill Reilly. He promises accountability not just for BP, but for those in government who bore responsibility.




Learn more about the government response >>> Here
Learn more about the commission >>> Here

Scharfenberger's Green Initiative: Buy 5 New Trucks With SnowPlows While Laying Off 40 Employees

Gerry Scharfenberger likes to think of himself as the father of the Middletown Green Initiative, after all it was his idea even though there isn't much to show for it except for the promise to turn off some lights and eventually install a few solar panels on the top of the Arts Center.

That was until now.

The Township has just taken possession of 5 brand new,beautiful Chevy Sliverado pick up trucks equipped with snowplows at a cost of $33K each.

Can someone tell me what he and the Township Administrator must be thinking when they purchase over $160K worth of trucks when the Township started the year with a $5M budget deficit? Do they think that the road to fiscal responsibliity must be driven down in trucks that cost the taxpayer $33K each?


How is a purchase like this justified when the Township has plans to layoff about 40 employees? Who is going to be driving these trucks? Maybe the Township will have the laid off employees use them to drive to the unemployment office. I am sure that the Police Department is glad that they agreed to a salary freeze for this year. We need to save every penny possible so that purchases like this can be afforded. At $33K each this totals well over $160K, which is the equivalent of salaries for 4-5 average employees on the Township payroll.

The Mayors' Green Initiative should be about saving the green not spending it, especially since the Township does not have it to spend.

Cha-Ching!


Instead of parking these new vehicles in the Public Works Yard they are located in the school parking lot at Croydon Hall. They have not been registered yet, either.

Unfortunately The Common Point Of View About School Administrators Is Wrong

I received a very good counter comment by an anonymous writer on the blog post "Middletown school officials unhappy with $2.1 mill...": earlier today.

The commenter took exception to what another anonymous commenter had to say about teachers and what the responsibilities of assistant principals are.

I posted below the comment that the first poster left in red below followed by the comment from the person who took exception to their snarky and ill informed opinion of members of the Middletown school system.

I thought it was such a good response that I should post it on here on the main page of the blog for everyone to read:



"I am so tired of all of these things about the teachers. all they do is get get get.

The Superintendent of schools make more than the governer of the state of NJ. thta is crazy. the high schools have more than two assistant princapals, that is nuts!!! how much work can each one possibly do all day. and the taxpayers have to deal with this...."


"Unfortunately, that is a common point of view. “There are too many administrators”, that is the new mantra being repeated by the citizens of Middletown. I hear it everywhere, from all types of people with one exception. People who actually know what administrators do, how important they are to the education of our children and how hard they work. I’ll be kind and just say that the people who think that there are too many administrators in Middletown are either ill informed or uniformed.

“When I went to school we had one principal and one assistant principal” is something else I hear. You know what else you had? Thirty year old textbooks and carburetors in your car. Who do you think is responsible for making sure that our students are keeping our students curriculum current? Assistant principals. Who was responsible for this 30 years ago? Apparently no one.

Superintendents are paid according to the law of supply and demand. Governors are not. Christie will make more on his first book deal than most superintendents could make in ten years. He has already made it clear that New Jersey is not a good place to pursue a teaching career, he is about to make the same thing true for administrators. He will be limiting the amount of compensation that superintendents can receive. He is changing the pension formula so that it is calculated on the last five years of employment instead of the current three years. This will encourage eligible teachers to retire before the law takes effect, saving school districts money now. But the long term effect will be that the highest paid teachers will remain on the job an additional two years in the future, costing districts and the state much more. It is a short-sighted policy. "

What do you think? Feel free to comment as you wish, I'll post whatever comments come in.

Quote of the Day from Middletown

"This is really going to impact the quality of education in the district, I don't know how we are going to continue." - Middletown Board of Education Vice President Dan Skelton

Quoted from the Asbury Park Press while refering to the additional $2.1M school budget cuts imposed on the Middletown School District by the Town Committee.

Middletown school officials unhappy with $2.1 million budget cut

It will be interesting to see what action the school board takes when it votes on the adoption of the new school budget on May 26th. Will they accept the recommendations made by Gerry Scharfenberger and the Township Committee or will they look at other areas in the budget to cut the $2.1M from? Either way the prospects don't sound good for the school system.

From the Asbury Park Press -

MIDDLETOWN — Eliminating vice principal positions would jeopardize safety and the ability to implement state mandates, Schools Superintendent Karen Bilbao said she told township officials recently as they discussed prospective cuts to the district's tax levy.

The Township Committee recommended eliminating two vice principal positions as part of its order Monday to cut nearly $2.1 million from a proposed $123.8 million tax levy that voters rejected last month.

Other recommended cuts are the jobs of one of the district's two assistant business administrators, a night foreman and a public relations official.

The committee voted 4-0 Monday night to order the tax levy cut. Township Committeewoman Pamela Brightbill was absent.

Under the reduction, school property taxes would increase by 1.7 percent instead of 3.9 percent, Township Administrator Anthony Mercantante said. The school tax rate would increase by 2.3 cents instead of 4.2 cents per $100 of assessed value, he said.

"This is really going to impact the quality of education in the district," Board of Education Vice President Dan Skelton said Tuesday. "I don't know how we are going to continue."

The final cuts contained several suggestions made by the district, Bilbao said, including an $803,878 adjustment to the health insurance plan appropriation, a savings of $465,829 by refinancing a bond and a $150,000 reduction in nursing services costs.

But the suggested administrative salary cuts — a vice principal from each high school at a savings of $130,000 annually each, a $126,000-a-year director position and a $91,000-a-year assistant business administrator position — came as a surprise to her, Bilbao said.

High School North has six assistant principals and a principal while High School South has five assistant principals and a principal. During the 2007-08 school year, High School North had 1,651 students while High School South had 1,451 students, according to the National Center for Education Statistics website.

Appeal not likely

The board will meet in a special closed session later this week to discuss the additional cuts, said Bilbao, who anticipates a vote on the final budget during a May 26 meeting.

Barring a successful appeal to the Monmouth County schools superintendent, the school board must cut the amount the governing body ordered, but does not have to follow the committee's recommendations on how to do so.

Skelton does not anticipate the district will attempt to appeal.

"I don't know if this is the type of political climate where you can appeal," Skelton said.

The committee initially was set to cut about $1.6 million, but decided to continue chopping after it received hundreds of e-mails from residents upset about their taxes, Mayor Gerard P. Scharfenberger said.

"There are going to be a lot of people complaining that we did not cut enough," Scharfenberger said.

The Arrogance Of Mayor Gerry Scharfenberger Hiding Behind A Website

The following was sent in by a reader who attended last night's Middeltown Township Committee meeting and wanted to get something off their chest. This person supported the school budget and did not think it necessary, fair or honest of the Township Committee to impose further cuts to the school budget after apparently agreeing to ~$ 1.6M proposed by the Board of Education without first informing the school board of it.

At last nights committee meeting the township committee finally approved the resolution to cut the school budget. The budget was defeated on April 20th by an unprecedented number of voters after the Governor in an equally unprecedented move had called for the defeat of school budget state wide.

After completely ignoring the invitation of the school board to hold a joint meeting in public ensuring maximum transparency to the process. The Mayor insisted on closed door meetings to discuss the defeated budget. At the workshop meeting resident after resident pleaded with the committee to hold an open forum were residents to discuss their concerns because roughly $10,000,000 had already been cut from the school budget prior to its defeat.

But the mayor who steadfastly refuses to hear the residents speak on regular committee issues prior to the committee voting, has been hiding in plain sight for years from the public, just as the majority of the committee has, unlike Democratic Committeeman Sean Byrnes, who has strived to make the committee operations more transparent and open to the public.

Finally after realizing the public could not be ignored the township set up a link so that residents could email concerns. It was a feeble attempt designed to once again hide in plain sight by receiving emails but refusing to hear in public or discuss residents concerns. While both the mayor and the deputy mayor championed the idea it demonstrated that they were only willing to receive the equivalent of a “Dear John” letter without facing the issue with the voters.

Not surprisingly they also stuck to the same pattern of hiding from the public by failing to place the resolution on the website, as was done with every other resolution of the evening. You have to wonder what the committee was trying to hide. It was not until after the vote and after the public was finally allowed to make statements that they finally disclosed the amount cut to a roomful of anxious school budget supporters.

They cut $2,090, 894 dollars from the school budget.

Ignoring all the information supplied by the superintendent and the school officials that they would be unable to cover state mandated requirements and insure student safety they cut more assistant principals from the already understaffed high schools.

But to add insult to injury they did not even have the courtesy to send a letter to the superintendent or the board president notifying them of the amount of the cut. It was just another example of the arrogance of the Mayor Gerry Scharfenberger not even to have the decency to notify school officials or the public about the cut.

Hiding behind a website is not transparency Gerry, its cowardice.

"The liberties of a people never were, nor ever will be, secure, when the transactions of their rulers may be concealed from them."

- Patrick Henry, American colonial revolutionary

"Government ought to be all outside and no inside. . . . Everybody knows that corruption thrives in secret places, and avoids public places, and we believe it a fair presumption that secrecy means impropriety."

- Woodrow Wilson

“Everybody knows that corruption thrives in secret places, and avoids public places, and we believe it is a fair presumption that secrecy means impropriety”

- Pres. Woodrow Wilson

Middletown Board of Education Blindsided By Additional Cuts

In yet another example of how arrogance and political posturing has overtaken sound judgment and honesty, Mayor Scharfenberger and his crew blindsided the Middletown Board of Education last night with Resolution NO. 10-151, which details the further budget cuts that the Township Committee expects the Board of Education to make to its 2010/2011 school year budget.

I say blindsided because until I posted details of Resolution NO. 10-151 on this blog, members of the Board of Education had not been given the courtesy a head of time of knowing that most of the cuts outlined were going to be included.

From what I have been told, the members of the Board of Education that sat down with Gerry Scharfenberger and Pam Brightbill for their two meeting on May 3rd and May 6th presented ~ $1.5 million worth of cuts on their own to the Township representatives that were in attendance. They had thought that there was agreement between them and that no additional cuts would be needed. These cuts came from savings in the employee health insurance plan ($803,878), the refinancing of a bond ($465,829), modifications to the nursing services contract ($150,000) and a change to the summer guidance program ($70,000).

Boy, were they wrong!

Stating that the Committee relied on the hundreds of suggestions that they had received through the Township website, the mayor said that he felt obligated to seek out more on his own. So without further correspondences with the BoE and little knowledge as to how further cuts would affect the school system, he stated last night that he feverishly scoured the budget over the last days to find additional cuts. What he came up with was another ~ $600K, all of which seemed politically motivated and consisted of the elimination of Classroom supplies ($58,000),1 Night Foreman position ($50,117),1 Public Relations position ($16,000),1 Assistant Business Administrator ($91,000),1 Assistant Principal HS South ($130,000),1 Assistant Principal HS North ($130,000) and1 Director Position ($126,000).

What’s funny about this is that after mayor Scharfenberger’s open and public sparing match with the MTEA, which contributed nothing to the process other than to further alienate anger and poison resident’s opinion of the teachers union, he seemed to have given up on that fight. Instead the focused turned to comments left on the website over the past few days, sparing the teachers from additional cuts.

The question remains though, were these addition cuts really necessary? According to those with knowledge of the school budget the answer is No. They said that these additional cuts will have devastating effects on the school system regardless of the spin that Gerry Scharfenberger or his deputy mayor, Tony Fiore place on them. Fiore made the following comment after the resolution was introduced “My hope is that this is a meaningful cut… these cuts, they do not cut one teacher, they do not cut one program."

While that may be the intent, the reality is something far different. I was informed that members of the school board told Scharfenberger just that during their meetings. Cutting more administrators from the school budget would have crippling effects on the quality of education that children receive in the classroom he was told.

The Assistant Principals at the high schools main functions are supervisory; they oversee the curriculum, evaluate teacher performance and act as disciplinarians to maintain order in schools that have close to 2000 students each. After already eliminating seven positions district wide previously in the failed budget, equalivent to 14% of the administrative staff, the loss of two more cannot be tolerated without having a direct, long term effect in the classroom.

And what about the $58K further reduction in the budget for classroom supplies? I was told that that line item was already trimmed previously by 10%, did more really need to be cut? I guess so if you don’t expect to need new text books or expect parents to purchase more supplies for their kids than they already do now.

Even though the school board is now bound and obligated to reduce the school budget by an additional $2.09M by the Township Committee, I would be surprised if they implemented their recommendations fully.

In my opinion, I think that the district will be looking into the possible layoff of a handful of more teachers, the possible elimination of non varsity sports programs or a sports program that will be based on a pay-to-play fee system and the possible closure of a district school, which I was told could not be fully implemented this year but could happen next year.

I also would not be surprised if the Board of Education appealed this budget to the Monmouth County schools superintendent in the hope to overturn the addition $600K worth of cuts that the Township Committee imposed on them without their previous knowledge or input.

If that happened then there would be little need for further layoffs of any kind, the possible elimination of any extracurricular programs or the possible closure of a school. Let’s hope that the County Superintendent agrees.

Middletown Committee To Board Of Education; Cut Additional $2.09 Million From School Budget

The number is in and it doesn't look pretty for the Middletown school system.

At tonight's Township Committee meeting that will be held at 8:pm down at Town Hall, the Township Committee will vote on Resolution 10-151 - Resolution Concerning Board of Education Budget.

This is the resolution that will instruct the Middletown Board of Education to further reduce the failed school budget by an additional $2,090,824.

Where does the Township Committee expect these cuts to come from? Restructuring of the health plan and bond refinancing, reducing money for classroom supplies and additional layoffs of administration personal.

Below is the breakdown:

Health Insurance Plan -$ 803,878
Bond Refinancing - $465,829
Nursing Services - $150,000
Summer Guidance change to federal grant - $70,000

Classroom supplies account - $58,000
1 Night Foreman position - $50,117
1 Public Relations position - $16,000
1 Assistant Business Administrator - $91,000
1 Assistant Principal HS South - $130,000
1 Assistant principal HS North - $130,000
1 Director Position -$126,000

Total - $2,090,824

With a school budget that has already been cut by $11 million is it feasible or practicle to expect the Board of Education to further reduce the school budget by an additional $2.09 million? The BOE has been saying since the defeat of its budget at the polls on April 20th, that it is not. They have insisted that there is nowhere else to cut without effecting the quality of the education the kids.

Based on these recommended cut it seems that the Township Committee thinks otherwise and they seem to be buying into the public anger over the perceived excess of high paid administration positions.

We'll have to wait for a few more days before we know if the BOE agrees with the Township Committee, they do not have to accept their recommendations and can reduce other areas of the budget if they feel necessary or appeal to the State Education Commissioner Brett Schundler for relief under that grounds that further cuts to the budget would be detrimental to the school system and that no further cuts should be inacted.

NJPP Monday Minute 5/17/10: The Millionaire's Tax: It's a Start

The New Jersey state budget is far from settled. In just over a week Treasurer Sidamon-Eristoff and Legislative Budget and Finance Officer David Rosen will appear again before the budget committees to reexamine the state's financial condition and revenue collections.

A showdown is brewing between the Democrats in the Legislature and Governor Christie. Last week, both the Senate and Assembly passed bills out of committee to raise income taxes on taxpayers with incomes over $1 million. Votes were along partisan lines and a full vote of the legislature is expected shortly. The bills are expected to pass both houses because Democrats are the majority party in both chambers (Senate: 23 Democrats out of 40; Assembly: 47 Democrats out of 80). Gov. Christie has reiterated he will veto all tax increases. A two-thirds majority is needed to override a veto - that might be problematic.

Identical bills (S-10 and A-10) have been introduced to raise income tax rates to 10.75 percent from 8.97 percent on taxpayers with incomes exceeding $1 million. This new rate would be retroactive to January 1, 2010 and is expected to raise about $637 million in FY 2011. Approximately 16,000 taxpayers would be affected.

These tax bills have companion spending bills (S-20 and A-20) that reinstate homestead rebates to certain senior and disabled homeowners and tenants ($563.2 million) and restore cuts the Governor recommended to the prescription assistance programs Pharmaceutical Assistance to the Aged and Disabled or PAAD ($55.5 million) and Senior Gold ($55.5 million). These companion spending bills would be inactive until the tax bill is passed.

The provisions of the companion spending bills are as follows:

Homestead Rebates for Senior and Disabled Citizens
The Governor's proposed budget eliminates homestead rebates for 2010, affecting over 500,000 homeowners and 100,000 tenants. These rebates would be replaced with a tax credit that would be deducted directly from quarterly property tax bills starting in May 2011.

S-20/A-20 would pay property tax rebates to senior and disabled homeowners whose incomes are under $150,000 and to senior and disabled tenants whose incomes are under $100,000. Depending on income, average homeowner rebates would range from $750 to about $1,300 and average tenant rebates would range from $150 to $700.

Pharmaceutical Assistance to the Aged and Disabled (PAAD) and Senior Gold
The Governor's proposed budget increases the PAAD co-payment for brand name drugs to $15 per prescription from $7 and beginning January 1, 2011 requires recipients of both PAAD and Senior Gold to pay an annual $310 deductible before being eligible for low-cost medications. The $310 deductible affects approximately 100,000 senior and disabled PAAD recipients with incomes below $24,432 (single) and $29,956 (married) and another 23,000 Senior Gold participants with incomes between $24,432 and $34,432 (single) and $29,956 and $39,956 (married). The deductible for married couples is $620.

S-20/A-20 would eliminate the co-pay increase for PAAD recipients and the new $310 deductible for both PAAD and Senior Gold recipients.

This could be great news for New Jersey's senior and disabled residents, but not so much for everyone else:

• Libraries will close or have shorter hours with limited internet access because the state library budget has been eliminated.
• Children will pay more for breakfast and lunch or go without.
• Some after school programs that keep kids safe are eliminated.
• Tuition Aid Grants to college students are reduced at the same time the state cut more operating funds than ever to the state's public colleges.
• Some parents of children enrolled in the state's FamilyCare program will no longer be eligible for this program themselves.
• Women who can't afford health insurance will not get prenatal and ob-gyn care.
• Working families receiving the state Earned Income Tax Credit will be hit with a tax hike when the credit amount is cut from 25 percent to 20 percent.
• NJ Transit fare increases up to 45 percent will further strain the budgets of commuters and the state's mass transit system.

All of the above represent increased costs in one form or another. Cuts to schools, municipalities and libraries will increase class sizes, raise property taxes and eliminate free services like library internet use and inter-library loans. Increased costs to college students may make them defer college or take longer to complete degrees. Cuts in FamilyCare and family planning services will mean more people in emergency rooms and more expensive health care. The highest ever transit increases will put more people in cars, causing greater deterioration of roads and bridges and an increase in air pollution.These cuts will most severely hurt middle and low-income people in the state - those with the fewest choices.

The new revenue and spending bills are a good start but more needs to be done. New Jersey's budget crisis must be resolved with a balanced approach that includes other taxes and shared sacrifice by all. For other budget options, check out the Better Choices Coalition.

President Obama's Weekly Adress: 5/15/10 Wall Street Reform & Main Street

The President explains how Wall Street Reform will not only end bailouts and bring accountability for big banks, but empower consumers, shareholders and community banks.



The White House Blog.

The 10 Most Wanted Lobbyist Loopholes
Posted by Dan Pfeiffer on May 04, 2010 at 07:00 AM EDT

Loopholes are a lobbyist’s best friend.

As debate on the Wall Street Reform bill returns today to the floor of the Senate, lobbyists are working overtime to insert loopholes and special provisions into the bill. Back in March, Treasury Secretary Geithner made clear to the audience at the American Enterprise Institute the threat we face at this stage of the game:

“…watch this process closely, for it will be a test of our capacity as a nation to deal with complex and consequential problems. When you see amendments designed to weaken the basic protections of reform; when you see amendments to exempt certain types of financial firms or financial instruments from rules; ask why we should be protecting those private interests at the expense of the public interest.”

So to kick off this week of amendments and help you follow along, please take a look at the Top Ten Most Wanted Lobbyist Loopholes:

1. Ok, Consumer Protection Rules are Fine… Just Don’t Enforce Them. The current bill would apply the same rules to providers of consumer financial services or products, whether the provider is a bank or a non-bank financial provider. The bill would also allow State Attorneys General to enforce those rules. Lobbyists are pushing hard to amend the bill so that Attorneys General lose their enforcement authority. Why does that matter? Because the Bureau would only supervise larger market participants. Without state AG enforcement authority, the citizens of their states will have much less protection against illegal conduct. If you want to weaken consumer protections, that’s one way to do it.
2. Letting Non-Banks Play by a Weaker Set of Rules. We know this is coming, so keep an eye out: attempts to give car dealers that make car loans and other major providers of financial services a big exemption from the consumer protection rules. Now be aware: some people try to scare small businesses by saying that the consumer financial protection bureau will regulate main street businesses like orthodontists and florists. That is not true. But if a car dealer makes loans, or if a big department store sets up a financial services center, it’s doing what banks and credit unions do, and it should play by the same rules.
3. If You Can’t Kill Consumer Protection Now, Starve it to Death Later. One of the keys to effective consumer protection is having a consumer financial protection bureau that is independent. And one of the keys to independence is having an independent source of funding. So be prepared for attempts to take away the bureau’s source of funds. And also watch out for broader attempts to restrict the bureau’s independence or chip away at its ability to establish clear rules of the road for a fair and transparent consumer financial marketplace.
4. Preventing States from Protecting Their Own Citizens. Under the current bill, the Bureau of Consumer Financial Protection would set minimum standards for the consumer finance market, but states would still be allowed to adopt additional protections. In other words, federal consumer protections would set a floor, not a ceiling. There’s likely to be a fight about that provision. Citing the doctrine of “preemption,” big banks will try to take away states’ ability to supplement federal consumer protections. Why is this a problem? Because state officials are often the first to learn of new abuses and new problems in the marketplace, and we should not get rid of that canary in the coal mine. Federal law can overrule or “preempt” state law when a state law would significantly interfere with national banks’ business of banking, but states should otherwise have the right to protect their citizens as they see fit.
5. Removing the Derivatives Trading Requirement to Protect Wall Street Profits. Under the current bill, standard derivatives would have to be traded on exchanges or other electronic trading platforms. Expect amendments to eliminate this trading requirement. Why? Because not everyone likes transparency. Today, the big derivatives dealers make big profits by charging end-users extra spreads and hidden fees, and they don’t want that to change.
6. Stretching the Derivatives “End-User” Exemption into a Hedge Fund Loophole. Under the current bill, there is a narrow exemption from the derivatives clearing and trading requirement for commercial firms that are not financial companies, not major participants in the derivatives market, and that are using derivatives to hedge their real risks – not taking one-way bets like AIG. Be on the lookout for attempts to stretch this exemption into a loophole – for example, by saying that the exemption should apply hedge funds and other financial companies.
7. Creating an “AIG Loophole.” Under the current bill, the Financial Services Oversight Council would have the ability to designate a very large “non-bank” financial company – like AIG, for example – for tougher supervision by the Federal Reserve. Since one of the key principles of financial reform is that firms should be regulated according to the risks they pose, not according to their corporate form, this is an important provision. But rest assured, there are large “non-banks” out there who would rather not be scrutinized quite so closely.
8. Who Needs to Know What’s Happening at Insurance Companies? Insurance is regulated by the states, not the federal government – and this bill doesn’t change that. But this bill would give the Treasury Department the ability to collect information from insurance companies so that it can help identify emerging risks before they blow up the financial system – like AIG. After so many insurance companies got into so much trouble that they needed government support to survive, you’d think that would be a no-brainer. But not everyone agrees. Keep an eye out for loopholes that would protect insurance companies from a number of provisions in the bill – including even basic information gathering.
9. Letting Firms Make Loans Without Skin in the Game. A key lesson of the crisis is that firms in the mortgage business should have a stake in the loans they sell or securitize. Skin in the game gives strong incentives to make good quality loans. Mortgage industry lobbyists are pushing hard to kill this idea. It’s cheaper for mortgage lenders and Wall Street to be in the mortgage business if they don’t have to worry about the borrower’s ability to pay – but it’s a lot more costly for Americans to perpetuate the same system that helped cause the housing crash.
10. Preserving “Too Big to Fail” While Pretending to Kill It. The key to preventing future bailouts is to end the problem of “Too Big to Fail.” And the only way to do that is to make sure that we can shut down big financial firms in a swift, orderly way if they’re on the brink of failure. Of course, not everyone wants to see “Too Big to Fail” disappear, since it lets the biggest firms borrow money at lower cost and avoid the consequences of excessive risk-taking. But no one wants to be caught defending the status quo. So defenders of the status quo are using a sleight of hand: pushing to make the resolution process so unwieldy that it can never work. By proposing amendments that look tough but that make the resolution process unworkable, opponents of reform will try to save “Too Big to Fail” while pretending to kill it.

Dan Pfeiffer is White House Communications Director

Saturday Morning Cartoons: Iron Man Vs. Titanium Man

After taking the family to see Iron Man 2 last night I just can't get enough of that metal headed, industrial playboy and superhero, Tony Stark. So this morning with my bowl of Wheaties, it's time for another fix of Iron Man from this classic 1966 episode Marvel Comics cartoon.

Concerns and Advice for the Middletown Administration

by Carolyn Schwebel

Since I have been unable to attend township committee meetings, following are some of my own thoughts, concerns, and suggestions regarding Middletown matters. I am speaking for myself only.

Township committee meeting locations:

"It's Your Town" reported about the May 3, 2010 Middletown Committee workshop meeting that "The workshop meeting was held in the Conference Room, which was filled to overflowing. People were sitting on the floor due to the lack of seating for the public and the room temperature was excessive because the day was unusually hot. The overflow crowd was remanded to the hallway for the duration of the meeting."

A speaker at the May 3, 2010 meeting recommended moving workshop meetings from this small room to the courtroom when a prescribed number of people attend. I make the same request or else that all meetings be held in the larger room. If you want to keep the informal flavor for workshop meetings, there is no need to sit on the dais; the tables below it could be used. Otherwise, there are signs of disrespect for the citizens attending, ADA problems, including reduced hearing of the meeting, lack of proper seating, and probably violation of fire codes for maximum capacity of the small conference room.

Current revision efforts of Middletown Human Right's Commission (MHRC) mission statement:

These revisions of the mission statements for the commissions and boards that "currently do not have clear definitions" were described by your attorney at the May 3, 2010 meeting as necessary for the Citizen Services Act. My review of that act, P.L. 2009, c.141, which provides revisions to NJSA 40A:9.12, and of the DCA advisory for it revealed that information required for a township directory should include "C.40A:9-9.2 Directory of local authorities, boards, commissions...(f) the appointing authority and the enabling statute, ordinance, or resolution, if any."

Nothing indicates that existing resolutions must be revised; Unilaterally changing the MHRC mission statement, which is part of its official bylaws, appears to be a violation of the bylaws procedures and Robert's Rules of Order. For those boards and commissions that have no mission statements, rather than being written solely by an attorney, the mission statements should include input from members of the boards or commissions.

MHRC membership:

The MHRC membership requirement is set in resolution and bylaws at eleven members. We are deeply grateful for the four new members on 2010. Discussion by the Township Committee to reduce that number by nearly one-third is, however, unwarranted. Under P.L. 2009, c.141 when commission vacancies occur they must be filled in a timely manner:
"C.40A:9-12.1"h. Upon the removal of such officer for cause in accordance with law, or for any other reason prescribed by law. Whenever any of the above shall occur the appointing authority shall forthwith fill the office for the unexpired term in the manner prescribed by law..." (emphasis added).

To comply, please appoint members to our four remaining vacancies as soon as possible, preferably some with citizens who are racial minorities, since at present there is none in the membership.

Another committee may not be needed:

Creation of a Military Affairs committee, as suggested by the mayor, is surprising, since I had heard that the township committee was seeking to reduce the number of boards and commissions. Attention to our veterans is very important; in fact, as our minutes confirm, the MHRC has been looking at human rights issues for returning veterans for over a year. Due to a storm, we had to cancel a meeting at which an active, recent disabled veteran, head of a local VFW, would meet with us. He is scheduled for our September meeting. You are welcome to attend. The appointment of a recent veteran to the MHRC could help us with our goal of assisting veterans. We also have counseling and other helpful resource numbers for veterans.

Lack of response from Township Committee to MHRC requests for input:

Four years ago, in July 2006 (attached), MHRC sent a request to the Township Committee for suggested projects for the MHRC. No answer was ever received. Once again, a month ago, on April 12, 2010, our letter including the same request was hand-delivered to Town Hall for the Township Committee. We have not received a response, as of today, despite follow-up calls. Also, our vice chair and I made at least a dozen contacts by phone, e-mail, and in person to schedule the final part of the SPCA food drive, a publicity photo with the mayor to reemphasize for the public the continuing need for pet food and to provide positive image for the township in the media.

On each of these issues, we were not afforded the courtesy of a response. It is important that all members of the community, including volunteers, be given respect by the Township Committee and other leaders.

I will happy to discuss any of these items with you.

Cordially,
Carolyn Schwebel

It's your Town Newsletter Volumn 2, Issue 9 For 5/03/10, Details Discussions Over Defeated School Board Budget

I'm a little late with posting the latest edition of the Middeltown newsletter "It's Your Town", but as they say it is better late than never!

Issue 9 of the newsletter details the Monday May 3rd, 2010 Middeltown Township Committee Workshop Meeting that despite having and overflow crowd in attendance, was held in the small conference room located by the Clerk's office instead of being moved to the more spacious court room.

Some of the items discussed included:

– Fire Department Audits
– Recycling Ordinance
– Citizen Service Act
-Community Development Consolidation Plan
-Shadow Lake Bond Ordinance
-School Board Budget Amendment

A large portion of the public comments portion of the meeting dealt with concerns over the defeat of the school budget and what type of recomendations the Township Committee would make to the school board in order to further trim funds from it's defeated budget.

You can read all about that as well as the other items listed above by clicking >>> Here for the latest copy of It's Your Town Newsletter.

Republican Candidate Avallone Challenges Scharfenberger To Debate Before June Primary

Tony Avallone, the Republican Candidate for Middeltown Township Committee, who is running in the upcoming June primary to unseat Middletown's acting mayor Gerry Scharfenberger for the party line on the November ballot, has issued a challenge to the mayor. Avallone wants to debate him at a "Meet the Candidates Night" that he has proposed take place in the Town Hall courtroom on May 24th.

I understand that Mr. Avallone has sent the following letter of challenge to several media outlets and to Mr. Scharfenberger himself, in the hopes that he would feel obliged to agree and debate the issues that are of the most importance to residents such as lack fiscal responsibility and the looming $5M township budget deficit:


May 13, 2010

Letter to the Editor

With approximately 3 weeks left, before the Republican Primary for the Middletown Town Council elections, my email and voice mail have been flooded with inquiries as to when there will be a “Meet the Candidates Night”.

Mayor Scharfenberger, I propose we meet Monday May 24, 2010 at 7:30 pm in the Court Room at the Municipal Center. You have been Intellectually Dishonest with us the residents of Middletown, and I think it is very IMPORTANT that the voters understand the differences that you and I have.

We are almost 5 months into the year, with a projected budget deficit of $5m and still no budget. Why! This is completely fiscally irresponsible. I look forward to meeting with you on the 24th to discuss this subject, and many others, as we prepare for Middletown’s political make over.

Tony Avallone
Republican Candidate for Middletown Town Council

Word of advice to Mr. Avallone, don't hold your breath.

It would be a cold day in hell before Gerry Scharfenberger agrees to stand in front of people and be questioned critically about anything that goes on in Middletown. Scharfenberger knows how to dish it, but he can't take it !

MTEA Urges It's Members to Call Town Hall To Tell Mayor To Stop Perpetuating The "Lie"

I received an email from a few people today that originated from Amy M. Johnson M.T.E.A. First Vice-President and Linda Guyer M.T.E.A. President. The email is addressed to members of the Middletown teachers union and it urges them to call Mayor Scharfenberger and other members of the Township Committee to let them know that the lies the mayor has been perpetuating concerning the MTEA not responding to his request for a wage freeze is false, unacceptable, damaging and unproductive.

I happen to agree and I urge all residents that think the same to call the mayor and let him know that you agree also.

Below is the text of the email with links that I inserted:

To all M.T.E.A. members:

It is clear that the Mayor of Middletown wants to perpetuate the lie that the M.T.E.A. did not respond to his letter by the close of business on April 30th as reported in The Atlantic Highlands Herald on May 3rd, The Independent on May 6th, and Asbury Park Press on May 9th. He needs to hear from each M.T.E.A. member about how his dirty politics are damaging and unproductive, and will not change our answer to his question. I strongly urge you to call the Mayor and Township Committee Members about this today! You may also consider calling any of the newspapers about the lies they are so willingly spreading.



http://www.middletownnj.org/Mayor_Township/index.asp


Many of the Middletown Township Committee members do not hold regular office hours, but all committee members may be contacted via voice mail at the numbers listed below:

Mayor Gerard Scharfenberger 732615-2024

Deputy Mayor Anthony Fiore 732706-4153

Committeewoman Pamela Brightbill 732706-4150

Committeeman Sean Byrnes 732706-4152

Committeeman Steve Massell 732706-4154



The Atlantic Highlands Herald: 732-872-1957

The Independent: 732-358-5200

Asbury Park Press: 1-800-822-9770


Thanking you in advance for your continued support,

Amy M. Johnson
M.T.E.A. First Vice-President / Grievance Chairperson


Linda Guyer
M.T.E.A. President

Middletown Seeks Public Comments On School Budget

The Middletown Township Committee lead by Mayor Scharfenberger, seems to have no clue on how to address the defeated school budget after two meetings with members of the Board of Education. Rumor has it that the Township Committee is leaning towards the recommendation that an additional $1M be cut from it.

After stating at last Monday nights workshop meeting that they have no intention on holding public hearings on the matter, which runs contrary to what Middletown School Superintendent Karen Bilbao stated, there now appears on the Township website a link that is asking members of the public for comments on how they should handle the school budget.

That's pretty rich after all the blustering Scharfenberger has been doing on the subject.

After all, they can't figure out what to do about the town budget, let alone the school budget but at least the school budget is for the coming year, the Township budget year is almost half over with and we still have no budget.

Maybe Scharfenberger and crew should post a link to the website asking residents for suggestions on the township budget next.

I encourage you all to submit your comments to let them know what to do about our children's educational dollars. You can find the form at:

http://www.middletownnj.org/schoolbudget/

NJPP Monday Minute 5/10/10: Christie Budget Diverts Federal Funds Away from Human Needs

Even though New Jersey receives only 57 cents back for every dollar in taxes sent to Washington, federal funds still provide important support to services in the state. Many believe the federal government determines how federal funds are used. The reality is that the state often has considerable discretion in the amount of federal funds the state gets and how those funds are used.

In addition to the $28.3 billion in state funds Gov. Christie proposes to spend in Fiscal Year 2011, another $12.5 billion in federal funds likely will be available for state programs. Approximately $7.7 billion of these funds (62 percent) would be spent in FY 2011 through the Department of Human Services, another $1.2 billion through the Transportation Trust Fund and just under $1 billion through the Department of Education. Within the Department of Human Services, the largest federal program by far is Medicaid ($4.6 billion).

It is important to understand how federal funds interact with state funds in order to maximize their effectiveness because state funds often generate federal funds. The state budget is ineffective in the way it explains federal funds, so it is not apparent what the total impact is on the budget, economy or the people receiving services. Those federal funds are often bundled in larger budget categories, but in some cases they are not accounted for at all.

For example, the state FY 2011 budget shows state "savings" of $43 million from three programs in the Department of Human Services: $14 million by reducing payments to workers providing personal assistance to people with developmental disabilities; $25 million by denying health coverage to 39,000 low-income parents in FamilyCare; and $4 million by eliminating orthodontic services to the poorest children in the state. What the budget does not show is that those cuts in state funds will result in an additional loss of $74 million in federal funds in those programs: $22 million, $48 million, and $4 million respectively. That is because each state appropriation to those programs is matched to some degree by federal dollars. To make matter worse, this results in an actual loss of $117 million in benefits to the vulnerable people served by those programs.

Because the state budget is not much help when it comes to understanding the impact of federal funds on the state, it's important to understand how federal funds work to figure this out. There are basically two types of federal grants: categorical and entitlements. Categorical grants are the most common source of federal aid to state and local governments and can only be used for narrowly defined purposes like the Mental Health Block Grant. Categorical grants are subject to the annual federal appropriations process which takes place after New Jersey passes its own state budget by June 30th of each year. Because of this timing issue, states do not know for certain how much federal money they will receive until the federal appropriations process is complete at the end of September.

Entitlement grants are generally larger than categorical grants, are not subject to the appropriations process and sometimes require state matching funds. Unless Congress changes the law authorizing the entitlement, the federal government must make the funds available to those "entitled" to receive the assistance.

There are two types of entitlement grants: open-ended entitlements to the individual or entitlements to the state. Medicaid is an entitlement to the individual. Anyone who meets the state's eligibility criteria is eligible for assistance. No matter what the cost, the federal government will reimburse the state 50 percent of total expenditures to eligible individuals. Similarly, the state must make the state funds available to serve all eligible residents who apply.

The Temporary Assistance to Needy Families (TANF) grant (which New Jersey calls WorkFirst New Jersey) is an entitlement to the state. The state is guaranteed to receive $404 million every year, but can close enrollment to families applying for cash assistance if funds run out.

States have discretion in entitlement program benefits and eligibility levels. This has consequences for the state budget when significant amounts of new federal funds become available. For example, the additional federal funds provided in the American Recovery and Reinvestment Act helped states avoid cutbacks in essential services. Big increases in federal matching funds can free up state matching funds that can then be used for any purpose.

Often a state must adhere to a "maintenance of effort" requirement as a condition for receiving additional federal funds. Generally this means a state must maintain its state funding for the program and use the additional federal funds to avoid cutbacks in services. Funding for Medicaid, for example, was increased by about $2 billion in the last two years. Most of these freed-up funds were used to reduce New Jersey's budget shortfall because the state maintained its state funding from the previous year, but a small portion of them was also used to eliminate premiums for low-income children in FamilyCare.

New Jersey expects to receive another major increase in federal funds in FY 2011 as a result of the new health reform law and a partial extension of economic stimulus funds. Gov. Christie plans to use the $1 billion the state expects to receive in Medicaid stimulus money to balance the state budget. At the same time he plans to reduce coverage in Medicaid and deny health coverage to about 50,000 parents in FamilyCare.

Similarly, the FY 2011 budget estimates the receipt of about $90 million in new federal funds to reduce the state cost for medical assistance to individuals receiving General Assistance. Although these new federal funds are available, the governor proposes to save a net of $27 million by eliminating the monthly cash assistance of $140 to about 35,000 unemployed individuals. Rather than support the state's most needy, the governor will use the funds to balance the budget.

New Jersey also expects to receive a windfall in federal funds next year for the Pharmaceutical Assistance for the Aged and Disabled (PAAD) program as a result of national health reform. These funds were not obligated in the governor's budget because they were not anticipated when it was prepared. The Legislature therefore could use those funds to eliminate the $310 annual deductible to PAAD recipients and the co-pay increases proposed in the Governor's budget.

Just as with state funds, how federal funds are used is a matter of choices and priorities.

Happy Mother's Day

God could not be everywhere and therefore he made mothers. ~Jewish Proverb


A mother understands what a child does not say. ~Author Unknown

A man loves his sweetheart the most, his wife the best, but his mother the longest. ~Irish Proverb

Who fed me from her gentle breast
And hushed me in her arms to rest,
And on my cheek sweet kisses prest?
My Mother.
~Ann Taylor


Who ran to help me when I fell,
And would some pretty story tell,
Or kiss the place to make it well?
My mother.
~Ann Taylor

Saturday Morning Cartoons: Dick Dastardly & Muttley In Their Flying Machines

Before jumping into that flying machine, let go of my eggos and pull up a chair, it's time for a cartoon to start the day.

Representative Rush Holt Newsletter : The Big Oil Bailout Prevention Act

The recent oil spill in the Gulf has led me to look at the Oil Pollution Act, which was passed in 1990 (before I came to Congress) in the wake of the Exxon Valdez spill. It's apparent that the liability limit set in that legislation, $75 million, is laughably small.

With estimates that the oil spill off the Gulf Coast may be the costliest in American history “ far more than $75 million, when you factor in lost business revenues from fishing and tourism, natural resources damages, and lost local tax revenues “ I have introduced legislation, the Big Oil Bailout Prevention Act, to raise the liability cap to $10 billion. That amount may not be enough, but because it applies to each incident - and the current situation may be defined as several incidents - it seems to be a reasonable place to start.

While BP has said it will cover all "all necessary and appropriate clean-up costs,” the impact of the spill goes beyond clean up. In a fair and just world, companies like BP should pay for every last cent of the mess they've made, not taxpayers, not the tourism industry, not the fishing industry, not small businesses. The House leadership supports the legislation, which I introduced with Rep. Pallone and which Sens. Menendez and Lautenberg introduced in the Senate. Our intent is clear: the buck stops with oil companies. It shouldn't spill over to taxpayers.

New Tax Cuts for Small Businesses Workshop

To help small businesses in this difficult economy, Congress has enacted several tax credits into law. I want to ensure that area small businesses know about this tax relief and how they can take advantage of these benefits. On Tuesday, May 18, I will be hosting a workshop at the Monroe Township Public Library.

To understand the new tax benefits, imagine you run a bakery. If you have a payroll of a couple hundred thousand dollars and you provide health coverage, you could be eligible for a 35 percent tax credit for your health expenses. In addition, all small businesses can get tax benefits for hiring previously unemployed workers. Small businesses can take advantage of a new tax credit that doubles the amount they immediately can write off for capital investments and new equipment purchases. Biotech companies can get tax benefits for conducting research that will lead to new therapies and drugs.

To participate in the workshop, which begins at 9 a.m. on May 18, please contact Matthew Hall in my New Jersey office at (609) 750-9365 or Matthew.Hall@mail.house.gov.

2010 Congressional Art Competition

Each year Members of Congress host a nationwide art competition that celebrates and recognizes the great works of art created by high school students. Framed art work is collected, exhibited, and judged, and the winning art work from each congressional district is exhibited in the U.S. Capitol for a year.

The art work of our young people is extraordinary, and I want to invite you to see the exhibit that will be held at the new Plainsboro Library, which is located at 9 Van Doren Street in the new town center off of Scudders Mill Road. More than 90 pieces from 17 high schools and two private art schools will be on display during regular library hours from Saturday, May 8 through Friday, May 14. The reception and award presentation will be held next Friday from 6:30 to 8 p.m. at the library.

Sincerely,

RUSH HOLT
Member of Congress

P.S. Just a reminder: I always want to hear from you, but please don’t reply to this e-mail. Instead, please email me through my website at http://holt.congressnewsletter.net/mail/util.cfm?mailaction=clickthru&gpiv=2100057975.110253.215&gen=1&mailing_linkid=27432, or call me at 1-87-RUSH-HOLT (1-877-874-4658) to let me know what's on your mind. Please also note that you may unsubscribe from this list by clicking on the "unsubscribe" link at the bottom of this email.

President Obama's Weekly Adress: 5/8/10 Health Reform Starts to Kick In

The President goes through the benefits in health insurance reform that are already kicking in for young adults, retirees, and families, and says more benefits are coming down the pike.

Four-Month Rise Strengthens U.S. Job Outlook

Here's some good Friday morning news about the economy and new job growth figures from the New York Times

The American economy added 290,000 jobs in April, a stronger gain than expected, with revised figures making it the fourth straight month of employment growth, the Labor Department said Friday.

Analysts had expected a gain of about 190,000 jobs.

At the same time, however, the unemployment figure rose to 9.9 percent, from the previous 9.7 percent, as more people returned to the job market seeking jobs.

The monthly job report also revised the March gain sharply upward to 230,000, from the previously reported 162,000, and revised February's figures from a loss of 14,000 to a gain of 39,000. With a January gain of 14,000, the cumulative increase came to 573,000 jobs in four months. But the job market still has a long way to go before it can be counted on to provide a base for a sustained economic recovery.

You can read more >>> Here

Van Pelt Testifies:" I had a middleman make a bribe payment like to the Mayor of Long Branch"

I have not followed the trail of Daniel Van Pelt very closely but I know damaging testimony when I read it and what he testified to will have damaging effect on the Mayor of Long Branch Adam Schneider's reelecion campaign that could potentially put the mayor behind bars and start a new investigation into allagations of further corruption in Long Branch .

I was forwarded court transcripts from the trail that deal with Van Pelt's testimony as it concerns Mayor Schneider, in sworn testimony at his trail Van Pelt stated:

" I helped pay his credit card bills and there were times where I had a middleman make a bribe payment like to the Mayor of Long Branch or council people of Long Branch or sometimes I vould give out auction tickets.

The Yeshiva would hold a charity auction, every year and I would at times give public officials, like council people in Long Branch, primarily it was the council people in Long Branch and others, free auction tickets for their official assistance in expediting my land use applications, my use for my zoning."

This doesn't sound good for Scheinder, lets wait and see what happens.

Handlin Thinks It's ‘unconscionable’ To Consider Water Rate Hike But Remains Silent on Proposed Gas Tax

Assemblywoman Amy Handlin (R–District 13) thinks it is "unconscionable" for New Jersey American Water (NJAW) to proposed to the New Jersey Board of Public Utilities (NJBPU) a rate increase and tiered pricing that would raise the average customers yearly water bill by $83 but would pay for capital improvements that were made to its facilities over the past two years. But she has thus far remained silent on the proposed idea of her colleague, State Senator Sean Kean, when he proposed earlier this week raise the state gas tax to fund needed road projects.

Kean's proposed gas tax increase has the potential to take hundreds, if not thousands of dollars out of ordinary commuters pockets, which would have far greater impact on residents lives and standard of living than an average 23 cents a day for the cost of clean and safe drinking water.

During her re-election campaign this past fall, she was against raising the state tax on gasoline when it was mentioned by one of her opponents as a way to refund the state transportation trust fund that is on the brink of collapse.

If she was opposed to a hike in the gas tax last November, then what is the difference now that would change her mind and potentially support it now other than her Republican colleague in the state senate, Sean Kean, has proposed it?

This is another example of Handlin Hypocrisy

NJ teachers union will meet with Schundler to discuss reform package

On the front page of today's Asbury Park Press appears the following headline; NJ teachers union will meet with Schundler to discuss reform package.

Due to all the inflammatory rhetoric about teachers and the NJEA being thrown about about by the Governor and his "mini-me", Middletown's mayor Gerry Scharfenberger, I read the article with interest and was glad to find out that the NJEA and State Education Commissioner Bret Schundler will be sitting down to discuss potential reforms that will have an impact the union as well as on how children in the state are taught.

According to Schundler and the article the reforms that they will be discussing will be based on President Obama's platform for reforming education, Race to the Top, and that "...federal education officials have determined that the second round of Race to the Top funding decisions would give reform efforts stronger consideration than acceptance by the teachers unions... In the previous funding round, union acceptance was a key component of the analysis. "

It went on to add:

"...the state would "make child learning the standard and the measure by which professionals are evaluated.... the state will need to replace a failing school's management team or its entire staff.... that "educational effectiveness" and not necessarily seniority should be a prime factor in which staff members end up getting laid off during staff reductions.

In his address, Schundler said that the state constitution requires the Legislature to provide for a thorough and efficient system of education, and so the ultimate responsibility to make sure children learn is not school administrators, teachers or even the teachers' union, but "the responsibility to provide an education is for those of us in state government."...

If handled correctly by both Schundler and the NJEA, I think these discussions could be a very important first step in addressing how effective local school boards could be in the future when entering into collective bargaining agreements with members of the teachers union by leveling the playing field in which schools boards must operate under while negotiating contracts.

Everyone know that the problems that we face today with the reliance on property taxes to fund our school system is not the fault of teachers, but yet teachers are feeling the heat from the politicians that have put the current system in place and who don't have the political will to change it through proper negotiations or statutes.

My position all along has not been necessarily to support teachers, but to support the sanctity of the collective bargaining agreements that have been negotiated in good faith with local school boards.

In all honestly, I feel that teachers here in Middletown and across the state, that turned down requests for one year wage freezes to help ease the pain that local tax payers are feeling this year, was the wrong decision to make. They should have accepted wage freezes as a sign of good will towards the communities that pay them. However, I do not blame them or hold ill will towards them because of that decision. A contract is a contract and should be honored as such.

But, when the school boards enter into contract discussion with teachers next year, teachers should be well aware that residents will not be as tolerable of their stance on wages and benefits as they have been in the past so therefore they should be open to making some kind of consessions in these areas.

Hazlet Committee To Hold Open School Budget Discussions; Why Not Middletown

According to the article posted on the Asbury Park Press website it was announced at last night's Hazlet Township Committee meeting that there will be an open and transparent public meeting before its next scheduled committee meeting to discuss proposed cuts to the township's school board budget.

What a novel idea! Why can't Middletown do the same? Could it be that Mayor Scharfenberger is afraid that the meeting will get out of hand and uncontrollable like the ones that had angry residents protesting the installation of turf fields at West Front Street Park?

At Monday night's Township Workshop meeting after being questioned by a resident, former mayor Pam Brightbill stated that she was against holding a public meeting on the school budget, which runs contrary to what School Superintendent Karen Bilbao stated after learning that the school budget had been defeated two weeks ago.

Why wouldn't you want residents input on something that will have such a large and potentially adverse effect on the lives of so many people that live in the community?

I think instead, Scharfenberger and Brightbill would rather lurk in the shadows and issue inflammatory press releases and letters to the editor, taking a page out of Chris Christie's playbook by stroking the anger of residents against the teachers union in order to gain some sort of political advantage come November.

They didn't even tell other members of the Township Committee that they planned to meet with four members of the Middletown Board of Education before the workshop meeting Monday night.

Committeeman Sean Byrnes was never informed of the meeting but found out about it over the weekend because someone from the Board of Education asked if he would be there. And newly elected Committeeman Steve Massel announced during the workshop meeting that he had not been informed of any meeting either.

So what are Scharfenberger and Brightbill up to? Why the need for secrecy, is it because there really isn't anymore dollars left in this bare-bone school budget left to cut after Governor Christie already eliminated $11M from it and they are afraid that if they hold open meetings people will see through the ruse of pitting residents against the teachers and their union.

I guess we'll have to wait and see, just like those other members of the Middletown Township Committee, until after Gerry and Pam meet with members of the Board of Education once again later today to hear what type of cuts THEY recommended to the school board.