NJ Watchdog: Christie vetoes tax hikes as White House run nears

Preparing his run for the White House, Gov. Chris Christie polished his image as a tax-cutter Friday with a billion dollars’ worth of vetoes to the state budget passed by the New Jersey Legislature.

Politically, it was good timing for Christie, who plans to formally announce his campaign for the Republican presidential nomination on Tuesday at Livingston High School, his alma mater.

The governor vetoed a “millionaire’s tax” that would have raised an estimated $688 million, plus a one-year increase in the corporate tax to generate an additional $435 million. The Democratic-controlled Senate and Assembly sought those funds to help restore $1.8 billion Christie had slashed from next year’s annual pension contribution.

“If I had the money today to make the full pension payment, I would,” said Christie, speaking at a news conference. “We don’t – and I’m not going to raise taxes on all the people in New Jersey to benefit 625,000 (pensioners) in a system that’s completely broken.”

Christie also proposed a new tax break for lower-income families, increasing the state’s Earned Income Tax Credit to 30 percent of the federal credit. Democrats had approved a raise to 25 percent; the current EITC in New Jersey is 20 percent.

“I hope the legislature will concur quickly,” said the governor. “I want to cut taxes for everyone. The legislature won’t let me cut taxes for everyone, so now we’re going to cut taxes for the working poor in the state.”

At the news conference, Christie refused to discuss his upcoming campaign for president.

“I’m not here to talk about my political future,” he said. “We’ll have plenty of time to talk about my political future next week.”

The story is online at http://watchdog.org/226277/christie-vetoes-tax-increases/

CURRIE: THE STATE OF THE STATE IS... NEGLECTED

Christie’s Ethical Scandals, Policy Failures Linger In State He Abandoned

(Trenton) – In anticipation of Governor Chris Christie's State of the State address, New Jersey Democratic State Committee Chairman John Currie is outlining some of issues that deserve the governor's attention -- many that Chris Christie said he would support; that is, before he changed his tune and left the state for all or part of 137 days last year.

When presidents and other executives deliver their annual assessments on the state of affairs, they often confidently proclaim that conditions are strong or getting stronger. If reality serves as a guide, that will not be the case in New Jersey. In fact, the governor's frequent absences and preoccupation with Republican politics -- not to mention the myriad scandals he created -- beg the question: how would Chris Christie know the true state of the state when he is so often elsewhere?

During last year's address, Christie sidestepped questions about his involvement in the apparent political payback scheme that shut down lanes on the George Washington Bridge, threatening public safety. And, since that time, he has fought efforts to obtain basic information about his administration's operations, continued to bully constituents and members of the media, and unrepentantly abused the powers and resources of his public office.

"Governor Christie has been an unmitigated disaster for our state. While he wastes taxpayer dollars in a shameless effort at self promotion, his policies trample the hopes and dreams of New Jersey families. In the wake of his hypocrisy, Sandy survivors have been left out in the cold and pensioners were robbed of funds they were promised. Meanwhile, his economic record is one of repeated credit downgrades, increased property tax burdens, and stunted job growth," said Chairman Currie. "The true state of the state is vulnerable and neglected and, for this reason, the governor should really strike an apologetic tone."

Currie outlined a few steps the governor should take during his state of the state address to restore the state's shattered sense of trust:

• Encourage Republican state legislators to vote their conscience on the upcoming override of his veto of meaningful reform of the Port Authority of New York and New Jersey, which passed the Statehouse with unanimous support.
• Promise to revisit the Sandy Bill of Rights he vetoed, so that storm survivors may obtain information about the status of their claims, people have greater rights to appeal if they’re denied funding, and regulators can clearly see how funds were allocated.
• Offer a realistic plan for funding the $2.4 billion in pension payments that the governor promised but then withheld -- a plan that does not include more cuts, more finger-pointing at his predecessors, or other excuses that put the priorities of Republican presidential primary voters ahead of New Jersey's interests.
• Restore funding to the Transportation Trust Fund, which would allow desperately needed improvements to roads and bridges, as well as other new projects that would stimulate New Jersey's sputtering economy.
• Commit to responsibly lowering property tax burdens on New Jersey families, which actually increased nearly 19 percent under Christie.
• Pledge to stop the arrogant and potentially illegal abuses of power and resources that have embarrassed the state and tied up legal and legislative channels with ethical scandals, investigations and litigation.

Chris Christie's "Shirk Week"

By Joshua Henne
CWA NJ

With “Shark Week” in full blast, we just wanted to share this timely video on Governor Chris Christie’s “Shirk Week.”

Christie talks a big game. But, as this video shows, the governor already broke New Jersey’s economy. Now, he’s not only breaking his word by failing to make promised pension payments…he’s breaking the law in the process.

It’s simple: New Jersey’s pension doesn't need a commission or a study stocked with a handful of super-wealthy people unlikely to have any clue as to what it means to live on a fixed-income. The pension needs to be fully funded, as promised and required by law.

So, in honor of Shark Week…I mean “Shirk Week”…we hope you’ll enjoy this short video highlighting Christie’s continued failures.

Christie didn't only break his word when it came to funding the pension. He also broke the very law he signed and touted as a “major accomplishment.” Gone is the fanfare. Gone is the chest-thumping. And gone are the taxpayer-funded banners proclaiming the “Jersey Comeback.”

Instead, we’re left with Christie’s limp lack of leadership…as he continues to shirk responsibility at every turn.

CWA Holding Christie To Account for Breaking Word & Law on Pensions

On June 12th, 600 Communications Workers of America shop stewards descended on Trenton in protest of Governor Chris Christie breaking both his word and the law by failing to make promised pension payments. It was a big deal if you missed.

NJ WATCHDOG: Christie dumps pension promises to plug budget

For immediate release:


Add Chris Christie’s name to the list of New Jersey governors who reneged on state pension promises.

Faced with an $800 million budget deficit and falling revenue projections, Christie slashed $900 million from a $1.6 billion pension contribution the state is required to make by June 30 under state statute.

“Our problem is we’ve made promises to people that we cannot keep,” Christie admitted in a press conference Tuesday.

In addition, Christie plans to chop nearly $1.6 billion off next year’s scheduled pension payment of $2.25 billion.

“I’ve made the decision we’re not going to blindside our students, blindside our seniors, higher education or those who rely on the safety net the state provides in order to balance the budget,” said the governor.

Instead, Christie is diverting the funds away from a public pension system that already faces a shortfall of $51 billion, according to state Treasury figures.

Christie’s override of state statute with an executive order is a conflict likely to wind up in court. Meanwhile, the governor intends to get his way.

Christie acknowledged his vaunted pension reform of 2011 – which he once called his “biggest governmental victory” – is “not making a significant enough dent.”

Within the next month, Christie said he would propose a new round of cuts to pension and health benefits received by public workers and retirees.

During the press conference, the governor tried to absolve himself of any blame for the crisis.

“I am not going to pay for the sins of my predecessors,” declared Christie, still eyeing a run for the presidency in 2016.

To be fair, pension funds were shortchanged by a succession of previous New Jersey governors – including Jim Florio, Christine Todd Whitman, James McGreevey, Richard Codey and Jon Corzine.

Yet Christie, a self-proclaimed reformer, has done little to curb pension abuses within his office and administration. New Jersey Watchdog investigations have found:

• Louis Goetting, Christie's deputy chief of staff, rakes in $228,860 a year – $140,000 in salary plus $88,860 in pension as a retired state employee.
• Of 60 double-dippers in the executive branch, 19 were hired under Christie, New Jersey Watchdog reported in 2012.
• A subsequent New Jersey Watchdog investigation last year identified 80 State Police retirees who returned to the state payroll full-time as double-dippers.
• Adam Heck, the governor's associate legal counsel, gets a $44,818 a year state disability pension in addition to his $110,000 salary.
• Heck is one of 18 "disabled" state employees who collect salaries for working plus disability pensions because they supposedly can no longer work, New Jersey Watchdog discovered.

Perhaps the most notable pension indiscretion involves Christie’s running mate, Lt. Gov. Kim Guadagno.

Guadagno, as Monmouth County sheriff in 2008, made false and misleading statements that enabled her top aide to improperly collect an $85,000 a year pension in addition to his $87,500 salary. The story was first reported by New Jersey Watchdog in October 2010.

The story is online at http://newjersey.watchdog.org. The direct link is http://newjersey.watchdog.org/2014/05/20/christie-pension-promises/.

CWA Taking Christie To Court For Breaking Law & Failing To Make Promised Pension Payments

For Immediate Release:
Wednesday, May 21st, 2014

(TRENTON, NJ) – Following yesterday’s incredulous announcement by Governor Chris Christie’s that he is refusing to make promised pension payments, the Communications Workers of America (CWA) is taking Governor Christie to court. CWA’s legal action will require Christie to pay into the pension system, as the very law he signed intended.

“Governor Christie is not only breaking his word, but he’s also breaking the law in failing to make these pension payments,” said Hetty Rosenstein, CWA NJ State Director, “Put aside how Christie’s actions are immoral. If the pension payments are not made, the plan will go bankrupt. Retirees and active workers will spend their retirement in poverty through no fault of their own. For these reasons, and more, we are taking the governor to court. And we will be mobilizing our members and allies in protest of Christie’s outrageous, illegal actions.”

The law is clear. And this latest Christie scheme is a direct contravention of the legislation he signed and that he said was going to save the pension.

Governor Christie’s decision to reduce the $1.6 billion payment to the pension systems due this fiscal year by almost $900 million, along with his stated intention to reduce the payment due next year by over $1.5 billion is a blatant violation of the State’s statutory obligation to make its annual required contributions to the pension systems as determined by the systems’ actuaries. The annual required contribution includes payments for the unfunded accrued liability that is the result of decades of underfunding the pension systems. Christie refers to this underfunding as the “sins of the past.” But the law requires that the State finally make up for these “sins” - because hundreds of thousands of retirees and current employees are entitled to the modest pensions they earned through decades of dedicated public service. These are pensions that they contributed to throughout their employment. And it is rightfully owed to them.

The pension statutes expressly empower any member of the pension system or a board of trustees to file a complaint with the Superior Court’s Law Division to enforce the contractual right to a securely funded pension system. The statute also compels the State to make its annual required contribution, as determined by the pension systems’ actuaries.

As such, CWA has directed its lawyers to begin preparing a complaint to file in court to require Governor Christie to pay into the pension systems the annual required contribution that the Legislature appropriated in the fiscal year 2014 Appropriations Act.

CWA Statement On Christie Breaking Pension Payment Promise

For Immediate Release:
Tuesday, May 20th, 2014


(TRENTON, NJ) – This afternoon, Governor Chris Christie broke his latest promise. In dealing with a budget shortfall north of $800 million - of his own making - Christie declared that he is refusing to make pledged pension payments.

Below please find a statement from Communications Workers of America’s NJ State Director Hetty Rosenstein in response:

“Governor Christie said he fixed the state pension. He said our economy was the New Jersey Comeback, and he’d stop relying on one-shot gimmicks. He said record-breaking tax cuts for corporations and the wealthy would create jobs. After five years of Christie at the helm, it turns out every single thing he's promised has failed miserably - with a record sixth credit-downgrade by Wall Street to show for all his failures. It’s time Christie realizes what everyone else knows: cutting taxes for the super-wealthy, while stealing money from pensions hasn’t worked yet. And it wont work this time. At every turn, Governor Christie has chosen the path of economic instability, due to his wrong priorities and callous actions towards New Jersey’s working families. Since Christie is clearly unwilling to be a responsible actor, we call on the state legislature to step up and be the adults in the room.”

NJ WATCHDOG: Christie tries to solve budget crisis with 'problem'

For immediate release:


The irony of New Jersey’s latest budget crisis is getting thick in Trenton as Gov. Chris Christie turns to Lou Goetting for help.

Christie is scrambling to plug an $800 million gap before the state fiscal year ends in less than two months.

“I’m going to use every tool at my disposal to get a balanced budget,” Christie declared at a press conference last week. “There’s nothing off the table.”

One of those “tools” is Goetting, Christie’s deputy chief of staff and budget guru, sources told NJ Spotlight. However, Goetting personifies a problem that helped cause the mess.

Goetting – pronounced “getting” – gets $228,860 a year from state coffers – $140,000 in salary plus $88,860 from pension. New Jersey Watchdog investigations have found he is one of many double-dippers who collect two sets of checks despite Christie’s pension reforms.

Such excesses have contributed to a $51 billion shortfall in New Jersey’s public retirement system. Trying to keep pension funds solvent for the future, Christie and the Legislature agreed to mandate increases in the state’s long-neglected annual payments.

The next installment of $1.55 billion is due before the fiscal year ends, as required by state statute. That is also the state’s deadline to come up with $800 million to balance its budget, as required by the State Constitution.

If anyone knows how to manipulate the system, it’s Goetting. In addition to his double-dipping, he has received $370,000 in golden parachute payouts from public institutions.

The story is online at http://newjersey.watchdog.org. The direct link is http://newjersey.watchdog.org/2014/05/05/christie-budget-crisis/.