TRENTON – Republican Gov. Chris Christie vetoed a bill that would have helped municipalities that lose major tax paying businesses.
The Corporate Disinvestment Property Tax Relief Act, which passed in the state Senate by a 23-15 margin and in the Assembly by a 46-31 vote, would have established a municipal aid program to help local governments deal with the property tax impact of the loss of major corporate taxpayers that relocate or close.
The bill would have appropriated $13.5 million in the first year, and qualifying municipalities would have had to apply to the state Division of Local Government Services. Local governments receiving funds under the program would have been required to use the money to reduce taxes.
Assemblyman Ralph Caputo, one of the sponsors of the bill, says that it was inspired by the news that pharmaceutical company Roche would leave its headquarters of more than 80 years to move to New York, which could cost Clifton and Nutley $9 million in revenue each year.
Caputo (D-Essex) said that he would reintroduce the bill.
Christie’s June 28 omnibus veto also included seven other bills, including ones that would have expanded Medicaid eligibility, appropriated additional funding for family planning services, and established a public awareness campaign for the new federally required health insurance exchange.
“Taken together, these bills would potentially add hundreds of millions of dollars to State and local budgets, frustrating New Jersey’s already over-burdened taxpayers,” the governor wrote in his veto message.
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