REPORT RELEASE: Revisiting the Notorious Nine: Key Decisions That Sent New Jersey’s Finances Spiraling

For Immediate Release

Contact: Louis Di Paolo (NJPP): 201-417-5049 (cell) or dipaolo@njpp.org

TRENTON (June 14, 2018)  – On Thursday New Jersey Policy Perspective joined members of Patriotic Millionaires and the Better Choices for New Jersey coalition to call on lawmakers to pass sustainable revenue raisers in the fiscal year 2019 budget.

In tandem with the press conference, NJPP released a report, Revisiting the Notorious Nine: Key Decisions That Sent New Jersey’s Financial Health Spiraling, outlining the state’s history of politically convenient and fiscally irresponsible financial decisions. The report warns that if lawmakers do not learn from this history, the state is doomed to repeat the same budgetary missteps that threaten the future prosperity of New Jersey.

Gordan MacInnes, President of New Jersey Policy Perspective:

“Decades of budgeting gimmicks, phantom spending cuts, political convenience, and irresponsible financing that threaten our economic future must end. New Jersey must learn from its past mistakes and pursue bold, sustainable sources of revenue to maintain and expand public assets that benefit us all. Now is the time for elected officials to show the political courage necessary to fix New Jersey’s finances.”

The Notorious Nine:

1. 1994-1996: Significant Income Tax Cuts Lead to Large Property Tax Increases
2. 1994: Pension Changes Shift Current Costs to Future Taxpayers
3. 1994: Retiree Health Benefits Fund Raid and Conversion Frees Up Cash for the Tax Cut But Puts Health Benefits on Shaky Foundation
4. Facing Growing Pension Hole, New Jersey Turns to Reckless Borrowing
5. New Jersey Supreme Court Opens the Floodgates to More Bad Borrowing
6. Pension Benefits are Increased Without the Means to Pay for Them
7. Long-Term Borrowing to Plug Short-Term Budget Holes Ramps Up
8. New Jersey Supreme Court Keeps Blessing Dangerous Financial Practices – Until it is Too Late
9. Money for Long-Term Improvement of Key New Jersey Asset Grabbed to Cover Current Costs

Read the report here:

https://www.njpp.org/budget/revisiting-the-notorious-nine-key-decisions-that-sent-new-jerseys-financial-health-spiraling