Corzine robs Peter to pay Paul

For years, New Jersey’s unemployment trust fund was used as a piggy bank.

Workers and companies paid into the program, and governors and lawmakers helped themselves to $4.7 billion of the fund to pay for other state spending.

When the economy tanked and unemployment spiked, the fund was so depleted that an automatic tax increase loomed. Gov. Corzine had to plow $260 million into the program last year, and roughly $480 million more in state and federal dollars is needed this year to avoid the business tax hike.

From Philly.com:

The fund has become a symbol of the long-term consequences of short-term fixes.

Facing those consequences, along with plummeting revenues, Corzine plans to replenish the oft-raided unemployment fund, in part by raiding $50 million from the state’s disability program.

Governors have taken $598 million from that program since 1994, according to the nonpartisan Office of Legislative Services.

Corzine’s latest withdrawal is one part of a plan to tap $1.3 billion from various surpluses and trust funds to help fill a $3.6 billion hole in this year’s budget.

Jon Corzine is the governor who ran on a platform of  “no quick fixes”, and he has yet to deliver on that promise. Other than the sales tax increase which negatively impacts every low income wage earner the most, every other “fix” implemented or suggested by this governor has been a short-term gimmick that will end up costing future generations.

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