the Failed Governorship of Jon Corzine

This Day In Corzine History:

A Retrospective on the Failed Governorship of Jon Corzine

July 8, 2006: Corzine’s 2006 Shutdown of Government Ends Just How He Wanted…Higher Taxes On New Jerseyans

TRENTON – Three years ago today, Governor Jon Corzine finally reached a deal with legislative leaders to end the government shutdown he began because of his need for higher taxes.  While even Democrat legislative colleagues were uncomfortable with Governor Corzine’s demands for higher taxes, that didn’t stop Governor Corzine from bringing state government to a grinding halt.

The shutdown, caused by the failure of Governor Corzine and Assembly Speaker Joseph Roberts to reach a budget agreement due to Governor Corzine’s insistence on higher sales taxes, cost the state an estimated $1.3 million,   not to mention the cost to hundreds of families who were left without work and paychecks that week.

The standoff ended on July 8th just how Governor Corzine wanted – with new taxes on New Jersey families.

But Governor Corzine and the Democrats weren’t done there.  What they couldn’t get done with budget bills to punish taxpayers, they did with mulitiple other pieces of legislation signed by Governor Corzine at the last minute that raised taxes and fees on everything from business properties and rental cars to tobacco and fur clothing.

Governor Corzine Tax Hikes on July 8, 2006:

A4701 – Imposed a 1% fee, or 1% tax, on certain purchasers of certain commercial property for over $1 million. *

A4705 – Raised cigarette tax rate 17 1/2 cents per pack, changed tobacco products wholesale sales tax on moist snuff to weight-based tax and increased revenue dedication for Health Care Subsidy Fund.*

A4706 – Imposed 4% surcharge on liability and increased minimum tax under corporation business tax. *

A4714 – Imposed gross receipts tax on retail sales of fur clothing in this State and use tax on use of certain fur clothing in this State for which tax has not been paid.

A4715 – Increased rental motor vehicle surcharge from $2 per day to $5 per day. *

A4901 – Increased sales and use tax from 6% to 7% on July 15, 2006 and expanded base of sales and use tax on October 1, 2006.

(Source: http://www.njleg.state.nj.us)

Governor Corzine’s Government Shutdown:

“The shutdown could cost the 12 casinos more than $16 million that they would normally collect from gamblers each day, not to mention the $1.3 million in taxes taken in by the state.” (“N.J. Gov. Calls Shutdown ‘Deplorable'”, Associated Press, 7/5/2006)

Assembly Democrats had resisted the sales-tax increase Corzine had said was needed to close a $4.5 billion deficit. Assembly Democrats had also rejected a compromise plan by Senate President Richard Codey that would raise the sales tax by 1 percent, putting half the proceeds toward balancing the budget and half toward property tax relief.” (Stacie Servetah and Chris Dolmetsch, “Corzine, Lawmakers Agree To End New Jersey Impasse,” Bloomberg, 7/6/2006)

“Corzine halted non-essential state services on July 1 because without a budget for the new fiscal year, he has no authority to spend money. The shutdown affected courts, parks, motor-vehicle offices, beaches, campgrounds, racetracks and the state lottery as well as casinos.” (Stacie Servetah and Chris Dolmetsch, “Corzine, Lawmakers Agree To End New Jersey Impasse,” Bloomberg, 7/6/2006)

###

Paid for by the New Jersey Republican State Committee. 150 West State Street, Suite 230 | Trenton, New Jersey 08608 John Bennett, Treasurer. Not Authorized By Any Candidate Or Candidate Committee

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: