The question would be put up for a referendum to the voters
N.J. Senate President Stephen Sweeney (D-Gloucester) has introduced legislation that would withhold state aid from towns who fail to share services when cost-savings have been identified.TRENTON — The state would withhold aid from municipalities that do not agree to share services when a state commission finds they could save by sharing, under legislation proposed today by Senate President Stephen Sweeney (D-Gloucester).
The Local Unit Alignment, Reorganization and Consolidation Commission would study where funds could be saved by sharing services. The question would be put up for a referendum to the voters. If the referendum was voted down or the agreement isn't implemented within 14 months, the town would lose state aid.
If a shared service agreement is implemented, civil service rules would be suspended. Civil service rules, which govern the hiring and firing of municipal employees in certain towns, serve as a barrier to sharing services, Sweeney said.
"Simply put, if a town can save money through sharing services and decides not to do so, they are going to lose out on state aid," Sweeney said. "If you do not want more cost-effective government, than the taxpayers of New Jersey should not be footing the bill.”
The aid withheld would be in the amount that the Commission identified could be saved by the proposed agreement.
The Commission would be granted funds for operating expenses under the legislation. Currently, the Commission operates without any funding.
"Shared services shouldn't just be relegated to talk between towns, but must also take place among counties and school districts," said Assemblywoman Pamela R. Lampitt (D-Camden), who will sponsor the bill in the Assembly. "This plan will ensure that taxpayer expectations are actually met."