Governor is pushing 2.5 percent cap on property taxes, while Democrats passed looser 2.9 percent cap
Governor Chris Christie responds to a question from the audience during a town hall meeting at the Greenwich Twp. Elementary School last week.TRENTON — Gov. Chris Christie today stepped up pressure on the Legislature to consider his proposed property tax overhaul, summoning lawmakers back to Trenton for a special session beginning Thursday.
“The time to act is now," the Republican governor wrote in a letter to legislative leaders. "We can no longer afford to wait for real, sustainable property tax relief. That is why I have determined that the public interest requires this special session.”
Democrats who control the Legislature had told The Star-Ledger late Monday night that they expected Christie to call the special session. In his letter this morning, Christie said he wants the session to weigh his proposed 2.5 percent constitutional limit on annual property tax increases, 33 related measures to help local governments cope with the cap, and "any action I may take" on the looser 2.9 percent cap bill Democrats sent to his desk early this morning. Republicans on Monday said Christie is likely to conditionally veto that legislation to make it more resemble his plan.
The governor did not specify how long he wanted the session to last, but lawmakers on Monday said it could stretch through the Fourth of July holiday weekend.
"I presume he’s going to call us in every day until the 7th," Senate President Stephen Sweeney (D-Gloucester) said after a brief visit with Christie in the governor’s private office. Christie faces a July 7 deadline for his plan to pass out of committees to advance to a full vote and then the November ballot.
Sweeney, author of the Democrats’ competing proposal limiting annual increases to 2.9 percent, vowed he would not let the governor dictate the special session agenda. The governor can take the rare step of ordering lawmakers into session — as then-Gov. Jon Corzine did in 2006 during the government shutdown — but cannot force them to vote on a measure.
Sweeney said lawmakers are willing to have a hearing on Christie's proposal, but "it's not going to be on the ballot this year, because it's not realistic, nor reasonable, nor does it do anything for this year's budget."
"He's saying, 'If your taxes go up this year, blame the Legislature,'" Sweeney said. "Taxes are going to go up this year because of all the cuts the governor has given" in his $29.4 billion budget.
Christie is expected to sign the budget into law this afternoon, saying it "makes the tough and necessary choices to restore fiscal sanity to our state and begin fundamental reform."
Assembly Majority Leader Joseph Cryan (D-Union) called the special session an example of Christie's "arrogance" and said he doesn't expect it to be productive. The Assembly on Monday assigned specific pieces of Christie's 33-bill "toolkit" for local governments to be studied, but not passed, over the summer.
“We have already committed to reviewing his and other ideas over the summer in anticipation of legislative action this fall, and that will continue to be our plan, no matter how many times the governor looks to show off," Cryan said today.
Christie has been traveling the state in a campaign-style push for his property tax agenda, collecting the endorsements of more than 200 mayors including Newark Mayor Cory Booker, a prominent Democrat.
Josh Margolin and Lisa Fleisher contributed to this report.
TAX PLANNING
Here's a look at the competing property tax plans of Republican Gov. Chris Christie and Senate President Stephen Sweeney (D-Gloucester):
CHRISTIE:
• Constitutional amendment, which would need to pass the Legislature with three-fifths majorities and be approved by voters in November.
• Local governments would be banned from increasing property tax collections more than 2.5 percent in a given year without approval of 60 percent of the voters.
• Only exception would be for debt-service payments.
• Towns that keep taxes under the cap could "bank" the additional levy to use in future years, for up to three years per decade.
SWEENEY:
• Law would need to pass the Legislature with simple majorities and be signed by the governor, It would limit property tax increases to 2.9 percent a year.
• Exceptions for health care, pension contributions, energy costs, a cut in state aid, and other circumstances mirroring the current 4 percent cap law, though he would consider closing some loopholes in future years.
• Towns that keep taxes under the cap could "bank" the additional levy to use in future years without limits.