Bill would restore funding vetoed by Gov. Christie this summer by more than $140 million
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TRENTON — After a nearly six-month standoff with Gov. Chris Christie, Assembly Democrats offered up a proposal today to restore more than $100 million in aid to the state’s most troubled cities.
The Democrats’ bill, which was also introduced in the Senate last week (S3118), would add $1.5 million for the state to supervise the 11 cities receiving the aid, oversight Christie insisted on before he would agree to sign off on the aid.
Resorting to a line-item veto in June, Christie slashed $139 million in aid from the budget, leaving just $10 million to help the fiscally distressed cities.
At the time, the governor said he objected to Democrats removing a clause that allocated 1 percent of the total $149 million for oversight.
And at a news conference today in Camden, Christie again said, "I’m not going to send the income tax money of New Jerseyans to cities in distress unless I can ensure them we have the oversight that’s necessary that that money will be spent wisely and not wasted,"
The Democratic proposal in play includes money for oversight, but pays for it by adding $1.5 million to the total instead of using 1 percent of the total $149 million. The Department of Community Affairs oversees towns that receive the aid, helping find ways to cut costs and approving hiring and contracts.
"Whenever the state promises aid to anyone they should deliver every penny, not reduce it for bureaucratic expenses on the back-end," said Derek Roseman, a spokesman for the Senate Democrats. "If there needs to be an additional $1.5 million cut elsewhere, we will be happy to have that discussion."
While Christie criticized legislators for trying to "spend more money," he said he was open to talking about the proposal.
"We have a $210 million shortfall already," Christie said. "How about they have some hearings about how they’re going to cut things to be able to balance the budget between here and June?"
The money is called "transitional aid" because it is intended to plug towns’ budgets while they gradually wean themselves from state aid. Eleven towns would split the money, with the largest portion, $61.4 million, going to Camden; $22 million to Trenton; $21 million for Paterson, and the rest split up among Union City, Asbury Park, Lawnside, Chesilhurst, Harrison, Maurice River, Penns Grove and Prospect Park.
The Assembly bill was introduced by Speaker Sheila Oliver (D-Essex) and Assemblyman Vincent Prieto (D-Hudson). Last week, State Sens. Donald Norcross (D-Camden) and Paul Sarlo (D-Bergen) sponsored the companion legislation.
Bill Dressel, executive director of the State League of Municipalities, said he was pleased with the proposal, but urged legislators to hurry the bill along so the cities don’t have cash flow problems next year.
"We have to make sure that the legislature and the governor can reach a political concurrence on this in a short time frame," Dressel said.
Staff writer Christopher Baxter contributed to this report.