And workers and business owners. People are losing their jobs, pension funds are shrinking, shopping is down and development has slowed almost to a halt. The impact in
Plainfield is showing with an increase in home mortgage foreclosures. Increasing unemployment will surely hurt
Plainfielders and we in city government will have to reckon with dipping property values.
Watching the actions of elected officials prior to my election to city council, I've been most interested in decisions made under difficult circumstances. Why did Governor Jim
Florio raise income taxes knowing the price he would pay politically? Why did Governor Whitman raid the pension funds, knowing that New Jersey citizens would eventually see a day of reckoning? In
Plainfield, why did the City Council squander in one year a huge payment from other towns for the sale of the sewer system?
The simple answer is that when elected officials are between a rock and a hard place, they often blink. The rock is usually angry tax payers who vote and the hard place is often workers protecting their hard won wages and benefits.
Where does that leave us in
Plainfield? We are facing a 9.5% tax increase on the municipal budget and the school tax increase will continue to rise after decades of remaining flat. County taxes, the third component of our tax bill, have also increased most every year.
I will only speak to the municipal portion of the tax bill because it is the major part of the total. Also, the school tax increase, which started in 2008, is mandated as a decision made in Trenton regarding Abbott school districts. The City Council is deliberating on proposed cuts that could reduce the tax increase to around 7%. Beyond that, proposals for further budget reductions have been
strenuously opposed by City Administrator Marc
Dashield. These further cuts, he rightfully says, would have to be the elimination of jobs and consequently, services to residents.
The other side of the coin is property owners and renters, some of whom will get squeezed out of their homes by taxes and rents that exceed their incomes and ability to pay. So to blink or not to blink. Here is my version of the two options:
- If the state legislature approves the pension payment deferral plan and the City Council actually defers a payment - that's a blink. Putting expenses off for future Mayors, Councils and taxpayers has a long history in our state but it is unfair and bad policy.
- If the Council requires that non essential city workers go to a reduced work week for the last few months of this fiscal year (ending June 30, 2009), we will save money - it would be very unpopular among many city workers but that's not a blink.
- If Plainfield elected officials continue to say "there are no sacred cows in our budget" but refuse to consider cuts in our police and fire division budgets - that's a blink.
- If we eliminate out of state travel for staff and elected officials and food for staff and public meetings - that's not a blink.
- If we freeze salaries of non union employees earning $80,000 or more - that's not a blink.
A good principle for budget action is that everyone shares the pain.
All budget decisions will be made knowing that the all important primary election is coming in June. This is an opportunity for Plainfield stakeholders to make your feelings known. The local budget process has not generally had as much input from the people who pay the property taxes as from the employees of government. This years budget advisory committee has stimulated some advocacy from residents. Lets see what the new year brings.