1 00:00:00,400 --> 00:00:01,968 >> Announcer: MAJOR FUNDING FOR 2 00:00:01,968 --> 00:00:03,570 "REPORTERS ROUNDTABLE" WITH 3 00:00:03,570 --> 00:00:05,672 DAVID CRUZ IS PROVIDED BY NEW 4 00:00:05,672 --> 00:00:06,740 JERSEY REALTORS, THE VOICE FOR 5 00:00:06,740 --> 00:00:09,376 REAL ESTATE IN NEW JERSEY. 6 00:00:09,376 --> 00:00:10,910 MORE INFORMATION IS ONLINE AT 7 00:00:10,910 --> 00:00:13,580 NJREALTOR.COM. 8 00:00:13,580 --> 00:00:15,148 RWJBARNABAS HEALTH. 9 00:00:15,148 --> 00:00:19,386 LET'S BE HEALTHY TOGETHER. 10 00:00:19,386 --> 00:00:19,953 AND BY NJM INSURANCE GROUP, 11 00:00:19,953 --> 00:00:21,488 SERVING THE INSURANCE NEEDS OF 12 00:00:21,488 --> 00:00:22,555 NEW JERSEY RESIDENTS AND 13 00:00:22,555 --> 00:00:23,156 BUSINESSES FOR MORE THAN 100 14 00:00:23,156 --> 00:00:28,161 YEARS. 15 00:00:28,161 --> 00:00:30,263 ROWEN UNIVERSITY, EDUCATING NEW 16 00:00:30,263 --> 00:00:32,132 JERSEY LEADERS, PARTNERING WITH 17 00:00:32,132 --> 00:00:32,966 NEW JERSEY BUSINESSES, 18 00:00:32,966 --> 00:00:33,500 TRANSFORMING NEW JERSEY'S 19 00:00:33,500 --> 00:00:34,934 FUTURE. 20 00:00:34,934 --> 00:00:36,536 PROMOTIONAL SUPPORT IS PROVIDED 21 00:00:36,536 --> 00:00:37,570 BY "NEW JERSEY BUSINESS 22 00:00:37,570 --> 00:00:38,638 MAGAZINE," THE MAGAZINE OF THE 23 00:00:38,638 --> 00:00:41,274 NEW JERSEY BUSINESS AND INDUSTRY 24 00:00:41,274 --> 00:00:42,542 ASSOCIATION, REPORTING TO 25 00:00:42,542 --> 00:00:44,978 EXECUTIVE AND LEGISLATIVE 26 00:00:44,978 --> 00:00:46,546 LEADERS IN ALL 21 COUNTIES OF 27 00:00:46,546 --> 00:00:50,250 THE GARDEN STATE SINCE 1954. 28 00:00:50,250 --> 00:00:51,851 AND BY POLITICO'S "NEW JERSEY 29 00:00:51,851 --> 00:00:53,987 PLAYBOOK," A TOPICAL NEWSLETTER 30 00:00:53,987 --> 00:00:55,555 ON GARDEN STATE POLITICS, ONLINE 31 00:00:55,555 --> 00:01:01,961 AT POLITICO.COM 32 00:01:01,961 --> 00:01:15,975 ♪ 33 00:01:15,975 --> 00:01:17,844 >>> THE RESTRUCTURING OF THE 34 00:01:17,844 --> 00:01:18,945 LEGISLATURE HAS PUT NEW CHAIRS 35 00:01:18,945 --> 00:01:20,580 AT THE HEAD OF SEVERAL KEY 36 00:01:20,580 --> 00:01:23,850 COMMITTEES, NONE MORE IMPORTANT 37 00:01:23,850 --> 00:01:24,217 THAN EDUCATION. 38 00:01:24,217 --> 00:01:26,019 HI, EVERYBODY, WELCOME TO 39 00:01:26,019 --> 00:01:26,619 "REPORTERS ROUNDTABLE," I'M 40 00:01:26,619 --> 00:01:28,288 DAVID CRUZ, ALONG WITH A FINE 41 00:01:28,288 --> 00:01:30,490 BAND OF STATE HOUSE JOURNALISTS, 42 00:01:30,490 --> 00:01:33,326 INCLUDING STACIE SHERMAN, DEPUTY 43 00:01:33,326 --> 00:01:35,161 MANAGING EDITOR FOR U.S. BUREAUS 44 00:01:35,161 --> 00:01:41,201 FOR BLOOMBERG, KATHERINE 45 00:01:41,201 --> 00:01:43,336 LANDREGEN, POLITICO, AND THE 46 00:01:43,336 --> 00:01:44,938 BUDGET AND FINANCE WRITER FOR NJ 47 00:01:44,938 --> 00:01:45,772 SPOTLIGHT NEWS. 48 00:01:45,772 --> 00:01:47,006 THEY'LL BE JOINING ME IN A BIT 49 00:01:47,006 --> 00:01:48,441 BUT WE START TODAY WITH THE NEW 50 00:01:48,441 --> 00:01:50,477 CHAIRMAN OF THE SENATE EDUCATION 51 00:01:50,477 --> 00:01:53,880 COMMITTEE, VIN GOPAL OF MONMOUTH 52 00:01:53,880 --> 00:01:54,114 COUNTY. 53 00:01:54,114 --> 00:01:54,814 SENATOR, WELCOME TO "REPORTERS 54 00:01:54,814 --> 00:01:55,115 ROUNDTABLE." 55 00:01:55,115 --> 00:01:55,849 GOOD TO SEE YOU, MAN. 56 00:01:55,849 --> 00:01:57,717 >> GOOD TO SEE YOU, DAVID. 57 00:01:57,717 --> 00:02:00,353 >> SO, THIS IS REALLY BEEN THE 58 00:02:00,353 --> 00:02:03,423 TOUGHEST TWO SCHOOL YEARS IN 59 00:02:03,423 --> 00:02:03,656 MEMORY. 60 00:02:03,656 --> 00:02:05,925 SO MANY CHALLENGES FACED BY KIDS 61 00:02:05,925 --> 00:02:07,227 AND PARENTS AND EDUCATIONAL 62 00:02:07,227 --> 00:02:07,827 STAFF. 63 00:02:07,827 --> 00:02:09,262 WHERE HAS THE PANDEMIC HIT 64 00:02:09,262 --> 00:02:16,136 HARDEST IN YOUR MIND? 65 00:02:16,136 --> 00:02:17,504 >> DEFINITELY LEARNING LOSS, 66 00:02:17,504 --> 00:02:18,738 KIDS NOT BEING IN THE CLASSROOM, 67 00:02:18,738 --> 00:02:21,074 EVEN DURING THAT SHORT TIME 68 00:02:21,074 --> 00:02:22,342 PERIOD WHEN NOBODY WAS IN REALLY 69 00:02:22,342 --> 00:02:23,276 HAD A BIG EFFECT. 70 00:02:23,276 --> 00:02:27,647 A CHILD EVEN NOT HAVING THEIR 71 00:02:27,647 --> 00:02:28,882 GRADUATION OR PROM CAN HAVE 72 00:02:28,882 --> 00:02:29,782 MENTAL HEALTH IMPACTS. 73 00:02:29,782 --> 00:02:31,751 WE'VE SEEN THAT IN EARLY 74 00:02:31,751 --> 00:02:32,685 STUDIES, AND ESPECIALLY SPECIAL 75 00:02:32,685 --> 00:02:34,420 NEEDS FAMILIES, THEY PROBABLY 76 00:02:34,420 --> 00:02:35,755 HAVE THE HARDEST TIME DURING THE 77 00:02:35,755 --> 00:02:36,789 PANDEMIC, AS THAT LEARNING LOSS 78 00:02:36,789 --> 00:02:38,658 IS GOING TO BE HARDER FOR THEIR 79 00:02:38,658 --> 00:02:40,360 KIDS TO RECOVER MORE THAN 80 00:02:40,360 --> 00:02:41,461 ANYBODY ELSE'S. 81 00:02:41,461 --> 00:02:44,998 >> YEAH, WE HEAR A LOT ABOUT THE 82 00:02:44,998 --> 00:02:48,434 LACK OF ACCESS TO REMOTE 83 00:02:48,434 --> 00:02:48,701 LEARNING. 84 00:02:48,701 --> 00:02:53,907 HAS THAT SHRUNK? 85 00:02:53,907 --> 00:02:56,376 >> YEAH, WELL, LOOK, I THINK 86 00:02:56,376 --> 00:02:57,443 IT'S SUPER IMPORTANT TO -- AND 87 00:02:57,443 --> 00:02:59,145 I'M A BIG SUPPORTER OF IN-PERSON 88 00:02:59,145 --> 00:02:59,412 EDUCATION. 89 00:02:59,412 --> 00:03:01,548 AND I THINK WE HAVE TO MAKE THAT 90 00:03:01,548 --> 00:03:02,549 WORK. 91 00:03:02,549 --> 00:03:04,751 I DON'T KNOW IF REMOTE LEARNING 92 00:03:04,751 --> 00:03:06,319 MAKES SENSE, ESPECIALLY AS WE'VE 93 00:03:06,319 --> 00:03:09,255 SEEN THIS LAST VARIANT NOT AS 94 00:03:09,255 --> 00:03:11,090 STRENUOUS AS PAST ONES, GOD 95 00:03:11,090 --> 00:03:12,292 WILLING, AND I THINK WE HAVE TO 96 00:03:12,292 --> 00:03:13,793 CONTINUE TO PUSH FOR IN-PERSON 97 00:03:13,793 --> 00:03:16,062 EDUCATION AS MUCH AS POSSIBLE. 98 00:03:16,062 --> 00:03:19,199 >> SO, IN YOUR MIND, I MEAN, IS 99 00:03:19,199 --> 00:03:21,668 IT SO TERRIBLE THAT WE CAN'T 100 00:03:21,668 --> 00:03:23,269 EVEN, LIKE, SAY THIS WEEKEND, 101 00:03:23,269 --> 00:03:25,138 THERE'S GOING TO BE A BIG 102 00:03:25,138 --> 00:03:25,805 SNOWSTORM, LET'S SAY THAT 103 00:03:25,805 --> 00:03:27,173 HAPPENS IN THE MIDDLE OF THE 104 00:03:27,173 --> 00:03:27,407 WEEK. 105 00:03:27,407 --> 00:03:30,910 ARE WE UNPREPARED ENOUGH TO, 106 00:03:30,910 --> 00:03:32,478 SAY, HAVE A SNOW DAY THAT 107 00:03:32,478 --> 00:03:33,146 HAPPENS TO BE EVERYBODY HOME BUT 108 00:03:33,146 --> 00:03:36,482 STILL IN SCHOOL? 109 00:03:36,482 --> 00:03:38,785 >> YEAH, SO, WE'RE WORKING ON 110 00:03:38,785 --> 00:03:40,720 SOME THINGS RIGHT NOW IN THE 111 00:03:40,720 --> 00:03:41,287 SENATE EDUCATION COMMITTEE 112 00:03:41,287 --> 00:03:42,755 RELATED TO THAT, AND I THINK WE 113 00:03:42,755 --> 00:03:44,257 HAVE TO START BEING CREATIVE NOW 114 00:03:44,257 --> 00:03:46,693 AS IT RELATES TO SNOW DAYS 115 00:03:46,693 --> 00:03:47,460 MOVING FORWARD AFTER THE 116 00:03:47,460 --> 00:03:47,727 PANDEMIC. 117 00:03:47,727 --> 00:03:49,295 I DO ALSO THINK, YOU KNOW, LOOK, 118 00:03:49,295 --> 00:03:51,297 ONE OF EVERYBODY'S POSITIVE 119 00:03:51,297 --> 00:03:53,600 MEMORIES GROWING UP IS THAT SNOW 120 00:03:53,600 --> 00:03:54,467 DAY, AND THAT IS FOR A LOT OF 121 00:03:54,467 --> 00:03:55,902 KIDS, SO I DO THINK IT IS -- 122 00:03:55,902 --> 00:03:57,837 THERE'S A GOOD THING FOR A KID 123 00:03:57,837 --> 00:03:59,439 TO HAVE A SNOW DAY AND BUNDLE UP 124 00:03:59,439 --> 00:04:00,773 AND GO OUT INTO THE SNOW. 125 00:04:00,773 --> 00:04:03,309 SO IT'S TRYING TO FIND THAT 126 00:04:03,309 --> 00:04:03,543 BALANCE. 127 00:04:03,543 --> 00:04:06,045 >> WE ARE SEEING FUNDAMENTAL 128 00:04:06,045 --> 00:04:09,048 CHANGES IN HOW SCHOOLS DO 129 00:04:09,048 --> 00:04:10,550 BUSINESS, SOME HAVE CANCELED 130 00:04:10,550 --> 00:04:11,384 MIDTERMS, OTHERS HAVE ADJUSTED 131 00:04:11,384 --> 00:04:12,185 THE WAY THEY'RE EVALUATING KIDS 132 00:04:12,185 --> 00:04:13,987 WITH GRADES. 133 00:04:13,987 --> 00:04:15,388 IT SEEMS UNREASONABLE TO THINK 134 00:04:15,388 --> 00:04:17,190 THAT WE'RE JUST GOING TO GO BACK 135 00:04:17,190 --> 00:04:19,192 TO NORMAL ONCE EMERGENCY 136 00:04:19,192 --> 00:04:20,994 RESTRICTIONS ARE FINALLY LIFTED, 137 00:04:20,994 --> 00:04:21,561 RIGHT? 138 00:04:21,561 --> 00:04:25,365 NORMAL IS NOT AROUND THE CORNER. 139 00:04:25,365 --> 00:04:26,432 >> THIS, UNFORTUNATELY, IS A 140 00:04:26,432 --> 00:04:27,500 VERSION OF THE NEW NORMAL, AND I 141 00:04:27,500 --> 00:04:28,768 THINK WE HAVE TO FIGURE OUT HOW 142 00:04:28,768 --> 00:04:30,737 TO ADAPT AND DO THE BEST WE CAN. 143 00:04:30,737 --> 00:04:32,872 OUR TEACHERS RIGHT NOW, AND 144 00:04:32,872 --> 00:04:34,207 ADMINISTRATORS, ARE DOING AN 145 00:04:34,207 --> 00:04:35,208 INCREDIBLE JOB UNDER VERY 146 00:04:35,208 --> 00:04:37,210 DIFFICULT CIRCUMSTANCES. 147 00:04:37,210 --> 00:04:40,480 I CAN'T IMAGINE, YOU KNOW, YOU 148 00:04:40,480 --> 00:04:41,648 HAVE PARENTS THAT ARE SCREAMING 149 00:04:41,648 --> 00:04:44,117 ABOUT MASKS OR DON'T WEAR MASKS 150 00:04:44,117 --> 00:04:46,286 OR ANY OTHER ISSUE. 151 00:04:46,286 --> 00:04:48,488 THESE EDUCATORS, UNDER VERY 152 00:04:48,488 --> 00:04:50,156 DIFFICULT CIRCUMSTANCES, NOTHING 153 00:04:50,156 --> 00:04:52,325 THAT THEY DID WRONG, NO PAY 154 00:04:52,325 --> 00:04:54,294 INCREASE FOR THEM AS THEY'RE 155 00:04:54,294 --> 00:04:55,228 GOING THROUGH THIS, REALLY HAVE 156 00:04:55,228 --> 00:04:56,462 DONE AN INCREDIBLE JOB AND 157 00:04:56,462 --> 00:04:57,730 CONTINUE TO DO THAT. 158 00:04:57,730 --> 00:05:01,000 >> LOT OF STAFF SHORTAGES STILL 159 00:05:01,000 --> 00:05:02,969 BEING REPORTED AROUND THE STATE. 160 00:05:02,969 --> 00:05:09,609 HOW TERRIBLE IS THAT SITUATION? 161 00:05:09,609 --> 00:05:11,344 >> IT'S VERY DIFFICULT, EVEN 162 00:05:11,344 --> 00:05:12,412 FINDING SUBSTITUTE TEACHERS HAS 163 00:05:12,412 --> 00:05:15,281 BEEN DIFFICULT, SO WE HAVE TO DO 164 00:05:15,281 --> 00:05:15,948 A LOT. 165 00:05:15,948 --> 00:05:18,017 I HAD A CALL YESTERDAY WITH THE 166 00:05:18,017 --> 00:05:18,885 CHAIRWOMAN OF THE ASSEMBLY 167 00:05:18,885 --> 00:05:21,921 EDUCATION COMMITTEE, MY 168 00:05:21,921 --> 00:05:24,157 COUNTERPART, AS WELL AS MY 169 00:05:24,157 --> 00:05:24,824 PREDECESSOR, NOW MAJORITY LEADER 170 00:05:24,824 --> 00:05:26,893 RUIZ, AND THEY HAD DONE SOME 171 00:05:26,893 --> 00:05:27,493 REALLY INNOVATIVE STUFF ON 172 00:05:27,493 --> 00:05:28,194 TEACHER RECRUITMENT. 173 00:05:28,194 --> 00:05:30,129 I PLAN TO HAVE SOMETHING OUT 174 00:05:30,129 --> 00:05:31,364 VERY SHORTLY THAT SPECIFICALLY 175 00:05:31,364 --> 00:05:34,233 LOOKS AT INCREASING TEACHER PAY 176 00:05:34,233 --> 00:05:35,168 AND HOPEFULLY CAN BE A REAL 177 00:05:35,168 --> 00:05:36,936 MODEL HERE AND REALLY WORK ON 178 00:05:36,936 --> 00:05:38,705 RECRUITING A LOT MORE EDUCATORS 179 00:05:38,705 --> 00:05:41,140 TO AN INCREDIBLE PROFESSION. 180 00:05:41,140 --> 00:05:43,509 >> SCHOOL FUNDING IS THAT 181 00:05:43,509 --> 00:05:44,110 800-POUND GORILLA SITTING OUT 182 00:05:44,110 --> 00:05:45,945 THERE. 183 00:05:45,945 --> 00:05:46,913 I GOT ABOUT A MINUTE. 184 00:05:46,913 --> 00:05:48,448 YOU WANT TO FIX THE SCHOOL 185 00:05:48,448 --> 00:05:52,218 FUNDING FOR ME -- FOR US TODAY? 186 00:05:52,218 --> 00:05:55,555 >> SO, WE GOT A COUPLE THINGS 187 00:05:55,555 --> 00:05:56,189 THAT WE HAVE TO DO. 188 00:05:56,189 --> 00:05:58,558 WE HAVE TO START LOOKING AT HOW 189 00:05:58,558 --> 00:06:01,928 OUR SCHOOLS ARE FUNDED, AND IT'S 190 00:06:01,928 --> 00:06:04,097 FUNDED PRIMARILY ON PROPERTY 191 00:06:04,097 --> 00:06:05,198 TAXES, AND I THINK IT MAKES 192 00:06:05,198 --> 00:06:07,333 SENSE TO START LOOKING AT AN 193 00:06:07,333 --> 00:06:07,967 INCOME TAX FORMULA. 194 00:06:07,967 --> 00:06:10,103 WE ALSO HAVE TO LOOK AT 195 00:06:10,103 --> 00:06:10,937 EXTRAORDINARY SPECIAL EDUCATION 196 00:06:10,937 --> 00:06:11,304 FUNDING. 197 00:06:11,304 --> 00:06:13,339 WE ALSO HAVE TO LOOK AT SCHOOL 198 00:06:13,339 --> 00:06:14,741 DISTRICT REGIONALIZATION, AND 199 00:06:14,741 --> 00:06:17,009 WE'RE ALSO GOING TO HAVE TO LOOK 200 00:06:17,009 --> 00:06:18,845 AT FIXING THE INFRASTRUCTURE IN 201 00:06:18,845 --> 00:06:21,114 OUR 600-PLUS SCHOOL DISTRICTS. 202 00:06:21,114 --> 00:06:23,416 WE'VE GOT A LOT OF HVAC, 203 00:06:23,416 --> 00:06:25,618 PLUMBING, ELECTRICAL, ROOFING 204 00:06:25,618 --> 00:06:27,787 ISSUES, THOSE ARE ALL SOME OF 205 00:06:27,787 --> 00:06:28,454 THE BIG CHALLENGES AND THEY ALL 206 00:06:28,454 --> 00:06:29,822 RELATE DIRECTLY TO SCHOOL 207 00:06:29,822 --> 00:06:30,056 FUNDING. 208 00:06:30,056 --> 00:06:31,557 >> HOW WOULD AN INCOME TAX MODEL 209 00:06:31,557 --> 00:06:33,526 BE DIFFERENT FROM THE CURRENT 210 00:06:33,526 --> 00:06:33,760 SYSTEM? 211 00:06:33,760 --> 00:06:36,896 I MEAN, OBVIOUSLY, ONE WOULD USE 212 00:06:36,896 --> 00:06:37,997 INCOME TAX AND THE OTHER USES 213 00:06:37,997 --> 00:06:38,631 REAL ESTATE TAXES, BUT WHAT'S 214 00:06:38,631 --> 00:06:41,334 THE NET DIFFERENCE? 215 00:06:41,334 --> 00:06:44,170 WHO'S AFFECTED BY THAT THE MOST? 216 00:06:44,170 --> 00:06:44,937 >> YEAH, WE'RE IN THE EARLY 217 00:06:44,937 --> 00:06:47,840 PROCESS OF LOOKING AT THIS, AND 218 00:06:47,840 --> 00:06:48,975 IT WOULD REALLY HELP PEOPLE WHO 219 00:06:48,975 --> 00:06:49,876 ARE SENIORS AND THOSE WHO ARE ON 220 00:06:49,876 --> 00:06:51,511 A FIXED INCOME, ESPECIALLY THOSE 221 00:06:51,511 --> 00:06:52,612 WHO NO LONGER HAVE KIDS IN THE 222 00:06:52,612 --> 00:06:54,814 SCHOOL SYSTEM. 223 00:06:54,814 --> 00:06:56,649 IT WOULD HELP THEM TRY TO STAY 224 00:06:56,649 --> 00:06:58,050 IN NEW JERSEY, NOT MOVE TO 225 00:06:58,050 --> 00:06:59,352 FLORIDA OR THE CAROLINAS, AND 226 00:06:59,352 --> 00:07:01,220 KEEP IT AFFORDABLE FOR THEM. 227 00:07:01,220 --> 00:07:03,256 WE'VE GOT FOLKS, DAVID, WHO ARE 228 00:07:03,256 --> 00:07:06,392 PAYING $12,000 OR $13,000 IN 229 00:07:06,392 --> 00:07:07,026 PROPERTY TAXES ON THE SAME HOUSE 230 00:07:07,026 --> 00:07:09,729 THEY'VE OWNED, AND IT'S VERY, 231 00:07:09,729 --> 00:07:12,198 VERY UNAFFORDABLE FOR THEM, SO 232 00:07:12,198 --> 00:07:13,399 LOOKING AT INCOME TAXES, WHICH 233 00:07:13,399 --> 00:07:14,233 WOULD AFFECT THOSE WHO ARE AT 234 00:07:14,233 --> 00:07:15,701 THE HIGHEST INCOME BRACKETS, I 235 00:07:15,701 --> 00:07:17,170 THINK, MIGHT BE A MORE EFFECTIVE 236 00:07:17,170 --> 00:07:18,905 WAY TO LOOK ON HOW WE PAY OUR 237 00:07:18,905 --> 00:07:19,138 SCHOOLS. 238 00:07:19,138 --> 00:07:20,640 >> I'M RUNNING OUT OF TIME, BUT 239 00:07:20,640 --> 00:07:23,810 I DID WANT TO TALK ABOUT THE 240 00:07:23,810 --> 00:07:25,411 SCHOOLS DEVELOPMENT AUTHORITY, 241 00:07:25,411 --> 00:07:26,913 BESET BY SCANDAL, BASICALLY OUT 242 00:07:26,913 --> 00:07:27,780 OF MONEY. 243 00:07:27,780 --> 00:07:29,849 WE JUST SAW VOTERS IN HOBOKEN 244 00:07:29,849 --> 00:07:31,851 REJECT A LOCAL EFFORT TO BUILD A 245 00:07:31,851 --> 00:07:34,320 NEW SCHOOL FOR $240 MILLION. 246 00:07:34,320 --> 00:07:35,822 HOW ARE WE GOING TO BUILD NEW 247 00:07:35,822 --> 00:07:36,656 SCHOOLS IN NEW JERSEY? 248 00:07:36,656 --> 00:07:40,793 HOW ARE WE GOING TO PAY FOR 249 00:07:40,793 --> 00:07:40,993 THAT? 250 00:07:40,993 --> 00:07:44,230 >> YEAH, I THINK WE HAVE TO LOOK 251 00:07:44,230 --> 00:07:45,097 AT THE FEDERAL FUNDS. 252 00:07:45,097 --> 00:07:47,400 THE STATE IS SITTING ON 253 00:07:47,400 --> 00:07:48,401 $3.2 BILLION IN FEDERAL FUNDS 254 00:07:48,401 --> 00:07:49,368 RIGHT NOW AND I HAD A 255 00:07:49,368 --> 00:07:50,403 CONVERSATION WITH THE GOVERNOR'S 256 00:07:50,403 --> 00:07:51,537 CHIEF OF STAFF LAST WEEK ABOUT 257 00:07:51,537 --> 00:07:53,506 LOOKING AT USING SOME OF THESE 258 00:07:53,506 --> 00:07:56,642 FUNDS TO UPDATE OUR 600 SCHOOL 259 00:07:56,642 --> 00:07:56,909 DISTRICTS. 260 00:07:56,909 --> 00:07:58,177 THE EXECUTIVE DIRECTOR OF THE 261 00:07:58,177 --> 00:08:00,646 SDA, MANNY DE SILVA, LIVES IN MY 262 00:08:00,646 --> 00:08:00,913 DISTRICT. 263 00:08:00,913 --> 00:08:01,881 I THINK HE'S A GOOD MAN. 264 00:08:01,881 --> 00:08:03,182 I THINK HE'S DOING A GOOD JOB 265 00:08:03,182 --> 00:08:04,217 AND I THINK WE NEED TO TRY TO 266 00:08:04,217 --> 00:08:06,786 WORK WITH HIM TO SEE HOW WE CAN 267 00:08:06,786 --> 00:08:07,086 EMPOWER SDA. 268 00:08:07,086 --> 00:08:08,855 >> STEVE SWEENEY, THE FORMER 269 00:08:08,855 --> 00:08:11,691 SENATE PRESIDENT, SAID THE SDA 270 00:08:11,691 --> 00:08:12,058 HAD TO GO. 271 00:08:12,058 --> 00:08:15,194 I ASSUME YOU'RE NOT OF THAT 272 00:08:15,194 --> 00:08:15,428 MINDSET. 273 00:08:15,428 --> 00:08:16,162 >> NO. 274 00:08:16,162 --> 00:08:16,395 I'M NOT. 275 00:08:16,395 --> 00:08:18,231 BUT I DO THINK THERE WERE 276 00:08:18,231 --> 00:08:20,666 CHALLENGES THERE, MAYBE A NAME 277 00:08:20,666 --> 00:08:22,802 CHANGE MAY BE WARRANTED, MAYBE A 278 00:08:22,802 --> 00:08:24,804 REBRANDING EFFORT, BUT I DO 279 00:08:24,804 --> 00:08:26,005 THINK THAT THE CURRENT FOLKS 280 00:08:26,005 --> 00:08:27,907 WORKING AT SDA HAVE DONE A 281 00:08:27,907 --> 00:08:29,809 REALLY GOOD JOB, AT LEAST IN MY 282 00:08:29,809 --> 00:08:30,977 DEALINGS WITH THEM THIS PAST 283 00:08:30,977 --> 00:08:31,177 YEAR. 284 00:08:31,177 --> 00:08:33,513 >> HOW DIFFICULT IS IT GOING TO 285 00:08:33,513 --> 00:08:35,915 BE TO SUCCEED AT CREATING SOME 286 00:08:35,915 --> 00:08:37,617 SORT OF SCHOOL CONSOLIDATION, 287 00:08:37,617 --> 00:08:38,951 WHICH A LOT OF PEOPLE SAY IS 288 00:08:38,951 --> 00:08:41,454 GOING TO BE NECESSARY TO BRING 289 00:08:41,454 --> 00:08:43,990 OVERALL COSTS DOWN? 290 00:08:43,990 --> 00:08:46,893 >> YOU KNOW, WE MADE IT 291 00:08:46,893 --> 00:08:49,962 VOLUNTARY AND I THINK IT NEEDS 292 00:08:49,962 --> 00:08:51,998 TO START BECOMING FORCED IN SOME 293 00:08:51,998 --> 00:08:53,299 EFFORTS, ESPECIALLY AS IT 294 00:08:53,299 --> 00:08:54,333 RELATES TO HEALTHCARE SERVICES, 295 00:08:54,333 --> 00:08:56,235 WASTE MANAGEMENT, SNOW REMOVAL, 296 00:08:56,235 --> 00:08:56,969 I.T., COMMUNICATIONS. 297 00:08:56,969 --> 00:08:58,738 WE CAN'T HAVE 600 DIFFERENT 298 00:08:58,738 --> 00:09:00,806 ENTITIES ALL DOING THEIR OWN 299 00:09:00,806 --> 00:09:01,140 THINGS. 300 00:09:01,140 --> 00:09:03,910 I'VE GOT A REPORT HERE IN ONE 301 00:09:03,910 --> 00:09:05,945 SCHOOL DISTRICT I'M SEEING WHERE 302 00:09:05,945 --> 00:09:06,979 THEIR ADMINISTRATIVE COSTS HAVE 303 00:09:06,979 --> 00:09:08,748 GONE UP MORE THAN 20% IN THE 304 00:09:08,748 --> 00:09:10,316 LAST 5 YEARS WHILE THEIR 305 00:09:10,316 --> 00:09:11,517 ENROLLMENT HAS GONE DOWN. 306 00:09:11,517 --> 00:09:13,019 WE'VE GOT SO MANY DIFFERENT 307 00:09:13,019 --> 00:09:15,288 CHALLENGES, BUT I THINK THAT 308 00:09:15,288 --> 00:09:15,888 CONSOLIDATING SERVICES IS THE 309 00:09:15,888 --> 00:09:18,090 WAY TO GO. 310 00:09:18,090 --> 00:09:18,791 >> I SAVED MY TOUGHEST QUESTION 311 00:09:18,791 --> 00:09:21,661 FOR THE END HERE. 312 00:09:21,661 --> 00:09:24,163 THIS SCHOOL DESEGREGATION SUIT, 313 00:09:24,163 --> 00:09:26,632 IT'S HEADED TO COURT IN MARCH, I 314 00:09:26,632 --> 00:09:28,534 THINK. 315 00:09:28,534 --> 00:09:29,802 IF THE REMEDIES INCLUDE 316 00:09:29,802 --> 00:09:31,837 CONSOLIDATED DISTRICTS OR MAYBE 317 00:09:31,837 --> 00:09:32,838 EVEN BUSSING, HOW DOES THAT 318 00:09:32,838 --> 00:09:35,708 HAPPEN? 319 00:09:35,708 --> 00:09:37,209 >> YEAH, WE'RE ALL GOING TO BE 320 00:09:37,209 --> 00:09:38,177 WATCHING THAT CAREFULLY. 321 00:09:38,177 --> 00:09:39,946 IT'S WITHOUT A DOUBT, NEW JERSEY 322 00:09:39,946 --> 00:09:42,248 HAS A BIG CHALLENGE AS IT COMES 323 00:09:42,248 --> 00:09:42,848 TO SEGREGATED SCHOOLS. 324 00:09:42,848 --> 00:09:45,685 WE SEE IT ACROSS OUR 565 TOWNS, 325 00:09:45,685 --> 00:09:47,119 AND I THINK THIS IS AN ISSUE 326 00:09:47,119 --> 00:09:48,955 THAT THE NEW JERSEY LEGISLATURE 327 00:09:48,955 --> 00:09:50,923 NEEDS TO FACE OUTSIDE OF THIS 328 00:09:50,923 --> 00:09:51,724 FEDERAL LAWSUIT THAT'S IN FRONT 329 00:09:51,724 --> 00:09:53,025 OF US. 330 00:09:53,025 --> 00:09:54,727 SO, THIS IS SOMETHING WE HAVE TO 331 00:09:54,727 --> 00:09:55,261 DEAL WITH. 332 00:09:55,261 --> 00:09:56,796 WE ARE THE MOST DIVERSE STATE IN 333 00:09:56,796 --> 00:09:58,798 THE COUNTRY, AND WE SHOULD NOT 334 00:09:58,798 --> 00:10:00,833 HAVE SOME OF THE MOST SEGREGATED 335 00:10:00,833 --> 00:10:01,067 SCHOOLS. 336 00:10:01,067 --> 00:10:03,369 >> ALL RIGHT, VIN GOPAL IS THE 337 00:10:03,369 --> 00:10:04,971 NEW CHAIRMAN OF THE SENATE 338 00:10:04,971 --> 00:10:05,571 EDUCATION COMMITTEE. 339 00:10:05,571 --> 00:10:06,672 SENATOR, GOOD TO SEE YOU, MAN. 340 00:10:06,672 --> 00:10:08,474 THANKS FOR JOINING US. 341 00:10:08,474 --> 00:10:08,941 >> THANK YOU SO MUCH. 342 00:10:08,941 --> 00:10:10,076 GOOD TO SEE YOU, DAVID. 343 00:10:10,076 --> 00:10:13,145 >> ALL RIGHT, LET'S BRING IN OUR 344 00:10:13,145 --> 00:10:17,617 PANEL OF JOURNALISTIC SMARTIES. 345 00:10:17,617 --> 00:10:20,853 STACIE SHERMAN, KATHERINE 346 00:10:20,853 --> 00:10:23,089 LANDERGAN AND JOHN. 347 00:10:23,089 --> 00:10:24,523 JUST HEARING SENATOR GOPAL TALK 348 00:10:24,523 --> 00:10:25,825 ABOUT THE SCHOOL FUNDING FORMULA 349 00:10:25,825 --> 00:10:27,159 AND THE SDA, WE'RE TALKING ABOUT 350 00:10:27,159 --> 00:10:29,562 BILLIONS OF DOLLARS AT STAKE 351 00:10:29,562 --> 00:10:29,762 HERE. 352 00:10:29,762 --> 00:10:31,197 WHAT'D YOU THINK OF GOPAL'S 353 00:10:31,197 --> 00:10:33,232 ANSWERS? 354 00:10:33,232 --> 00:10:34,567 >> I MEAN, I THINK, YOU KNOW, HE 355 00:10:34,567 --> 00:10:38,170 HAS A LOT OF DIFFERENT, FRESH 356 00:10:38,170 --> 00:10:39,572 IDEAS, BUT IT'S STILL EARLY, 357 00:10:39,572 --> 00:10:39,772 RIGHT? 358 00:10:39,772 --> 00:10:42,842 I MEAN, HE JUST TOOK THE JOB 359 00:10:42,842 --> 00:10:44,110 OVER FROM TERESA RUIZ, AND YOU 360 00:10:44,110 --> 00:10:46,345 KNOW, IT'S GOING TO TAKE A 361 00:10:46,345 --> 00:10:47,847 LITTLE WHILE FOR HIM TO FIGURE 362 00:10:47,847 --> 00:10:50,282 OUT AND FLESH OUT HIS AGENDA AND 363 00:10:50,282 --> 00:10:52,051 KIND OF DO IT UNDER THE 364 00:10:52,051 --> 00:10:54,320 DIRECTION OF RUIZ AND I'M 365 00:10:54,320 --> 00:10:55,254 INTERESTED TO SEE HOW THEY'LL 366 00:10:55,254 --> 00:10:57,289 WORK TOGETHER AND HOW THAT 367 00:10:57,289 --> 00:10:57,757 DYNAMIC WILL PLAY OUT. 368 00:10:57,757 --> 00:11:00,359 >> STACIE, I FEEL LIKE THERE 369 00:11:00,359 --> 00:11:01,494 WERE BILLIONS OF DOLLARS FLYING 370 00:11:01,494 --> 00:11:03,429 AROUND THE STATE FROM THE 371 00:11:03,429 --> 00:11:04,730 FEDERAL GOVERNMENT. 372 00:11:04,730 --> 00:11:06,465 NONE OF THAT APPEARED TO BE FOR 373 00:11:06,465 --> 00:11:09,035 SCHOOL BUILDINGS. 374 00:11:09,035 --> 00:11:09,669 IS THE STATE GOING TO HAVE TO GO 375 00:11:09,669 --> 00:11:11,570 BORROW MONEY FOR SCHOOLS NOW? 376 00:11:11,570 --> 00:11:12,405 LET ME REPHRASE THAT. 377 00:11:12,405 --> 00:11:16,876 THE STATE IS GOING TO HAVE TO GO 378 00:11:16,876 --> 00:11:17,476 BORROW MONEY FOR SCHOOLS NOW, 379 00:11:17,476 --> 00:11:19,111 RIGHT? 380 00:11:19,111 --> 00:11:21,981 >> IT'S VERY POSSIBLE. 381 00:11:21,981 --> 00:11:22,948 THEY DON'T HAVE JUST BILLIONS, 382 00:11:22,948 --> 00:11:24,383 YOU KNOW, FOR SCHOOL 383 00:11:24,383 --> 00:11:26,752 CONSTRUCTION AND SCHOOLS ARE IN 384 00:11:26,752 --> 00:11:31,223 DIRE NEED OF REPAIR AND LOCAL 385 00:11:31,223 --> 00:11:32,591 RESIDENTS AREN'T WILLING TO HAVE 386 00:11:32,591 --> 00:11:35,194 THEIR TAXES, THEIR LOCAL TAXES 387 00:11:35,194 --> 00:11:36,829 INCREASE TO PAY FOR IT AS WE 388 00:11:36,829 --> 00:11:39,031 JUST SAW THIS WEEK IN HOBOKEN 389 00:11:39,031 --> 00:11:43,235 WHERE THEY SHOT DOWN A 390 00:11:43,235 --> 00:11:44,103 $241 MILLION BOND PROPOSAL THAT 391 00:11:44,103 --> 00:11:47,606 WOULD HAVE BEEN ENTIRELY FUNDED 392 00:11:47,606 --> 00:11:47,940 BY TAXPAYERS. 393 00:11:47,940 --> 00:11:49,642 SO, THE -- I THINK THE FEDERAL 394 00:11:49,642 --> 00:11:50,543 AND THE STATE GOVERNMENTS ARE 395 00:11:50,543 --> 00:11:52,912 GOING TO HAVE TO STEP IN AND 396 00:11:52,912 --> 00:11:53,379 SPEND MONEY. 397 00:11:53,379 --> 00:11:57,550 >> I MEAN, THAT SCHOOL IN 398 00:11:57,550 --> 00:11:58,417 HOBOKEN, THAT'S JUST DOWN THE 399 00:11:58,417 --> 00:12:00,953 ROAD FROM ME, SOUNDED LIKE WHAT 400 00:12:00,953 --> 00:12:03,089 CORY BOOKER USED TO CALL 401 00:12:03,089 --> 00:12:04,156 CATHEDRALS OF LEARNING WITH, YOU 402 00:12:04,156 --> 00:12:06,759 KNOW, TWO SWIMMING POOLS, LABS 403 00:12:06,759 --> 00:12:09,228 AND ALL OF THAT. 404 00:12:09,228 --> 00:12:11,630 YOU KNOW, $200 MILLION SCHOOLS, 405 00:12:11,630 --> 00:12:12,932 IF EVERYBODY WANTS A 406 00:12:12,932 --> 00:12:13,933 $200 MILLION SCHOOL, HOW ARE WE 407 00:12:13,933 --> 00:12:17,970 GOING TO BE ABLE TO AFFORD THAT, 408 00:12:17,970 --> 00:12:18,204 STACIE? 409 00:12:18,204 --> 00:12:22,274 >> WELL, HOBOKEN IS A UNIQUE 410 00:12:22,274 --> 00:12:22,475 ISSUE. 411 00:12:22,475 --> 00:12:27,179 I MEAN, THEY'RE TRYING TO LURE 412 00:12:27,179 --> 00:12:28,647 AND KEEP THE WEALTHY FAMILIES 413 00:12:28,647 --> 00:12:30,349 THAT ARE SENDING THEIR KIDS TO 414 00:12:30,349 --> 00:12:31,450 CHARTER SCHOOLS AND PRIVATE 415 00:12:31,450 --> 00:12:31,684 SCHOOLS. 416 00:12:31,684 --> 00:12:32,952 THEY WANT THEM GOING TO THE 417 00:12:32,952 --> 00:12:33,352 PUBLIC SCHOOLS. 418 00:12:33,352 --> 00:12:35,287 SO, THERE'S A BALANCE, AND SO 419 00:12:35,287 --> 00:12:37,323 THIS IS WHAT THEY'VE BEEN TRYING 420 00:12:37,323 --> 00:12:38,824 TO DO IS OFFER AMENITIES LIKE 421 00:12:38,824 --> 00:12:43,162 THIS IN ORDER TO GET THE KIDS 422 00:12:43,162 --> 00:12:44,530 BACK INTO THE PUBLIC SCHOOL 423 00:12:44,530 --> 00:12:46,432 SYSTEM AND SHOW THEM THAT THEY 424 00:12:46,432 --> 00:12:47,700 CAN GET EVERYTHING FROM A 425 00:12:47,700 --> 00:12:49,502 PRIVATE SCHOOL AT A PUBLIC 426 00:12:49,502 --> 00:12:49,735 SCHOOL. 427 00:12:49,735 --> 00:12:51,871 SO, YOU SEE BOTH POINTS AS A 428 00:12:51,871 --> 00:12:53,372 BALANCE THAT THEY'RE TRYING TO 429 00:12:53,372 --> 00:12:56,942 STRIKE, AND THIS JUST WAS NOT 430 00:12:56,942 --> 00:12:57,977 PALATABLE FOR VOTERS. 431 00:12:57,977 --> 00:12:59,845 >> THIS REMINDS ME, WATCHING 432 00:12:59,845 --> 00:13:01,947 THIS B ROLL, REMINDS ME OF HOW 433 00:13:01,947 --> 00:13:05,017 PEOPLE WALK FUNNY IN COMPUTER 434 00:13:05,017 --> 00:13:05,317 ANIMATIONS. 435 00:13:05,317 --> 00:13:08,621 SO, I WANT TO SPEND SOME TIME 436 00:13:08,621 --> 00:13:09,922 TALKING ABOUT BUDGETS AND THE 437 00:13:09,922 --> 00:13:11,457 ECONOMY. 438 00:13:11,457 --> 00:13:13,092 JOHN, IT'S BEGINNING TO LOOK A 439 00:13:13,092 --> 00:13:15,561 LOT LIKE BUDGET SEASON. 440 00:13:15,561 --> 00:13:16,595 THE GOVERNOR'S ANNUAL BUDGET 441 00:13:16,595 --> 00:13:19,031 ADDRESS IS COMING IN JUST A FEW 442 00:13:19,031 --> 00:13:19,231 WEEKS. 443 00:13:19,231 --> 00:13:20,166 WHAT ARE SOME OF THE THINGS WE 444 00:13:20,166 --> 00:13:24,870 SHOULD BE PAYING ATTENTION TO? 445 00:13:24,870 --> 00:13:26,472 >> YOU KNOW, THIS YEAR, I THINK 446 00:13:26,472 --> 00:13:27,807 THE CLOSEST -- WE'RE ALL 447 00:13:27,807 --> 00:13:29,608 WATCHING REVENUES BECAUSE AS 448 00:13:29,608 --> 00:13:34,380 REVENUES GO, SO GOES SPENDING 449 00:13:34,380 --> 00:13:35,981 AND SO ONE OF THE BIG THINGS IS 450 00:13:35,981 --> 00:13:38,751 THE BUDGET'S HAD A LOT OF TAIL 451 00:13:38,751 --> 00:13:39,885 WIND OVER THE FIRST HALF OF THE 452 00:13:39,885 --> 00:13:41,587 FISCAL YEAR AND THAT USUALLY 453 00:13:41,587 --> 00:13:43,355 MEANS WE'RE IN GOOD SHAPE FOR 454 00:13:43,355 --> 00:13:44,290 THE SECOND HALF BUT MORE MONEY 455 00:13:44,290 --> 00:13:45,558 GETS COLLECTED IN THE SECOND 456 00:13:45,558 --> 00:13:47,793 HALF SO WE HAVE A LONG WAY TO GO 457 00:13:47,793 --> 00:13:50,863 STILL AND YOU KNOW, I THINK THE 458 00:13:50,863 --> 00:13:52,965 KEY WILL BE WHERE THEY FORESEE, 459 00:13:52,965 --> 00:13:54,200 BECAUSE REMEMBER, THIS FISCAL 460 00:13:54,200 --> 00:13:55,501 YEAR STARTS IN JULY AND GOES ALL 461 00:13:55,501 --> 00:13:57,269 THE WAY TO THE END OF NEXT JUNE. 462 00:13:57,269 --> 00:13:58,938 SO THEY HAVE TO KIND OF PUT OUT 463 00:13:58,938 --> 00:14:02,675 THE CRYSTAL BALL AND SEE WHERE 464 00:14:02,675 --> 00:14:04,543 THE ECONOMY'S GOING TO GO, ALL 465 00:14:04,543 --> 00:14:05,344 THE WAY OUT, MORE THAN 12 MONTHS 466 00:14:05,344 --> 00:14:06,946 FROM NOW EVEN. 467 00:14:06,946 --> 00:14:09,014 AND SO THAT'S A DIFFICULT TASK 468 00:14:09,014 --> 00:14:12,351 COMING OUT OF A PANDEMIC. 469 00:14:12,351 --> 00:14:15,588 IT'S BEEN A REALLY SWIFT 470 00:14:15,588 --> 00:14:17,556 RECOVERY IN SOME WAYS BECAUSE OF 471 00:14:17,556 --> 00:14:18,591 ALL THE FEDERAL INTERVENTION AND 472 00:14:18,591 --> 00:14:20,059 NEW JERSEY STILL HAS LIKE 473 00:14:20,059 --> 00:14:22,928 $3 BILLION IN FEDERAL MONEY TO 474 00:14:22,928 --> 00:14:24,597 SPEND, EVEN AFTER ALREADY 475 00:14:24,597 --> 00:14:26,498 SPENDING ABOUT $3 BILLION, SO 476 00:14:26,498 --> 00:14:27,800 AWASH IN REVENUE RIGHT NOW, BUT 477 00:14:27,800 --> 00:14:30,402 THE TRICK IS FIGURING OUT WHERE 478 00:14:30,402 --> 00:14:31,670 IT'S GOING TO BE AT THE END OF 479 00:14:31,670 --> 00:14:32,738 THE FISCAL YEAR THAT DOESN'T 480 00:14:32,738 --> 00:14:33,806 START UNTIL JULY, AND SO THAT'S 481 00:14:33,806 --> 00:14:35,140 THE TRICKY THING. 482 00:14:35,140 --> 00:14:36,742 THE CURRENT BUDGET IS BALANCED 483 00:14:36,742 --> 00:14:38,277 WITH SURPLUS, BASICALLY, BUDGET 484 00:14:38,277 --> 00:14:40,079 RESERVES WERE USED TO BALANCE 485 00:14:40,079 --> 00:14:41,013 THE CURRENT BUDGET. 486 00:14:41,013 --> 00:14:44,350 YOU CAN'T DO THAT EVERY YEAR OR 487 00:14:44,350 --> 00:14:46,819 YOU RUN OUT OF SURPLUS, AND YOU 488 00:14:46,819 --> 00:14:48,420 NEED A SURPLUS, SO THAT'S SORT 489 00:14:48,420 --> 00:14:49,154 OF THE BIGGEST THING TO LOOK AT 490 00:14:49,154 --> 00:14:51,857 AND THEN, YOU KNOW, WHAT DO THE 491 00:14:51,857 --> 00:14:53,626 GOVERNOR AND LAWMAKERS PROPOSE 492 00:14:53,626 --> 00:14:55,060 AS SOMETHING NEW, IF ANYTHING, 493 00:14:55,060 --> 00:14:56,762 IN RESPONSE TO THIS ELECTION 494 00:14:56,762 --> 00:14:59,798 WHERE EVERYBODY SAID, YOU KNOW, 495 00:14:59,798 --> 00:15:01,500 NEW JERSEY'S NOT AFFORDABLE, AND 496 00:15:01,500 --> 00:15:04,069 SO ANY NEW, SHINY TAX RELIEF 497 00:15:04,069 --> 00:15:05,571 MEASURE THAT GETS ROLLED OUT TO 498 00:15:05,571 --> 00:15:07,039 TRY AND ADDRESS THAT 499 00:15:07,039 --> 00:15:07,673 AFFORDABILITY ISSUE, I MEAN, 500 00:15:07,673 --> 00:15:11,577 LAST YEAR, THEY DID UP TO $500 501 00:15:11,577 --> 00:15:13,479 TAX REBATES, LITERALLY SENT 502 00:15:13,479 --> 00:15:14,747 CHECKS TO PEOPLE, AND THAT 503 00:15:14,747 --> 00:15:16,081 DIDN'T SEEM TO MOVE THE NEEDLE, 504 00:15:16,081 --> 00:15:16,882 SO THAT'S ANOTHER THING I THINK 505 00:15:16,882 --> 00:15:19,485 THAT WILL BE INTERESTING TO SEE. 506 00:15:19,485 --> 00:15:21,620 >> YEAH, AND HOW IT IMPACTS THE 507 00:15:21,620 --> 00:15:22,922 BUDGET, RIGHT? 508 00:15:22,922 --> 00:15:24,056 BECAUSE IF AFFORDABILITY IS NOT 509 00:15:24,056 --> 00:15:26,959 GOING TO COME FROM THE STORE 510 00:15:26,959 --> 00:15:29,094 DOWN THE BLOCK, YOU KNOW, 511 00:15:29,094 --> 00:15:34,033 LOWERING ITS PRICE FOR A BGLOCK 512 00:15:34,033 --> 00:15:34,266 OF MILK. 513 00:15:34,266 --> 00:15:35,067 AFFORDABILITY MEANS MY TAXES, 514 00:15:35,067 --> 00:15:36,001 THE COST OF TRANSPORTATION, 515 00:15:36,001 --> 00:15:36,402 ET CETERA, RIGHT? 516 00:15:36,402 --> 00:15:37,436 >> I THINK IT'S ALL OF THOSE 517 00:15:37,436 --> 00:15:38,837 THINGS, TO BE HONEST, AND I 518 00:15:38,837 --> 00:15:41,607 THINK TAXES, OBVIOUSLY, PLAY A 519 00:15:41,607 --> 00:15:43,609 BIG ROLE, AND MAYBE PEOPLE FEEL 520 00:15:43,609 --> 00:15:44,543 LIKE THEY CAN INFLUENCE THAT 521 00:15:44,543 --> 00:15:45,444 BECAUSE THEY CAN VOTE PEOPLE OUT 522 00:15:45,444 --> 00:15:46,612 OF OFFICE OR, YOU KNOW, AS WE 523 00:15:46,612 --> 00:15:48,647 JUST SAW, THE SENATE PRESIDENT 524 00:15:48,647 --> 00:15:50,249 LOST HIS SEAT IN THIS MOST 525 00:15:50,249 --> 00:15:51,817 RECENT ELECTION. 526 00:15:51,817 --> 00:15:58,090 AND SO, MAYBE ONE OF THE THINGS 527 00:15:58,090 --> 00:15:59,825 THAT'S EASIEST TO DO BUT MORE 528 00:15:59,825 --> 00:16:02,761 THAN TEN YEARS AGO, JOHN CORZINE 529 00:16:02,761 --> 00:16:04,129 CAME UP WITH PROPERTY TAX 530 00:16:04,129 --> 00:16:05,731 REBATES AND HE GOT VOTED OUT OF 531 00:16:05,731 --> 00:16:08,534 OFFICE SO IT'S ALWAYS A TRICKY 532 00:16:08,534 --> 00:16:10,135 THING, AND YOU KNOW, WE'LL HAVE 533 00:16:10,135 --> 00:16:11,737 TO SEE WHAT -- IF THERE IS A 534 00:16:11,737 --> 00:16:13,839 SHINY NEW OBJECT OR IF THERE'S 535 00:16:13,839 --> 00:16:16,141 SOME OTHER WAY THAT PEOPLE CAN 536 00:16:16,141 --> 00:16:16,909 FEEL LIKE EITHER THEY'RE GETTING 537 00:16:16,909 --> 00:16:18,711 A BREAK OR GETTING A GOOD DEAL. 538 00:16:18,711 --> 00:16:19,678 >> RIGHT, AND IT'S ALL GOING TO 539 00:16:19,678 --> 00:16:23,682 RUN THROUGH THE STATE BANK. 540 00:16:23,682 --> 00:16:24,650 KATHERINE, IS THE PROCESS -- THE 541 00:16:24,650 --> 00:16:27,419 BUDGET PROCESS GOING TO BE ANY 542 00:16:27,419 --> 00:16:27,987 DIFFERENT THIS YEAR? 543 00:16:27,987 --> 00:16:30,222 MOST OF THE HEARINGS WERE 544 00:16:30,222 --> 00:16:31,290 VIRTUAL LAST GO ROUND. 545 00:16:31,290 --> 00:16:33,692 WILL WE BE SEEING FUNDING 546 00:16:33,692 --> 00:16:34,259 PITCHES IN-PERSON THIS TIME 547 00:16:34,259 --> 00:16:36,862 AROUND? 548 00:16:36,862 --> 00:16:38,297 >> WE DON'T HAVE THE SCHEDULE 549 00:16:38,297 --> 00:16:40,599 YET, BUT I WOULD IMAGINE THAT 550 00:16:40,599 --> 00:16:44,436 YES, IT WILL BE MORE IN-PERSON. 551 00:16:44,436 --> 00:16:45,537 I THINK THE ONE THING TO REALLY 552 00:16:45,537 --> 00:16:46,905 WATCH IN TERMS OF THIS BUDGET 553 00:16:46,905 --> 00:16:49,375 PROCESS IS I RECENTLY SPOKE WITH 554 00:16:49,375 --> 00:16:53,012 THE NEW SENATE PRESIDENT, 555 00:16:53,012 --> 00:16:54,847 SENATOR SCUTARI AND HE HAS 556 00:16:54,847 --> 00:16:56,015 INDICATED THAT HE WOULD LIKE TO 557 00:16:56,015 --> 00:16:57,082 TRY TO NOT HAVE A RUSH AT THE 558 00:16:57,082 --> 00:16:59,118 END OF THINGS, AND SO IF HE'S 559 00:16:59,118 --> 00:17:00,819 ABLE TO ACCOMPLISH THAT,LIKE AT 560 00:17:00,819 --> 00:17:04,189 THE END OF BUDGET SEASON, THERE 561 00:17:04,189 --> 00:17:05,057 ISN'T THIS MAD DASH TO NEGOTIATE 562 00:17:05,057 --> 00:17:07,926 AND PASS BILLS, THAT WOULD BE A 563 00:17:07,926 --> 00:17:11,730 MASSIVE SHIFT IN WHAT WE'VE SEEN 564 00:17:11,730 --> 00:17:12,031 IN TRENTON. 565 00:17:12,031 --> 00:17:13,399 >> DO WE KNOW WHERE ALL THE 566 00:17:13,399 --> 00:17:13,832 MONEY'S GONE? 567 00:17:13,832 --> 00:17:18,504 I MEAN, THERE'S $3.2 BILLION 568 00:17:18,504 --> 00:17:18,837 LYING AROUND. 569 00:17:18,837 --> 00:17:21,573 HAS A LOT OF IT BEEN SPENT, OR 570 00:17:21,573 --> 00:17:22,074 IS IT JUST WAITING FOR 571 00:17:22,074 --> 00:17:24,243 GUIDELINES FOR USE? 572 00:17:24,243 --> 00:17:26,545 >> IN TERMS OF THE FEDERAL 573 00:17:26,545 --> 00:17:26,979 FUNDS? 574 00:17:26,979 --> 00:17:28,380 >> THE FEDERAL MONEY, YEAH. 575 00:17:28,380 --> 00:17:29,348 >> YEAH, I MEAN, I THINK IT'S 576 00:17:29,348 --> 00:17:31,817 STILL A LOT OF IT HAS YET TO BE 577 00:17:31,817 --> 00:17:32,084 SPENT. 578 00:17:32,084 --> 00:17:33,085 AND SO THAT IS DEFINITELY 579 00:17:33,085 --> 00:17:35,187 SOMETHING THAT'S GOING TO -- I 580 00:17:35,187 --> 00:17:35,954 MEAN, A GOOD PORTION HAS BEEN 581 00:17:35,954 --> 00:17:37,790 SPENT BUT THERE'S STILL MONEY 582 00:17:37,790 --> 00:17:38,791 REMAINING, AND SO THAT'S 583 00:17:38,791 --> 00:17:39,391 DEFINITELY SOMETHING THAT'S 584 00:17:39,391 --> 00:17:40,993 GOING TO BE HASHED OUT. 585 00:17:40,993 --> 00:17:42,895 >> IF THAT FEDERAL MONEY'S NOT 586 00:17:42,895 --> 00:17:43,662 AROUND, THE GOVERNOR'S GOING TO 587 00:17:43,662 --> 00:17:45,697 HAVE TO LOOK FOR SOME PLACE ELSE 588 00:17:45,697 --> 00:17:48,901 TO GET MONEY, BUT HE SAYS NO NEW 589 00:17:48,901 --> 00:17:49,101 TAXES. 590 00:17:49,101 --> 00:17:50,769 THAT KIND OF DEPENDS ON THE 591 00:17:50,769 --> 00:17:52,237 ROBUST ECONOMY, I THINK. 592 00:17:52,237 --> 00:17:55,240 DO WE HAVE ONE OF THOSE IN NEW 593 00:17:55,240 --> 00:17:57,276 JERSEY, STACIE? 594 00:17:57,276 --> 00:17:58,744 A ROBUST ECONOMY? 595 00:17:58,744 --> 00:17:59,912 >> WE ARE DEFINITELY DOING 596 00:17:59,912 --> 00:18:02,181 BETTER THAN WE DID LAST YEAR. 597 00:18:02,181 --> 00:18:03,916 A YEAR AGO, I WOULD SAY. 598 00:18:03,916 --> 00:18:07,686 WE ARE ON OUR WAY UP. 599 00:18:07,686 --> 00:18:11,123 IT'S JUST HOW QUICKLY WE GET 600 00:18:11,123 --> 00:18:11,323 THERE. 601 00:18:11,323 --> 00:18:12,191 OUR UNEMPLOYMENT RATE HAS 602 00:18:12,191 --> 00:18:14,326 IMPROVED FROM A YEAR AGO, AND 603 00:18:14,326 --> 00:18:16,462 THERE'S MORE JOBS, BUT I THINK 604 00:18:16,462 --> 00:18:18,330 WE'VE STILL -- WE HAVEN'T GOTTEN 605 00:18:18,330 --> 00:18:18,964 TO THE POINT WE WERE 606 00:18:18,964 --> 00:18:20,866 PRE-PANDEMIC, SO I THINK THAT'S 607 00:18:20,866 --> 00:18:23,302 THE KEY LEVEL THERE TO RECOVER 608 00:18:23,302 --> 00:18:24,536 ALL THE JOBS LOST IN THE 609 00:18:24,536 --> 00:18:30,242 PANDEMIC AND THEN GROW FROM 610 00:18:30,242 --> 00:18:31,243 THERE. 611 00:18:31,243 --> 00:18:33,879 >> SO YOU'RE SAYING JOBS IS THE 612 00:18:33,879 --> 00:18:35,414 BOTTOM LINE, THE KEY INDICATOR, 613 00:18:35,414 --> 00:18:36,048 AT LEAST FOR THE STATE'S 614 00:18:36,048 --> 00:18:36,281 ECONOMY? 615 00:18:36,281 --> 00:18:38,584 >> OH, ABSOLUTELY. 616 00:18:38,584 --> 00:18:42,321 WE GOT TO GET PEOPLE BACK TO 617 00:18:42,321 --> 00:18:42,821 WORK. 618 00:18:42,821 --> 00:18:45,224 THAT'S RESTAURANTS NEED IT, 619 00:18:45,224 --> 00:18:47,226 BUSINESSES NEED EMPLOYEES, BUT 620 00:18:47,226 --> 00:18:48,360 THEY ALSO HAVE TO KEEP THEIR 621 00:18:48,360 --> 00:18:51,296 LABOR COSTS DOWN, AND THEY HAVE 622 00:18:51,296 --> 00:18:52,064 TO BE ABLE TO AFFORD TO STAY 623 00:18:52,064 --> 00:18:55,400 OPEN, SO IT'S ALL ABOUT JOBS AND 624 00:18:55,400 --> 00:18:57,369 GETTING THESE BUSINESSES BACK TO 625 00:18:57,369 --> 00:19:02,774 NORMAL AGAIN. 626 00:19:02,774 --> 00:19:04,343 >> THAT'S PART OF THE CONFLICT, 627 00:19:04,343 --> 00:19:04,543 RIGHT? 628 00:19:04,543 --> 00:19:06,378 SO MANY PEOPLE QUITTING THEIR 629 00:19:06,378 --> 00:19:07,880 JOBS BECAUSE THEY WANT A 630 00:19:07,880 --> 00:19:09,381 DIFFERENT LIFESTYLE, AND 631 00:19:09,381 --> 00:19:12,050 BUSINESS SAYING, HEY, WE NEED 632 00:19:12,050 --> 00:19:14,052 MORE EMPLOYEES, BUT WE DON'T 633 00:19:14,052 --> 00:19:16,788 WANT TO PAY ANY MORE FOR THEM. 634 00:19:16,788 --> 00:19:18,123 THAT'S -- GO AHEAD. 635 00:19:18,123 --> 00:19:21,760 >> THAT'S THE BALANCE RIGHT 636 00:19:21,760 --> 00:19:23,095 THERE, RIGHT? 637 00:19:23,095 --> 00:19:25,497 I HAVE BEEN AT THE SAME JOB FOR 638 00:19:25,497 --> 00:19:29,168 25 YEARS, SO I'M -- I DON'T KNOW 639 00:19:29,168 --> 00:19:31,136 THIS -- SO MANY PEOPLE ARE -- I 640 00:19:31,136 --> 00:19:32,271 DON'T KNOW THAT ABILITY TO JUST 641 00:19:32,271 --> 00:19:35,440 QUIT LIKE THAT OR TO JUST CHANGE 642 00:19:35,440 --> 00:19:37,976 AND SAY THAT, SO I THINK IT'S 643 00:19:37,976 --> 00:19:38,277 INTERESTING. 644 00:19:38,277 --> 00:19:39,745 THERE IS A BALANCE THERE. 645 00:19:39,745 --> 00:19:40,979 SORRY, I'M LOSING MY VOICE. 646 00:19:40,979 --> 00:19:44,049 THERE'S A BALANCE THERE BETWEEN, 647 00:19:44,049 --> 00:19:48,754 YOU KNOW, HOW MUCH YOU PAY A 648 00:19:48,754 --> 00:19:50,856 WORKER AND WHETHER IT'S WORTH 649 00:19:50,856 --> 00:19:51,023 IT. 650 00:19:51,023 --> 00:19:53,058 >> JOHN, NATIONALLY, WE'VE SEEN 651 00:19:53,058 --> 00:19:55,627 CLOSE TO 6% GROWTH OVER THE 652 00:19:55,627 --> 00:19:59,097 YEAR, ALMOST 7% FOR THE QUARTER. 653 00:19:59,097 --> 00:20:00,566 HOW DOES OUR ECONOMY MEASURE UP 654 00:20:00,566 --> 00:20:01,099 TO THAT? 655 00:20:01,099 --> 00:20:04,136 NEW JERSEY'S ECONOMY. 656 00:20:04,136 --> 00:20:06,538 >> IF YOU'RE REFERRING TO GDP 657 00:20:06,538 --> 00:20:08,473 GROWTH, YOU KNOW, NEW JERSEY'S 658 00:20:08,473 --> 00:20:09,308 HAD SOME PRETTY GOOD GDP GROWTH 659 00:20:09,308 --> 00:20:10,676 AS WELL, BUT YOU HAVE TO KEEP IN 660 00:20:10,676 --> 00:20:11,777 MIND THAT SOME OF THIS IS BEING 661 00:20:11,777 --> 00:20:13,745 MEASURED OFF OF A TIME WHEN THE 662 00:20:13,745 --> 00:20:15,814 ECONOMY WAS LARGELY SHUT DOWN ON 663 00:20:15,814 --> 00:20:18,250 PURPOSE, AND SO THE GOVERNMENT'S 664 00:20:18,250 --> 00:20:21,420 BEEN VERY ACTIVE IN TERMS OF 665 00:20:21,420 --> 00:20:22,387 INTERVENTION OVER THE -- REALLY 666 00:20:22,387 --> 00:20:24,623 GOING BACK WELL OVER A YEAR, 667 00:20:24,623 --> 00:20:27,125 SENDING OUT STIMULUS PAYMENTS TO 668 00:20:27,125 --> 00:20:29,228 INDIVIDUALS, BUMPING UP 669 00:20:29,228 --> 00:20:29,561 UNEMPLOYMENT. 670 00:20:29,561 --> 00:20:30,362 THE FED HAS BEEN REALLY ACTIVE 671 00:20:30,362 --> 00:20:32,898 WHEN IT COMES TO FINANCIAL 672 00:20:32,898 --> 00:20:35,500 MARKETS, AND SO, YOU KNOW, THE 673 00:20:35,500 --> 00:20:36,969 EFFORTS, REALLY, SINCE THE BIDEN 674 00:20:36,969 --> 00:20:38,303 ADMINISTRATION TOOK OVER, HAVE 675 00:20:38,303 --> 00:20:39,338 BEEN VERY AGGRESSIVE IN TERMS OF 676 00:20:39,338 --> 00:20:41,106 TRYING TO PREVENT A REALLY DEEP 677 00:20:41,106 --> 00:20:43,842 RECESSION, AND SO WE'RE SEEING, 678 00:20:43,842 --> 00:20:46,878 YOU KNOW, THIS ISN'T HAPPENING 679 00:20:46,878 --> 00:20:49,414 JUST ORGANICALLY OFF OF A NORMAL 680 00:20:49,414 --> 00:20:50,882 BASE, YOU KNOW? 681 00:20:50,882 --> 00:20:51,917 THIS IS BEING MEASURED OFF A 682 00:20:51,917 --> 00:20:53,118 DIFFICULT SITUATION WITH A LOT 683 00:20:53,118 --> 00:20:54,953 OF FEDERAL INTERVENTION. 684 00:20:54,953 --> 00:20:57,289 THAT ALL SAID, YOU KNOW, GROWTH, 685 00:20:57,289 --> 00:21:00,626 YOU KNOW, YOU WANT TO SEE 686 00:21:00,626 --> 00:21:00,859 GROWTH. 687 00:21:00,859 --> 00:21:03,128 BUT THAT'S JUST ONE INDICATOR. 688 00:21:03,128 --> 00:21:04,062 THE GDP NUMBER. 689 00:21:04,062 --> 00:21:04,630 AND NEW JERSEY'S SEEN SOME 690 00:21:04,630 --> 00:21:07,833 GROWTH AS WELL. 691 00:21:07,833 --> 00:21:11,303 UNEMPLOYMENT IS THE OTHER BIG 692 00:21:11,303 --> 00:21:13,405 INDICATOR, AND AS STACIE NOTED, 693 00:21:13,405 --> 00:21:15,507 IN NEW JERSEY, WE'RE BEHIND THE 694 00:21:15,507 --> 00:21:16,708 FEDERAL UNEMPLOYMENT RATE AND 695 00:21:16,708 --> 00:21:17,676 OUR PACE OF RECOVERY, WE HAVE 696 00:21:17,676 --> 00:21:18,710 HAD A LOT OF IMPROVEMENT OVER 697 00:21:18,710 --> 00:21:21,413 THE LAST YEAR, BUT OUR PACE OF 698 00:21:21,413 --> 00:21:22,447 JOB RECOVERY HAS TRAILED THE 699 00:21:22,447 --> 00:21:25,517 PACE OF THE NATIONAL RECOVERY AS 700 00:21:25,517 --> 00:21:27,753 WELL. 701 00:21:27,753 --> 00:21:29,554 NOW, THERE'S ROOM STILL TO GO ON 702 00:21:29,554 --> 00:21:32,057 THAT, BUT ONE IMPORTANT THING TO 703 00:21:32,057 --> 00:21:33,458 NOTE IS WE CAN SOMETIMES HAVE 704 00:21:33,458 --> 00:21:34,860 TWO ECONOMIES, RIGHT? 705 00:21:34,860 --> 00:21:37,296 I MEAN, THERE'S HOW PEOPLE -- 706 00:21:37,296 --> 00:21:38,463 PROFESSIONALS, UNFORTUNATELY, 707 00:21:38,463 --> 00:21:40,032 GOT IMPACTED, THEY CAN WORK FROM 708 00:21:40,032 --> 00:21:42,000 HOME AND MAYBE NOT HAVE FELT THE 709 00:21:42,000 --> 00:21:44,036 SAME PINCH THAT PEOPLE IN THE 710 00:21:44,036 --> 00:21:46,405 LOWER WAGE POSITIONS AND LOWER 711 00:21:46,405 --> 00:21:48,974 INCOME BRACKETS, IT SEEMS LIKE 712 00:21:48,974 --> 00:21:51,376 THE RECOVERY THAT STILL HAS TO 713 00:21:51,376 --> 00:21:52,344 HAPPEN, UNFORTUNATELY, IS AMONG 714 00:21:52,344 --> 00:21:53,745 THE PEOPLE WHO NEED THAT 715 00:21:53,745 --> 00:21:55,213 RECOVERY THE MOST. 716 00:21:55,213 --> 00:21:56,982 AND SO, WE HAVE TO BE CAREFUL 717 00:21:56,982 --> 00:21:58,383 ABOUT SAYING, YOU KNOW, NEW 718 00:21:58,383 --> 00:21:59,885 JERSEY'S IN THIS GREAT PLACE. 719 00:21:59,885 --> 00:22:01,286 NEW JERSEY'S HAD A LOT OF 720 00:22:01,286 --> 00:22:02,354 IMPROVEMENT OVER THE LAST 12 721 00:22:02,354 --> 00:22:04,523 MONTHS, FOR SURE, WHETHER YOU'RE 722 00:22:04,523 --> 00:22:05,891 TALKING ABOUT JOBS OR GDP 723 00:22:05,891 --> 00:22:07,759 GROWTH, BUT YOU KNOW, WE CAN'T 724 00:22:07,759 --> 00:22:09,728 LOSE SIGHT OF THOSE THAT ARE 725 00:22:09,728 --> 00:22:11,863 STILL TRYING TO RECOVER. 726 00:22:11,863 --> 00:22:14,099 >> KATHERINE, SMALL BUSINESS 727 00:22:14,099 --> 00:22:16,535 SAYS THEY'RE HURTING FOR STAFF, 728 00:22:16,535 --> 00:22:17,202 PEOPLE ARE LEAVING THEIR JOBS. 729 00:22:17,202 --> 00:22:19,237 A LOT OF PLACES EXPERIMENTING 730 00:22:19,237 --> 00:22:21,573 WITH AUTOMATION AND RESTAURANTS 731 00:22:21,573 --> 00:22:23,308 CLOSING THEIR DINING ROOMS IN 732 00:22:23,308 --> 00:22:25,277 FAVOR OF CURBSIDE PICKUP. 733 00:22:25,277 --> 00:22:26,044 WHAT'S HAPPENING HERE? 734 00:22:26,044 --> 00:22:28,847 ARE WE GOING TO LOOK BACK IN A 735 00:22:28,847 --> 00:22:31,383 DECADE AND SAY, WOW, THAT WAS A 736 00:22:31,383 --> 00:22:33,919 PARADIGM SHIFT BACK IN 2022? 737 00:22:33,919 --> 00:22:34,353 >> RIGHT. 738 00:22:34,353 --> 00:22:36,455 I MEAN, THEY'RE CALLING IT THE 739 00:22:36,455 --> 00:22:37,489 GREAT RESIGNATION FOR A REASON, 740 00:22:37,489 --> 00:22:37,689 RIGHT? 741 00:22:37,689 --> 00:22:40,192 WE'RE JUST SEEING SO MANY PEOPLE 742 00:22:40,192 --> 00:22:41,727 LEAVE THEIR JOBS, PARTICULARLY 743 00:22:41,727 --> 00:22:42,627 IN THE SERVICE SECTOR WHERE 744 00:22:42,627 --> 00:22:43,829 PEOPLE ARE KIND OF JUST FED UP 745 00:22:43,829 --> 00:22:45,864 AND THEY JUST, YOU KNOW, THEY 746 00:22:45,864 --> 00:22:46,665 SAY THAT THEY'RE DONE. 747 00:22:46,665 --> 00:22:48,133 THIS HAS BEEN REALLY HARD FOR 748 00:22:48,133 --> 00:22:50,669 BUSINESSES, YOU KNOW, AS YOU 749 00:22:50,669 --> 00:22:51,470 NOTED, WITH STAFFING. 750 00:22:51,470 --> 00:22:53,372 YOU KNOW, AND THEY FACE A LOT OF 751 00:22:53,372 --> 00:22:54,206 OTHER CHALLENGES. 752 00:22:54,206 --> 00:22:56,808 ONE BIG ISSUE IN THE BUSINESS 753 00:22:56,808 --> 00:22:59,311 COMMUNITY HAS BEEN TAX INCREASES 754 00:22:59,311 --> 00:23:02,481 AS A RESULT OF THE DEPLETING 755 00:23:02,481 --> 00:23:03,849 UNEMPLOYMENT INSURANCE FUND, SO 756 00:23:03,849 --> 00:23:05,484 THERE'S A LOT GOING ON HERE, AND 757 00:23:05,484 --> 00:23:06,718 I THINK, YOU KNOW, THERE HAS 758 00:23:06,718 --> 00:23:09,388 BEEN A LOT OF RELIEF FROM THE 759 00:23:09,388 --> 00:23:11,490 MURPHY ADMINISTRATION, YOU KNOW, 760 00:23:11,490 --> 00:23:13,859 FROM THE FEDERAL GOVERNMENT, BUT 761 00:23:13,859 --> 00:23:14,726 BUSINESSES JUST SAY, YOU KNOW, 762 00:23:14,726 --> 00:23:15,394 IT'S NOT ENOUGH. 763 00:23:15,394 --> 00:23:17,796 THEY'RE NOT ABLE TO STAFF, YOU 764 00:23:17,796 --> 00:23:18,830 KNOW, TABLES. 765 00:23:18,830 --> 00:23:20,532 I REMEMBER I WAS AT A RESTAURANT 766 00:23:20,532 --> 00:23:21,833 RECENTLY, AND THERE WAS ONE 767 00:23:21,833 --> 00:23:23,869 SERVER COVERING, LIKE, FIVE 768 00:23:23,869 --> 00:23:26,271 TABLES AND SHE HAD JUST STARTED, 769 00:23:26,271 --> 00:23:29,608 HADN'T BEEN A WAITRESS BEFORE, 770 00:23:29,608 --> 00:23:31,843 AND I THINK THAT'S EM WHBLEMATIF 771 00:23:31,843 --> 00:23:33,345 WHAT WE'RE SEEING IN RESTAURANTS 772 00:23:33,345 --> 00:23:33,645 EVERYWHERE. 773 00:23:33,645 --> 00:23:34,679 >> YEAH. 774 00:23:34,679 --> 00:23:37,315 JOHN, YOU'VE BEEN TO MORE 775 00:23:37,315 --> 00:23:38,483 PENSION BOARD MEETINGS THAN 776 00:23:38,483 --> 00:23:40,085 ANYBODY ON THIS PANEL FOR SURE. 777 00:23:40,085 --> 00:23:42,354 I SAW A REPORT THIS WEEK THAT 778 00:23:42,354 --> 00:23:46,124 SAYS THE FUND MADE UP OF MONEY 779 00:23:46,124 --> 00:23:46,758 FROM PUBLIC EMPLOYEES PENSIONS 780 00:23:46,758 --> 00:23:47,225 IS UNDERPERFORMING. 781 00:23:47,225 --> 00:23:47,826 WHAT DOES THAT MEAN TO STATE 782 00:23:47,826 --> 00:23:50,896 RESIDENTS? 783 00:23:50,896 --> 00:23:52,631 >> WELL, THE THING TO KEEP IN 784 00:23:52,631 --> 00:23:55,300 MIND IS PENSIONS IN NEW JERSEY, 785 00:23:55,300 --> 00:23:55,934 FOR PUBLIC WORKERS, SO, THESE 786 00:23:55,934 --> 00:23:57,169 ARE PEOPLE WHO HAVE SOME SORT OF 787 00:23:57,169 --> 00:23:58,804 GOVERNMENT JOB, ARE FUNDED BY 788 00:23:58,804 --> 00:24:00,739 CONTRIBUTIONS THAT THE WORKERS 789 00:24:00,739 --> 00:24:02,974 MAKE BY CONTRIBUTIONS THAT THEIR 790 00:24:02,974 --> 00:24:04,342 TAXPAYER EMPLOYERS MAKE, AND 791 00:24:04,342 --> 00:24:07,078 THEN ALL OF THE ASSETS ARE 792 00:24:07,078 --> 00:24:08,713 INVESTED IN, YOU KNOW, STOCKS 793 00:24:08,713 --> 00:24:10,282 AND BONDS AND OTHER TYPES OF 794 00:24:10,282 --> 00:24:11,950 INVESTMENTS TO HOPEFULLY GAIN 795 00:24:11,950 --> 00:24:13,652 SOME YEAR OVER YEAR GROWTH, AND 796 00:24:13,652 --> 00:24:16,922 SO WHEN WE SAY UNDERPERFORMING, 797 00:24:16,922 --> 00:24:18,056 THEY HAVE AN ASSUMED RATE, WHICH 798 00:24:18,056 --> 00:24:18,990 IS BASICALLY WHAT THEY THINK 799 00:24:18,990 --> 00:24:21,760 THESE INVESTMENTS WILL GENERATE 800 00:24:21,760 --> 00:24:23,662 ON AN ANNUAL BASIS IN TERMS OF 801 00:24:23,662 --> 00:24:25,464 EXTRA REVENUE, SO IT EASES THE 802 00:24:25,464 --> 00:24:27,098 BURDEN A LITTLE BIT ON EMPLOYEES 803 00:24:27,098 --> 00:24:29,301 AND TAXPAYERS, AND LAST FISCAL 804 00:24:29,301 --> 00:24:31,169 YEAR, WE HAD A BANNER YEAR FOR 805 00:24:31,169 --> 00:24:32,704 INVESTMENT RETURNS, ALMOST 30% 806 00:24:32,704 --> 00:24:34,573 YEAR OVER YEAR, WHICH IS, YOU 807 00:24:34,573 --> 00:24:36,508 KNOW, AT LEAST IN THE TWO 808 00:24:36,508 --> 00:24:37,342 DECADES A RECORD. 809 00:24:37,342 --> 00:24:38,677 THEY'VE COME BACK DOWN TO EARTH, 810 00:24:38,677 --> 00:24:40,312 ACCORDING TO THE MOST RECENT 811 00:24:40,312 --> 00:24:41,413 FIGURES THAT WERE REVIEWED. 812 00:24:41,413 --> 00:24:43,548 THESE THINGS TEND TO GO UP AND 813 00:24:43,548 --> 00:24:45,116 DOWN OVER THE FIVE AND TEN-YEAR 814 00:24:45,116 --> 00:24:48,587 RUNS, YOU KNOW, WE'RE RIGHT 815 00:24:48,587 --> 00:24:50,188 AROUND THAT ASSUMED RIGATE. 816 00:24:50,188 --> 00:24:51,323 IN FACT, OVER THE LAST FIVE 817 00:24:51,323 --> 00:24:52,724 YEARS, ANNUALIZED, IT'S ABOVE 818 00:24:52,724 --> 00:24:52,891 IT. 819 00:24:52,891 --> 00:24:54,693 SO WITH NUMBERS, YOU CAN LOOK AT 820 00:24:54,693 --> 00:24:55,594 THEM IN A MILLION WAYS AND, YOU 821 00:24:55,594 --> 00:24:56,695 KNOW, IN THE SHORT-TERM, THAT 822 00:24:56,695 --> 00:24:58,663 WAS A LITTLE BIT OF A CONCERN, 823 00:24:58,663 --> 00:25:01,700 BUT THE BIG PICTURE, AT LEAST IN 824 00:25:01,700 --> 00:25:02,334 TERMS OF INVESTMENT RETURNS, YOU 825 00:25:02,334 --> 00:25:04,069 KNOW, THE PENSION FUND IS STILL 826 00:25:04,069 --> 00:25:04,736 IN A DEEP HOLE BECAUSE THE STATE 827 00:25:04,736 --> 00:25:07,138 DID NOT FUND IT PROPERLY FOR 828 00:25:07,138 --> 00:25:08,607 MORE THAN TWO DECADES, BUT IN 829 00:25:08,607 --> 00:25:10,342 TERMS OF THE LATEST INVESTMENT 830 00:25:10,342 --> 00:25:11,476 RETURNS, YOU KNOW, A LITTLE 831 00:25:11,476 --> 00:25:13,745 BELOW THE ASSUMED RATE, BUT 832 00:25:13,745 --> 00:25:15,580 STILL HOLDING ON IN THE BLACK. 833 00:25:15,580 --> 00:25:19,284 >> JOHN, STACIE, KATHERINE, GOOD 834 00:25:19,284 --> 00:25:20,085 TO SEE YOU ALL. 835 00:25:20,085 --> 00:25:23,021 THANKS FOR HANGING OUT WITH US 836 00:25:23,021 --> 00:25:23,221 TODAY. 837 00:25:23,221 --> 00:25:25,590 THAT WAS "ROUNDTABLE" FOR THE 838 00:25:25,590 --> 00:25:25,790 WEEK. 839 00:25:25,790 --> 00:25:27,826 THANKS ALSO TO SENATOR VIN 840 00:25:27,826 --> 00:25:28,059 GOPAL. 841 00:25:28,059 --> 00:25:30,262 FOLLOW ME ON 842 00:25:30,262 --> 00:25:31,129 TWITTER, @DAVIDCRUZNJ, AND 843 00:25:31,129 --> 00:25:32,264 SUBSCRIBE TO THE YOUTUBE CHANNEL 844 00:25:32,264 --> 00:25:35,467 FOR MORE INTERESTING STUFF LIKE 845 00:25:35,467 --> 00:25:38,637 "CHAT BOX," NJ SPOTLIGHT NEWS 846 00:25:38,637 --> 00:25:39,538 AND LIVE STREAMS OF OTHER 847 00:25:39,538 --> 00:25:40,205 IMPORTANT EVENTS. 848 00:25:40,205 --> 00:25:42,407 THANKS FOR WATCHING. 849 00:25:42,407 --> 00:25:45,977 I'M DAVID CRUZ. 850 00:25:45,977 --> 00:25:46,611 >> Announcer: MAJOR FUNDING FOR 851 00:25:46,611 --> 00:25:48,079 "REPORTERS ROUNDTABLE" WITH 852 00:25:48,079 --> 00:25:48,680 DAVID CRUZ IS PROVIDED BY NEW 853 00:25:48,680 --> 00:25:49,314 JERSEY REALTORS, THE VOICE FOR 854 00:25:49,314 --> 00:25:51,283 REAL ESTATE IN NEW JERSEY. 855 00:25:51,283 --> 00:25:52,317 MORE INFORMATION IS ONLINE AT 856 00:25:52,317 --> 00:25:55,487 NJREALTOR.COM. 857 00:25:55,487 --> 00:25:57,589 RWJBARNABAS HEALTH. 858 00:25:57,589 --> 00:25:59,724 LET'S BE HEALTHY TOGETHER. 859 00:25:59,724 --> 00:26:01,893 AND BY NJM INSURANCE GROUP, 860 00:26:01,893 --> 00:26:02,928 SERVING THE INSURANCE NEEDS OF 861 00:26:02,928 --> 00:26:05,063 NEW JERSEY RESIDENTS AND 862 00:26:05,063 --> 00:26:05,664 BUSINESSES FOR MORE THAN 100 863 00:26:05,664 --> 00:26:11,303 YEARS. 864 00:26:11,303 --> 00:26:12,904 ROWEN UNIVERSITY, EDUCATING NEW 865 00:26:12,904 --> 00:26:14,139 JERSEY LEADERS, PARTNERING WITH 866 00:26:14,139 --> 00:26:15,273 NEW JERSEY BUSINESSES, 867 00:26:15,273 --> 00:26:16,875 TRANSFORMING NEW JERSEY'S 868 00:26:16,875 --> 00:26:17,108 FUTURE. 869 00:26:17,108 --> 00:26:17,809 PROMOTIONAL SUPPORT IS PROVIDED 870 00:26:17,809 --> 00:26:19,911 BY "NEW JERSEY BUSINESS 871 00:26:19,911 --> 00:26:21,479 MAGAZINE," THE MAGAZINE OF THE 872 00:26:21,479 --> 00:26:23,615 NEW JERSEY BUSINESS AND INDUSTRY 873 00:26:23,615 --> 00:26:25,183 ASSOCIATION, REPORTING TO 874 00:26:25,183 --> 00:26:27,285 EXECUTIVE AND LEGISLATIVE 875 00:26:27,285 --> 00:26:28,887 LEADERS IN ALL 21 COUNTIES OF 876 00:26:28,887 --> 00:26:30,989 THE GARDEN STATE SINCE 1954. 877 00:26:30,989 --> 00:26:33,625 AND BY POLITICO'S "NEW JERSEY 878 00:26:33,625 --> 00:26:36,761 PLAYBOOK," A TOPICAL NEWSLETTER 879 00:26:36,761 --> 00:26:37,395 ON GARDEN STATE POLITICS, ONLINE 880 00:26:37,395 --> 00:26:37,762 AT POLITICO.COM