>>> A DEMOCRATIC GOVERNOR, A

DEMOCRATIC LEGISLATIVE

LEADERSHIP AND NO AGREEMENT ON

TAXING THE RICH.

>> Announcer: MAJOR FUNDING FOR

"REPORTERS ROUNDTABLE" WITH

MICHAEL ARON IS PROVIDED BY NEW

JERSEY REALTORS.

THE VOICE FOR REAL ESTATE IN NEW

JERSEY.

MORE INFORMATION IS ONLINE AT

NJREALTOR.COM.

RWJ BARNABAS HEALTH.

LET'S BE HEALTHY TOGETHER.

AND BY NJM INSURANCE GROUP.

SERVING THE INSURANCE NEEDS OF

RESIDENTS AND BUSINESSES FOR

MORE THAN 100 YEARS.

PROMOTIONAL SUPPORT PROVIDED BY

NEW JERSEY BUSINESS MAGAZINE.

THE MAGAZINE THAT THE NEW JERSEY

BUSINESS AND INDUSTRY

ASSOCIATION REPORTING TO

EXECUTIVE AND LEGISLATIVE

LEADERS IN ALL 21 COUNTIES OF

THE GARDEN STATE SINCE 1954.

>>> WELCOME TO "REPORTERS

ROUNDTABLE."

I'M MICHAEL ARON.

SENATE BUDGET COMMITTEE CHAIRMAN

PAUL STAR LOW CALLED IT OPENING

DAY, THE DAY WHEN THE STATE

TREASURER COMES BEFORE THE

BUDGET COMMITTEE TO DEFEND THE

GOVERNOR'S NEW SPENDING PLAN.

THIS YEAR THE BIG STICKING POINT

IS THE MILLIONAIRE'S TAX.

MOST LAWMAKERS SHUN IT.

THE GOVERNOR, A MILLIONAIRE

HIMSELF, SAID PEOPLE LIKE HIM

CAN AFFORD IT.

AND THE MONEY CAN BE USED TO

INVEST IN THE MIDDLE CLASS.

>> DURING THIS ADMINISTRATION

YOU'VE PASSED OVER 2 --

LEGISLATURE SIGNED IN OVER

$2.25 BILLION IN TAX HIKES.

HOW DOES THAT HELP THE MIDDLE

CLASS?

>> THE VAST MAJORITY OF OUR

REVENUE, OUR NEW REVENUES FOR

THIS PAST BUDGET AND THIS BUDGET

ARE -- COME, THOUGH, FROM THE

HIGHEST EARNERS IN THE STATE.

>> WOULD THE ADMINISTRATION

CONSIDER IF WE WERE -- IF THE

LEGISLATURE WAS TO COME UP WITH

AN ADDITIONAL $447 MILLION IN

SUSTAINABLE SAVINGS TO OFFSET

THE MILLIONAIRE'S TAX, IS THAT

SOMETHING THE ADMINISTRATOR

WOULD CONSIDER.

>> THE TREASURER RESISTED THAT

IDEA EXPLAINING THE STATE NEEDS

THAT REVENUE.

>> WE HAVE INCREASED PENSION

PAYMENTS AND INCREASED EDUCATION

FUNDING PAYMENTS TO NAME A

COUPLE.

>> THE STATE INCOME TAX WOULD

RISE FROM 8.97% TO 10.75% ON

INCOME ABOVE A MILLION DOLLARS.

THE SENATE PRESIDENT AND

ASSEMBLY SPEAKER OPPOSE IT.

ACCORDING TO A FDU POLL THIS

WEEK, 46% OF NEW JERSEYANS

STRONGLY SUPPORT IT, 26%

SOMEWHAT SUPPORT IT, AND 14%

STRONGLY OR SOMEWHAT OPPOSE.

JOINING US NOW WITH THEIR OWN

ASSESSMENT, NICK OKOCHELA, AND

JOE HERNANDEZ STATE HOUSE

REPORTER FOR HYY AND BGO RADIO,

MICHAEL SIMMONS, STATE HOUSE

REPORTER FOR NEW JERSEY 101.5

RADIO AND DAVID CRUZ, SENIOR

CORRESPONDENT FOR NJTV NEWS.

NICK, WHAT ARE THE PROSPECTS FOR

THE MILLIONAIRE'S TAX.

>> NOBODY COULD TELL BUT THE

LEGISLATIVE LEADERSHIP SEEMS SO

ADAMANTLY OPPOSED AND WITH THE

ASSEMBLY UP, MAYBE IT WILL THROW

THEM A COMPROMISE.

LAST TIME IT WAS EVERYBODY OVER

$5 MILLION AND MAYBE $4 MILLION

OR $3 MILLION BUT I DON'T SEE --

>> YOU JUST SOLVED THE WHOLE

PROBLEM.

>> THEY DON'T ASK ME.

>> JOE, WHAT IS YOUR TAKE ON

THIS?

>> YEAH, I DON'T KNOW.

I MEAN WHEN WE HEARD THE

GOVERNOR'S PROPOSED BUDGET MANY

LAWMAKERS SAID IS SET A BETTER

TONE THAN LAST YEAR AND IT WAS

MORE COL EEJAL AND EVERYBODY WAS

GETTING ALONG BETTER THAN LAST

YEAR SO MAYBE THE TABLE IS SET

IN A WAY THAT IS MORE -- MIGHT

ALLOW SOMETHING LIKE THIS TO

HAPPEN.

BUT AS WE'VE HEARD A LOT OF TOP

DEMOCRATS IN THE LEGISLATURE

DON'T WANT IT.

>> MIKE, THE FORMER

GUBERNATORIAL PRESS SECRETARY

CARL GOTTON WHO I FREQUENTLY

QUOTE AT THIS TABLE, WROTE THIS

WEEK THE MILLIONAIRE'S TAX IS

OFF THE TABLE AND THERE IS A

STALEMATE AHEAD AND THAT WE MAY

WELL HAVE A SHUTDOWN IN JULY.

WHAT DO YOU THINK?

>> I GUESS THAT IS CONCEIVABLE.

WHEN THE SENATE BUDGET COMMITTEE

HEARING ENDED REPORTS SAID TO

SENATOR SAR LOWE, SO THE

MILLION'S TAX IS DEAD.

AND HE SAID WE'RE NOT SAYING

THAT YET.

AND THEY'RE NOT CLOSING THE DOOR

ON THAT.

IN ADDITION TO THE SAVINGS THAT

THEY WOULD NEED TO COME WITH TO

OFFSET A MILLIONAIRE'S TAX AND

THERE IS TALK ABOUT NEW JERSEY

TRANSIT AND CONCERNS ABOUT

DIRECT SERVICE AND PROFESSIONALS

AND WHAT THE MINIMUM WAGE

INCREASE COULD MEAN FOR

STABILITY IN THAT INDUSTRY.

AND SO THERE IS A LOT OF MOVING

PARTS THE BIGGEST IS HOW DOES

THE INCOME TAX DUE IN APRIL AND

WHAT DOES THE LANDSCAPE LOOK

LIKE IN MAY AND UNTIL THEN IT IS

ALL SORT OF TRYING -- IT IS

PRELIMINARY.

>> DAVID, HOW DO YOU SEE IT?

>> WELL, IT SHOULD BE NOTED UP

FRONT THAT MICHAEL SIMMONS IS

THE OFFICIAL SHUTDOWN CHEF.

WHENEVER THERE IS A SHUTDOWN AND

WE'RE ALL BACK DOWN IN TRENTON

WAITING TO SEE WHEN IT ENDS OR

BEGINS --

>> HE BARBECUES.

>> HE BARBECUES, THAT IS RIGHT.

BUT I LIKE NICK'S IDEA OF LAST

YEAR THEY OFFERED $5 MILLION AND

MAYBE THIS YEAR THEY'LL GO TO

$2.5 MILLION AND MAKE IT MORE

MANAGEABLE.

AND I LIKE SARLO SAYING WE COULD

COME UP WITH $400 MILLION FOR

YOU.

I DON'T SEE HOW THEY'LL AVOID A

SHUTDOWN.

>> I THINK THERE IS SOME

SERIOUSNESS IN THAT SUGGESTION.

IN A $38.6 BILLION BUDGET, TO

FIND AN ADDITIONAL $447 MILLION

IN CUTS IS NOT THAT HIGH A LIFT

OR HIGH A BAR, RIGHT?

>> IT IS NOT EVEN A ROUNDING

ERROR.

>> EXCEPT THE ADMINISTRATION HAS

ALREADY -- I THINK THEY MIGHT

SAY COME UP WITH $800 MILLION IN

CUTS TO PUBLIC EMPLOYEE HEALTH

CARE, SO --

>> $200 MILLION ON TOP OF THAT

IN DEPARTMENTAL SAVINGS.

>> AND THEY JUST LEGALIZED

MARIJUANA, THEY WOULD BE ON

THEIR WAY.

>> THE MAIN THING THAT SENATE

PRESIDENT SWEENEY SEEMS TO BE

INTENT ON RIGHT NOW IS THIS IDEA

ABOUT CHANGING THE HEALTH

BENEFITS PLAN FOR TEACHERS AND

THAT WOULD HAVE SOME IMPACT ON

THE STATE BUDGET BUT THAT WOULD

HAVE A LIMITED IMPACT ON THE

STATE BUDGET.

THAT IS A BIGGER IMPACT ON

LOCAL --

>> LET'S TALK ABOUT THAT FOR A

SECOND.

THE SENATE PRESIDENT HAS WHAT HE

CALLS HIS PATH TO PROGRESS PLAN,

MUCH DISCUSSED FOR ABOUT NINE

MONTHS NOW.

AMONG OTHER THINGS IT WOULD

CHANGE THE PENSION SYSTEM TO

MAKE IT LESS BURDENSOME ON THE

STATE AND A LITTLE MORE

BURDENSOME ON THE WORKERS.

AND IT WOULD REDUCE PUBLIC

WORKER HEALTH BENEFITS FROM

PLATINUM LEVEL TO GOLD AS

DEFINED BY THE OBAMA HEALTH LAW.

MY UNDERSTANDING IS THAT HE'S

GOING TO INTRODUCE LEGISLATION

TO THESE EFFECTS IN THE VERY

NEAR FUTURE, WITHIN WEEKS.

THAT IS GOING TO THROW A LITTLE

KIND OF A BOMB RIGHT INTO THIS

WHOLE BUDGET PROCESS, IS IT NOT?

>> NO, ABSOLUTELY.

BUT I THINK YOU'RE GOING TO SEE

THE GOVERNOR SAY ABSOLUTELY NOT.

HE INSISTS THAT ALL OF THIS MUST

BE DONE THROUGH COLLECTIVE

BARGAINING AND HE'S GOT THE

FINAL SAY.

HE'S GOT THE PEN.

>> SO THAT IS ANOTHER POTENTIAL

STUMBLING BLOCK.

>> I THINK THAT HAS BEEN THE

STUMBLING BLOCK ALL ALONG.

FROM BEFORE HE WAS INAUGURATED,

I THINK THAT WAS THE BONE OF

CONTENTION BETWEEN HIM AND

SWEENEY.

>> PUBLIC WORKER BENEFITS.

>> GOING ALL THE WAY BACK TO

SWEENEY BEING ATTACKED BY THE

NJEA DURING THE ELECTION AND

MURPHY NOT DOING ANYTHING TO

CALL THEM OFF.

>> WHAT ABOUT THE PATH TO

PROGRESS BEING ACTUALLY AN

IMPEDIMENT TO PROGRESS?

>> I THINK THAT THE PATH TO

PROGRESS BILLS ARE COMING AND

THEY'RE ALL GOING TO GET

HEARINGS BUT I DON'T EVEN

THINK -- SWEENEY SEES THEM ALL

AS SOMETHING DONE BY THIS JUNE.

THAT'S A LONG PROCESS AND SOME

OF THAT MIGHT HAPPEN THIS YEAR

AND SOME OF IT MIGHT HAPPEN THE

FOLLOWING YEAR AND SOME OF IT

MIGHT NEVER HAPPEN.

BUT, YEAH, IT IS GOING TO BE

PART OF THIS YEAR'S

CONVERSATIONS.

>> ARE THERE ANY OTHER STICKING

POINTS IN THE BUDGET BESIDES THE

MILLIONAIRE'S TAX?

>> A LITTLE BIT ON THE SURPLUS.

>> ON THE SURPLUS?

>> THEY KEEP SAYING WELL MAYBE

IT IS TOO BIG AND WE COULD USE

SOME OF THAT MONEY --

>> IT IS OVER A BILLION DOLLARS.

FOR THE SECOND YEAR IN A ROW.

FIRST TIME THAT EVER HAPPENED

BECAUSE BUDGETS GROW OVER TIME

AS WELL.

>> RIGHT.

>> THE TREASURER KEEPS SAY THAT

OTHER STATES AND I'VE SAID IT AS

WELL -- OTHER S HAVE SAID IT AS

ALL, OTHER STATES PUT IT IN 8.4%

OF THE BUDGET TOWARD SURPLUS AND

I CAN'T BELIEVE THAT IS THE CASE

AND OURS IS 3% AND WE CAN'T

AFFORD TO LET IT GO UNDER 3% AND

THE RATING AGENCIES IN NEW YORK

WILL HOWL AND DROP OUR BOND

RATING YET AGAIN.

BUT IT SEEMS THAT A BILLION

DOLLARS SURPLUS IS JUST SITTING

THERE FOR A RAINY DAY AND MAYBE

THE ALTERNATIVE, RAISING THE

MILLIONAIRE'S TAX WOULD LOOK

LIKE A RAINY DAY TO THE

LEGISLATORS.

>> OR MIGHT NOT BE SITTING

THERE, TO GO BACK TO WHAT

MICHAEL WAY SAYING.

IT DEPENDS ON TAX COLLECTIONS.

IF TAX COLLECTIONS TANK, YOU

DON'T HAVE YOUR BILLION DOLLARS

SURPLUS.

>> GO AHEAD.

>> THERE ARE LAWMAKERS TALKING

ABOUT HOW NJ TRANSIT NEEDS MORE

MONEY.

SO THAT IS MORE THAN A COUPLE

MILLION DOLLARS IF THEY'RE GOING

TO FUND IT TO THE LEVEL THAT

THEY THINK IS APPROPRIATE.

SO THAT IS SOMETHING ELSE THAT

COMES OUT OF THIS POTENTIAL

SURPLUS.

>> AND REPUBLICANS ALL OF A

SUDDEN ARE SAYING WE SHOULD PUT

MORE INTO PUBLIC SCHOOLS, JOHN

DEMARROW THE OFFICER IN THE

ASSEMBLY SAID WHY ARE WE

SPENDING MONEY ON NEW THINGS

LIKE PRE-K AND FREE COMMUNITY

COLLEGE WHEN WE'RE NOT FUNDING

THE SCHOOL FUNDING FORMULA.

SCHOOL FUNDING IS A STICKING

POINT EVEN THOUGH IT IS UP

$200 MILLION, DEMAYO'S POINT IS

LAST YEAR YOU ONLY RAISED IT AND

WHY ONLY $200 MILLION THIS YEAR.

>> AND AT THE PUBLIC HEARINGS

THERE WERE WAVES OF SCHOOL

SUPERINTENDENTS COMING TO

TESTIFY FROM THE DISTRICTS THAT

ARE LOSING MONEY.

IT IS PART OF PUTTING NEW MONEY

TO THE FORMULA, THERE ARE ALSO

ADJUSTMENTS IN THE FORMULA SO I

DON'T REMEMBER OFF THE TOP OF MY

HEAD THE PERCENTAGE BUT

DISTRICTS ARE GETTING LESS

MONEY.

>> NEARLY 200 DISTRICTS GETTING

LESS MONEY AND PATTERSON CAME

BEFORE THE COMMITTEE SAYING

WE'RE GETTING SO MUCH LESS UNDER

THIS NEW FORMULA THAT WE'RE

GOING TO HAVE TO LAY OFF 232

EMPLOYEES, 150 OF THEM TEACHERS,

12 OR 13 PRINCIPALS.

SO I THINK SCHOOL FUNDING IS

ANOTHER AREA WE'RE GOING TO BE

HEARING ABOUT.

>> THOSE HEARINGS WERE PACKED

WITH TEACHERS AND

SUPERINTENDENTS AND PRINCIPALS

SAYING IT IS GREAT YOU'RE

PUTTING MORE MONEY INTO THIS

OVERALL BUT BECAUSE OF THE

CHANGES WE'RE LOSING OUT SO

WE'RE NOT ACTUALLY HAPPY WITH

HOW THIS FORMULA HAS CHANGED.

>> MEANWHILE MIKE SIMMONS WROTE

A BUDGET-RELATED PIECE A WEEK

AND A HALF AGO THAT CAUGHT MY

ATTENTION ABOUT HOMESTEAD

REBATES, WHICH HAVE ALWAYS BEEN

AN ICONIC ELEMENT OF STATE

BUDGETS GOING BACK TO WHEN

BENNOT VERN INVENTED THE

HOMESTEAD REBATE BEFORE HIS

ELECTION AND PEOPLE GOT A BIG

CHECK IN THE MAIL TWO WEEKS

BEFORE ELECTION DAY AND

RE-ELECTED BRENDON BURN AND

ALREADY LOOKED AT CLOSELY UNTIL

RECENT YEARS WHERE IT IS GOING

UNDER THE RADAR AND IT IS NOT

THE PROGRAM IT USED TO BE.

>> RIGHT.

>> GIVE US THE FACTS ON THAT.

>> AT ITS PEAK, AND I GUESS IT

WAS JOHN CORZINE'S SECOND YEAR

IT ACCOUNTS FOR ONE OF EVERY $15

THE STATE GOVERNMENT SPENT THAT

YEAR OUT OF ITS OWN BUDGET AND

THEN THE UPCOMING BUDGET IS

SUPPOSED TO BE ONE OUT OF EVERY

$135 THE STATE SPENDS.

DOESN'T MEAN THERE ARE NOT OTHER

FORMS OF PROPERTY TAX RELIEF,

BUT IT IS SCHOOL AID AND PICKING

UP THE CONTRIBUTION TO THE

TEACHERS PENSION FUND AND THINGS

LIKE THAT BUT THE DIRECT AID

THAT GOES OUT HAS -- BASICALLY

THE CUT-OFF TO QUALIFY FOR

HOMESTEAD REBATE, IF YOU ARE NOT

A SENIOR CITIZEN, IS $75,000 IN

INCOME AND THERE IS PLENTY OF

FAMILIES THAT ARE SOLIDLY,

SOLIDLY MIDDLE CLASS WHO BY THAT

MEASURE ARE CONSIDERED RICH AND

DON'T QUALITY.

>> AND I DON'T THINK THE REBATE

IS AS BIG AS IT USED TO BE.

I REMEMBER DAYS WHEN VIRTUALLY

EVERY MIDDLE CLASS HOMEOWNER IN

THE STATE WAS GETTING A THOUSAND

DOLLARS FROM THE STATE AND NOW

WHAT DO THEY GET IN $335?

>> ENOUGH TO GO OUT TO DINNER.

>> THEY AVERAGE $400 IN THE

COMING YEAR FOR THOSE WHO STILL

QUALIFY FOR IT.

SO YOU COULD ARGUE IT WAS AN

INEFFECTIVE WAY OF DOING

PROPERTY TAX RELIEF RATHER THAN

TAKE MY MONEY AND WASH IT AND

SEND IT BACK, JUST COLLECT IT.

>> AND GOVERNOR CHRIS CHRISTIEI

CHANGES THAT YOU DON'T GET A

CHECK ANY MORE, IT IS APPLIED TO

YOUR PROPERTY TAX BILL FROM

THE -- SO YOU DON'T EVEN SEE IT.

>> NOW THE HOMESTEAD CREDIT

PROGRAM.

>> RIGHT.

YOU DON'T EVEN SEE THE CHECK.

SO --

>> IT IS CERTAINLY -- THAT WAS A

GOOD GOVERNMENT MOVE BY CHRIS

CHRISTIE.

>> GOOD GOVERNMENT MOVE BUT

DIDN'T MAKE PEOPLE HAPPY.

>> IT LOST ITS EFFECTIVENESS AS

A POLITICAL TOOL.

>> ABSOLUTELY.

>> YEAH.

AND AGAIN, CHRISTIE DID THAT

INTENTIONALLY.

>> YEAH.

>> TO HIS CREDIT.

>> YES.

>> OKAY.

>> A LOT OF WHAT THE STATE DOES

NOW HAS DIRECT --

>> TO HIS CREDIT, THAT IS A PUN

BY THE WAY.

>> VERY GOOD, MICHAEL.

>> A LOT OF DIRECT PROPERTY TAX

RELIEF IS NOW ALLOWING --

ENCOURAGING PEOPLE TO DEDUCT

MORE OF THE PROPERTY TAXES WHEN

THEY PAY INCOME TAXES AND SO IT

IS -- IT IS DIRECT RELIEVE BUT

IT IS ALSO HAS THE ADVANTAGE OF

IT IS NOT MONEY THAT THE STATE

TULLY SPENDS, IT IS A TAX

EXPENDITURE THAT THE STATE

FOREGOES INCOME BY ALLOWING YOU

TO REDUCE YOUR INCOME TAX AND SO

IT DOESN'T COUNT.

WHEN WE SIGN A $38 BILLION

BUDGET, THAT SPENDING ISN'T PART

OF THAT $38.

>> AND YOU SAY IT WAS 2-.2

BILLION DOLLARS PROGRAM BACK

WHEN AND NOW IT IS HOW MUCH IN

THE BUDGET?

>> ONCE YOU INCLUDE THE --

WITH SENIORS AND THINGS, I WANT

TO SAY IT IS -- I'LL GET IT

WRONG AND REGRET THIS, BUT IT IS

AROUND $500 MILLION.

>> OKAY.

LET'S MOVE ON.

GOVERNOR MURPHY HAD A FULL WEEK.

HE WAS IN LOS ANGELES MONDAY

TALKING TO HOLLYWOOD EXECUTIVES

ABOUT SHOOTING MORE FILMS HERE.

HE GAVE AN INTERVIEW TO NJ

SPOTLIGHT PUBLISHED THIS WEEK

SAYING HE HAD NO BIG INITIATIVES

PLANNED.

JUST WANTED TO FOCUS ON TRANSIT,

EDUCATION AND FIXING THE STATE'S

FINANCES.

HE DID AN EVENT ON THURSDAY TO

UNDERSCORE THE ADDED FUNDING

SLATED FOR EDUCATION IN HIS

PROPOSED BUDGET.

AND HE SAID THE CONGESTION

PRICING PLAN THAT NEW YORK

APPEARS TO BE ADOPTING IS UNFAIR

TO NEW JERSEY.

>> I HAVE STRONG CONCERNS

STARTING WITH THE LACK OF

SIGNALS FROM THE MTA THAT EITHER

GEORGE WASHINGTON BRIDGE

COMMUTERS WILL BE TREATED

EQUALLY WITH COMMUTERS ENTERING

MIDTOWN MANHATTAN VIA THE

LINCOLN AND HOLLAND TUNNELS OR

THAT NJ TRANSIT AND PASS WILL

GET ADDITIONAL CAPITAL SUPPORT

FROM CONGESTIVE PRICING.

>> JOE, WHAT DO WE KNOW ABOUT

WHAT IS ACTUALLY HAPPENING IN

NEW YORK CITY AND WITH

CONGESTION PRICING?

>> WELL, IT SEEMS LIKE THIS IS A

BONAFIDE EFFORT ON MURPHY'S PART

FOR PEOPLE LOOKING IN NEW JERSEY

AND WORKING IN NEW YORK AND

DOESN'T WANT THEM DOUBLY TAXED,

I DON'T THINK THAT IT WOULD GO

OVER WELL FOR NEW JERSEYANS

ALREADY PAYING PLENTY OF TAXES

TO HAVE TO PAY THIS AGAIN.

SO I THINK THERE WAS A REPORT IN

MAYBE POLITICO TODAY THAT SAID

MURPHY IS TRYING TO TALK TO NEW

YORK GOVERNOR CUOMO ABOUT

SOMEHOW FIGURING OUT IN A WAY

THAT DOESN'T HURT DRIVERS HERE.

>> DAVID, YOU LIVE CLOSE TO THE

NEW YORK BORDER.

WHAT IS THE POTENTIAL IMPACT ON

NEW JERSEY?

>> WELL, I THOUGHT IT WAS

INTERESTING THAT JERSEY CITY

MAYOR STEVEN PHILIP FLOATED THE

IDEA THAT MAYBE THERE SHOULD BE

A REVERSE TAX FOR NEW YORKERS

WHO ARE VISITING INTO NEW

JERSEY.

I THINK THERE IS SO MANY

DIFFERENT WAYS, RIGHT?

BECAUSE IF CONGESTION PRICING

SUCCEEDS AT GETTING PEOPLE OUT

OF THEIR CARS, THEY'LL START

HITTING THE RAILS AND NJ TRANSIT

IS AT CAPACITY.

AND THE PATH SYSTEM GOING INTO

NEW YORK IS AT CAPACITY.

SO NOT ONLY WILL YOU HAVE THOSE

SYSTEMS EVEN MORE OVERBURDENED,

BUT THEY'RE NOT GOING TO REAP

ANY OF THE BENEFITS ECONOMICALLY

FROM IT AND WE'LL HAVE TO PAY

MORE TO INCREASE SERVICE OR

SOMETHING ALONG THOSE LINES.

>> SO YOU ALSO LIVE CLOSE TO THE

NEW YORK BORDER.

FROM WHAT I GATHER, FROM WHAT

THE GOVERNOR IS SAYING, WE DON'T

WANT GEORGE WASHINGTON BRIDGE

COMMUTERS TO HAVE TO PAY THE

TOLL AND THE CONGESTION

SURCHARGE.

>> RIGHT.

>> DOES THAT MEAN THAT LINCOLN

TUNNEL USERS AND HOLLAND TUNNEL

USERS HAVE ALREADY BEEN EXEMPTED

FROM HAVING TO PAY THAT?

>> NO, I THINK IT IS THE OTHER

WAY AROUND.

THE TUNNEL PEOPLE WILL AND THE

GEORGE WASHINGTON BRIDGE

COMMUTERS WON'T PAY IT, WHICH

STRIKES ME AS TOTALLY INSANE.

IF YOU ARE GOING TO --

>> EVERYBODY WILL GO TO THE

BRIDGE.

>> OF COURSE.

AND THEN YOU'LL HAVE TOTAL

CHAOS.

>> WHICH YOU ALREADY HAVE.

>> YOU ALREADY HAVE IT.

IT HAS TO BE DONE EQUITABLY.

BECAUSE THEY'RE SAYING THE

CONGESTION PRICING IS ONLY FOR

BELOW 60th STREET BUT IT DOESN'T

TAKE A GENIUS TO FIGURE OUT IF

GOW OVER THE GEORGE WASHINGTON

BRIDGE YOU COULD BE AT 60th

STREET VERY QUICKLY.

OR MAYBE NOT SO QUICKLY IN THE

MORNING.

BUT IT HAS TO BE DONE EQUITABLY

AND SOME OF THE BENEFIT HAS TO

COME BACK TO NEW JERSEY, THE

TRANSIT SYSTEM IN NEW JERSEY.

>> IS THIS TOUCHING OFF A NEW

ROUND OF NEW YORK/NEW JERSEY

HOSTILITY OR WARFARE?

>> WELL AT LEAST THE GOVERNORS

GET ALONG WELL.

SO THAT IS A POSITIVE THING.

BUT THE FACT THAT THEY'RE BOTH

DEMOCRATS MEANS THAT THEY'LL

SOMEHOW SCREW THAT UP, I THINK.

[ LAUGHTER ]

>> WE'VE SEEN THAT MOVIE BEFORE.

>> EXACTLY.

>> I GUESS THERE IS -- THERE IS

THAT POSSIBILITY.

THERE IS ALSO -- IF HIGH TAXES

INFLUENCE BEHAVIOR, THEN MAYBE

THERE IS A WAY FOR NEW JERSEY TO

TRY TO TURN THIS INTO A BENEFIT

FOR -- ENCOURAGING PEOPLE TO

FIND JOBS ON THE JERSEY SIDE OF

THE RIVER AND IF YOU SITE

YOURSELF IN SUSSEX YOU COULD

BENEFIT --

>> AND ANOTHER BENEFIT IS THE

ORIGINAL REASON FOR DOING THIS

WHICH IS TO UNCLOG THE STREETS

OF MANHATTAN TO SOME EXTENT.

AND WHAT ELSE?

WHAT ARE THE OTHER -- AND I'M

SORRY, AND TO FIX THE SUBWAYS.

THE NEW YORK CITY SUBWAYS ARE

NOT IN GOOD SHAPE.

>> THAT IS WHERE THE BULK OF THE

MONEY WOULD GO.

>> I THINK THAT IS A MAJOR

FALLACY.

IF YOU THINK THAT CONGESTION

PRICING IS GOING TO EASE TRAFFIC

IN MANHATTAN DURING THE DAY

BELOW 60th STREET, YOU'RE CRAZY.

WILL THAT MONEY GO TOWARD

IMPROVEMENTS IN THE SUBWAY

SYSTEM?

PERHAPS.

BUT WHEN ARE YOU GOING TO SEE

THAT HAPPEN?

THEY'RE SUPPOSED TO BE BUILDING

A SECOND AVENUE SUBWAY OVER

THERE AS WELL.

SO I MEAN, THERE IS CERTAINLY

THE POTENTIAL FOR IMPROVEMENTS

FOR PEOPLE IN MANHATTAN AND THEN

IN THEORY THOSE OF US FROM

JERSEY WHO VISIT MANHATTAN BUT I

THINK THAT -- IT IS LIKE ALL OF

THE TRANSIT SYSTEMS, I TAKE THE

LIGHT RAIL IN JERSEY CITY AND

THE DEVELOPMENT IN JERSEY CITY

IS MAKING THE LIGHT RAIL ALMOST

UNCOMFORTABLE IN THE MORNING.

IT IS LIKE THEY DESIGN THE

TRANSIT SYSTEMS TO BECOME

IMMEDIATELY OVERBURDENED.

IT'S RAILLY KIND OF VERY WEIRD

THE WAY THEY DO THAT.

>> MEANWHILE, A POLL CAME OUT

THIS WEEK, WE SAW WHAT IT SAID

ABOUT THE MILLIONAIRE'S TAX.

IT ALSO ASKED ABOUT GOVERNOR

MURPHY'S JOB APPROVAL.

52% APPROVED.

THIS IS A RECORD IN FDU POLL,

52% APPROVE OF MURPHY'S JOB

PERFORMANCE, 43% DISAPPROVE.

JOE, HOW DOES THAT -- HOW DOES

THAT STRIKE YOU IF YOU ARE

WORKING FOR GOVERNOR MURPHY?

NOT THAT YOU ARE.

>> I'M NOT.

BUT THINK IT IS A MIXED BAG.

BECAUSE THE -- HIS APPROVAL

RATING WENT UP ABOVE 50% AND

THINK THE LAST APPROVAL RATING

WAS A LITTLE BIT BELOW 50% IF

I'M NOT MISTAKEN WHICH IS A GOOD

THING BUT THE POLL ALSO NOTED

THAT THE DISAPPROVAL RATING

JUMPED BY DOUBLE-DIGITS SINCE

THE FALL.

SO THERE ARE MORE PEOPLE WHO ARE

APPROVING OF WHAT HE'S DOING,

BRINGS HIM OVER THAT HALF WAY

THRESHOLD BUT THERE IS ALSO A

LOT MORE PEOPLE WHO ARE SAYING,

WE DON'T APPROVE OF THIS.

>> MIKE SIMMONS, GO AHEAD --

NICK.

>> AND THE RIGHT TRACK AND WRONG

TRACK NUMBERS ARE COMPLETELY

UPSIDE DOWN.

42/58.

>> I WAS ABOUT TO SAY THAT IF

YOU ARE RIGHT SIDE UP AND YOU'RE

OVER 50% YOU'RE DOING OKAY.

>> THE STATE IS ON THE WRONG

TRACK.

58%.

I THINK MUCH OF THAT HAS TO DO

WITH MURPHY'S PERSONAL

LAUGHABLE, THE 52%.

>> HE'S REALLY A VICTIM OF

NUANCE, YOU KNOW, BECAUSE SOME

OF THE STUFF THAT HE'S TALKING

ABOUT REQUIRES THAT YOU TAKE A

THOUGHTFUL APPROACH TO

UNDERSTANDING THIS SORT OF

STUFF.

AS OPPOSED TO HIS PREDECESSOR

WHO WAS LIKE DO THIS THIS WAY.

>> WHAT DO YOU THINK ABOUT WHAT

HE TOLD NJ SPOTLIGHT, WHICH I

HAVE NO BIG INITIATIVES PLANNED

FOR THIS YEAR.

LET'S FIX TRANSIT AND LET'S

INVEST IN EDUCATION AND WORK ON

THE STATE'S FINANCES.

>> I MEAN, WELL FIRST OFF YOU

SHOULDN'T RUN OUT OF IDEAS IN

YOUR SECOND YEAR.

I'M NOT SAYING THAT HE HAS.

>> THANKS.

GO BACK TO THE STATE --

>> BUT ALTHOUGH HONESTLY IF

PEOPLE ARE HAPPY WITH NEW JERSEY

TRANSIT, BY THE END OF THE FIRST

TERM, HE'LL HAVE ACCOMPLISHED

SOMETHING.

IT IS NOD A BAD THING.

IF YOU ARE GOING TO FOCUS ON

DOING THINGS WELL THAT IS A GOOD

ONE TO PICK.

>> OTHER THOUGHTS?

>> I THINK THAT IS PART OF WHAT

I WAS SAYING ABOUT BEING A

VICTIM OF NUANCE.

YEAH, IF YOU IMPROVE NEW JERSEY

TRANSIT OVER THAT FOUR-YEAR

PERIOD, THAT IS GOING TO BE A

PRETTY GOOD THING THAT YOU DID.

BUT ARE PEOPLE GOING TO NOTICE

THAT REALLY?

AND IS THAT SOMETHING THAT IS

REALLY GOING TO EXCITE PEOPLE?

>> ONE THING THAT PEOPLE WOULD

HAVE NOTICED WAS IF WE HAD

LEGALIZED MARIJUANA LAST WEEK,

WHICH WE DID NOT DO.

THE EFFORT TO LEGALIZE MARIJUANA

SUFFERED A SETBACK.

THE VOTES WERE NOT THERE TO PASS

IT IN THE SENATE.

MIKE SIMMONS, WHAT IS NEXT FOR

MARIJUANA?

>> THEY'RE REALLY PUSHING HARD

FOR A VOTE IN MAY BECAUSE IF IT

DOESN'T HAPPEN IN MAY, IT WON'T

HAPPEN UNTIL THE END OF THE YEAR

AT THE EARLIEST.

SO I DON'T KNOW THAT THEY'RE

GOING TO GET THERE.

AND THE LAWMAKERS ARE SAYING

THAT THIS IDEA OF, WELL WE'RE

EXPAND MEDICAL MARIJUANA

QUICKLY, IF WE DON'T THEY SAY

THAT IS HURTING THE RECRUITING

EFFORTS AND IN TERMS OF TRYING

TO ROUND UP VOTES.

SO I THINK IT IS GOING TO BE

JUST -- IF IT GETS THERE, IT IS

JUST AS NARROW IN MAY AS IT WAS

IN MARCH.

>> 30 SECONDS.

SOMEBODY.

IS IT EVER GOING TO GET THERE?

>> IT WILL L HAVE TO GO TO A

VOTE.

>> A REFERENDUM.

>> IT WILL HAVE TO GO TO A

REFERENDUM.

>> YEAH.

>> WE AGREE ON THAT.

LET'S TURN TO YOUR JOURNALISTIC

HIGH POINTS OF THE WEEK.

DAVID?

>> WELL IT WAS PROBABLY IN

NEWARK, AN OBIT FOR KEN GIBSON

AND TALKING TO OLD TIMERS AND

REALIZING THAT KEN GIBSON WAS

THE FATHER OF THE BLACK

POLITICAL ESTABLISHMENT IN NOT

ONLY NEWARK BUT ALL OF ESSEX

COUNTY AND THAT IS HIS LEGACY.

>> MIKE SIMMONS.

>> IT IS NOT JOURNALIST BUT

GOVERNOR MURPHY AND THE FIRST

LADY WILL ATTEND THE

CORRESPONDENT'S CLUB, WE GOT AN

RSVP THIS WEEK.

THIS IS MY HIGHLIGHT TO GET YOUR

TICKETS NOW.

>> WHEN --

>> MAY 8th.

>> JOE.

>> I'LL GO NATIONAL.

THERE IS A USDA OF ALL STATE

HO

HOUSES IN THE COUNTRY AND

LOOKING AT WHO WRITES BILL AND

THERE IS LIBERAL AND

CONSERVATIVE GROUPS AND A LOT

WRITTEN BY ICHBDUSTRY.

>> AND I'M BEEN AFFECTED OF THE

MERGER BETWEEN NJTV AND

SPOTLIGHT PUSHING STORIES ON THE

NEWS AND I THINK HAD T HAS BEEN

WORKING WELL.

>> GLAD YOU THINK SO.

WE DO TOO.

AND I WOULD LIKE TO GET BACK TO

KEN GIBSON.

HE WAS THE FIRST

AFRICAN-AMERICAN POLITICIAN TO

RUN FOR GOVERNOR OF NEW JERSEY

AND IN A FIVE-MAN FIELD IN 1985

HE FINISHED THIRD, WHICH WAS

PRETTY GOOD AND FINISHED THIRD

IN THE PRIMARY IN '81 IN A TEN

OR 11-MAN FIELD.

HE WAS A GENTLEMAN.

A GENTLE SPIRIT AND YOU DID A

GOOD JOB WITH CAPTURING THAT

YESTERDAY.

>>> UP NEXT ON NJTV, "ON THE

RECORD," THIS WEEK ASSEMBLYMAN

JOHN McKIAN AND JOHN BRAMNICK.

OUR PROGRAMS ARE AVAILABLE ON

OUR WEBSITE, NJ TV ONLINE.ORG

AND FIND US ON FACEBOOK, TWITTER

AND YOUTUBE.

I'M MICHAEL ARON, THANKS FOR

WATCHING.

>> MAJOR FUNDING FOR "REPORTERS

ROUNDTABLE" WITH MICHAEL ARON IS

PROVIDED BY NEW JERSEY REALTORS.

THE VOICE FOR REAL ESTATE IN NEW

JERSEY.

MORE INFORMATION IS ONLINE AT

NJREALTOR.COM.

RWJ BARNABAS HEALTH.

LET'S BE HEALTHY TOGETHER.

AND BY MJM INSURANCE GROUP.

SERVING THE INSURANCE NEEDS OF

RESIDENTS AND BUSINESSES FOR

MORE THAN 100 YEARS.

PROMOTIONAL SUPPORT PROVIDED BY

NEW JERSEY BUSINESS MAGAZINE,

THE MAGAZINE OF THE NEW JERSEY

BUSINESS AND INDUSTRY

ASSOCIATION.

REPORTING TO EXECUTIVES AND

LEGISLATIVE LEADERS IN ALL 21

COUNTIES OF THE GARDEN STATE

SINCE 1954.