DeCROCE URGES GOVERNOR CORZINE TO EXPLORE SPENDING CUTS, NOT TAX HIKESJanuary 26, 2006

Republican Leader Alex DeCroce/973-984-0922
Assembly Republican Office/609-292-5339

DeCROCE URGES GOVERNOR CORZINE TO EXPLORE SPENDING CUTS, NOT TAX HIKES

Assembly Republican Leader Alex DeCroce today said he is concerned about a new report issued by Governor Corzine’s transition team that recommends increasing New Jersey’s income, sales and gas taxes as part of his budget proposal.

"It is troubling that before he has even had an opportunity to explore possible spending cuts the Governor is being urged to increases taxes," said DeCroce, R-Morris and Passaic. "Before the new administration turns to tax hikes, Assembly Republicans are asking the Governor to identify spending cuts and ways we can restore fiscal responsibility to state government."

The Press of Atlantic City today reported that a six-page set of recommendations from a group of budget advisors on Governor Corzine's transition team has called for expanding the state sales tax, increasing the gas tax and possibly hiking the state income tax.

DeCroce pointed out that last year the Assembly Republicans proposed over $1 billion in possible spending cuts, most of which were not adopted. Very little was offered about ways to control state spending.

"There is no question the state budget is loaded with waste that needs to be cut," DeCroce said. "We ask Governor Corzine to eliminate wasteful spending before he considers more tax hikes on our state's overburdened taxpayers."

A Quinnipiac University poll released today showed that nearly 60 percent of the state's residents are opposed to any tax hike and believe the state needs to control its spending. DeCroce said he was concerned because the report seems to indicate these tax hikes would be separate from any tax increases that could be proposed at a property tax constitutional convention that does not address state spending.

"The voters also need to understand that the tax hikes being discussed would be aimed at closing the budget gap -- not addressing property tax reform," DeCroce said. "If there is a property tax convention, it is possible additional tax hikes will be proposed on top of these increases."

DeCroce urged Governor Corzine to think twice about adopting the recommendations made in this report.

"The Governor has some time to study this issue closely before he makes a decision," DeCroce said. "He should consider just how devastating these tax hikes could be at a time when our citizens are already paying some of the highest taxes in the nation."

DeCroce said his caucus is prepared to work with the Governor and the Democrat majority in the Legislature in attempting to identify spending cuts in the state budget.

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