BUSINESS PROMOTION, FORECLOSURE PROTECTION FOCUS OF MONDAY ASSEMBLY BUDGET HEARING

BUSINESS PROMOTION, FORECLOSURE PROTECTION
FOCUS OF MONDAY ASSEMBLY BUDGET HEARING

(TRENTON) - The Assembly Budget Committee will meet Monday to consider several measures aimed at helping businesses and residents endure the current economic crisis and to receive an update on ongoing state efforts to promote business growth and retention.

The budget panel is expected to take testimony from Caren Franzini - chief executive officer of the New Jersey Economic Development Authority - on her plans for statewide business retention and growth as they relate to the merger of the agency with the former Commerce and Economic Growth Commission.

Legislation Assembly Budget Chairman Louis Greenwald (D-Camden) and Assemblyman John McKeon (D-Essex) are sponsoring to enable businesses to write-down net operating losses for up to 20 tax years also is scheduled for committee consideration. The bill (A-3124) would put New Jersey in line with neighboring states that allow businesses such a time frame to recoup losses. The sponsors say the reform is especially needed by small businesses that might not otherwise be able to weather the current economic storm.

"This is aimed squarely at the small businesses that are the lifeblood of this state," said Greenwald. "Small businesses need every chance to stay competitive, invest in their operations and retain precious jobs. This move builds on other vital steps we've taken to ensure businesses that employ our residents remain strong and is just what these tough times require."

The panel also will consider the "New Jersey Homeownership Preservation Act" (A-2517) sponsored by Assembly Majority Leader Bonnie Watson Coleman (D-Mercer). Among its provisions, the bill would create a fund to assist nonprofit foreclosure prevention efforts. The bill also would require creditors seeking to foreclose on a subprime loan to offer a six-month hold to let borrowers negotiate refinancing.

Another bill (A-688) scheduled for Budget Committee consideration would provide an annual cost-of-living increase to a program that helps low-income seniors and disabled persons pay their gas and utility bills. The increase - proposed by Assembly members Grace Spencer (D-Essex), Anthony Chiappone (D-Hudson), and Elease Evans (D-Passaic) - would be proportional to the increase in the Social Security benefit for the year; the current level of assistance is only $225.

The hearing is scheduled to begin at 9:30 a.m. in Committee Room 11, State House Annex, West State Street, Trenton.

The committee hearing will be the first of six Assembly committee sessions focused on a statewide response to the recent economic crisis.

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