O’SCANLON: CORZINE’S BUDGET PROPOSAL TO DIVERT

The ink on Governor Corzine’s budget proposal is not even dry and already his plan calls for diverting $20 million from the fees generated by the Motor Vehicle Commission to the state’s General Fund. Assemblyman Declan O’Scanlon, a Republican member on the Budget Committee called the diversion a prime example of how hollow the words are that comes from the administration.

“One month ago the public was told that certain Motor Vehicle Commission fees needed to be increased in order to sustain its operation,” stated O’Scanlon, R-Monmouth and Mercer. “The justification for new rates on motorcycle registrations, commercial-driver exam permits and documents was supposed to help close the commission’s $27 million deficit, and keep those revenues within that agency. Now, Governor Corzine is playing his usual shell game with dedicated funds. This is another item that he needs to rethink.”

In February, Motor Vehicle Commissioner Sharon Harrington was quoted in news reports as saying, “Some pieces of our business were subsidizing other pieces of our business, which isn’t fair to the taxpayers.” Harrington went on to say that the proposed fees were designed to reflect more closely the commission’s cost for those transactions.

“Commissioner Harrington had it right when she said that it wasn’t fair that fees generated by the MVC were subsidizing other parts of government,” said O’Scanlon. “It’s unfortunate that Governor Corzine doesn’t share the same sentiment that taxpayers should be treated fairly.”

O’Scanlon’s comments were made as the Assembly Budget Committee began hearing public testimony today on Corzine’s spending plan that includes eliminating property tax rebates for those earning over $75,000 annually and who are not senior citizens, removing the property tax deduction for those with incomes over $150,000, and reducing aid to municipalities. All told, Corzine is seeking to raise $1 billion through tax increases.

“The financial double-talk emitted by this governor is appalling,” continued O’Scanlon. “The requested increases were to generate an estimated $40 million to $60 million to run the MVC. Is it any wonder the public doesn’t believe what it hears regarding revenues and spending from this administration? Who can blame anyone for being cynical?”