We create urban enterprise zones because we want to encourage commerce in city centers.

Or instead, we can be like Detroit.

NJ has relatively high taxes. And it also is one of the wealthiest states in the union, belying Christie's argument that our taxes our encouraging people to flee the state. It also ranks at the top in most "liveability" indicators. You get what you pay for.

Or instead, we can be like Mississippi.

Quote:

Yes, because we are so undertaxed already.

TRENTON ? Gov. Chris Christie has pledged to change New Jersey?s reputation for high taxes. Judging by a report released Wednesday by the Washington, D.C.-based Tax Foundation, the state has a long way to go.

New Jersey residents were the highest-taxed in the country in 2009, giving 12.2 percent of their income to state and local taxes.

Wednesday?s report covers former Gov. Jon Corzine?s last full year in office, and it was New Jersey?s third consecutive year with the dubious honor.

I'd rather have NJ raise its sales tax than cut it

Or just lower the sales tax to 3.5% across the whole state. Why is Jersey City or any other city entitled to this program? Why should the rest of the state subsidize Jersey City? What makes Jersey City so special?

I say why not just raise the sales tax to 8% for the state and raise UEZ tax to 6%.

sweet-sweeping projects

By Terrence T. McDonald/The Jersey Journal


A state report that calls for the elimination of the state's 36 Urban Enterprise Zones is getting a big thumbs-down from Hudson County officials, who say the 28-year-old program has helped revitalize local economies.

The consultant report, authorized by Gov. Chris Christie, was released today -- two days after Christie revealed that his 2012 budget proposal diverts $90 million in UEZ funds to plug a state-budget shortfall. The funds are generally dedicated for local improvement projects.

"If the money disappears from the UEZ, then that's going to be another burden for the taxpayer and the local governments," said Amada Avilla, UEZ coordinator for Union City, which uses UEZ funds to market local businesses and to hire a private company to clean city streets.

An effort to revitalize urban communities, the UEZ program dates to 1983. Certified businesses in the zones charge half the state's sales tax, and the money is returned to the communities to help finance local improvements and provide low-interest loans.

Hudson has the most UEZs of any New Jersey county, with zones in Bayonne, Guttenberg, parts of Jersey City, Kearny, North Bergen, Union City and West New York.

Last year, Christie stunned UEZ officials across the state by taking the revenue collected from UEZs and using it to plug a budget shortfall.

The report released today says that UEZs have little impact on local economies.
Jersey City lost $12 million last year when Christie diverted its UEZ revenue to the state budget, and it stands to lose that every year if the program is done away with, according to city spokeswoman Jennifer Morrill.

The city has used UEZ funds to pay for closed-circuit security cameras, police officers in business districts and sweet-sweeping projects, Morrill said.

"The loss of this important program would be devastating for Jersey City," said Jersey City Mayor Jerramiah Healy.

North Bergen Town Administrator Chris Pianese said the township lost $2 million in UEZ revenue last year, and he is fearful of what will happen if UEZ is eliminated. Businesses may no longer find North Bergen an attractive home, he said.

"You can run into a rising crime issue, you can run into cleanliness issues. What happens then? Well, leases run out and they're not renewed at the same rate, and things start to spiral," Pianese said.