4 bills that will raise your taxes

Our state is in fiscal crisis and our taxes are the highest in the nation. But that isn't stopping the Democrats in Trenton. Instead of looking to cut spending and lower our taxes, they are pushing through a series of tax-hiking bills in order to pay off their union backers. All of this during the lame duck session while Jon Corzine has one foot out the door and they think the rest of us aren't paying attention.

Specifically, there are four pieces of legislation making their way through the legislature, all of which would mandate that prevailing wage requirements be paid to workers for various government projects. Prevailing wages are set by the Commissioner of Labor and Workforce Development. Not surprisingly, these prevailing wages are typically well above what workers in the private sector receive. And that means more spending and higher taxes for the people of New Jersey.

Here is a rundown of the four bills:

  • A 4293/S 3028 - This bill would extend prevailing wage for workers on certain construction undertaken with financial assistance from the Board of Public Utilities (BPU). Previously, the projects in question would only have been subject to prevailing wage if the BPU adopted rules and regulations to that end. With this legislation, such rules and regulations will not be necessary. Ironically enough, the types of projects covered in this bill include so-called “green” initiatives. By increasing costs through prevailing wage requirements the liberals in Trenton are ensuring that there will actually be less money to fund these “green” projects that the left is so fond of.

  • A 4268/ S 3095 - This bill would extend prevailing wage requirements to certain maintenance-related projects. Thanks to this union payoff, government contracts will be awarded only to contractors who pay union wages. No longer will mayors and other local officials be able to outsource projects such as tree trimming, landscaping and vehicle maintenance. Independent private contractors, who are willing to take on these projects for a fraction of the cost that unions require, will be completely shut out. Costs will also rise as the ranks of government employees entitled to generous pensions and medical benefits swell. This bill represents yet another unfunded mandate from Trenton on our towns and municipalities that will make it all the more difficult for local officials to keep costs down and our taxes low.

  • A 4291/S 3096 - This bill would extend prevailing wage requirements to certain for-sale multi-family housing. Presently, prevailing wage requirements only apply to construction and rehabilitation of rental units subsidized by the Housing and Mortgage Finance Agency (HMFA). Remarkably, this bill would mean that prevailing wage would now apply to construction of COAH “affordable housing” projects. COAH is already taking a toll on the finances of strapped towns and municipalities with some forecasting that it will cost $2B a year to comply with these ill-advised state mandates. Applying prevailing wage requirements to these projects would drive up these costs even further, by an average of 30%.

  • A 4151/S 2850 - This bill would extend prevailing wage to food service contracts and to local units and state authorities. Perhaps the worst of the four bills, this legislation would mean high union wages and benefits would be paid to employees such as lunchroom workers. Additionally, it would apply to employees who perform maintenance work at any "properties owned or leased by the state." This includes (but is not limited to) janitorial workers who maintain rest areas along the Turnpike and Garden State Parkway. According to the Office of Legislative Services (OLS), an arm of the legislature responsible for fiscal research and analysis of legislation, the impact of this bill could "potentially be significant." OLS estimates that school boards across the state "could experience an increase of $34.2M in food service costs." OLS also reports "that the wage components for building services contracts" could spike from roughly $1.58M to $2.78M.

If you've had enough of high taxes and these kinds of special interest payoffs, then contact your legislators now. Tell them to stop putting unions and special interests before you, the taxpayer. Tell them to vote no on these wasteful prevailing wage bills.