Efficient Municipal Tax Credit

The State of New Jersey (not unlike many States and the US overall) is facing a huge budget crisis. Governor Christie campaigned on budget reform and though his approach has been like a bull(y) in a china shop, he has significantly reduced NJ’s projected budget. The issue that many New Jersey residents have with Christie is that the cuts have disproportionately impacted urban municipalities and neighborhoods. This comes at a time when the residents of these municipalities have already been stretched to the limit because of the nationwide recession and housing crisis.

If making the poor worse off isn’t enough, Governor Christie is pushing for tax breaks for the wealthy. His reasoning is that NJ’s tax structure causes many of our wealthiest citizens to move outside the state. This reduces the State’s revenue, but as important, those are the individuals who are likely to build new businesses in Jersey. The declining population of New Jersey lends merit to Christie’s claim. This is further enhanced by Topretirements.com ranking New Jersey as one of the top 10 worse places to retire.

If the Donkeys and Elephants can work together, there may be a way to give both sides what they want. More importantly, the citizens of New Jersey will be better off. The State should develop what I call the Efficient Municipality Tax Credit (EMTC). This would be a tax credit similar to the Neighborhood Revitalization Tax Credit (NRTC), which has been used effectively to revitalize neighborhoods through business investment, real estate rehabilitation, and social programs. The EMTC would be a tax credit given to wealthy individuals who direct most of their donations to this program. Municipalities and School Boards would then submit applications to the State for funding through the EMTC Program. Only those municipalities and school boards that meet improvement measures in education, crime, and/or the municipal budget would qualify.

As an example, John Doe makes $1,000,000 a year. He typically donates $50,000 a year and his tax liability is $75,000. If John Doe makes a donation of $90,000 to the EMTC Program, his taxes would be reduced to $25,000. In this example, John Doe saves $15,000 and gets the goodwill from helping a neighborhood improve. The urban municipality gets $90,000 in EMTC funds, which was likely lost as part of New Jersey’s budget reform. Governor Christie gets to say that he reduced taxes to the rich and Speaker Oliver gets to say that she increased funding to urban municipalities.

This is a very simple example and much of the logistics will have to be worked out, but this could be the perimeters of landmark legislation. If Christie makes this happen, he will prove me right when I said that he is the politician who is going to lead political reform. More importantly, this might convince me to have a beer with him.

Talk2Me

GrannyVendetta

Black President Doesn't Mean Blacks Are Equal

In 2008, the citizens of the United States of America elected Barak Obama to be the 44th President of our Country. President Obama is the first non-White male President in our Country’s history. Many have said that this proves there is no longer racism and that everyone in America has the same opportunities. Barak Obama being elected President has given millions of young Black America children hope that any and everything is possible. At a time with our Country is sliding further into despair, giving our youth hope is a great thing. Unfortunately, I am not a kid anymore.

Call me a cynic, but more shocking that Barak Obama winning the Democratic nomination for the Presidency was Sarah Palin being selected as the Vice-Presidential candidate for the Republicans. President Obama attended the best (Harvard) and 4th (Columbia) ranked schools in the US in obtaining his undergraduate degree and law degree. He went on to teach constitutional law for twelve years at the 9th (University of Chicago) ranked school. With those qualifications, it was a no brainer that he would show up on the national political stage. Sarah Palin being selected as the Vice-Presidential candidate for the Republicans (and her resulting rise to fame) is not only surprising, but insulting. Sarah Palin attended 4 colleges (University of Idaho twice) before graduating. None of the colleges are ranked in the top 100 colleges and universities in the US. Obama taught constitutional law while Sarah Palin couldn’t even explain her position on Roe v. Wade.

I could go on discussing Palin vs. Obama, but you get the point. President Obama is by far the more qualified candidate. Yet the larger point is that Palin was chosen as the candidate for VP with her background. There is no way a Black woman in America would be selected as the candidate for VP with Palin’s resume. There is no way a Black grandmother at 44 years old would be selected for any federal position. I can see the anti-Black grandma campaign now, “How can we trust her to control the county, when she can’t even control her household.” Yet when it comes to Palin, the campaign reads “She is one of us”. When there is a Black woman (or man for that matter) with Palin’s resume selected as the VP candidate, then we can say America gives everyone the same opportunity.

Talk2Me

GrannyVendetta

Christie vs Obama

There is nothing I like about Chris Christie, and I am not just talking about his politics. I don’t think I would have a drink with the man (that is a big deal because I never pass up a drink). I hate his bully personality. I hate that most of the legislation he proposes is gear toward helping the wealthy. I hate that NJ didn’t get $400M in federal aid because of his bickering with the teachers union. I am convinced that Governor Christie would rather continue to fight with NJ Democrats than negotiate even one concession.

Let’s compare Christie to President Obama. I would love to have a beer with Obama. I want to be invited to play in one of those private basketball games at the White House. I love the fact that we have health coverage for more Americans. Though I was against the stimulus package, I have to admit it seems to have worked.
So with the above, why am I upset with President Obama and proud of Christie? What President Obama has accomplished in less than two years, with what he was/is facing, is amazing. Not only are the problems of our County the most severe since the great depression, he is also battling a Republican party who will stop at nothing to make sure he fails. The lack of respect he receives as the President is borderline treasonous.

I am upset with President Obama because I believed he was going to be the President who changed politics. That is what the millions of 18-29 year olds expected when they voted for him. Changing the dysfunctional political process is much more important to me than the landmark healthcare bill or extending the Bush taxes or any other legislation. The vast majority of legislation substantially impacts only the top 5% or bottom 10% of household income. Most of the middle-class has healthcare and though it may change, it is not a game changer. For the bottom 10%, the new healthcare legislation will be earth moving. The Bush tax cuts will save many of the top 5% thousands of not millions of dollars. For most of the middle-class, it’s likely an additional $100ish/month.

In two years in office, President Obama has done a GREAT job in the typical political sense. In one year in office, I can’t say the same for Governor Christie. He has alienated the Teachers' Union, loss $400M in education funding, cancelled the tunnel project, and upset the Mayors from every unban municipality. Yet, I am more proud of Christie than I have ever been of any politician. I may disagree with some of his policies (though I am happy his priority is fixing the State budget), he is the politician (not Obama) who is changing politics. There doesn’t seem to be any back room deals negotiated across the aisle. There doesn’t seem to be any, “I will give you X, if you give me Y” when X and Y is bad for all. We have seen the damage caused when an egotistical man sticks to his position (President Bush). That is not what I get when I assess Christie, thought he does have an ego as large as his frame.

As a Black, NJ, America I need them both to be successful. As a Black man, I want nothing more than for President Obama to successful. Unfortunately I fear Democrats has not supported him enough to get a second term, though the benefits of the legislation he passed (passes) will be felt for decades. As an American who sees the decline of once great nation, I hope that Christie inspires other politicians to challenge the political machine.

Talk2Me

GrannyVendetta