Millionaire Tax Supporters Visit Montclair Ahead Of NJT Hearings

MONTCLAIR, NJ — “Whose side are your legislators on?” the flyers read.

Ahead of legislative hearings on state funding for NJ Transit, dozens of activists and advocates handed out flyers at 35 bus and train stops around the state on Thursday, including Montclair.

The flyers asked commuters to call their legislators in support of a proposed “millionaires tax” in Gov. Phil Murphy's 2020 state budget, which would hike income taxes for New Jersey households earning more than $1 million a year.

There’s a reason why activists chose to reach out to people at transit hubs, according to a statement from Better Choices for New Jersey:

“Former Gov. Chris Christie cut state aid to NJ Transit by more than 90 percent, while at the same time cutting taxes for people making $400,000 per year and pledging $11 billion in tax cuts to profitable and politically connected corporations through the Economic Development Authority. Those cuts led to a staggering 36% fare increase as well as declining service… Gov. Murphy has proposed a second annual increase in NJ Transit funding. The proposed FY 2020 budget pays for many of its priorities with a millionaires tax that would raise $447 million in new revenue.”

• See related article: NJ Progressives Offer 5 Reasons Why Millionaire Tax Is 'No-Brainer'
• See related article: Task Force Probes New Jersey's $11B 'Corporate Gravy Train'

Activists were present on Thursday at bus and train stops in Elizabeth, Bergenfield, New Milford, Towaco, New Brunswick, Long Branch, Red Bank, Metuchen, Woodbridge, Iselin, Newark, Collingswood, Teaneck , Hoboken, Wood-Ridge, Madison, Hackensack, Fanwood, Mountain, South Orange, Maplewood, Bloomfield, Hazlet, East Orange, North Edison, Millburn, Montclair, Union Township, Linden and Upper Montclair.

Participants included representatives from the Amalgamated Transit Union, New Jersey Working Families, Our Revolution Essex, Our Revolution Monmouth, Our Revolution Hazlet, Our Revolution Collingswood, SOMA Action, Westfield 2020, and East Orange Progressive Democrats. (Story continues below)

NJ MILLIONAIRES TAX: IN PERIL?

According to a recent poll, seven out of 10 New Jersey residents are in favor of the idea of hiking the tax for millionaire households.

However, Murphy’s proposed millionaires tax has hit a wall with lawmakers – including those from his own Democratic Party – who have voiced strong opposition to his plan.

Recently, the state's top lawmaker, Democratic Senate President Steve Sweeney, effectively scuttled the tax hike proposal, issuing a statement that said New Jersey "needs a real budget with long-term, sustainable property tax savings, not gimmicks."

Murphy offered $250 million in property tax relief to residents if lawmakers approve his plan to raise taxes on those making $1 million or more a year. But Sweeney dismissed that idea, too.

"For this governor, the millionaire's tax is just a talking point," he said. "First, he said he needed it to balance the budget. He didn't. Now he says he wants it because he has suddenly discovered that property taxes are an issue after years of saying that high property taxes are not a problem because New Jerseyans get value for their taxes."

• See related article: Gov. Murphy Signs 7 Bills Into Law; Tax Hike Plans In Peril

In March, New Jersey Business and Industry Association (NJBIA) Vice President of Government Affairs Andrew Musick called for no tax increases in his testimony on the FY 2020 state budget before the Senate Budget Committee.

"NJBIA has long opposed an increase in the state's GIT for those earning over $1 million, as it will directly impact companies that provide jobs and help drive New Jersey's economy," Musick said. "This includes the businesses which represent approximately 10 percent of all GIT revenue reported by companies in 2016."

Musick said that over the past 12 years, New Jersey has experienced a net loss of nearly $25 billion in adjusted gross income, as businesses and residents look toward more tax-friendly states.

"Applying the top GIT rate to those earning $1 million will make the state less competitive within our region, especially our top two outmigration states of Pennsylvania and New York," he charged.

• See related article: Accountants Critique NJ Budget, Millionaire Tax

SUPPORTERS: HERE’S WHY NJ NEEDS A MILLIONAIRES TAX

Here’s what some supporters of a New Jersey millionaires tax are saying about Gov. Murphy’s proposal.

Justin Goldman of Our Revolution Essex – “It’s unconscionable that New Jersey won’t pass a millionaires tax to properly fund NJ Transit, yet can give away billions of dollars to companies for fraudulent tax credit applications. New Jersey residents shouldn’t suffer because a handful of folks enjoy corporate kickbacks. The time for a millionaires tax is long overdue.”

Sue Altman, state director of New Jersey Working Families – “It's time for New Jersey legislators to say whose side they're on. Is it 20,000 millionaires, or the million people who ride New Jersey Transit buses and trains every day? To really get New Jersey moving again, we need a millionaires tax.”

Rebecca Scheer of SOMA Action – “LD27 has the most millionaires of any district in the state, and the majority of our district supports this tax, because it is fiscally sound and responsible policy. We thank our legislators for listening to their constituents, and we urge the rest of the Democratic legislature to follow their example.”

Ray Greaves, chair of the Amalgamated Transit Union New Jersey State Council – “Gov. Christie paid for tax cuts for millionaires and corporations with deep cuts to New Jersey Transit. If legislators are serious about wanting to restore bus and train service and keep fares down, they need to get on board with a millionaires tax now.”

Christine Clarke, 26th District State Assembly candidate – “A stronger and fairer New Jersey means enacting a smart combination of fiscal reforms and revenue generating strategies as we transition to a clean energy economy in coming years. I'm proud to advocate for tax fairness and for asking the wealthiest among us to pay their fair share, as my family and millions like us already do.”

Elly Faden of Our Revolution Hazlet – “Our Revolution Hazlet supports a millionaires tax because our society has become unfairly skewed towards those who already have inheritances or successful careers. Nowadays, students have more debt, healthcare is not provided by employers, and the average person risks death or bankruptcy due to the inequities. That is part of the Our Revolution platform. And, in New Jersey, It is time for millionaires to step up like the rest of us, and pay their fair share of taxes.”

Lillian Duggan, co-founder of Westfield 20/20 – “Raritan Valley Line commuters have suffered from poor service for years. A tax on those who make more than a million dollars a year is fair and just, and will help restore sanity to the lives of all New Jersey commuters.”

Anna-Marta Visky of Our Revolution-Monmouth – “During this transit week, we’ve talked to teachers worried about their pensions, cab drivers hustling at their second jobs, small business owners barely getting by, hard hats, commuters - working people across New Jersey struggling to make ends meet while millionaires get tax breaks. It’s time for our legislators to listen to the needs of the many instead of protecting the privileges of the few.”

This article contains previous reporting by Tom Davis, Patch staff

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