Senator Mike Doherty

August 18, 2010   

Contact: Bill Murray / (609) 847-3600
Senator Mike Doherty

Calls on Senate to Hold Hearings to Reform Process

Senator Michael Doherty, a member of the Senate Budget and Appropriations Committee, issued the following statement regarding a report issued today by State Comptroller Mathew Boxer that called into question the structure and application of tax abatements throughout New Jersey:

“The State Comptroller is a well respected, non-partisan and independent voice that examines different programs to ensure that the public interest is being pursued and that programs have proper oversight and accountability. In the report issued today, the Comptroller raises serious questions about the effects and effectiveness of tax abatements offered to private developers around the state.

“In his report, Mr. Boxer questions the fundamental impact of abatements on taxpayers, school districts and counties. In short, the report highlights scenarios where taxpayers in neighboring towns and the state are forced to make up the difference in county and school district budgets caused by abatements.

The report states: “While municipalities are incentivized to take greater risk and pursue abatements that may increase their own revenue intake, the costs are pushed onto counties, school districts, other taxpayers, and potentially the state through greater state aid obligations.”

This report is troubling and requires immediate remedial action by the Legislature. I have asked the non-partisan Office of Legislative Services to draft legislation implementing the recommendations of the Comptroller. Additionally, I will ask Senate President Sweeney to convene immediate hearings on this issue.”

Calls on Senate to Hold Hearings to Reform Process Senator Michael Doherty, a member of the Senate Budget and Appropriations Committee, issued the following statement regarding a report issued today by State Comptroller Mathew Boxer that called into question the structure and application of tax [...]