Newark To Receive Additional $45 Million More Aid This Year
Senator Steve Oroho, a member of the Senate Budget and Appropriations Committee announced today that he will introduce legislation that would impose needed oversight and accountability over the state’s Special Municipal Aid program. The senator has already introduced a proposed resolution that would grant the Senate Budget and Appropriations Committee subpoena power to investigate apparent abuses in the program.
The bills were motivated by the past and continuing abuses in the program. Today Newark will receive $45 million in additional aid through this program. Newark has already received nearly $1 billion in combined school and municipal aid this fiscal year alone. Over the past ten years the city has received nearly $8 billion in total aid from the state.
“This program has operated under the radar, without accountability, criteria, application standards or even an application form for far too long,” Oroho stated. “The bill I will introduce in September and the proposed resolution, SR-61 will help to prevent these abuses in the future.”
The Special Municipal Aid Program is administered by the Local Finace Board a division of the Department of Community Affairs. The Local Finace Board has not published the criteria used or until recently, an application form for participation in the program. Additionally, some municipalities have been excluded from participation in the program without explanation.
“This program has been used as a secret slush fund for the benefit of a few politically favored cities,” Oroho continued. “This practice has to stop. State aid must be awarded equitably, whether through the Special Municipal Aid Program, rural policing, education aid or regular municipal aid. Given our current financial circumstances; this is no time to play favorites.”
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October 27, 2008
