Posted on 07/02/2006 3:21:55 PM PDT by wagglebee
Atlantic City's casinos were ordered to close Wednesday, the latest casualty of a state government shutdown that entered its second day Sunday after the Legislature failed to adopt a budget by its July 1 deadline.
The head of the Casino Control Commission ordered gaming in Atlantic City to cease at 8 a.m. Wednesday — the day after the July Fourth holiday — if New Jersey fails to enact a budget by then.
Atlantic City's 12 casinos, which require state monitoring, have waged a court battle to remain open, and an appeals court was weighing the matter Sunday. There was no word on when a ruling would be made, courts spokeswoman Winnie Comfort said.
Gov. Jon S. Corzine said Sunday there was "no immediate prospect of a budget." State parks, beaches and historic sites also were expected to shut down Wednesday.
If the casinos shut down, the state would lose an estimated $2 million in tax revenue each day they stayed closed. Republican Assemblyman Francis Blee, whose district includes the casinos, said it was important for them to remain open.
"We will have tens of thousands of individuals, real people, that are going to be hurt by this," he said. "There will be bread-winners who are not bringing home a paycheck."
Corzine shut down nonessential government services Saturday after the Legislature failed to adopt a budget by its July 1 deadline, leaving the state without the means to spend money. Budget talks became heated this year as Corzine, a Democrat, proposed increasing the state sales tax from 6 percent to 7 percent to help overcome a $4.5 billion budget deficit.
Most Democrats in the Assembly and several Senate Democrats oppose the sales tax increase, fearing voter backlash and reserving any tax increase for property tax reform. Assembly Democrats proposed a series of alternatives, some of which Corzine accepted, but both sides remained $1 billion apart as the budget deadline passed.
About 45,000 state employees were furloughed Saturday. Corzine's order allows him to keep 36,000 state employees working without pay. Services such as state police, prisons, mental hospitals and child welfare were to keep operating.
The lottery and road construction projects were among the first to close. A state appellate panel on Sunday ordered horse tracks closed at the end of business Tuesday. It was not immediately known Sunday whether the horse racing industry would file further appeals to keep harness and thoroughbred tracks open past July 4.
Corzine was expected to meet in private Sunday with top Assembly and Senate leaders. Assembly Budget Committee members were called to the Statehouse and were discussing alternatives to a sales tax increase, panel chairman Lou Greenwald said.
The Senate is scheduled to meet on Monday, and Senate President Richard J. Codey has told senators to be ready to stay in session until a budget is adopted.
"Let's get on with getting this problem solved," Corzine said while touring a state police dispatch center in Hamilton on Sunday, emphasizing he couldn't "sign a bill that doesn't exist."
Republicans, the minority party in both the Assembly and Senate, have expressed frustration.
"I'm appalled that this reached this stage," said Senate Minority Leader Leonard Lance, R-Hunterdon. "It is very unfortunate that the Democratic governor and Democratic majorities in the Legislature could not achieve a budget in place by June 30, and now all the people of New Jersey suffer as a result."
Some lottery sellers — and many customers — were surprised to learn that the games were being put on hold until the budget impasse is resolved.
"People will be angry, but we can't do anything about it," said Umesh Patel, 40, owner of Deli Delight in Ewing. "I don't know how long it's going to be, so let's just see what happens next."
I personally believe people should be allowed to gamble but their is a "scourge". A lot of people lack the will to control their habit. I know one lady that has a hair shop. She works hard for two or three months, takes a trip to Reno and is comes home in debt only to restart the cycle. But at least she gets her income legally. Many are forced over the edge into theft from employers or propped up by relatives.
As I was a taxpayer in Pennsylvania for 35 years, I am well aware of the horrendous school taxes. I never remember them giving anything back though - just more increases. The school tax never, in that time, remained the same or decreased, despite adding a state income tax, local income taxes for the schools, and legalizing gambling through the lottery and horse racing.
Even BJ Klintoon knew enough not to screw with certain people when he shut down the government.
This is going to be good.
Studies have proven that there is a direct correlation between a major city's blackout and birth rates. Given that people won't know what to do with themselves when the casinos shut down, that they'll have to stay home and participate in bedroom romp for recreation and distraction. Nine months later an increase of birth rates, perhaps?
New Jersey truly is one of the weirdest places in the entire US of A.
You have to wonder if some day people will wake up and say, "Democrats has sheiss for brains, don't they?"
You have to wonder if some day people will wake up and say, "Democrats has sheiss for brains, don't they?"
I'm just not sure how to respond to this without pissing off the FReepers from NJ.
yes, you are of course correct about the trend.
but the teachers unions aren't dumb, they know they cannot sustain the constant property tax increases at a multiple of the inflation rate - year after year after year. even the dumbest voters (the Dems), at some point, get fed up. so they use other methods to keep the wheels greased.
here on long island, you drive past public schools during the school day - the parking lot is full of luxury cars. and teachers with tenure and enough years, retire at 90% pay for their pensions. and we are talking 90% of $100K+ salaries.
This is beginning to sound like the old days in CA with Davis as governor.......and that state went Republican.
PTL !
I'm planning my annual visit to Monmouth tomorrow.
ML/NJ
They voted Davis out, but going Republican is debatable.
I wouldn't worry about it. The odds of Freepers in NJ having voted for Democrats is not really that great.
In fact they'd probably applaud your recognizing that they are part of the solution, not the problem.
But they still stay in Jersey, that ought to tell you something!
Perhaps the New Jersey people can start an Indian Tribe, to get around the State Corruption.
The Dem's finally figures out a way to turn Atlantic County red.
Brave souls willing to struggle toward victory!
Impact of the Federal Budget on NJ
The President’s Fiscal 2007 Budget contains major reductions in federal funding for states. If the President’s proposed budget is enacted, New Jersey will see cuts in many discretionary and mandatory health, education, transportation, homeland security, labor, and justice programs. Also, several critical programs, including the Community Services Block Grant, would be eliminated. In addition to these proposed cuts, the recently enacted Deficit Reduction Act (DRA) includes new TANF mandates that will impose substantial financial burdens on the State. Finally, the State has incurred significant costs due to the serious complications that have arisen during the transition to the new Medicare Part D prescription drug program.
These critical losses of federal funding pose serious challenges for New Jersey’s citizens and for the State’s budget.
What is missing from the major media discussion is that Corzine is trying to push through a $3 billion - or 10% - increase in spending, and the assembly democrats are happy to spent that much, but want a "less noticeable" tax. Assembly Democrats want to increase a payroll tax by applying it to the first $90,000 of a wage earner’s salary rather than the first $25,000 as is current law. Assembly republicans have proposed $2.2 billion in spending cuts - but they aren't invited to the table.
The sales tax increase raises "only" $1 billion. Speaker Roberts wants to raise this through the increased payroll tax, postponing pension contributions, making more optimistic revenue projections and shifting unemployment insurance money to the budget.
ANYTHING but the obvious - - spending cuts.
New Jersey, LOL. Sure glad I no longer own real estate in that toilet.
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