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NJ Gov: Federal Distribution System Broken

Driving in to work this morning, New Jersey Governor John Corzine was on the John Gambling Show (710 AM, New York City) discussing his plans for infrastructure projects to provide jobs in New Jersey. It was a cordial conversation, and lost within it was the statement by Governor Corzine that the federal distribution system (via Congressional appropriations committees) to states is broken. Specifically, that the northeastern states in New England are under-represented and get "less back on their dollar" sent to Washington.

Gambling referenced the exodus of New Englanders to the southern states, and Corzine said that one of the primary reasons for this is that the distribution of federal dollars to other states is un-even and unfair, that one of the causes for New Englanders leaving for the south and elsewhere is because the federal government does not give New Jersey enough funds for state projects.

As a resident who has watched people leave in droves, allow me to correct the good governor.

  1. People are fleeing New England states because of confiscatory tax rates levied by said states in various forms.
  2. People are fleeing New Jersey in particular because the corporate tax rates in New Jersey are simply massive in comparison to other states. And the industry which was once given special tax considerations to lure it to New Jersey - the dreaded pharmaceutical industry - are seeing the game now change, as they are vilified and the business advantages once given are eroded.
  3. When businesses are driven out seeking a more friendly tax environment, jobs go with them and many of the people who once held those jobs.

One of the last states in the Union in which a company would want to form is New Jersey. It is not coincidence that geographically next to here are others atop the list, such as Rhode Island, Connecticut, New York and Massachusetts. All New England States, and all hostile to business in relation to southern states with regard to comparative taxation rates. The same applies to individuals and the taxation of their incomes.

It is ironic that a governor, who favors the uneven redistribution of wealth that Barack Obama champions, complains about the redistribution of wealth when it is unfavorable to him and his state.

Governor Corzine, the idea is that "others who are behind you have the same chance." Get with the program.


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Comments (12)

One more point to the gover... (Below threshold)

One more point to the governor. New Englanders don't consider New Jersey part of New England! Neither does the NY Highway Department (ever seen the highway sign in NYC with the exit for "New England")?

I see this in action in my ... (Below threshold)

I see this in action in my own little neck of the woods. I live in a large town that is divided up into five boroughs...each with its own council and zoning/planning commissions. Several of the boroughs are hostile to new and existing businesses, with onerous restrictions and covenants to meet. Wouldn't you know all the new businesses are moving into the borough that is friendliest to business, while the most hostile borough is becoming a ghost town.

Huh. Funny how that works, innit?

...the idea is that "others... (Below threshold)

...the idea is that "others who are behind you have the same chance."

Wrong! The governor wants the idea that "others who are behind you have the same results."

So, no matter what the individual's ability, no matter the individual's effort, no matter the individual's investment, they WILL ACHIEVE the same outcome. That will be the law under the O.

The governor is just jumping on that wagon before the horse is hitched.

I live in NJ and Corzine is... (Below threshold)

I live in NJ and Corzine is an idiot. He is ruining this state. I can definitely see moving out of Jersey.

Steve You are correc... (Below threshold)

You are correct New Jersey & New York have the highest tax burdens of all 50 states. Many white collar workers have moved to Georgia , Virginia and Texas to escape it.

Just like Obama wants to share the wealth and the Poor receive the biggest return for thier dollars. So to is NJ is helping with the wealth distrabution we pay the highest burden ad we get the least amount of return .55 on the dollar.

So lets see you keep raising taxes on individuals business. These companies and people decided to move out of your state. Which results in shrinking tax base which increase the burden and your response is to increase spending and raise the state sales tax. I thought these rich democratic business folks understood economics.

corzine and corruption..per... (Below threshold)

corzine and corruption..perfect together!!

Middle Atlantic States.... (Below threshold)

Middle Atlantic States.

Once again, proof of the tw... (Below threshold)

Once again, proof of the two absolute prerequisites for being a leftist: breathtaking hypocrisy and utter shamelessness.

What do the following have ... (Below threshold)
retired military:

What do the following have in common

a. Cities with large welfare populations
b. Cities with declining business base
c. Cities with highest taxation
d. Cities with poorest performing public schools


They are all ran by democrats.



If LA nd SF were nuked then you wouldnt see a democratic president for the next 30 years. Why?

California's 50+ electoral votes would go republican.

Every time a new auto facto... (Below threshold)

Every time a new auto factory opens in Tennessee, Alabama, Kentucky, etc., nobody in the media asks my state's elected officials, "Why is nobody building cars in Pennsylvania?"

Governor Corzine, the id... (Below threshold)

Governor Corzine, the idea is that "others who are behind you have the same chance." Get with the program.

I know. Let's let everyone be chairman of Goldman Sachs for a week, and then get a golden parachute.

That ought to do it.

"It is ironic that a govern... (Below threshold)
BRAC Victim:

"It is ironic that a governor, who favors the uneven redistribution of wealth that Barack Obama champions, complains about the redistribution of wealth when it is unfavorable to him and his state."

It's also ironic that the Guv who's lamenting the loss of jobs in NJ barely lifted a manicured finger to try and stop the railroad SHAM that is known as BRAC from closing a 90 year old Army base in NJ sending 9000+ jobs down to MD where there is barely anything in place for the workers to occupy.
Only Uncle Sam could justify spending BILLIONS to save Millions while ruining the local economy of a few surrounding towns that did nothing but support the base in it's entire 90+ year existence..






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