Tuesday, March 28, 2006

"Cement is Gold."




"Getting a taste of public anger over his proposed budget, Gov. Jon S. Corzine was greeted on Monday by a phalanx of Rutgers students protesting his plan to cut spending on higher education by $169 million, or 8 percent."

These cuts will deprive many students of the opportunity to pursue higher education, but they are necessary because of the waste and corruption that have characterized New Jersey government spending in the past.

Governor Corzine is taking heat for doing the right thing to stop the financial bleeding.

"Getting the most attention have been Mr. Corzine's proposals to raise the sales tax to 7 % from 6 %, and increases in other taxes, in hopes of plugging a projected shortfall of $4.3 billion."

In 2010, the projected shortfall -- despite several tax increases -- is $8 BILLION.

David W. Chen, "Corzine Explains Budget Cuts to Angry Students at Rutgers," The New York Times, March 28, 2006, at p. B2.

Wait, it gets better:

"Compounding the pain of that $169 million dollar cut, college representatives say, the state has declined to pay for $122 million in raises and benefit increases negotiated by the state for college employees, which the college had been counting on being reimbursed."

While members of the judiciary (who are doing such a wonderful job!) are lobbying for an increase to their current "average" yearly salaries of approximately $141, 000.00, university teachers and other college employees -- earning a fraction of that amount -- will not receive raises negotiated previously, to which they are legally entitled, and certainly no wage increases now. Hey, this doesn't count the money judges get from bribes which are not exactly "unusual" in New Jersey, allegedly. (One newly inserted "error" is not very impressive.)

How come the money seems to disappear?

It turns out that in the same issue of the paper, there is an article indicating that a big school construction contractor pleaded guilty to bribery:

"The owner of ... a flooring company pleaded guilty yesterday to doing unpaid work at a school official's home to obtain help in getting contracts with the school system, said Christopher J. Christie, the United States attorney."

"Patterson: School Contractor Admits Bribery," The New York Times, March 28, 2006, at p. B6.
John Eligion, "Concrete Testing Company and Owner Are Convicted of Falsifying Work," in The New York Times, February 18, 2010, at p. A19.

It is very curious that a federal prosecutor had to bring these charges because none of the state's legal officials seemed to detect this "irregularity." Mr. Rabner? Sleeping? My guess is that this is only the tip of the proverbial iceberg and that we may expect many more similar surprises soon from the U.S. Attorney's Office in New Jersey. There are lots of nervous politicians in the Garden State, and there should be.

Mr. Rabner, as Attorney General, missed this little scam or was paid-off to do nothing, meanwhile as Chief Justice (where Rabner is even more incompetent) he wants a raise for himself and the rest of New Jersey's tainted judiciary.

This is the sort of episode that makes it abundantly clear just how unethical and illegal corruption in government can be. Too many officials are not concerned to find the best and least expensive service providers for the schools and citizens of New Jersey, but are concerned only to establish "relationships" with contractors for selfish gain. This hurts citizens, in terms of the services provided -- and not provided -- and also in terms of future tax increases. The goal for politicians is to get something back from those friends in the construction industry -- and I don't mean a Christmas card or a fruit basket. More surprises in the Garden State:

"Gov. Jon S. Corzine suspended payments yesterday from a multimillion-dollar discretionary fund used by lawmakers after a Cranford lawyer, who said the money was being used improperly, sued. The lawyer, David W. Robinson, filed suit in State Superior Court charging that the state failed to properly administer $128 million in grants that legislators award to businesses and municipalities. Mr. Corzine agreed to halt payments of the remaining $20 million until a review was completed."

Richard G. Jones, "Governor Corzine Suspends Fund Payments," in The New York Times, March 31, 2006, at p. B7.

I wonder why there are such shocking disparities in spending in New Jersey schools? Winnie Hu, "Wealth Gap For Schools In New Jersey Is the Highest," in The New York Times, February 18, 2010, at p. A20.

Poor students receive about 40% of what their counterparts in richer sections of the state receive, despite their greater needs. This is directly correlated with massive waste and corruption in the schools budgets.

Many speculate that the "grants" to "businesses and municipalities" were really payoffs to political friends that allowed for the cash to come back to the politicians under the table. Of course, this is purely speculative, at this point, but the trial or resolution of this lawsuit should be fascinating, since it is alleged that this lawsuit will give rise to additional federal and state investigations and lawsuits in the immediate future.

A follow-up story appeared by David W. Chen, "Trenton Asks for a Freeze in School Aid," in The New York Times, May 3, 2006, at p. B8: "With Gov. Jon S. Corzine sitting in the front row, Attorney General Zulima V. Farber asked the State Supreme Court to freeze financing to New Jersey's poorest school districts for a year because of the state's dire budget problems."

The state is now facing a gap of "$4 billion dollars." In 2010, the gap is $8 BILLION. Now the amount projected to be "filled" has increased to $11 BILLION.

It is time to end the corruption, favor-mongering, sweetheart deals, selective enforcement of laws, secrecy and hidden agendas in New Jersey. Never will the state do without the portraits that are expensively painted of such immortal figures as Deborah T. Poritz or Richard J. Codey, not to mention that paragon legal as well as political wisdom -- "Slim Jim" McGreevey, Woodbridge's answer to Chicago's "Blagojevich." These people should make you puke.

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