Keep old HoJo's affordable, family-friendly

A representative for Madison Marquette, the company that will be handling the retail development of Asbury Park's oceanfront, promised the Planning Board this week that it would bring a ''first-class restaurateur'' to the Fifth Avenue Pavilion that once housed Howard Johnson's. By first class, we hope he didn't mean upscale. The old HoJo's is a perfect spot for a casual restaurant - one that caters to people using the beach in the summer and attending events at the Convention Hall and Paramount Theater year-round.
There will be plenty of venues for restaurants with $12 appetizers and lengthy wine lists in the development. This location cries out for something affordable and family-oriented - like a Howard Johnson's.

When will auto deaths/injuries be taken seriously?

The Press has editorialized often about the need to take drastic accidents to reduce the carnage on the highways. Despite all the safety improvements to cars and the sporadic campaigns to crack down on drunken driving, aggressive driving and people who refuse to wear seat belts, the number of auto deaths in New Jersey and elsewhere remains stubbornly high. Last year, 770 people died on New Jersey roadways, a 10 percent increase over 2005.

The number of annual deaths has been between 700 and 800 for the past 12 years. Ten times more people died on U.S. highways last year than Americans killed in combat in Iraq since the war started.

But the fatality statistics only tell part of the story. In New Jersey alone, more than 70,000 people are injured in auto accidents each year. More than 1 million people have been injured since 1992.

How can we allow this to happen?

Dismantle the Asbury Park School District

The lead editorial in the Sunday Press, "Dismantle the district," urged that the Asbury Park School District be dissolved and folded into a regional district that includes Ocean Township, Manasquan and Monmouth Regional. It's not the first time we have proposed regionalization, but it went into further detail. The editorial has generated considerable discussion, particularly in Asbury Park - a discussion we hope will continue, here and in our forums section.
The editorial appears below:

There seems to be no end to the depressing stories coming out of the Asbury Park School District. In the past two weeks alone, there have been allegations of padded enrollment figures and bid rigging, a vote of no confidence in the high school administration by the teachers and a document raid on the Board of Education offices by investigators sent by the U.S. Attorney.

Add to that the stubbornly low test scores despite the highest per-pupil costs of any K-12 district in New Jersey and a student-to-staff ratio of more than 5 to 1 at the high school. The violence in and around the schools. The on-again, off-again sniping on the school board. The disastrous lack of leadership at the middle school and the chaos in the halls and classrooms there and in the high school. The superintendent the board tried to fire, was forced by the state to hire back, then tried to oust again, suspending him instead with pay at the insistence of the Department of Education.

There have been some glimmers of hope over the past several years, but they have proved fleeting. For the most part, the school system has been a disaster. It is broken. Stronger leadership might help. But finding it — and keeping it — has been a persistent challenge. A state takeover isn't the answer either, as experience in other districts has shown. Given the hurdles the district faces, dismantling it and starting over offers the best chance of providing the city's students with a quality education.

It's time for a new approach to educating children in Asbury Park — one that involves creating a desegregated regional district that includes Asbury Park, Monmouth Regional, Ocean Township and Manasquan. Asbury Park High School should be turned into a county magnet school for the arts. The middle school should be converted into a trade school under the jurisdiction of the Monmouth County Vocational School District. At least two of the elementary schools should be left open, but operated by the regional district and desegregated. And Asbury Park students should be sent in proportionate numbers to other schools in the newly created regional district — along with increased per-pupil aid.

At the same time, steps should be taken to separate those students who are not interested in learning, or who prove disruptive to the learning environment, from those seeking a good education. That will likely require expansion of the county's alternative high school, or the creation of a branch of the high school at a central location in the newly formed regional district. The state must ensure the regional district creates an environment in every school that is conducive to learning.

State officials can't allow the Asbury Park schools to continue to fail the children they are responsible for educating. They can't continue to waste taxpayers' money by pumping millions of dollars in state aid into dysfunctional schools. A new, regional model is needed. They can't keep doing what they've been doing.

Struggling with mortgage payments?

A colleague of mine at the Press, investigative reporter Jason Method, is working on a story on the problems of mortgage debt. He would like to talk to homeowners struggling with high mortgage payments and interest rates. If you refinanced into a loan with a low teaser rate and are now faced with much higher payments, if you were told you had to get a high-interest subprime loan but thought you could have done better, or if you refinanced for more than you could adequately pay, or if you are facing foreclosure, he would like to speak with you. Please call him at 732-643-4236 or e-mail him at jmethod@app.com. Thanks.

Sen. Lesniak to discuss pros of leasing Turnpike

Thanks for those of you who submitted questions for us to ask Assemblyman John Wisniewski, who met with our editorial board Tuesday to discuss the possibility of the state leasing its toll roads. Wisniewski, who chairs the Assembly transportation committee, is opposed, and made a strong case for why. This Tuesday, Sen. Ray Lesniak, D-Union, will meet with our editorial board to try to convince us that leasing toll roads makes sense. He has introduced a bill that would give Gov. Corzine the authority to negotiate a lease, subject to the Legislature's approval.

Wisniewski has several concerns about a lease, including the wisdom of committing to a 50-year term or longer; the possibility of the money from the sale being squandered or not used for the intended purpose - debt relief and capital projects; the loss of existing revenue from the Turnpike Authority, which now generates a surplus of about $750 million a year; and issues surrounding maintenance, and what recourse the state would have if the private vendor cut corners on it. He also was wary of having our major arteries operated by foreign companies - something that would be a distinct possibility.

Wisniewski didn't have an answer to a question about whether private companies would enjoy the same immunity from tort claims stemming from poor maintenance or design as government has. He said that is likely something that would have to be negotiated.

Monetization of New Jersey

Gov. Corzine spent a goodly portion of his budget address today talking about the need for New Jersey to consider monetizing its assets - i.e, coming up with new ways to generate revenue to pay for the state's unaddressed capital and human needs.

Most of the discussion about monetization has centered around the possible lease of the N.J. Turnpike and Garden State Parkway and turning the N.J. Lottery over to a private vendor. But state Treasurer Bradley Abelow is looking at monetization far more broadly. Selling off property and public lands, and selling naming rights and air rights - the ability to build and lease office/retail space above train stations and other properties, for example - also are on the table. Abelow says he will present recommendations to Corzine within four to six weeks.

The lease of the state's toll roads has the greatest potential for a huge, quick infusion of cash. It also has the slimmest chance of gaining legislative approval, based, at least, on the early public response from lawmakers.

No matter how you cut it, most monetizing schemes are essentially "one shots" or deferred debt of the kind Corzine says he deplores. It's a shame his concern about the state's long-term health, jeopardized by mountains of debt attributable in large part to unfunded pension and health care liabilities for government employees, wasn't reflected in the contract he negotiated with the CWA.

State contract: fair deal for whom?

The Corzine administration reached a contract agreement with the state's largest employee union this morning. An outline of the terms provided by the Governor's Office is below, followed by the CWA release on the agreement. If you were hoping the contract would result in lower tax bills, you will be sorely disappointed.
It bears no resemblance to the reforms proposed by the special session legislative committee on pensions and benefits - recommendations Corzine ignored, saying he wanted to negotiate them at the bargaining table instead. Read the releases and weep:

Corzine Administration release:

PENSION REFORMS (Apply to Public Employee and Teacher Retirement Systems)*

Creates defined contribution plan to cover earnings in excess of the social security cap (currently $97,200) for new hires. Projected savings: $158.5 million per year by 2022.

Raises the retirement age from 55 to 60 for new hires. Projected savings: $77.3 million per year by 2022.

Calls for an increase in employees' contribution to pension system from 5% to 5.5% of an employee's annual salary, which begins to address the substantial unfunded liabilities in the system. Projected savings: $103.9 million in FY08 and 239.7 million per year by 2022.

HEALTHCARE REFORMS (Apply to State Civilian Workforce)

Calls for employees to contribute 1.5% of their salary to the cost of healthcare. Projected savings: $60 million per year beginning FY08. Contributions toward the cost of healthcare for local employees and educators are negotiated at the local level.

Health plan changes, including changes in co-pays for doctor visits and prescription drugs and replacing Traditional Plan with PPO. Projected savings: $30 million per year beginning FY08.


HEALTHCARE REFORMS (Apply to Educators)*

Affirms state commitment to fully fund cost of healthcare for retired educators.

Creates new governance structure for educator healthcare program management to jointly achieve improvements, efficiencies and cost savings targeted at $25-40 million.

Requires comprehensive review of system every five years to jointly determine structure of program.


WAGES (Apply to State Civilian Workforce)

Calls for salary increases of 3% in years one and two and 3.5% in years three and four, for a total of 13%.

Because the agreement also calls for an increase in pension contributions from 5% to 5.5% of salary and a contribution of 1.5% of salary toward healthcare costs, the net wage increase is actually 11% over four years.

Salaries for local employees and educators are negotiated at the local level.

* Will require legislation to implement.


CWA release:

CWA Announces 4-year State Worker Deal with 13% Raise


State Workers Reach Agreement on Four-Year Contract with 13% Across the Board Raise; 12% Compounded Raise after increased deductions; First Contract with No Wage Freeze in 15 Years

Agreement to Contribute 1.5% in Pre-Tax Wages to Address Rising Cost of Health Care; Workers Will Gain Access to National PPO Plan with Increased Network and No Gatekeepers; Also Agree to .5% Increase in Pension Deduction to Shore up Retirement System

TRENTON—The Communications Workers of America, which represents 40,000 New Jersey State Workers, reached a new four-year contract with the State of New Jersey early this morning that provides for 13% in across the board raises, and for the first time in 15 years, contains no wage freezes.

Recognizing the need to address rising health care costs and massive shortfalls in pension funding, CWA also agreed to a 1.5% pre-tax payroll contribution to the cost of health care, and to a .5% increase in workers' pre-tax pension contribution. Even after these deductions, the average worker will see a 12% increase in real wages over the life of the agreement.

"This agreement clearly demonstrates the value of the collective bargaining process," said Chris Shelton, Vice President, CWA District One. "Rather than having the Legislature unilaterally impose pension and health care givebacks on us, we have negotiated a contract that provides real economic security for our members while providing responsible leadership on the very real problems of pension and benefit costs."

Highlights of the contract include:

Raises of 3% on July 1, 2007 and July 1, 2008, and raises of 3.5% on July 1, 2009 and July 1, 2010. State workers have not negotiated a contract without wage freezes since 1992. The contract will provide significantly more in-pocket money than the 2003 contract.

Annual cash bonus payments to all workers with salaries less than $37,000, in order to bring their raises up to the value of the percentage raise for a worker earning $37,000. An additional provision will boost salary scales for thousands of lower-paid clerical workers.

Pensions for current employees will remain completely unchanged. Legislative and bargaining proposals to cut the pension benefit for future workers by 9% or to calculate pensions based on the average of the last five years of salary, instead of the current three, were rejected. So were proposals to require all future employees to enroll in a 401(k) type plan instead of the current defined benefit system.

The contract also commits the State to work with the union to seek legislation that will increase employee representation on the State Investment Council from 4 to 6, and provides for a chairperson elected annually by the members of the Council, instead of appointed by the Governor for five years. The parties will also seek greater disclosure of the financial interests of the Council members.

The Governor will continue his commitment to meet the state's annual obligation to fully fund the pension.

The 1.5% contribution to the cost of health care and the .5% increase in the pension contribution will be in pre-tax dollars, reducing their combined value to about 1.5% of take-home wages.

The State will introduce a new national PPO health care plan which will replace the current NJ Plus plan. This plan will have an expanded national network of doctors and will not require workers to seek referrals from primary care physicians if specialists’ services are required, in contrast to the current plan.

CWA bargained to link the health care contribution to wages, instead of the cost of premiums, in order to minimize the impact on low-wage workers and those with families. In addition, health care premiums are rising more quickly than any other consumer item and the Union did not want increases linked to those premiums.

The parties strengthened contract language guaranteeing that there will be no changes in health benefits during the life of the agreement.


"After 18 months of finger-pointing and scapegoating, this contract represents a real victory for state workers," said Shelton. "We bargained in the most difficult environment we've faced since Whitman was Governor, at a time when private sector pensions and health care are virtually collapsing. We secured a solid wage increase that raises the standard of living of our members, while enhancing protections for our health care and pensions for years to come."

"We have agreed for the first time to make a modest contribution towards the cost of health care and to a modest increase in pension contributions," said Shelton. "We believe these are reasonable and responsible steps that are justified by the considerable funding problems facing the benefit systems. Those who oppose this contract because of these modest changes are living in a fantasy world of irresponsible leadership which fails to take account of the threats to pension and health care benefits in both the public and private sectors."

Turn in a tax cheat today

If there was anything surprising about the story on the Monmouth County landscaper who was charged with tax evasion last week for failing to report income that cheated the federal treasury out of $100,000 a year, it was that the IRS actually nailed someone. Cheating on taxes is an epidemic, one that particularly afflicts contractors and small business owners, and the IRS doesn't have the resources to bring it under control.

Before moving out of my old house and into a new one recently, I had more dealings than I care to think about with landscapers, electricians, handymen and other specialists in working off the books. Many of them offered me discounts - typically 10 percent - for paying them in cash. When they asked for cash, I told them I only did checks. If they didn't like it, I looked for someone else to do the work.

A 2006 Internal Revenue Service study estimated that the gap between the amount of taxes owed and those not paid was $353 billion in 2001 - about 15% of total taxes owed. Some people believe that number is much higher. An estimated $155 billion of the underreporting is in the individual income tax owed by business firms and the self-employed.

If you suspect someone of cheating, report them yourself. In addition to the satisfaction derived from doing so, you can qualify for a reward of up to 15 percent of the amount recovered - up to $2 million. IRS Publication 733 - http://www.irs.gov/pub/irs-pdf/p733.pdf - details the regulations for claiming a reward.

Any questions about leasing of Turnpike?

The Press editorial board will be meeting Tuesday with Assemblyman John S. Wisniewski, D-Middlesex, chairman of the Assembly Transportation and Public Works Committee, to discuss the possible leasing of New Jersey's toll roads to a private company. Wisniewski is opposed to the idea.
Anyone out there think it's a good idea? Any questions on the subject you want us to pose to Wisniewski? You can post them on the blog or e-mail them to me at rbergmann@app.com.

Judges shouldn't shoot for the moon

State Supreme Court Chief Justice James Zazzali met with the Press editorial board yesterday to give us a primer on how the courts operate. It was an interesting session, even though Zazzali wasn't able to talk specifically about Abbott school funding, the Mount Laurel affordable housing decisions or other hot-button issues. At the end of the meeting, he made a pitch for increased salaries for New Jersey's 460 state judges - something his predecessor, Deborah Poritz, had done twice, unsuccessfully, in the past four years.

State judges in New Jersey make $141,000, ranking them sixth nationally. But when the cost of living is factored in, they drop to 41st. They haven't had a raise in seven years. Four years ago, when the state was facing a $6 billion budget deficit, Poritz sought 14.5 percent pay increases for the judiciary. In 2005, she upped the ante to 17 percent. Now, Zazzali wants the pay of New Jersey judges to equal that of federal judges, which it once did. Federal judges now make $168,000, 19 percent more than New Jersey judges.

Zazzali made a good case for raises. But, he shouldn't make the same mistake Poritz did: trying to get it all at once. He should seek modest increases this year, accompanied by automatic annual cost-of-living adjustments. He also has to be mindful that substantial pay hikes for judges, who now are on a par with Cabinet officials, would create upward pressure on salaries in the executive branch and in prosecutor's offices. And he needs to take into account the outcome of negotiations with the state's unions, which could be concluding soon. The Legislature isn't likely to be overly generous to the judiciary - even if it deserves it - if state workers are having their benefits cut and their salary increases held to the the rate of inflation or less.

Where were the sanders and salters?

My household was among the 25,000 in Monmouth and Ocean counties today without power. The lights also went out at my 3-year-old's pre-school, prompting a call from the school this morning to come pick him up. The trip from Neptune to the pre-school took about 15 minutes longer than usual because of all the roads that were closed down in Jackson en route. Tree limbs were down everywhere, bringing down power lines with them. It was a mess.
During my travels, including my trip back to Neptune, I was struck by the lack of salters and sanders - none on the Parkway and none on I-95. In Jackson, I saw two municipal trucks plowing water and slush off the road. But nary a drop of salt or sand anywhere. Can't wait for the trip home.

School Report Cards: A to F

It's always interesting to sift through the annual State Report Card to see which districts are doing well - and which ones could be doing better. In the latter category is Asbury Park, which again spent more per-pupil than any K-12 district in the state, $18,429, and had among the lowest test scores. Two other numbers on Asbury Park's report card also stood out: 77 percent of its students were defined as low income - a figure far higher than most high schools in Newark - and 65 percent of its students took the SATs even though only 20 percent said they planned to attend four-year colleges.
Also worthy of note: three of Monmouth County's magnet schools finished among the top six statewide in highest average SAT scores. High Technology H.S. was first, with a combined average score of 2038 - 683 in verbal, 693 in math and 662 in writing. All of the top six schools were magnet schools. Millburn was No. 1 among the non-magnets, with a combined average SAT of 1864. The rest of the non-magnet top 10: Princeton Regional, Tenafly, West Windsor-Plainsboro, Holmdel (1764), Montgomery and West Windsor-Plainsboro, Northern Valley (Bergen), Glen Ridge and Chatham.
In Monmouth County, Rumson-Fair Haven (1671) had the second highest SATs of the non-magnets, followed by Marlboro (1668) and Freehold Borough (1622). In Ocean County, Point Pleasant Beach High School (1605) had the highest SATs, followed by Toms River East (1519), Toms River North (1509) and Point Pleasant High (1506).
Three year's worth of state report cards can be found on app.com's Data Universe: http://php.app.com/sat06web/search.php

Who will blink first in state contract talks?

Gov. Corzine told the Legislature last fall to back off on legislation that would reduce pensions and health benefits for public employees, saying any changes should be handled through collective bargaining. Corzine wants to reach an agreement with the 50,000 workers whose contracts expire in June prior to his introduction of the 2007-08 budget later this month.

From all accounts, talks aren't progressing well. No surprise there. According to an AP report last week, the state offered no raises for the first two years of the new contract and increases of 1.25 percent for the final two years. A union official said the state also was seeking significant concessions in health care and pensions.

What does the union want? According to CWA Local 1037 president Hetty Rosenstein, "We want money every year of the contract with no wage freezes, and we must protect the integrity and structure of our pension plan." Corzine's ex-girlfriend, CWA Local 10334 president Carla Katz, says, "We are steadfast in our resolve to protect our members' pension and health benefits.

The outcome of these negotiations will tell you all you need to know about how serious Corzine is about bringing public employees salaries and benefits under control.

New Jersey autism numbers scary

The new study released today on the incidence of autism was downright frightening. Of 14 states studied, New Jersey ranked first in the prevalence of autism spectrum disorders.
Last year, it was estimated by the Centers for Disease Control and Prevention that the rate of autism was 5.5 for every 1,000 children. The latest study, based on 2002 data, indicates the rate is 6.6 per 1,000.
In the four New Jersey counties studied - Ocean, Union, Hudson and Essex - the rate was 10.6 per 1,000 - more than one of every 100 children. Researchers had no explanation for why New Jersey's rate was so much higher than those in other states, but said it was consistent with previous studies.
Research into the causes of autism deserve highest-priority attention. We need to find out its causes, and we need to determine how best to prevent it and treat it.

Link to the Associated Press story: http://www.app.com/apps/pbcs.dll/article?AID=/20070208/NEWS/70208045
Read the autism study: http://www.cdc.gov/mmwr/preview/mmwrhtml/ss5601a2.htm

Consolidated laws, animal abuser registry needed

There is no clear consensus on what the penalties should be for people convicted of animal abuse charges. But there appears to be broad agreement about the need for improved reporting of abuse cases, uniformity of animal cruelty laws and punishments across the state, and stiffer penalties for various offenses.

Of the two bills pending in the Legislature that would address many of the concerns, the strongest is Assemblyman Jeff Van Drew's (D-Cape May), who spent nearly two years meeting with the key constituencies to develop a comprehensive plan that updates the archaic animal abuse laws. His efforts deserve to be rewarded with speedy passage in the Legislature. Sen. Ellen Karcher, D-Monmouth, should work to ensure a companion bill is filed in the Senate, and acted upon quickly.

There also is a need for a registry of animal abusers - on the state and national levels. Sen. Leonard T. Connors Jr., R-Ocean, says he plans to reintroduce a bill that would create a statewide registry. He should find some Democrats to co-sponsor it. If he refers them to Bobbi Seidel's three-part series on animal abuse, he shouldn't have difficulty enlisting support.

Fuller picture of animal abuse is needed

One of the challenges in trying to deal intelligently with the animal abuse problem has been the difficulty getting a good handle on the extent of it. Legislation approved last year that took effect the first of this year should improve the statistical information. Until the law went into effect, there was no central repository of information about animal abuse cases. While the NJ SPCA and affiliated county SPCAs kept records, there was no requirement that they be reported. While that has changed, the quality of the information must be improved. The state needs a central registry that will include better information about the nature of the abuse, and information about those charged and convicted of animal cruelty crimes that can be shared across jurisdictions.
Everyone knows that animal cruelty is a problem. Many believe it is getting worse. It's clearly a serious enough problem to warrant detailed statistical information that can be used to help shape policies and laws that can address it with all the facts at hand.

Animal cruelty laws come up short

The anecdotes about the inhumane treatment of animals in Bobbi Seidel's front-page story in the Sunday Press are disturbing, but not at all surprising given the large number of high-profile abuse cases that have been reported in the Shore area over the past few years. What is surprising is that despite a general recognition among those trying to combat the problem that animal cruelty laws in New Jersey are inadequate, nothing has been done about it.
The legislation discussed in the story - the Ciesla-Connors bill and the Van Drew bill - can improve the situation. There is no reason for the Legislature not to act on both bills.
As a couple of the people quoted in the story today noted, the issue transcends cruelty to animals. It's important that everyone understand the connection between animal abuse and other forms of abusive behavior - child abuse, domestic abuse and other types of violent crimes.

Eminent domain not working

Opinion polls show that overwhelming majorities of Americans oppose the use of eminent domain to promote private development. A new study by the Federal Reserve Bank of St. Louis provides another reason for being against it: In all too many cases, not only doesn't it work, but it does more harm than good.

The study's authors concluded that the "taking of private property from one person and giving it to another for economic development . . . is unlikely to create a net benefit to society. It is more likely to create economic inefficiencies and to reduce economic growth . . . The reason is that even the most well-intentioned policymaker cannot comprehend or replicate the complex interactions of buyers and sellers that occur in free markets."

The study did note, however, that not everyone loses. "Of course, there will be certain groups that do benefit from the taking of private property, such as developers, property managers and local politicians."

The authors' suggested alternative to seizure of private property? "Rather than use eminent domain or other tools to target individual economic development projects, local governments should ask the fundamental question as to why the desired level of economic growth is not occurring in the local area without significant economic development incentives. For example, are taxes too high, thus creating a disincentive for business to locate to the local area? Do current regulations stifle business creation and expansion? All of the targeted economic development in the world will not compensate for a poor business environment. From a regional perspective, local governments should focus on creating a business environment conducive to risk-taking, entry and expansion rather than attempting targeted economic development through eminent domain or other means."

To read the report, click here: http://www.stlouisfed.org/publications/re/2007/a/pages/prosperity.html. Then forward the link to your state legislators, who have done nothing to rein in eminent domain abuse.