NEW BRUNSWICK, NJ-New Jersey may have a business-friendly administration in Trenton, but much remains to be done to improve the state’s economy, particularly in boosting commercial real estate construction around the state according to government officials speaking at NAIOP NJ’s annual Public Policy Symposium, held at the Heldrich hotel here.
Topics included the status of the S-1 bill and the Bayonne Bridge to the funding of the Transportation Trust Fund Authority and environmental issues, as some speakers expressed frustration, and others admiration, for the new administration.
The S-1 bill would abolish the Council on Affordable Housing--while increasing the obligation for affordable housing from 190,000 units to 230,000--and transfer its duties to the Department of Community Affairs. “We passed S-1 and I made it a priority,” said Democratic Senate President Stephen Sweeney. “The Governor told me he’d sign it.” Instead, Gov. Chris Christie conditionally vetoed the bill in January, citing amendments that changed its original intent.
The legislature worked with every stakeholder in the COAH configuration, reported Assembly Speaker Sheila Oliver. “We presented a bill that eliminated a 2.5% assessment on commercial development,” she said. “We are aware that it had to pass constitutional muster. We were thrown off our seats when the government veoted the latest version. But we want to solve COAH so that it’s constitutionally sound.”
And that may be exactly where it’s headed. “If we don’t do something soon, my concern is that the courts will get hold of it,” said Alex deCroce, the Republican Assembly Minority Leader. The key, all noted was to kick-start construction. “We need to work together,” Sweeny said. “This is too important. I come from the construction industry, which has 40% unemployment. We have to fix it.”
The key is how, with Sweeney maintaining Gov. Christie could simply revoke a February 9 executive order staying COAH’s proceedings for 90 days and create a task force to evaluate the council. “The governor could change the process tomorrow by taking the executive order off. It’s one signature,” he said. “I’ve got a governor who’s supposed to pro-business. What’s he afraid of?”
Senate Minority Leader Tom Kean noted, however, that the new leadership is improving the state’s reputation in the business community. “Next year will go even further,” Kean said. “But if we can’t get COAH done, it will be a defining issue.”
While all noted that the ARC Tunnel plan vetoed by Christie was deeply flawed, the panel remained divided on the best way to fund the Transportation Trust Fund, with some favoring an increase in gasoline taxes and others a toll hike. “We don’t know the direction or where it’s going, but we know we need a source of permanent funding,” Oliver said, suggesting that federal funds may be part of the answer, despite a rancorous relationship between Gov. Christie and the state’s senators and representatives. “Let’s put aside semantics and get it fixed,” she concluded.
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