Bill Text: NJ SR66 | 2012-2013 | Regular Session | Introduced


Bill Title: Opposes Manhattan Borough President's proposal to impose commuter tax on New Jersey residents.

Spectrum: Partisan Bill (Republican 2-0)

Status: (Introduced - Dead) 2012-06-04 - Introduced in the Senate, Referred to Senate Budget and Appropriations Committee [SR66 Detail]

Download: New_Jersey-2012-SR66-Introduced.html

SENATE RESOLUTION No. 66

STATE OF NEW JERSEY

215th LEGISLATURE

 

INTRODUCED JUNE 4, 2012

 


 

Sponsored by:

Senator  KEVIN J. O'TOOLE

District 40 (Bergen, Essex, Morris and Passaic)

 

 

 

 

SYNOPSIS

     Opposes Manhattan Borough President's proposal to impose commuter tax on New Jersey residents.

 

CURRENT VERSION OF TEXT

     As introduced.

  


A Senate Resolution opposing the Manhattan Borough President's proposal to impose a commuter tax on New Jersey residents.

 

Whereas, Manhattan Borough President and New York City mayoral candidate, Scott Stringer, recently proposed the reinstatement of a .45% commuter income tax on non-city residents who commute to New York City to work, in order to fund the Metropolitan Transportation Authority (MTA); and

Whereas, A taxpayer bailout of the MTA via the commuter income tax is not a long term solution to the MTA's larger financial troubles, nor does it recognize the importance of holding the MTA accountable for every taxpayer dollar it receives and spends; and

Whereas, The commuter tax is being proposed despite the fact that residents of New York who commute to New Jersey for employment are not targeted by New Jersey with State or local commuter taxes; and

Whereas, Although the proposed commuter tax will also be levied against New York state residents, as a means to circumvent the decision of the New York State Court of Appeals which held that a similar commuter tax was unconstitutional in 2000, the commuter tax is nonetheless discriminatory toward New Jersey residents who have no recourse at the ballot box nor representation in city government; and

Whereas, Over 325,000 New Jersey residents commute to New York City each day to work, spending an estimated $1.9 billion in the city on food, services, transportation, and other expenses, and contributing another $1 billion annually in New York state income taxes without availing themselves of most services used by city residents; and

Whereas, The imposition of the commuter tax will result in adverse economic consequences not only for New Jersey residents, who are already taxed at a high rate, but also for the economies of New York City and New Jersey which are inextricably linked, as residents will have less income to spend as a result of the tax; and

Whereas, The Manhattan Borough President's proposal to impose a commuter tax on New Jersey residents bears semblance to precisely the type of interstate competition our founders sought to prohibit through the inclusion of the Commerce Clause in the U.S. Constitution; and

Whereas, A commuter tax targeting New Jersey residents, who already pay their fair share in state and local taxes to New York, would violate the spirit of interstate collaboration and cooperation that is fundamental to our nation's federalism and prosperity; now, therefore,

 

     Be It Resolved by the Senate of the State of New Jersey:


     1.    This House urges New York City and New York State officials not to impose a commuter income tax on New Jersey residents.

 

     2.    Duly authenticated copies of this resolution, signed by the President of the Senate and attested to by the Secretary thereof, shall be transmitted to Mayor Michael R. Bloomberg, the New York City Council, the five Borough Presidents, Governor Andrew M. Cuomo, and the Majority and Minority leaders of the New York State Assembly and Senate.

 

 

STATEMENT

 

     This resolution opposes the recent proposal put forth by Manhattan Borough President and New York City mayoral candidate, Scott Stringer, to reinstate a .45% commuter income tax on non-city residents who commute to New York City to work, in order to fund the Metropolitan Transportation Authority.

     The commuter tax is being proposed despite the fact that residents of New York who commute to New Jersey for employment are not targeted by New Jersey with State or local commuter taxes.  Although the proposed commuter tax will also be levied against New York state residents, the tax is nonetheless discriminatory toward New Jersey residents who have no recourse at the ballot box nor representation in city government.

     Over 325,000 New Jersey residents commute to New York City each day to work, spending an estimated $1.9 billion in the city on food, services, transportation, and other expenses, and contributing another $1 billion annually in New York state income taxes without availing themselves of most services used by city residents.

     The imposition of the commuter tax will result in adverse economic consequences not only for New Jersey residents, but also for the economies of New York City and New Jersey which are inextricably linked, as residents will have less income to spend as a result of the tax.

     The commuter tax proposal bears semblance to precisely the type of interstate competition our founders sought to prohibit through the inclusion of the Commerce Clause in the U.S. Constitution.  A commuter tax targeting New Jersey residents, who already pay their fair share in state and local taxes to New York, would violate the spirit of interstate collaboration and cooperation that is fundamental to our nation's federalism and prosperity.

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