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Friday, July 1, 2011

Gov. Christie signs state budget after series of deep cuts

Published: Friday, July 01, 2011, 9:00 AM     Updated: Friday, July 01, 2011, 9:09 AM
Statehouse Bureau Staff

Gov. Christie delivers 2011 budget address
Enlarge Gov. Chris Christie gives his budget proposal to both houses of the Legislature. (Ed Murray/The Star-Ledger) Gov. Christie delivers 2011 budget address gallery (37 photos)
TRENTON — Gov. Chris Christie took an ax to the state budget Thursday.
Destroying Democrats’ efforts to restore funding to public assistance programs, the Republican governor Thursday slashed $900 million from a budget he blasted as "unconstitutional."
What was left was a $29.7 billion spending plan that cuts funding Democrats had sought to add for the state’s financially troubled cities, Medicaid, college tuition programs and suburban schools.
He also left $640 million unspent, the largest surplus in the past decade and double what the last three governors have left.
And Christie vetoed bills that would tax millionaires more to fund schools and provide tax relief for low-wage earners.
At a news conference to unveil the cuts he made with line-item vetoes, Christie blasted the Democratic budget as "unconstitutional" and based on "fantasy revenue found between the cushions."
"They decided to deceive the citizens of the state with a budget that makes them look like Santa Claus in an election year," Christie said. "How shocking, politicians deceiving and pandering to voters to get re-elected."
Christie had one explanation for his individual reductions: "We can’t afford it."
Democrats, who Christie said were "pandering to special interests" are expected to return next week and fight the reductions.

Video: Christie line item vetoes budget 
 
Gov. Chris Christie gutted the state budget today using the line item veto. Calling the Democrats budget a fantasy, Christie cut $900 million out of the proposed budget. (Video by Megan DeMarco / The Star-Ledger)
"There are special interests," Senate President Stephen Sweeney (D-Gloucester) responded. "They are called seniors, the middle class and low-income families who the governor just decimated. We are just beginning to digest the cuts in the budget, but they are extremely cruel and mean-spirited."
On Tuesday, Sweeney stood smiling next to Christie as the governor signed a sweeping overhaul of employee pensions and health benefits. Thursday, Sweeney stood in the back of the room at the governor’s Statehouse news conference with a somber look, later calling it the "most disappointing day in my entire career as a legislator."
"He makes it very hard to work with him," Sweeney said.
After handing down pages of line-item vetoes, the governor’s office refused to comment on or clarify any of the reductions.
Christie also cut deeply into his original proposal, trimming financial aid for the state’s most troubled cities from $149 million to $10 million. The biggest recipients last year were Camden, which was awarded $69 million, and Trenton, which was given $27 million from that fund.
"These municipalities will not be able to survive," said Bill Dressel, executive director of the New Jersey State League of Municipalities. "I think this is going to wreak havoc in communities."
The governor eliminated hundreds of millions of dollars Democrats wanted to restore to the Medicaid health insurance program for the poor, and to FamilyCare, the health plan for working poor people, said Sen. Joseph Vitale (D-Middlesex).
"What he’s done is unconscionable, when the state can deny thousands access to health care and take it away for thousands more," Vitale said.
Christie also cut school funding by $500 million, slashing the $1.1 billion Democrats had sought. Christie left an extra $473 million that the Supreme Court ordered him to send to urban schools and $167 million for suburban and rural school districts that Democrats had added.

Video: Senate President Sweeney responds to Christie veto
Sweeney said today was "the most disappointing day" in his legislative career, and said Gov. Chris Christie's vetoes were "cruel" and "mean-spirited." (Video by Megan DeMarco / The Star-Ledger)
Other notable budget actions included:
• Christie for the second straight year cut $7.5 million for family planning centers like Planned Parenthood.
• Funding for "After the 3," an after-school program for low-income children, was eliminated.
• He cut $10 million for a program that provides legal representation for the poor in non-criminal cases.
• Christie will make a pension payment of almost $500 million in the next fiscal year.
• He left intact funding for "Senior Freeze," a program that provides property tax relief for senior citizens.
Christie cut the budget using his "line-item veto" authority, which allows him to reduce or remove portions of the budget and then sign it into law. The changes will not require legislative approval.
Calling them "mean-spirited and vindictive," Sen. Barbara Buono (D-Middlesex) pointed to a $250,000 reduction in funding for the Office of Legislative Services, non-partisan legislative staff that disagreed with Christie about how much revenue the state is going to collect next year. Christie also cut salaries and wages for legislative staff: about $3 million in the Senate and $1 million the Assembly.
"It’s retaliatory because they came up with very responsible revenues that he just disagreed with," Buono said.
With the budget wrapped up, Christie said he is leaving this weekend for a two-week family vacation.

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