For local governments already saddled with a down economy, billions in state aid cuts and a strict limit on what they can tax property owners, the 22 percent increase in pension costs announced two weeks ago was just one more blow from Trenton that could mean steeper taxes and sharper cutbacks.
“It’s another way Trenton is shifting the burden off to local taxpayers to make them look better,” Lakewood Township Committeeman Raymond Coles said Friday.
Lakewood must pay $1 million more into the state public employees, police and fire retirement systems next year — a 23-percent spike similar to what municipalities are facing throughout Ocean and Monmouth counties.
Local officials say they will deal with the increase — as they have with the $1.3 billion in aid cuts and 2-percent tax cap — but are bracing for either angry taxpayers or dwindled services. Layoffs could be back on the table in some towns. Read more in APP.
Or how about negotiating with the employees on their pension fund as the Governor intended with his cuts
Friday furloughs a good place to start.
What is not being said is that a four year pension holiday or the eight year pension deferment was offered to towns. They were told they would have to pay the money back with interest. No one forced the towns to defer payments. Some towns did not. This has nothing to do with the employee. Maybe people should ask what happened to the money they “saved” by deferring payments.
Good question. What about all the money that the state “borrowed” from their pension system only to never pay back.
Lakewood had a 7 mill surplus last year. Now you know why they defferred payments instead of paying.
it’s very simple, when times are tough everyone must give back something they received when times were good. Hopefully the stimulus package Washington approved will not hurt our grandchildren’s children.
Who is going to pay the funds from this package