State Shutdown Suspends Lottery; Casinos May Be Next

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hhayes

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TRENTON, N.J. (July 4) - Gov. Jon S. Corzine summoned lawmakers to the Capitol for the Fourth of July in an attempt to break a budget deadlock and end New Jersey's government shutdown.
Corzine ordered all 120 state lawmakers to work Tuesday, demanding that they meet until they can reach a compromise. If no deal is reached, Atlantic City casinos, state parks and historic sites would close Wednesday.

"That session will continue until a budget is signed into law," Corzine said.

The state lottery, road construction, motor vehicle offices, vehicle inspection stations and courts have already closed. More than half the state work force -- 45,000 people -- was ordered to stay home on Monday.

State regulators have ordered the casinos to close at 8 a.m. Wednesday, and on Monday the state Supreme Court declined the casinos' request for a reprieve. The state casinos would have to close because they cannot operate without state gambling monitors, and those workers are not deemed "essential" employees who keep getting paid during a shutdown.

"When they shut down, then there's no tourists, no conventions, no money for the workers. That's not good," said Ann Ji, who runs a beauty supplies store one block from the casino strip.

The dispute centers on Corzine's plan to increase the state sales tax from 6 percent to 7 percent to help overcome a $4.5 billion budget deficit and avert future state budget woes. The plan is opposed by Corzine's fellow Democrats in the Assembly.

Amid that conflict, the state missed its midnight Friday constitutional deadline to adopt a balanced budget, leaving the state with no means to spend money.

The Senate convened Monday and planned to stay until a budget was adopted, but Assembly Speaker Joseph Roberts Jr., the leading sales tax opponent, hasn't scheduled Assembly meetings since the deadline passed.

In a morning speech, Corzine planned to discuss a compromise offered by Senate President Richard J. Codey, who proposed using half the $1.1 billion raised by the sales tax increase to ease the state's property taxes, among the highest in the nation.

Codey predicted that plan would pass the Legislature if considered.

"I think it could and it would if in fact the three leaders agreed on it and strongly urged their members to accept it," Codey said.

But Roberts wants any sales tax increase set aside for property tax reform talks slated for later this year.

"The governor has rejected countless reasonable spending cuts and revenue raisers that could replace the sales tax increase," Roberts said. "It all points toward a single-minded mission to force through a sales tax hike under the duress of a shutdown order."
 
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Tim

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They will also be shutting down all the beaches tomarrow moring. We are in PA but right on the border of NJ so we get all the scope on our local news
 

hhayes

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Follow Up

New Jersey Reaches Budget Deal

TRENTON, N.J. (July 6) - New Jersey's governor and lawmakers reached a deal Thursday on a new state budget, six days into a government shutdown that shuttered casinos and threw more than 80,000 people out of work.

Gov. Jon S. Corzine said a government shutdown that closed casinos and furloughed thousands of workers will end in the next 24 to 36 hours. He cautioned that the budget accord was not cause for celebration, because too many residents' lives were disrupted.

"We have much more to do in the coming months and years to fix our state's public finances," he said.

The deal will increase the state sales tax from 6 percent to 7 percent and use half the $1.1 billion that it will raise to help lower property taxes, which are among the highest in the nation. It allows the possibility that, in future years, the entire increase will go to property tax relief.

"I honestly think that in the end with the agreement that we have reached, our state and more importantly our citizens are all emerging as winners," said Senate President Richard J. Codey.

Corzine shut down non-essential government operations on Saturday after the Legislature failed to pass a budget by the July 1 deadline. Casinos, which require state monitors to operate, closed Wednesday, putting 36,000 casino employees out of work.

More than 45,000 state workers were furloughed, including those who staff state parks and beaches.

http://articles.news.aol.com/news/_...dget-deal/20060701101209990006?_ccc=5&cid=842
 
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