The Governor and Legislature are pushing a 2 percent tax cap as a way to deal with the state's soaring property taxes. However, a constitutional cap is not the answer to New Jersey's exorbitant taxes. Such a cap would be too absolute and inflexible and may pose a threat to our state's open space.
New Jersey has the highest property taxes in the nation. Instead of establishing a long term solution to this problem, Governor Christie and the legislature are merely rushing to come up with a solution. But the solution being pushed will have negative consequences for the people of New Jersey.
Instead of rushing to implement a cap, the Sierra Club supports comprehensive reform that will ease the financial burden for homeowners in New Jersey and will allow our economy to thrive.
A tax cap would have many negative side affects. In addition to compromising our open space, it will drive municipalities will seek creative ways of getting around the cap, creating additional consequences like increased debt, a reduction in services, and a potential for privatization of municipal service.