What Would Gov. Corzine Do?

New Jersey is $6 billion in the hole going into next year. Gov-elect Jon Corzine has to balance the state budget by law, and among the key concerns is how to fund the Transportation Trust Fund, which will be out of money July 1, 2006.

First guess? He's going to raise the gas tax. Which he said he wouldn't do when he was busy buying the governorship from the other rich guy in the election (Forrester). Don Surber put it quite succinctly. Corzine's a liar (in stereo). DynamoBuzz also noticed Corzine's revisionism of current events.

Here's my best guess as to what Corzine is going to do to balance the budget. First of all, there will be no spending cuts of consequence. That would go against everything the Democrat stands for. Tax and fee increases? That's the most likely scenario.

First to be considered - an increase in the gas tax - and the only question is by how much. Right now, it's the lowest tarriff in the country, but that's going to change. I figure an increase by a dime will be a nice round figure.

Expect all kinds of other fees to rise as well. Real estate transfer taxes will rise (again). Personal income taxes may get an increase (again). Corporate income taxes will be increased (again). How will companies react to these new fees and tax increases? They'll go elsewhere, forcing the state to choose between raising taxes higher or cutting spending, but no one has tried tackling that beast and I don't expect Corzine to do so either.

Enlighten-NJ says that Corzine is going to be doing business as usual. He's not going to change the profligate spending, nor is he going to take on the unions to wring concessions on the pension and benefits costs to the state. Nope. Just expect more taxes and fees.

Opposition to the possible gas tax increases is already lining up. That's fine, but can someone explain how the Transportation Trust Fund will remain solvent without some kind of action? Sen. Dianne Allen seems to think that if you restructure how the TTF is used and take funds from the MVC (motor vehicles), they could make ends meet. That sounds great, except that the MVC funds are being used elsewhere to balance the budget, which as I noted earlier, isn't anywhere near being balanced.

Also commenting on the budget mess in New Jersey: Daily Pundit, Jewish Blogmeister, The Club for Growth says it isn't their fault - they voted for the other guy, Blue State Conservatives, [and updated regularly] Political Dogs

UPDATE 12/15/2005:
Enlighten NJ has a thoughtful and comprehensive posting on the gas tax, the fact that everyone knew that the tax would need to be raised, but no one would deal honestly with the issue - which really focuses on how the monies will be used.