Contact Us
Make My Homepage

Poor Grade For NJ Subsidy Programs [AUDIO]

Chris Hondros, Getty Images

At least its not an F. According to a national report card from Good Jobs First, New Jersey gets a grade of D+ for five of its major subsidy programs, scoring only 39 on a scale of 100. New Jerseys program with the most stringent job-creation standards, the Business Employment Incentive Program, ranks the best of the five with a C+ and a score of 63. If the states other subsidy programs had the same safeguards, New Jersey would be among the top ten states in the country. Instead, it ranks 24th.

Over the past two years, New Jersey has thrown subsidies at companies, but the plan hasn’t succeeded in creating many jobs, says Deborah Howlett, president of New Jersey Policy Perspective.

The states that scored highest in the survey are the states that had greater accountability for taxpayer money. They were more stringent in how that money was delivered, and more vigilant about delivering jobs that were promised.

Howlett says of New Jersey, The state has made a decision…to devote a billion and a half dollars of public resources to private enterprise…If you’re going to make that heavy of an investment, the private corporations you’re giving this money to should have to deliver on the jobs that they promise.

The state currently relies almost entirely on self-reporting by corporations. NJPP recommends against that.

There should be some auditing mechanism, whether its through the state comptroller or somebody else, Howlett suggests.

NJPP also believes no subsidy money should be delivered until proof of job creation is delivered. That policy is in place with the Business Employment Incentive Program, but not in the states other major subsidy programs.

Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

Best of NJ 101.5

Recommended For You

Best of the Web

Leave a Comment

It appears that you already have an account created within our VIP network of sites on . To keep your personal information safe, we need to verify that it's really you. To activate your account, please confirm your password. When you have confirmed your password, you will be able to log in through Facebook on both sites.

Forgot your password?

*Please note that your prizes and activities will not be shared between programs within our VIP network.

It appears that you already have an account on this site associated with . To connect your existing account just click on the account activation button below. You will maintain your existing VIP profile. After you do this, you will be able to always log in to using your original account information.

*Please note that your prizes and activities will not be shared between programs within our VIP network.

Please fill out the information below to help us provide you a better experience.

(Forgot your password?)

Not a member? Sign up here

Sign up for New Jersey Insiders quickly by connecting your Facebook account. It's just as secure and no password to remember!

Sign up to have exclusive New Jersey Insiders contests, events, coupons, presales, and much more delivered to you for FREE.