The Redistribution of Tax Dollars Continues to Prop Up New Jersey Cities Destroyed by Democrats
The redistribution of federal and state tax dollars continues to prop up New Jersey cities destroyed by Democrats, but the taxpayer bailouts have not slowed down the exodus out of New Jersey. The State of New Jersey is experiencing a massive outflow of residents; 227,000 residents left in 2016. From 2005 to 2014, more than two million people fled New Jersey. Why have so many people left New Jersey? The obvious answer is taxes, a mountain of taxes, but why are there so many taxes at such high rates?
Democrats have controlled the State of New Jersey and its cities for five decades. What has five decades of liberal policies delivered to the working people of New Jersey? The Democrats who control New Jersey soak taxpayers to pay for welfare programs and state and local governments that require billions of dollars to not only operate but pay for guaranteed pensions and health care benefits for current and retired government workers. Why do Democrats favor welfare over work and lucrative salaries and benefits for government workers? Welfare recipients and government workers are people who depend on the government for their subsistence; Democrats happily maintain and grow the welfare state and government in exchange for votes from the beneficiaries of their policies. However, actions have consequences, and the working people of New Jersey and American taxpayers are forced to bear the brunt of policies implemented by Democrats that have effectively turned New Jersey and its principal cities into welfare recipients.
There is a host of problems associated with wealth redistribution, the biggest being that the redistributors eventually run out of other people’s money. What happens when a state or city does not have the tax base necessary to continue to fund vote-buying policies; rational people change course, Democrats stay the course by raising taxes, creating new taxes, and taking advantage of the redistribution of federal tax dollars. The State of New Jersey and cities like Camden, Trenton, Paterson, and Newark survive by confiscatory taxes and drinking from the public trough.
The Democrat-controlled New Jersey legislature created a program administered by the Department of Community Affairs called the Transitional Aid program that provides state and federal tax dollars to cities that are actively dying under the corrupt, destructive policies of Democrats. The following is the program description (p. 23) from the FY 2017 state budget:
“$107.4 million Transitional Aid to continue assistance for distressed cities with protracted financial and management challenges. This aid goes hand-in-hand with direct state expertise and oversight to promote good government, best management practices, and a true transition to financial independence.”
“State appropriations” account for $802,577 and federal funds account for another $456,679 of the budget item for city bailouts; yes, the total (p, 43) doesn’t match the $107.4 million, but the entire budget is full of miscalculations. The math doesn’t matter when you are using other people’s money.
The Transitional Aid program will not solve the financial problems that plague the cities that participate in the program because the political landscape of the cities has not and will not change because bailouts allow the politicians in power to sustain the programs that have produced votes; the people who voted for mayors like Ras Baraka (D – Newark) are committed to protecting their freebies. In 2016, the City of Newark (carjacking capital of the world) received $9.8 million from the Transitional Aid that served to insulate the city’s elected officials and bureaucrats from their bad decisions. In fact, the taxpayer giveaway emboldened Mayor Baraka to plunge Newark deeper into the abyss by declaring Newark to be a sanctuary city; so much for transitioning Newark from a wasteland to a safe, financially independent city managed and governed by competent people. The cities of Newark, Camden, Trenton, et al. will never transition to financial independence unless they are forced to get off the public dole and suffer the consequences of the policies that created the problems.
The State of New Jersey and its dying cities are examples of what happens when Democrats are in control. The Democrat Party is a corrupt organization focused on gaining and keeping power. The Democrat Party in New Jersey is never going to lower taxes because taxes are the tool that allows them to buy votes; votes equal power. The redistribution of state and federal tax dollars provides Democrats with the power to create fiefdoms throughout the state shielded from the consequences of their calamitous policies by income confiscated from hard-working Americans.