“New Jersey commuters should start tossing tea into the Hudson River,” said McKeon (D-West Orange). “A commuter tax would be a classic case of taxation without representation and it will only serve to further gouge this population.”

 Mayor Bloomberg has proposed the congestion fees as a mean to promote the use of public transportation and relieve congestion in New York City.  The revenues would be used to provide matching funds for available Federal funding and for other infra-structure improvements.  A commuter tax which was repealed in 1999 earned the City $360 million annually.   

"This is an outrage directly aimed at New Jersey and its commuter population,” said McKeon. “This is just another tax on our hard working residents who are already subject to direct and indirect New York taxation.” 

According to McKeon, out of state income taxes currently paid by New Jersey’s commuters offset their use of city services.  In addition, they contribute via sales taxes paid on purchases and indirectly via corporate and property taxes paid by the businesses that employed them.  State fiscal reports show that New Jersey’s over 250,000 commuters contributed approximately $2 billion in fiscal year 2004.  New Jersey and Connecticut residents who work in New York generate nearly 10 percent of the state’s total income tax collection according to the Manhattan Institute for Policy Research. 

Governor Corzine has publicly expressed concerns that New Jersey lacks the viable mass transit alternatives to handle the number of commuters who may choose public transportation as a result of the fees.  The state may choose to fight the plan through the Port Authority of New York and New Jersey which is a bi-state agency that oversees all entry point into Manhattan.   

“I concur with the Governor’s concerns,” said McKeon. “The lack of viable commuter options will leave no choice for our state residents; this is truly highway robbery.”  

The Assemblyman will be introducing a legislative resolution opposing the proposal at the upcoming session on Thursday. 

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