Secaucus Lawsuit  

The people of Secaucus should be commended, especially former Mayor Anthony Just and the present Mayor Elwell. They are trying to right a wrong concerning Jersey City tax abatements.

During the county budget hearing, Mayor Anthony Just asked the freeholders to cut as much fat as they can.  Mayor Just believed that the county burden was unfair for the 15,000 residents of Secaucus.  He stated Secaucus does not give abatements for development. Secaucus taxpayers were subsidizing the municipality of Jersey City with a population of 230,000 by granting tax abatements.

I contacted Mayor Anthony Just, then mayor of Secaucus.  I suggested a lawsuit because of the unfairness.  Needless to say I was surprised that Secaucus filed a suit in State Tax Court. 

Judge Kuskin is still presiding over the case.  The docket no. is 00248-98 and 001353-99.  The attorney for Secaucus found an error with one of the abatements that Jersey City granted in the Greenville section. 

The Judge ruled that Jersey City violated state statues by allowing the abatement to be 2.5%.  State statues grant abatements at 2%.  The Judge also ruled that signing of the Financial Agreement did not satisfy the statutory certification required by N.J.S.A 40A:20-12 or N.J.S.A 40:55C-65.  The assessor according the the judge is an agent of the Legislature and the assessor must comply with certain directions of the county tax board, county administrator and the Director of the Division of Taxation.

However, Mayor Schundler had a stormy relationship with Tax Assessor, Peter Casamassino and he kept Casamassino in the dark about the city's business. The tax assessor is required by law to give a certification to the county board of taxation N.J.S.A 54:4-35. 

This certification was not given for this abatement and obviously for others.  The Judge might allow Jersey City to amend its certifications or he may throw out all abatements. 

The Judge did say that tax, "exemptions are to be granted sparingly and only those who comply strictly with the applicable requirements for granting the exemption."  The word sparingly is not used by Schundler.

He also quoted another ruling that said, "an exemption from taxation is a departure from the equitable principle that everyone should bear his just and equal share of the public tax burden.  Taxation is the rule, and the exemption is the exception to the rule."  I agree!