N.J. to cut $20 in municipal support

    The Department of Community Affairs says $20 million in state funds authorized for towns under the Consolidated Municipal Property Tax Relief Act is being withheld.

    Municipalities in New Jersey will be getting less money from the state because of a budget shortfall.

    The Department of Community Affairs says $20 million in state funds authorized for towns under the Consolidated Municipal Property Tax Relief Act is being withheld.

    New Jersey League of Municipalities Executive Director Bill Dressel says that will have a horrendous impact on municipal budgets.

    Dressel: We’re talking about potential property tax increases at a time when the economy is slumping, when people are losing their jobs, when there’s a proliferation of tax appeals that’s threatening the municipal tax base.

    Dressel says he’s concerned other municipal aid funds could be cut.

    Gov. Jon Corzine has asked his department heads to come up with $400 million in cuts. Those recommendations are under review.

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