Cliffside Park – Another key element of New Jersey’s economic assistance and recovery package was implemented today as Governor Jon S. Corzine signed into law an expansion of the Senior Freeze Program, which will deliver property tax reimbursement checks averaging up to $1,000 for eligible senior and disabled residents. The Governor signed the legislation, A-3460/ S-2, at Cliffside Park Senior Activities Center following an AARP Teletown Hall meeting.

“We know the national recession has placed a tremendous burden on so many of New Jersey’s senior citizens, particularly those living on a fixed income,” Governor Corzine said. “The expansion of the Senior Freeze Program means more seniors will have assistance with blunting the economic impact of local property taxes. This additional property tax relief comes at just the right time for our seniors.”

The expansion of the Senior Freeze Program significantly increases income eligibility limits for seniors and disabled citizens over the next three years from its current ceiling of approximately $53,000.  Under the new law, income limits will increase to $60,000 for tax year 2007, $70,000 for tax year 2008 and $80,000 in tax year 2009.

 “Making it easier for senior citizens and disabled homeowners to take advantage of this property tax relief will help ensure the global economic crisis doesn’t force residents on fixed incomes out of their homes,” said Assemblyman Paul Moriarty (D-Camden, Gloucester), a primary sponsor of the bill. “Seniors and disabled residents on fixed incomes are bearing the brunt of higher costs on everything from utilities to groceries to gas. Providing these households a property tax cut is the right thing to do to ensure they can stay in their homes.”

Those qualified are directly reimbursed by the State for the difference between the amount of local property taxes paid in the “base year,” (the year applicants became eligible and first filed for the program) and the amount of property taxes paid for the reimbursement year.

“Senior citizens who have given their lives and energy to New Jersey deserve all the help we can give them,” said Assemblywoman Joan Voss (D-Bergen). “Many already have a tough enough time staying in their homes, and this global crisis isn’t making things any easier.”

Another sponsor, Assemblywoman Linda Greenstein (D-Mercer, Middlesex) said, “The global economic crisis has hit hard, which is particularly painful for those on fixed incomes. Property tax relief remains a top priority, and this help will prove crucial to many.”

There are currently 132,000 recipients in the State who meet the specific income, residency and home ownership eligibility criteria for this program. Fully phased in over the next three fiscal years, the expanded program would add approximately 70,000 eligible seniors.  This represents those who would be new to the program, as well as those who previously received senior freeze checks but lost eligibility because their income exceeded the original cap. 

“Being an advocate for freezing property taxes since I began office, this legislation is a step in the right direction,” said Senator Fred H. Madden, Jr., (D-Camden, Gloucester).  “With the rising cost of healthcare and medications, the expansion of this program will provide the inclusion of more seniors and help provide much needed relief due to the rising costs of property taxes.”

 “The increase of income eligibility limits would ensure that even more seniors in need will benefit from this program,” said Senator Shirley Turner (D-Mercer).  “New Jersey suffers a cost of living crisis and the old income standards don’t meet the basic need of our citizens.” 

With today’s enactment, the Division of Taxation will begin to identify applicants who become eligible under the new provision and will mail out applications sometime around the beginning of the new year. Senior and disabled residents will be asked to submit their applications to Taxation by March 31, 2009.

“The residents of New Jersey, especially those on fixed income, are in need of some financial relief during these tough economic times,” said Senator Dana Redd, (D-Camden, Gloucester).  “We need to do something to help lift the financial burden off our seniors who are already struggling to afford their basic needs.  This measure will go a long way to help keep our elderly resident in their homes.”

The cost of the program expansion is estimated at less than $5 million in FY 10, $14 million in FY 11 and $32 million in FY 12.

“AARP applauds Governor Corzine for his efforts to attend to those who are the most vulnerable in our state during this difficult economic downturn,” said Sy Larson, AARP New Jersey State President. “The Governor and our state legislature are showing true leadership in this time of need and we look forward to their continuing efforts to assist those in New Jersey who need help the most.”

In the Assembly, primary sponsors of the bill included Assemblymen Paul D. Moriarty (D-Camden, Gloucester) and Patrick J. Diegnan, Jr., (D-Middlesex) and Assemblywomen Joan M. Voss (D-Bergen), Linda R. Greenstein (D-Mercer, Middlesex), Sandra Love (D-Camden, Gloucester), and Nellie Pou (D-Bergen, Passaic). Primary sponsors of the legislation in the Senate were Senators, Dana L. Redd (D-Camden. Gloucester), Shirley K. Turner (D-Mercer) and Fred H. Madden, Jr. (D-Camden, Gloucester).

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 Photos from Governor Corzine's public events are available
in the Governor's Newsroom section on the State of New Jersey web page, http://www.nj.gov/governor/news/