New Jersey Nightly News; Njnn 6:30

I am. New Jersey and likely I am. Going. With Rebecca Sobel in Trenton and Clayton Vaughn in Newark. Good evening. In the news tonight the state commission of investigations hearings into the boarding home industry uncovered evidence of double payments and the owner of one of those boarding homes opened his doors to our cameras today. And we'll have a report on medivac a new state police program to rescue accident victims via helicopter. Clayton. Good evening Rebecca. In sports Paul bloodline will have a report on a golf tournament called the DOn't OPEN. It's not nearly as threatening as it sounds. And on tonight's closer look we'll examine how New Jersey's caps law and how it affects our schools. The state commission of investigation heard testimony today that some boarding home operators may be getting and keeping double payments for housing mental patients in the fourth day of hearings into the boarding home industry the ESI I was told that the state's family care program and the federal government supplemental security income program sometimes overlap.

The result investigators were told is that room and board payments for some former mental patients are made twice the boarding home operators are supposed to pay back the state money once the federal far funds start arriving. But hospitals have no effective way of finding out when that is. So the way the system seems to be working is that the hospital has to rely on the operator or the patient to call the hospital up and say I have I have received a lump sum retroactive SSI check for say twenty five hundred. And I believe the hospitals in some of these how much do I owe you. At this point that's what I have to rely on. And in reality does that happen you know. The result has been hundreds of thousands of dollars an unrecovered double payments to patients and to boarding home operators who in most cases handle their money and a Monmouth County boarding homeowner accused of mishandling her residence money fought back today

and a Price admitted cashing three checks that should have been deposited for patient's care. But she accused state investigators of witch hunting. My power has the story. All this week New Jersey boarding home operators are being hauled before the state commission of investigation and peppered with a volley of accusations. But if any of the targets are being missed this may be one of them. The owner of this home admits she probably shouldn't have cashed the checks but she says that has nothing to do with the quality of care the 23 residents at her home received. Most of them are physically and mentally impaired. They pay two hundred eighty three dollars a month from their supplemental Social Security income checks. For that they get part of a two or three person room and three meals a day. And in eight years of operation the owners never had a challenge against her boarding home license. What was running through your mind yesterday we were sitting before those ACIM hearings.

Really I was sitting there thinking oh I is if I had done a crime and here I am saying that you know I haven't done anything except try to do the best I can pull these fellow citizens and people that the families don't want in one except back home. And he said pull them. All these people who from doing damage to them. I think they should go into the home and look into that. They didn't come to your home. They would come and praise their own and find anything and talk to the route that borders them seven told me that they spoke well of you said Mrs. Price you should be glad the border speaks well of you. Mrs Price says she cashed the three checks in 1976 because her business and personal finances were in the same accounts then. She says she soon separated them. Now she says if the CIA is going to get tough with the state boarding homes they should find bigger pickings than her. In an elephant Township. I might power. Governor Brown today said he does not expect New Jersey's affirmative action law and rules to

become casualties of the U.S. Supreme Court's decision yesterday on the Baki case. About 150 demonstrators here in Newark weren't quite so sure to have a demonstration sponsored by the New Jersey committee to overturn the blocky decision by medical and law students attacked that decision saying it opens the door to an erosion of civil rights advances made during the 1960s. These students will begin a letter writing campaign to lawmakers and some were last at the New Jersey College of Medicine and Dentistry in New York. I made a Publix make a public statement confirming the school's commitment to affirmative action programs. The city of Garfield and Conrail have them settle their dispute over the use of a railroad spur through Garfield in a confrontation could occur before the matter is settled in court. Garfield has passed a city ordinance limiting Conrail use of the spur on the grounds that shipments of chemicals could be hazardous Conrail is gone into court. But in the meantime the Garfield Mayor Frankel on reality says the trains are going to be stopped even if he has to pour concrete on the tracks to do it. As reported here yesterday the

U.S. Commerce Department is considering designating Oliver North Western Morris County as New Jersey's first foreign trade zone. Today Sandra King reports on the effects of Mount Olive would have. Mound Olive's a sleepy spot and the busiest place in town is Bud Lake. But the township could become a focal point for the entire state if federal officials approve it as a foreign trade zone. It would be a first for New Jersey and a windfall for mount all of. This 162 acre tract between routes 46 and 80 would be the zone site and major multinational concerns are already jockeying for space. For the companies. The attraction is reduced or even free tariffs. From Around Dallas. It means some 2000 industrial jobs and a 25 percent boost in redoubles. That means lower taxes all the effects will be good. There's no question about that. We can think of absolutely no unfortunate or negative aspect of the foreign trade zone at all. Six

years ago. Developers had proposed an amusement park. For this last. That project was soundly defeated by public referendum. But this one does have the support of residents and of the Commerce Department gives its ok. The first foreign trade zone. In New Jersey. At the. Side of that zone. The governor held one of his rare press conferences today to congratulate Democratic legislative leaders on a productive spring session Mariama Rosso reports. Burns said he was particularly pleased with the passage of the new criminal code. The hospital rate setting legislation and a measure that would establish a separate court to hear tax appeals. The legislature trying to session done a remarkable job and to appear at this press conference with me to

give me the opportunity to express my personal. When called for passage of bills to reform state civil service and auto insurance in the fall session the governor's last press conference was nearly two months ago and so reporters today took the opportunity to ask questions on a wide variety of subjects. In response Burns said he thought police and firemen deserved a pension system like 25 now which was defeated by the Assembly last week. But he said it didn't stand much of a chance because of Proposition 13. He said the Sunday blue laws were unenforceable and could use revision and he thought the state was in far better condition to withstand a recession than it was during the economic decline of 975 nine hundred seventy six. One reporter even asked the governor if he was going to hold press conferences any more frequently. The governor replied If that's the only question you can think of I can see why I should. This is Merriam Rosso at the State House.

The gross receipts tax on utilities money the power companies pay the state will continue to be distributed by the state to towns that has utility company equipment. A state appeals court today rejected a plan to distribute that money. Two hundred and thirteen million dollars a year according to the amount of power residents buy Instead the court ruled that the tax money was actually a substitute for property taxes because towns are not allowed to collect property taxes on power company equipment. A possible garbage strike by more than a hundred North Jersey Teamsters had state officials in conference this afternoon. Attorney General John Degnan called the meeting so that his staff State health officials and the State Board of Public Utilities could review their options in the event of a walkout this weekend if the strike that would affect more than 67 Northern Central Jersey communities were to happen. The governor could invoke the state's anti strike law and or call in the National Guard. The city of rather heard found itself in the national spotlight earlier this year after state officials reported a cluster of blood cancer cases in that small

residential community. Reporter Jack Conway went back to rather this week and this is what he found. On the surface things are much the same as they've always been and rather for residents in this one and a half square mile community go about their daily business. The children are out of school for their summer vacation. But this isn't just any summer and rather good because earlier this year these same students at the Pierpont school were the object of a great deal of media attention attention that came after parents became a law and the high incidence of blood cancer among the students. Six children here contracted cancer in recent years. Two of those died concerned parents wanted answers. They wanted to know if their kids were safe. So experts from the State Department of Health began testing here and that testing was continued this week. But so far the air soil and water samples here are inconclusive. One official says the samples reflect what they expect to find in any residential

town in north Jersey. Despite suspicions of everything from the elevation of the grammar school to the pollutants from surrounding industries there are still no clues to the cancer cluster that brought so much attention to this city. What has changed is the attitude residents here now take with the press. Some are bitter about what they call the sensationalized reporting of the cancer cases. Reports that frighten parents and children and made it difficult to sell homes here for a while. Mayor Barbara Chadwick understands that attitude. I've done a little bit on for a while and rather different people were kind of frightened and some people didn't even want to go I heard on that end of town which was kind of like and then we had a lot of people there that we felt it was unfair but a lot of people feel that perhaps it was a good thing you know that now we're going to do something where maybe we'll find out something about cancer. By the end of the school year officials appear Clapp would no longer give interviews saying they wanted

to end the school year on a normal note and now most people would rather that we talked to say that while the presentation may help get research into the cancer cases ruling it won't help the city escape the image as a cancer capital. Of the state where the research is still incomplete. So while things appear to be the same there have been changes. Wow there was no pattern. People didn't rush to sell their homes or take their children out of school. But people here now know what the notoriety of national press attention is like. And they don't like what they see. In rather first. Time. The New Jersey State Police will initiate a new helicopter medivac service this weekend. The service will be based in Somerset County and will be available to towns within a 30 mile radius of Bedminster. Michael Norman reports. This is a limited project with modest goals. Yes there are trained medics on board but they are not paramedics and do not have the training or authority to

start intravenous injections give emergency shock treatments or insert tubes to clear Airways. The three medical procedures commonly used to treat severe trauma or serious accident cases. That kind of sophisticated treatment might come later say state police officials. For now it's enough to get a victim from the scene of an accident to a hospital. And in most cases that will be Martin Medical Center in Newark. The state police and emergency squads in northern and central Jersey are linked to Markland through a communication system known as Medcom. If the call goes out that a victim has a serious injury and needs immediate transfer the Medivac helicopter will be called. The service will also be used to transport victims from one hospital to another. Bligh medical personnel to the scene of an accident or ferry in supplies. A pilot project cost two hundred fifty thousand dollars in state and federal money and operates with one main helicopter and two backup aircraft. If it's successful state officials

say they might improve and expand the program in Trenton. I'm Michael Norman. One of South Jersey's most popular night spots is closed. The Latin casino in Cherry Hill announced today that last night's show was the last show Latin casino management said increased competition from Atlantic City and rising costs prompted their decision to close up. Paul Budde line is next with a report on a golf tournament that fights drug abuse on the New Jersey nightly news sports. Here's the New Jersey weather forecast. It'll be partly cloudy tonight in northern New Jersey and mostly clear in the south. It'll be cooler tonight with low temperatures in the upper 50s to mid 60s. Tomorrow will be mostly sunny and pleasant in New Jersey although there's a slight chance of showers in the afternoon. High temperatures will be in the 80s inland and near 80 along the shore.

The outlook for Saturday in New Jersey fair and warm. All this week the state commission of investigation is looking at the abuses that are occurring and voting in homes in New Jersey. Public testimony featuring the financial and physical abuses of elderly residents is expected to appoint to the need for reform legislation governing the operation of 40 homes in the state. Jersey Public Television is presenting the public hearings live each day starting at 9:30 in the morning and highlights from that testimony at 10:30 tonight. Broadcast are daily All this week on New Jersey Public Television. Good evening the cosmos have now won 22 home games in a row. Their latest victims the Los Angeles Aztecs last night more than 42000 were at Giants Stadium for the game. It was flawless until just before halftime. That's when the cosmos got on the board on this. Can you order by Giorgio Keane now will his 23rd of the Susan. Then after the Aztecs had tied the game at one all STEVE HUNT scored with just 11 minutes remaining in

the game 2 to 1 cosmos that turned out to be the final score. The cosmos is now 16 and 3 on the year. In last night's game the newest cosmos an 18 year old made his debut so Nino was acquired earlier this week from a team in Portugal. He played just about two thirds of last night's game. Coach Eddie for money had this assessment. Or I know what's in it can do and he's a very good player indeed. It's the first time that he's met the players and really it was such a rush to get everything done before he could play that. We never had really time to sit him say to me you know we play like this or we play like that. It is just to do on the field and try to explain a few things to him that we try to do in this you know go from there. According to today's Denver Post the Colorado Rockies of the National Hockey League are about to be sold to Hudson County trucking executive Arthur Imperatori and Pyrrha Torre won't comment on that matter. If that sale does go through the Rockies will move east and eventually play in the

Meadowlands Arena when it's complete. The dope Open is an unusual name for a golf tournament but it's annually the biggest fundraiser of the year in New Jersey. This year's double Open was held today at the braid Byrne course in Florham Park. Some two hundred seventy golfers paid $100 each to play in the event. This is the 10th anniversary of the dope open. It was founded back in 1968 by Mary Mulholland and she's still the dope open chairwoman. The basic purpose of a tournament is to do all the prevention and education problems in Mar's county in the state of New Jersey and to give 60 percent of what we make to hope house which is located in Dover that anyone with drug or alcohol problems they can go there and get help and they can also get family counseling free of charge. Is the 10 years we've raised over $200000 and today will make $40000 in it for this week's operation. At latest report Jimmy D of Ridgewood is leaving the dope open with a 69. Back in April the jersey Jayhawks won the state Amateur Athletic Union basketball

championship. Now the team is preparing for the national tournament coming up next month in Florida. The Jayhawks have won the state title four years in a row. Their roster includes players like big Howard McNeil from Glassboro high school and North Bergen's Danny Ellen Trillo both all staters. In fact the team line up reads like a Who's Who in New Jersey high school basketball. One problem the Jayhawks under Coach John Summers are still short of money for the trip to the national tournament in Florida will run about $3000. The jersey Jayhawks are about $900 shy of that goal. If you'd care to help out here's the address Jersey Jayhawks one 12 lane avenue. That's in West Caldwell New Jersey the zip is 0 7 0 0 6. Really an outstanding basketball team and that's sports for tonight. Rebecca thanks. New Jersey's Cap's law is causing a furor. We'll find out why next on a closer look. First the bad news. American film classics last week. Hey

Little Woman Loves of car and souls for sale. A Romance of Happy Valley stark love Charlie Chan in Paris and the good news they've all been found for the first time ever on television. American film classics lost and found great films out of sight for half a century or more and now they're here Saturday night. When the state income tax was inactive the New Jersey legislature also passed a companion bill the so-called caps law that law limits government spending by setting a ceiling on annual budget increases. Under the current caps law school districts must limit annual budget increases according to a complex formula based on the amount of taxable real estate within each district. As a result while the average school district is allowed a 7 percent annual budget increase. Some districts must limit increases to 3 percent or less. This can lead to teacher layoffs and larger

classes. Walter O'Brien is here in our Trenton studio. Mr. O'Brien is director of government relations for the New Jersey Education Association the state's largest public employee union. The NJ he wants the current caps legislation to expire at the end of this year. State Assembly majority leader Albert Bernstein Burstein is in the works. Mr. Burstein favors the retention of the caps law. Mr. O'BRIEN Isn't the Caps law necessary if New Jersey is to avoid the kind of taxpayer revolt that happened in California. I'm afraid that may be so for the at least shall we say foreseeable future. To coin a phrase. The thing that concerns us is the fact that when the caps law was enacted it was thought that perhaps the law would be imposed upon school budgets for about two years and that the richer districts might be capped at about 8 percent. And the poorer districts kept at about 20 percent while the actual experience is that the average cap in our state now is

5.4 percent. And predictions are that the cap on the average in the state will go as low as four point four percent next year. Let me ask Mr. Bernath Burstein a question Mr. Burstein figures show that many teaching positions could be eliminated if we do continue with the caps lock. Aren't we then leading to teacher layoffs larger classrooms and inferior education. No I think that's too broad a generalization to make as a result of the imposition of the caps. I think that so far none of that has happened we've had a cap law in effect for the past couple of years. I do believe that in the coming few years we may have to take another look at it simply because inflationary pressures are working their way on school budgets in a very difficult fashion. In the light of the caps but I don't believe that at the present moment we are going to be able to do anything about expanding them. But you do favor a reenactment of the capsule when it expires in

1979 Mr bursting. I know that the 1979 expiration time refers to the state county municipal capital that's different and separate apart from the education capital that we're talking about that has no expiration date on it that's a permanent fixture in the law and you want to see it continue. Absolutely I think it's been a very healthy thing with respect to the management of our school distribution formula and I would hope that particularly in the light of the California experience that New Jersey taxpayers are assured by means of that capital that their money is being wisely and usefully spent. Well they're at least assured that it's not going up as astronomically as it did in the past. I don't know that I agree with your last statement Mr O'Brien. Well I would agree with Assemblyman Burstein that the first three years of the Caps have not been as devastating to school programs as we might have thought. We do not see massive layoffs of teachers. We do not see

substantial reductions in programs. As a matter of fact teachers salaries because the hard bargaining have managed to meet acceptable levels and as a matter of fact to stay ahead of inflation our real concern is the fact that if nothing is done. They're kept on the average As I said before to go to 4.4 percent. While all economic indicators are that inflation is at 7. Going to 8 and even to 9 percent and this we worry about because this could mean serious layoffs. It could mean strikes among the employees because of the fact that they will not be able to get raises that even keep up with the inflation that we all know about. So we are concerned that something be done. About the capital maybe in light of Proposition 13 maybe it's not realistic to say that this year caps on school budgets should be

terminated. But at least some modification should take place. And there are measures that would do just that to part perhaps get the cap average up to about seven point five percent. Mr. Burstein from what you've said before you agree with that you'd like to see that happen as well. No I wouldn't say that I would like to see that happen I would like to see the capital remain in place as at the present level. Every time you talk in terms of expansion of the caps you're talking about additional state additional taxation as a consequence of that. We're not a position to meet that burden at this time. I think that in the face of declining enrollment in the schools we have to take another look at the necessity for keeping schools open that have declining in moments. That's another area where I think school expenditures ought to be leveling off. It may ultimately mean some measure of layoffs that's almost inevitable as part of this whole process. But I don't think we can talk in terms of an expansion of the caps without an

understanding that people have to be ready to accept additional taxation to meet it. Thank you Mr. Burstein Unfortunately we've run out of time. And thank you Mr. O'Brien for being with us. Tomorrow on a closer look a special report on the state commission of investigations continuing probing to the boarding home industry. Once again our top story is the state commission of investigation learned today that some New Jersey boarding home operators have been getting double payments from the state and from the federal government for some of the patients in their care. Governor Bernard has praised state lawmakers for the recent legislative session although he says he's disappointed over the failure of the Police Fire Pension Plan. And there's a possible garbage strike over the weekend in 67 northern and central Jersey communities. Tonight Rebecca. Good Night and Good night for the New Jersey nightly news. On.

New Jersey nightly news. It was a joint presentation of New Jersey Public Television 30. Fortune's record. Is.