NJN News; Wednesday January 29, 1997

This budget is smart and responsive to people's needs. Governor Whitman introduces her election year budget plan to Republicans' support and democratic attacks will have complete coverage and analysis of her address. A sad farewell today for four victims of an apparent murder suicide in Montclair. More cries to oust the New York school superintendent and a special series on an industry where phones are ringing off the hook details on NJN News. Major funding for NJN News is made possible by grants from the Geraldine R. Dodge Foundation which believes that an informed

citizen relieves to a healthy democracy. PSENG committed to serving customers strengthening the business community and investing in New Jersey's future. First Union serves the financial needs of individuals and businesses from Connecticut to Florida. HIP Health Plan of New Jersey dedicated to providing quality health care to employees of large and small businesses as well as individuals for two decades and by Bell Atlantic the heart of communication in partnership with public television serving to inform and lighten and educate the citizens of New Jersey. From NJN the New Jersey Channel the Emmy award winning NJN News with Kent Manahan. Dick Forney with Business and Jerry Henry with Sports. This budget is balanced smart and responsive. It's a budget that

spends our dollars on the things we care about without bankrupting the present or mortgaging the future. It's a $16.9 billion spending plan designed to hold down taxes and government growth heading into an election year. Good evening. Today Governor Whitman unveiled her blueprint for the 1998 fiscal year beginning July 1st. It calls for $200 million more in spending while axing 3,200 state jobs. State House correspondent Jim Hooker has details. For three years we have treated state spending with the care and discipline of family applies to its own budget. Not just because it's good fiscal policy but because it's your money. Whitman used her election year budget address to convince taxpayers she'd taken good care of their wallets. The tax-cutting chief executive proposing a budget she says has the lowest growth rate in a quarter century wasted little time reminding voters how things might have

been under former Democratic Governor Jim Floreo. Had we not worked together to change the way things were, New Jersey would be hurtling toward a $20 billion budget that nobody could afford. Huge tax increases would be threatening us all. Instead working with this legislature we made sure that that nightmare never happened. Whitman defended her proposed $3 plus billion bond sale it helps balance her budget and pay off pension fund debt. We are also saving today's taxpayers millions of dollars by taking advantage of favorable market conditions and low interest rates to lock in tomorrow's pension payments at today's prices. She also defended a second controversial plan raised $200 million by selling off a disability insurance fund run by the state. Here's some of what the budget plan includes. There's 286 million dollars in new school funding. Municipal aid remains flat at one and a half billion dollars and there's $20 million less in higher education spending for state

colleges and universities. The plan also calls for the elimination of some 3200 jobs. Republican lawmakers hope the budget the governor unveiled today will with some legislative tinkering help persuade voters to return Whitman office and the GOP to the majority in November's elections. To that end Whitman announced a string of achievements and modest initiatives touching on virtually every aspect of life in the garden state. For seniors it was the promise of a budget that preserves the home said rebate and a popular prescription drug subsidy program. For the cities a $30 million public private fund for redevelopment and for poor children a health care program and $300 million for early childhood education. The governor also called for new initiatives aimed at improving the environment and attacking crime. Whitman proposed tougher penalties for marijuana and other drug dealers and called for creating a pilot program establishing drug courts in some counties. Now Kent from here the legislature will hold hearings and as you said earlier the governor has to sign it into law by July 1st. And now the lengthy budget

process begins in earnest, Jim. So what was the reaction to the governor's address and to her budget plan? Michael Aaron is in our Trenton newsroom with more on that part of the story. Michael can't reaction to the speech was predictably partisan reaction to the budget. Well that depends on what interest group you're talking about. Environmentalists for example were pleased with a budget that's flat for DEP operations and contains more money for cleanups and capital projects. We're thrilled to see that for the first time she's not put a budget cut in the DEP. That's progress. That's a great thing. She's also put money in for watershed protection. That's a great thing. But the proof is in the details. We need to see the details. But the governor is cutting higher education aid by a fraction and not funding salary increases previously negotiated. We had two years of wage freeze and now we have a 3% increase that's not being funded. That's a cut. Although they're claiming level funding of the operating budgets of the institutions that's a cut and

the increments the step increases are not funded either. State worker unions are not happy that for the 7th year in a row a governor is planning layoffs. The governor talks about family. She starts off off her message with a reference to family yet 3,400 state workers who are part of her family her employees lose her jobs in this budget. The most controversial aspect of Whitman's budget the 3.4 billion dollar pension bond sale drew fire from Democrats who would like to run for governor against Whitman. Citizens will ultimately at the end of the day be paying back between 7.5 and 8.7 billion dollars to pay for this gimmick. I mean this is the most irresponsible fiscal act in the state's history. There has never been a pension bond issue of this order a magnitude. New York state that a pension bond in the 700 million range nowhere near what the governor is proposing. The bond proposal came in for more criticism at a taping of this week's on the record program with the legislatures for budget

officers. Did you tell a reporter that it was a wacko idea? Yes I did. Yep and I'm entitled to my personal opinion. I think there's better ways to deal with the problem. It's not right to balance the budget by speculating in the stock market. This was not done to balance the budget. This is something that I think it shows a lot of wisdom on the part of the administration. This whole proposal was a gamble and you gamble at Atlantic City you don't gamble when you're doing with people's pension obligations. A Republican senator who sits on the budget committee said privately the bond proposal makes sense technically. Politically it's got real perception problems. And Senator Latelle predicted that the other controversial Whitman proposal to sale of the state disability fund to a private insurance company will have quote a very tough time when it gets to his committee. So interesting times ahead can. There won't be a final budget of course for several months yet Michael but we have a final word at least tonight on the budget message. A political insiders Democrat Jim McQueenie and Republican Roger Bodman have some thoughts about

the Whitman administration's financial plan. Well the budget battle has started in earnest Jim as she was assured she was confident she reminded people she cut taxes she reminded people that she kept spending low she reminded people she kept property taxes low but she also reminded people what would have happened had she not been elected governor for our friend Mr. Floria was still the governor which reminds us of the $20 billion budget you know in the resulting taxes needed to pay for it. Which reminds us that this whole budget is being sent like to a pawn shop at Wall Street right now and says hey give me five or six hundred million dollars to balance my budget now and I'll pay you back eight billion dollars in the future. We're still paying for that. When the tax cut Roger Jim when you know you I hate to let the fact screw up your great political analysis but it just doesn't fit there they're going out to bar that money to pay for the pension program for these people that is an unfunded liability which in large part was inherited from previous administrations the fact the matter is is that it makes good fiscal sense and Wall Street will stand by it. Well it's troublesome fiscal sense and it's going to be very hard to explain easy to explain the politically paddled tax cut but how about now when it comes to have to explain why the whole budget is going on. It's not

Wall Street forever here into the future meanwhile it's back to you. Jim Aquini Roger Bodman thank you following today's address the full assembly went back to work at the state house there were a number of issues to tackle welfare reform was on the agenda but legislation stalled in the lower house the assembly postponed action on a plan to close municipal welfare offices but members did pass a bill to protect mother's right to breastfeed in public by a vote of 73 to 2 and lawmakers passed a measure that eliminates parole for sex offenders who molest and kill children the bill is known as Jones Bill named for a seven-year-old murdered in 1973 her mother campaign for the legislation and has long anticipated the measure getting today's green light and green was her favorite color and green was the model meeting remember Jones today so tomorrow's children will be safe that measure now heads to governor Whitman's desk for signature hundreds turned out for funeral services held today for the Montclair Montclair family found shot to death in

their home last week family and friends gathered at St. Paul's Baptist Church to say goodbye to Del Francis Bennett and her three young children Brittany Kristen and Adrienne police continue to investigate the case as a possible murder suicide the wife of the late discreet Somerset County prosecutor Nicholas Bissell will head to prison tomorrow a federal judge today denied Barbara Bissell's request to delay her prison term her attorneys though could seek yet another appeal working on making work fun that story just ahead and the writings on the board in Newark where squabbling over control of the school's rage is on rich young will have details next for us more calls tonight for the resignation of the state superintendent running the

New York school system the latest came at last night's testy meeting of the school advisory board rich young was among those in attendance the school advisory board was created after the state took control of the school system it includes superintendent Beverly Hall parents community activist and even a member of the old school board but since its creation it's been described as an avenue to complain for those opposed to state control last night was no exception to trying to stand up to the Whitman's the Clack Horses and the Halls and those who come in the name of money and not in the name of education please tell these people that something is going to have to be done here for our children at this meeting complaints focused on alleged problems at Westside

high school two weeks ago a newly hired principal went public with his concerns about safety there after only 12 days on the job he was removed that since led to repeated calls to remove all we have to get together to help our children and if you are not going to work with us doctor hall then you and your staff need to go it's just as simple as that this board holds its meetings once a month generally the content is the same parents and the union come to air their concerns while the board members seem to listen action is unlikely that's because this board really has no authority but many in the audience hope someone who has the authority might be listening on this night that could include this state board of education member or two high ranking officials in the department of ed we're not going to get what we want overnight but it's like chipping at the stone eventually we'll get what we want hall says she doesn't feel those calls are legitimate but there have been rumors the persistent attacks may be having an effect she's insisted though that's not the case there have been rumors that you're going to resign not me

I've been fired tonight but I'm not resigning the next advisory meeting is February 25th but most here expect the demeanor will be quite the same rich young NJN news Newark a decade of downsizing has many companies across the country looking for ways to boost morale among employees some AT&T corporate executives believe having fun in the workplace just might be the right answer Belinda Morton has more experts say a company that plays together stays together and that's exactly what these AT&T employees are trying to do after surviving massive layoffs and a major restructuring more than a year ago they're learning how to have fun at work Matt Weinstein founder of a consulting firm that teaches innovative team building to more than 400 companies each year says the intentional use of fun at work can be a positive force in team building customer service

boosting employee morale and company loyalty what you need is a chance to create a new kind of vision and a new kind of spirit and it's not up to just the upper management I think of every single person in the company says hey I want to make the workplace a place where people really feel like they enjoy themselves I think it's great it's very inspirational I feel pumped we realize that they know how to deliver they've got the technical smarts and what we needed to do was get together and talk about how we're going to help support each other Weinstein believes by adding some fun and play to the job an environment can be created where employees will want to make a long-term commitment and turnover and burnout will be minimal Belinda Morton and JN News basking Ridge coming up next on NJN News in our business report Dick Forney begins a special series on an industry that's ringing in millions of customers why more people are getting hooked on cellular hold the line that story's next Dick do you think this agreement will solve the problem well I don't know if

it will solve the problem but it probably makes some people feel a little better anyway can New Jersey is one of 37 states which today reached a settlement with America online over customer complaints about shoddy service and their inability to access the network the settlement will be refund for consumers and also America online will change its advertising program so that if you have unlimited access or if it's limited access that will be clearly noted a well will also pull its national advertising until its system can better handle the volume of calls from new users that's what led to busy signals at its access sites scientists in California claim they have developed a compound that in laboratory tests on mice prevented and in some cases cured the flu the compound could lead to a flu medication in pill form if the research continues to show positive results it could be a boost for

nutley-based Hoffman La Roche Gilead sciences the developers of the compound last year concluded a deal with Hoffman La Roche which will market the anti flu pill it was only about a decade ago that most of us thought of a cell phone as a nerdy curiosity or a luxury item out of reach of anyone except high-powered business people with an expense account my how times have changed the wireless communications business which encompasses cell phones is booming and companies are grabbing money it seems from thin air tonight in part one of our special report on the wireless industry we examine how the cellular age finally has rung in it's rush hour on the New Jersey side of the Holland tunnel people are rescheduling appointments checking on daycare closing a sale all using cellular technology 30 miles away at the Bell Atlantic 9x network command center in Somerset County it's also rush hour when

the system handles thousands of calls traveling in New Jersey is perfect for cellular cell use okay when we we can predict our sales and our usage based on the weather when there are snowstorms or when there are traffic jams on the major highways and of course New Jersey that's what New Jersey is it's just a network of major highways we know what kind of business we're gonna do the following day it's phenomenal amazing right well in fact it's the growth of the cellular industry that's been phenomenal right now it's estimated there are nearly 40 million cellular subscribers nationwide and 10 million of those became new subscribers in a 12 month period that ended June 30th as the new century approaches it's difficult to remember a time when there were no cell phones in New Jersey put one in your car and while you're commuting you can cover some business and for those sales executives or top level executives

who could justify the cost in the early days of cellular that's what the marketplace was prices have declined significantly in the last 10 years in fact mobile telephone technology was invented right here at Ma Bell that's right AT&T first connected a telephone to a radio signal in 1946 and New Jersey has always been around zero for wireless telecommunications very high standard of living in New Jersey high income per capita in New Jersey and a recent but continued strength in businesses locating in New Jersey and that's all a requirement for for our business and lest you think cell phones are still a yuppie status symbol small businesses from electricians to plumbers use cell phones to make their trucks their offices New Jersey area and New York believe not are actually not the most expensive areas to have cellular anymore the

prices begun to come down because competition has been coming in we're experiencing a tremendous amount of growth in the business application but as prices are coming down as well we're experiencing a tremendous amount of growth with consumers I do use it for personal basically I use it again to work me you know I use my phone while New Jersey is one of the only states in the United States that has three major providers of cellular service and each one of them is determined to make you a cellular convert tomorrow in part two of our series will show you the technology and the New Jersey jobs created by the cellular craze we'll dial up the Wall Street numbers next tonight's NJN news business report is made possible by Core State's New Jersey National Bank providing financial services to New Jersey families and businesses investors applied the brakes to the stock market slide after five losing

sessions amid fresh signs that inflation will remain at bay the market opened up and stayed in positive territory to the close the Dow industrial average jumped 84 and two-thirds points to close at the 6740 level the MX composite was off less than half a point the Nasdaq composite gained less than a point and the standard employers 500 added seven and a half so optimism is back interesting report on the phone stick thank you all right still ahead tonight we'll take a look at the weather forecast coming up and Jerry's here with a preview of what's ahead in sports well can't there may be no team but there's a manager I'll explain next in sports there's no place like home so they say Jerry but they need one that's right

that word really they may not have a place to play or a team yet but the Somerset Patriots now have a manager and if the team's owners get there away they'll be saying play ball in Somerset County next year former Yankee reliever and Sai Young winner Sparky Lyle was introduced as a Somerset Patriots manager the team when its form will be a part of the Atlantic League of Pro baseball which is also new several former major league managers were on hand to support the effort names like Jim Fregosi blood Harrelson and Jim Fry as well as former Yankee catcher Rick Sarone who is leading a similar effort in Newark it's all about minor league baseball I'm on the board of directors and I'm gonna own the Newark franchise and help in all the communities to get their funding in place get their stadiums ready put the proper personality on board where do we like to see the

Atlantic League up and operating next year in brand new ball parks with the sell-out crowds that's really how I ended up retiring from baseball was there just wasn't anywhere else to go and that's what I'm excited about not so much is managing these guys or but bringing baseball to this community having a good time and we will have a good time but it's it's when one of those major league clubs comes into my clubhouse and says hey we want this guy to take him I mean that's gonna be beautiful the league hopes to attract former major leagueers as well as minor leagueers but the one snag right now for the Patriots is they don't have a place to play spatch which is our logo and dynamite which our logo will have no place to play if there's no ballpark and if there is no ballpark because the community does not want it we certainly can accept that we've only always said we want it to happen if everybody else wants it to happen county officials will now hold public hearings to see if the residents in this surrounding area want to bill the

fifteen million dollar stadium in bridge water they helped to know within a few weeks and that sport can't sports can't one late note the NFL does rule that bill par cells cannot coach another team unless he gets permission from the Patriots so we'll have to see how that doesn't look too good at this point especially from the jets if the claim is right all right thank you Jerry well we had another sunny and cold day across New Jersey today and if you look at this you can almost see forever from this purchase the Eagle Rock reservation in West R and Jessica County today we pointed our NJN camera to the east for this look out across the Newark skyline on a pretty clear sunny afternoon as far as our air quality goes for tomorrow parts of northeast New Jersey will have code yellow readings the rest of the state good air quality throughout and here's the forecast in North Jersey tonight clear with a low of twenty tomorrow it will be cloudy with the chance of some flurries a high of thirty degrees in South Jersey tonight partly cloudy with a low of ten and tomorrow a chance of some flurries later on in the day with a high of thirty five and that's our news for tonight I'm Kent Maddahan for

Dick and Jerry and all of us here at NJN News thank you for being with us we'll see you back here again tomorrow night