NJN News; 06/30/1989 Thursday 11:30pm

Yes, Bob. Major funding for New Jersey Network News is provided by the Geraldine R. Dodge Foundation, First Fidelity Bank, and Jersey Central Power and Light. New Jersey Network News with Kent Manahan and Phil Bremen. Good evening.

With just about five hours left before the constitutional deadline for adoption of a balanced state budget, a possible compromise has been reached to fund state operations for another year. In the hour, Governor Kane announced the days of behind closed doors negotiations have resulted in a budget compromise. But the plan still requires the approval of both houses of the state legislatures set to meet later this evening, and gaining that approval may not be a sure thing. Let's go to the state house now, correspondence Larry Stoopnagle and Michael Errin are standing by. Larry was there till the wee hours of this morning. What's the latest, Larry? Well, as you just reported, Ken, about a half hour ago, Governor Kane came out into his outer office and announced that an agreement, a better way to paraphrase, this would be a partial agreement has been reached between both houses of the legislature on a fiscal 1990 spending plan. However, there's a very important caveat attached to this proposed spending plan because there's $150 million worth of programs in there that are going to require some additional funding. But here is what the governor had to say.

The agreement requires $150 million in new recurring revenue sources. I would recommend, I think, that they move ahead with the ones that went out of discussion. It's a speed up for the truck leasing, or a speed up for the leasing, generally, and the decal. But obviously, if some reason, rather, they decide to go with others, particularly so-called sin revenues, they also have my full support. It's a step forward. We're obviously not there yet, and the job now is to get bipartisan support in both houses because my own feeling is that without bipartisan support in both houses for the agreement, that will be very, very difficult to get it passed to see me. Well, as you just heard, the governor said that it's going to require an additional $150 million in revenues here, and while he did endorse the assembly version of raising additional

revenues, that is it speeding up the collection of sales tax on the income tax, speeding up the collection of taxes on these cars, and also a six-cent again tax on diesel fuel. But he also didn't rule out what the Senate has been looking for in terms of its tax plan, and that is increasing the same taxes, the alcohol tax and increase in cigarette taxes. So whether or not there's going to be enough support in either one of these houses remains to be seen. There's been some reluctance in both houses for both of the proposals. Michael Aaron is standing by in the Senate. Michael, what do you think? Well, Larry, in an earlier broadcast this evening, we reported that part of what was hanging up this budget was deteriorating relations between John Russo, the Senate president, and Chuck Hardwick, the assembly speaker. Hardwick was watching that broadcast, he called us up to his office, he said that's not true. He likes John Russo. He said whatever is taking so long, it's not their personal relationship, of course that's what we had been hearing from people in the lobby here all day today.

I think it's still fair to say that there is intense jockeying going on here over which party will label the other party as the one that voted first for tax increases. That seems to be the hang-up. I'm told that three of the four necessary components are ready to vote for at least the $110 million revenue razor that speeds up the tax on least cars. The two parties in the Senate and the assembly majority, the Republicans, are said to be ready to vote for at least that part. The assembly Democrats apparently are not quite yet ready to vote for that, and that has the Republicans labeling them as obstructionists at least at this moment. Back to you, Larry. Michael, the situation seems to be, is will the Senate go for the assembly tax plan? Will the assembly go for any of the Senate tax plan? Can you get enough Republicans in the assembly to go along with this proposal? And indeed, can you get enough Democrats in the assembly to go along with this proposal? Of course, this is where a lot of the action is going to be tonight because this is the house that's up for re-election in the fall.

That's the situation now. We'll be updating you as the evening goes along. I'm Larry Stupenegg, along with Michael Aaron reporting live at the State House. Now let's go back to Ken and Phil. Larry, thank you, and we apologize for our technical difficulties during that report. Thousands of workers at State Psychiatric Hospitals walked off their jobs today in response to Governor Cain's call for a wage freeze. That freeze originally set for 18 months was reduced late yesterday to six months. Belinda Morton reports it wasn't long after today's walkout before hundreds of those strikers were served with an injunction, ordering them back to work. Thousands of state employees held all my demonstrations at mental health facilities throughout New Jersey to show the governor just how they felt about his 1990 budget proposal calling for an 18-month wage freeze. They got people in there working all the time, sixteen hours, twenty-four. You name it. You might need to pay people for all the time, but what about our money? You figure if Ken can give his staff members a raise and he's coming out of office right

now, why can't we get our raise? We have children, too, that we have to feed and take care. We have to pay rent. We come out here, we work like dogs, and they should be fair to us. Seasoned assist from engaging in any work stoppage, including any sick out there. Today those picketing were met by a court injunction, ordering them back to work. I think it's a crime that the State Administration would be going to court to penalize state employees who are just asking for a fair raise. While demonstrations in Marborough were peaceful, others in Montgomery Township weren't. One demonstrator was reportedly struck by a car during an alleged altercation between picketers and someone who would attempt it to cross the picket line. Today's actions resulted in a number of patients being sent home, while hospitals were manned by personnel sent from the Department of Human Services and workers doing double shifts. It's bad, we're very short. I've been here since three o'clock yesterday evening, and I've been working since then. I've even had, this is my first break.

There is not a concern for safety of our clients, but any change from the norm for our types of clients can be disruptive, and this is certainly a disruptive situation for them, not unsafe, disruptive. Some of today's demonstrators claim funds for adequate raises have already been appropriated by the state, and they are entitled to that money. Belinda Morton, New Jersey Network News, Woodbridge. Those mental health workers are not the only ones who are upset, an estimated 5,000 of the state government's 75,000 unionized employees held a protest rally this noon outside the state house. They called it a day of outrage, as the American Federation of State, County, and Municipal employees joined in a mass rally at the state house in Trenton today. I want you to know that you have the full support of organized labor and your struggle for fairness and justice.

So God bless you all, keep up the struggle, keep up the fight, and together we will win. The signs say we're taking a stand, but some of the people here are worried they're going to be standing in the unemployment line for showing up for this midday rally. Most of the state workers we talk with say, at the very least, they're facing disciplinary action. The state has threatened a lot of different things. They know that the unions behind them and they know they can't discipline 5,000, 15,000 people all at once. So we're going to stand behind them and we're going to win this country. Some government offices like the Northburg and Motor Vehicle Agency in Hudson County had to close down today because so many employees attended the rally. It's going to be pretty hard to fire a saw and discipline a saw, so I feel unity is really important. We have a state government that can find $18 million to buy two helicopters, but want to freeze your wages for 18 months. It's outrageous. But according to at least one state official, the only thing outrageous is that so many state employees don't understand the situation. The problem is we don't have the we don't have the wherewithal to make a better offer than

we have. State negotiators had originally proposed an 18-month wage freeze. They've now reportedly offered state workers a 3% raise in January. But today's protesters say that's just not enough. Scott Moniac, New Jersey Network News, Trent. We'll be following the budget process right up through the midnight deadline with a special updated edition of New Jersey Network News at 1130 tonight. And we'll see how the budget snarl evolved and go back to the legislature for the latest information on tonight's live edition of Front Page New Jersey at 730 on all New Jersey Network channels. We have other news tonight, including a look back at a tragic hack and sack fire. One year later, lessons learned, lessons ignored. And thousands of New Jersey residents head to the beach for the start of the 4th of July holiday weekend.

And we'll be right back with you. Thank you. Thank you. New Jersey sure resorts are already overflowing with traffic tonight on the eve of this holiday

weekend. The July 4th celebration is here and seaside resorts up and down the coast are getting ready for the rockets red glare with the traditional bang of fireworks and other special promotions. Most folks we spoke with say they're going to spend their holiday simply relaxing and doing beach-related activities like building. Getting a great suntan.

And of course taking a ride. But if you take that ride along New Jersey's waterways, Marine Police promised to pull over any reckless boaters and if you'll be on the highways, police warned they'll find you if you're speeding or driving drunk. We're going to be assigning helicopters, we're going to be utilizing them for speed timing, we're going to be utilizing sobriety checkpoints. A lot of people are taking Monday off and are celebrating the July 4th holiday is a 4-day weekend. The boardwalk merchants say it should be terrific for their business. People are coming in last night. You know, you can probably turn into like almost a 5-day weekend. So hopefully business is really going to boom, it's going to be very busy up here on the boardwalk. Six million people visited the New Jersey Shore last July 4th weekend compared to 8 million in 1987. But officials from the State Department of Tourism say the ocean is clean, the merchants are ready and they're gearing up for what they hope will be the biggest independence day yet. Deborah Zara, New Jersey Network News, Ocean City.

A bill banning the Seba Gaigi chemical company from continued use of its controversial ocean discharge pipeline was signed into law today by Governor Kane. As originally proposed, the bill would have forced Seba Gaigi to stop using the pipeline by the end of this year. But the proposal was amended in the legislature to ban use of the pipeline after January 1st, 1992. The ban is expected to have little impact on the company since Seba Gaigi has already announced plans to shut down the pipeline by the end of 1990. There's money in the pipeline into tonight's business news. Jim Van Sickle has a look at it. Always money. You know that. The big new player on the New Jersey banking scene gets bigger still, National Westminster Bank. Shareholders of Ultra Bank Corporation, voting to merge their company into that west whose first acquisition you may recall was Jersey City-based First Jersey. Ultra Bank Corp is best known to its depositors as First National Bank of Central New Jersey. Its assets run to $1.25 billion.

It has 32 branches, primarily in Somerset, Middle-Sex, Hundred, and Counties. Why merge? Competition says Ultra CEO Paul Mallon alone he says meeting the competition would have been increasingly difficult. Mallon says Ultra for a year at any rate will continue with a separate entity, consolidation to take place gradually. Ultra stockholders will receive $50 a share which Mallon notes comes to 16 times earnings. So mortgage rates are coming down, and at least nationally there has been some slight increase in new home sales, but just how significant is that? The rise in sales coincides with the easing of interest rates, average mortgage rate in New Jersey at the moment about 10 and a quarter percent, according to HSH Associates and Butler, who track those rates. But while nationally new home sales of Edge Dupter has been no concomitant movement in existing homes. Indeed, those sales slumped again in May were down 5.6 percent in New Jersey Realtors observed that usually there is movement in existing homes before sales of new homes surge.

That is because new home sales generally reflect moving up by people who have sold older homes. And with existing homes not moving, new homes in New Jersey feel the impact. And some counties, indeed, the inventory of homes for sale is unusually high at 30 per day, the next question, of course, where does the economy go from here? Soft landing or recession? Most of the official statements continue optimistic, but in recent days, as you know, there's been a lot of recession talk, talk of less than boy and corporate profits, and the market has been reflecting those fears. The market was singing that song again today, but with a difference, at worst the Dow was off 40 points, but at the close, more than half of that had been recovered. For the week, Dow down 92 points, but the first half of 1989, not so bad, Dow up 271 points since January, and there are those who say that what's happening is very much in the way of a correction in a market that is ahead by 12.5 percent, even after that 92 point

dropped this week. And the way of looking at things just might be that this correction, even if it goes deeper, is better than one we had a couple of years ago. You remember that? October of 1987 runs in my mind. Thank you, Jim. The New Jersey Transit Driver, who plowed his bus into a truck on the turnpike two days ago, has been suspended without pay, and after a routine appeal has expected to be fired. Twenty-four passengers were injured in the wreck near interchange 15E. The driver, 36-year-old Michael Haskins of Newark, reportedly admitted he had not been paying attention. NJT tonight says Haskins had had three previous on the job accidents. A gambler named Schmull Abu now has lost outside, as well as inside Atlantic City's casinos. They had been holding their breaths after a ruling by a federal judge in Camden. The judge had said the state law holding a host liable for the actions of a drunken guest could be applied to a gaming hall. Could, but won't be, in Abu's case.

A jury today did find the Golden Nugget Casino was negligent for applying the New York Man with free booze and painkillers, but it awarded him no damages. Abu'd unsuccessfully had claimed the casino owed him, but the gambling debts he ran up while under the influence. Instead, he must pay $28,000. A former vocational education student advisor has been sentenced in Mercer County Superior Court on two counts of official misconduct. Albert Sternberg, a former project director and coordinator of grant programs awarded to Camden and Mercer County's vocational schools, was given two years' probation. The writer college associate professor was also given four hundred hours of community service and $2,000 in fines. In February, Sternberg pled guilty to charges that he used money, funneled from two vocational education clubs to pay off casino and credit card debts. Before all the Independence Day festivities this weekend, there's a solemn ceremony in Hackensack.

Tomorrow is the first anniversary of a tragic fire. It left five firefighters dead and the city in shock. Tomorrow, Hackensack dedicates a monument in their honor, but also lingering in local memory as a scathing assessment of how that fire was fought. Outside experts said those firemen died needlessly because of poor management and outmoded equipment. And yet, Hackensack firefighters say their department still has major problems that could endanger those who continue to risk their lives to protect the public. Trista Gaspers reports. It's exactly like losing another part of your family. You know, you're not over it in a year, a year just to remind you that they're gone. Gone are five of the department's finest, career firefighters who died in the line of duty. They were battling a blaze at the Hackensack Ford dealership, an electrical fire that was exacerbated by chemicals that were improperly stored in a work area. But according to critical reports after the fire, the men were killed because of improper

equipment and human error. If an accident happens, then you accept it as an accident, but that was above and beyond an accident. It was just something that could have been avoided. The five were ordered into the building by the command at the scene. No one knew that the building had a trust roof that would be likely to collapse. Three were killed instantly by the falling debris, two suffered a slow death as they called for help. Joan Ennis' son was one of them. I don't know if you know how my son died, but he was one of the firemen that was trapped. Give me a minute. Thirty-year-old Stephen Ennis had just celebrated his third wedding anniversary the day before. He and his wife had a son and were expecting another child. Ennis and Captain Richard Reinhagen were trapped in a storeroom in the right rear of the building. For twenty minutes, they called for help on the radios. Here is part of that transmission. You have to hurry. We're running out of air. And then several minutes later, help the right rear out of air.

Anybody out there? No one on the scene heard those cries for help because the men were equipped with one channel radio communication, and their transmissions were stepped on by others at the scene. I wanted them to do the things for the firemen that are left. I mean, what? This could happen again. Why should anybody else... I'm sorry. I wasn't going to cry. Why should anybody else have to go through what we've gone through? Do you feel safe on your job today a year later? We depend on each other, that's the only way I can put it. I really have very little faith in the higher echelon command. Although the department has since been given multi-channel radios, the firefighters say that there are still so many problems that another disaster is just waiting to happen. They cite inadequate training and manpower, old equipment, some of which barely functions and poor leadership.

The chief is fighting his mandatory retirement at age 65. Tom Kanzonella is the union president. The city operates under the assumption that by making any significant changes in the operations of the fire department, they would thereby be admitting that something was wrong last July. New Jersey Network News repeatedly tried to speak with the city administrator and the fire chief. Our phone calls were not returned. No matter what happens, we're still going to be the guys that go into those burning buildings. We're going to still pull people out. We'll do our job. So I guess we care. The city doesn't really care about us. That's the way we feel about it. I feel sorry for all these guys. It's terrible for them. Nobody really wants to pay attention to the fact that we lost five guys. And a part that's scary is, is it going to happen again? Trish D. Gaspers, New Jersey Network News, Hack and Sack. When we come back, we'll tell you whether this weather is going to continue through the fourths.

We'll have the forecast. Team Sports Pat with a record setting wind up to the New Jersey Special Olympics. Whether it's a parade, a paddleboard or a picnic in your plans for this holiday weekend,

the weather looks good almost all the way. Some clouds above this Ferris wheel in Ocean City, but the ride and the view were still exhilarating. The humidity and haze will gradually return by early in the week. There's still a chance of a thunderstorm again by Monday or 4 July Tuesday. Let's check current conditions. Newark 77 degrees, Trenton 78 Atlantic City 72, all under clear skies. The forecast, tonight clear and comfortable, lows ranging from 55 north to 65 south. Tomorrow, sunny and warmer, the highs between 80 and 88. Sunday, Hazy and warmer still, the highs between 83 and 91. Monday, a day off for some of us, Hazy, hot and humid. The highs between 85 and 95 and for the fourth of July, the three hs again with an evening thunderstorm.

The highs between 87 and 95. Pat Scanlan is here with all of the day's sports action, including news of a special birthday. I feel like Phil Rosuda doing birthdays now, can't but the Mike Tyson Carl Williams fight his three weeks away at Trump Plaza in Atlantic City. And today the heavyweight champion turned 23 years old. Yesterday Tyson and advisor Don King celebrated a day early in Atlantic City. Now what about the media interest, the details, the constant turmoil, it seems to surround Mike Tyson. Well, I earned Mike issued this warning to a reporter in Atlantic City yesterday. You know what I mean? It irritates me that people right do you think about me, and kind of takes on. I get upset also, but you know, it's no way I could fight ink with ink. But it's one thing I could do. Every time godly you put the mic in my mouth, and when they blast me with the pen, I'm going to blast them. Harsh words, but come on, Mike. You can't have your cake and eat it too, even in boxing. Baseball tonight, the Yankees open a series with Milwaukee at the stadium, the Phillies hosting a twine at it with Atlanta, and the Mets try to end a three game losing streak tonight

in Cincinnati. Well, tomorrow the annual North, South High School All-Star football game kicks off at one o'clock at Rutgers Stadium. 80 of the top graduating seniors in the state will close out their high school football careers, including quarterback Brian Forte, who's heading for Miami. The All-Star game is usually a high scoring wide open affair, and after a week of preparation, here's what the coaches are saying about the game and the state's top players. You're dealing with very skilled players, so they pick up things rather quickly. It's just a matter of getting the playing as a team. As far as the teaching, there's no teaching, they don't want to do, and they do the job well. It's probably a kid's last exposure to high school football. Naturally, we'd like him to end it on a high note, but hey, they keep scoring, so we take it very seriously. Sounds like football season already, doesn't it? Well, the New Jersey Special Olympics concluded a successful three-day sports festival last night in Princeton. Now, earlier this week, we introduced you to Bayon Swimmer, Tommy Moody. Moody won two of his three races, but he was happiest about his Bayon swim team, grabbing

the gold medal. It's all team. Without the team, I wouldn't be here because it's a team competition. But individually, I think I did pretty good. I'm glad, right? Even though I got it second, I'm so proud, I'm just waiting for the 91 international to win. So, a job well done by Tommy Moody and the Bayon swim team, and congratulations to 32-year-old Donald Piscati of Sikakis. Donald said a New Jersey record in the bench press, pressing 350 pounds, and then his coach, too. Tony Turno. Piscati also grabbed the gold in the deadlift, 385 pounds. That may be a special Olympics world record, so way to go, Donald. And I'm happy to tell you that NJN will have an hour-long program on the special Olympics July 13th at 8 o'clock. And today, a special day for the kids at Camp Happy Times in Newton. This camp run by the Valerie Fund, a nonprofit group that funds cancer treatment for kids six to 17 years of age.

There's no charge for attending the camp, and it's a great way for the kids and their families to get out there and unwind. That's our sports for the night. Have a great weekend, everybody. You too. Sounds like a good advice. Thank you. And you as well. That's all for early this evening. I'm Phil Bremen. And I'm Camp Mount Ahad. You're going to. Please join us again later this evening for an updated edition of New Jersey Network news at 1130, and I'll be back with you immediately for Front Page, New Jersey, when we'll take a look at the latest from the State House. See you then. Have a good weekend. This has been a presentation of New Jersey Network. You can hear me, I'm going to work, it will be working on the same micro, okay fine. It should be okay. Yes, I can hear you in the truck, how are we doing? Please tell the producer not to talk in the air while I'm trying to do my own thing.

That's very disturbing. I love it when they carry it. Yes, I can hear you. Well the sound was so distorted when you were trying to do that that I couldn't understand what was going on. Okay, yeah, that was a lot of, yeah, that was them. Stand by. Can you crank that down, is there a pot on that box down there, it's blowing me away? Hello, 1, 2, 3, 4, 5, 6. It's still, it's Euro, but when I hear me coming back, it just blows me away. We can work back. Yeah, I hear it. All right.

Okay, this is much better, thank you. Front page New Jersey is made possible in part by a grant from the Geraldine R. Dodge Foundation.