NJN News; Tuesday January 13, 1998

Okay, a reaction and as soon as the package is over. Okay. Okay, thanks. Okay. Making New Jersey less expensive and safer place to live, the governor sets her agenda in her state of the state address. Democrats and Republicans put their spin on the governor's plans.

Look for new faces in Trenton as the 208th state legislator is sworn into office. I'm Marie DeNoia in West New York, where federal authorities say they've cracked the largest police corruption case in state history. I'll have the story. And it won't be costing you more to drive the Atlantic City Expressway. NJN News for Tuesday, January 13th. Major funding for NJN News is made possible by Grants Truff. The Geraldine R. Dodge Foundation, which believes that an informed citizen, believes to a healthy democracy. The SE&G 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, in partnership with Public Television, serving to inform, 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. By making New Jersey more affordable, better educated and safer, we are continuing to create a New Jersey that all citizens can be proud to call home. Pocket book issues, your children's schools and safety. The governor sets her agenda in her fourth state of the state address. Good evening. Governor Whitman laid the foundation for her second term in office in a speech delivered in Trenton today. She delivered her annual address before a joint session of the legislature, and here are some of the highlights.

The governor focused on lowering auto insurance rates, keeping property taxes down, saying voters should have more of a say in municipal tax. And on the issue of education, she stressed regionalization, longer instructional hours, and the elimination of tenure for principles. And the governor proposed tougher crime initiatives. Statehouse correspondent Jim Hooker has details of the governor's address. I think our priorities are clear. We have to make New Jersey more affordable. We have to make New Jersey schools every one of them the best that they can possibly be. And we have to make sure that every home, every street, and every neighborhood in New Jersey is safe for the law-abiding people of our state. The governor focused on the pocketbook and the textbook with a mention of a 23-year law and criminal activity here thrown in for good measure. She began by addressing two issues that topped the recent gubernatorial campaign.

She said her administration and the Republican-controlled legislature have already put in place several measures to bring down auto insurance rates here, highest in the nation, and said more are on the way this spring through a special legislative committee. It's a good sign that we're not just spinning our wheels when it comes to auto insurance. We're going after real reform. She took credit for helping to hold property tax increases over the past four years to a 20-year low, but proposed several initiatives largely directed at local governments in an effort to bring those taxes down. If local officials can make the case for higher taxes, they should do it. If they can, then they don't get their tax increase period. This, as Whitman proposed, requiring town officials to put budgets before the voters if property taxes are raised over the rate of inflation. She also said she would propose regulatory changes to civil service and local governments and in state government in favor of a merit system. In education, she proposed giving public school students a choice for which district they'll attend school and to reform and possibly end tenure for school principals.

By September of 1999, public school choice will be a reality in every county in New Jersey. Whitman said she'd like voters to decide whether some of the state's 600 school districts should merge to save money and because the largest part of property tax bills is schools, she proposed moving school-related elections from April to November. Finally, she called for building on Megan's Law-related legislation to keep sex offenders jailed. Let's make it easier to keep sex offenders locked up and harder for them to pray on our children and their families again. Jim Hooker, NJN News And with us now from her office in Trenton is Governor Whitman to talk more about her agenda. Thank you for being with us, Governor, my pleasure, Kim. It wasn't exactly unexpected that you would address the issues of auto insurance reform and property tax reform in your state of the state address. There are issues that drove the 97 election.

But your predecessors have said in a post-election status that these are issues over which a governor has very little control. Very specifically, what are you calling for? Well, an auto insurance, I outlined what I consider to be real reform. And in fact, the things that I outlined encompassing real reform were agreed to by both the Senate President and the Speaker of the Assembly. And that means that it's available. Everyone will see it's automatic. They will see a decrease in their rates. Every good driver will be able to have lower rates. It won't be just a cost shift from auto insurance to health insurance. And we won't create a system that forces people to use the courts more often and encourages more lawsuits. I have put a package of legislation, I put before the legislature almost a year ago now last March, that encompasses those things. But I'm not wedded to doing it just the way I said to do it. If we can reach those four goals, some other way, that's great. But they have agreed that by March 30th, they will have legislation that encompasses those goals on my desk for my signature. Governor, you've called for a discussion in the state on the thorny issue of regionalization of New Jersey schools. Are you prepared to see laws put into place that would really impact home rule in the state?

And have you factored in that there are organized voices in New Jersey on this issue versus John Cue Public on the issue? Right. And John Cue Public doesn't get to heard enough, which is why I want to put this on the ballot for people to have the real full-blown discussion. Regulization, we all know conceptually that sharing of services and collapsing some of our levels of government, particularly in this initiative is directed at schools, at the school districts, will save money. We know that intellectually, but being able to have local controls of schools is very important to most people. We have, within the new funding law, there was a committee created something that was put in by the legislature that was required to look at how we can find efficiencies in school districts. Their report is coming back very soon, and it's going to call for looking at regionalization. I don't want to move toward mandatory regionalization of school districts here in the state of New Jersey without the public being heard from. And the best way for them to be heard from is to put this issue on the ballot.

Unfortunately, Governor, I'm told I'm out of time, so we can't continue right now, but thank you very much for being with us this evening. And so what's the reaction of lawmakers to the Governor's address, our senior political correspondent, Michael Aaron, is in the assembly chamber now with that part of the story. Michael? Well, Kent Republicans are calling the speech positive and programmatic, Democrats are saying it didn't have much substance, but get them talking and it's clear there was plenty controversial in the speech, like public school choice, and stripping away the rights, the seniority rights of public employees as a way to hold down property taxes. You might not like. You heard a basic attack on the principal seniority, which is the foundation of labor relations for public sector workers. I think this governor is throwing down the gauntlet. We're not happy with any of what she proposed with civil service. I didn't hear the word negotiate come out of her mouth about her other property tax proposals, like a public referendum on local tax hikes higher than inflation. Mayor Trenton calls them a decent first step. Capping sickly, opting out, possibly a civil service.

The referendum is something I have to look at, really have discussions about, because with inflation being so low as it is right now, and looking at what our costs are in our budget, 72% of our personal budget is police and fire. You're looking at then, you know, reducing services. Her school choice proposal drew some cautious support. Choice is something that many people feel strongly about. You heard some great support from some people in this chambers. Others are a little reluctant to see to change, but we know we have to address some of the challenges. I think if it's presented as a pilot program, as she at least suggested, I think that there could be a lot of support for that. Sounds good, and certainly everybody would like to be for it, but suppose every child wants to go to that particular school. If you're going to suggest that there will be choice between districts regardless of whether or not the school board likes it, or, you know, if it's not a voluntary thing, then that's very bold. And that's, and that's, and that would be something that would be very contentious.

And thanking the legislative leaders in advance for auto insurance reform. It was cute. It was interesting. Of auto insurance, the governor basically conducts a lateral pass to the legislature. I'll wait for your return of a bill on March 30th. A lot of the issues that this governor raised were send it off to committee, blue ribbon committees. Now, Tom Kane reminded us not long ago that if you can't address an issue, you will point a big shot committee. We're joined now by our analyst team, Republican Roger Bodman and Democrat Jim McQueenie, Roger, the Democratic mantra in this hall an hour ago was that by appointing task forces or looking to task forces to solve auto insurance reform and property taxes, the governor is punting. What do you say? Oh, that's ridiculous, Michael. That's what I'd expect the Democrats to say very frankly. It's certainly not punting when you talk about meaningful auto insurance reform in 90 days or less. It certainly isn't punting when you raise very, very tough issues like school choice and tenure and voter participation in property tax issues and issues such as school consolidation of school districts and those kinds of things. That's not punting. That's courageous and that's gutsy.

Michael, basically, this was a speech that you get a free ride on this kind of speech. We had to fly under controversy but above notoriety and that narrow ban the governor did that. It wasn't terribly ambitious. In fact, it was nowhere near what Governor Kane proposed on his second term, transportation mobility projects, urban things. The other issue is I was surprised that the aggressiveness that which he threw school choice and possibly the consequence of regionalization of school districts, urban and suburban in the laps of legislators, which are here in this building, suburban dominated. Look what he's just saying. You just finish saying those issues aren't controversial. Those are the toughest issues of our time when we talk about issues such as school consolidation and she starts to address school tenure and letting permitting elections with regard to school boards on election day as versus some obscure day in the middle of April. Those are very, very tough and controversial issues. Gentlemen, I have to wrap you there but this is the way the dialogue is going to be going in this town for the next week until we hear the inaugural address. Michael Aaron in the assembly chamber back to you Ken Michael. Thank you and a reminder that NJN will re broadcast the governor's address and the democratic response at eight o'clock tonight. NJN radio will re air it at nine o'clock. The 207th state legislature is no more at noon today. Members of the 208th were sworn into office. Senators took the oath in Trenton.

There are three new faces in the upper house. Republicans still retain their majority by a 24 to 16 margin. After the ceremony today, Senate president Donald DeFrancisco addressed the upper house. He's calling for funding for a rail transportation network to ease congestion and pollution in the state. DeFrancisco is pushing for a rail stop at the metallands and for construction of a rail tunnel under the Hudson River. Meantime members of the new assembly were sworn into office today at the College of New Jersey. There are 10 new faces in the lower house. Republicans also will keep their majority there 48 to 32. Democrats picked up two seats in November. One notable departure is longtime lawmaker John Rocco. There's already a red flag flashing about enforcing the 65 mile an hour speed limit approved by lawmakers last night. State police superintendent Carl Williams says there aren't enough troopers to enforce it. He claims the force is short by as many as 120 officers for highway patrol. The state will pinpoint where the limit should be raised on about 400 miles of roadway over the next four months.

Early indications suggest most will be in the southern part of the state. Although they did not approve a salary hike for themselves, lawmakers did approve other legislation in their final session. A gallon of milk may soon cost you more. The assembly passed a measure that would allow dairy farmers to raise prices. The bill now goes on to the governor. Lawmakers passed that property tax freeze bill for seniors and the disabled. The governor is expected to sign it and lawmakers approved a measure calling for rollerbladers and skateboarders under 14 to wear a helmet. Good news for drivers on the Atlantic City Expressway. There will be no toll increase. The South Jersey Transportation Authority today approved a $34 million operating budget that holds tolls on the 44 mile road. The last time tolls went up there was in 1969. And there's more ahead on NJN News tonight. Busted badges in West New York. Federal authorities charge police officers with corruption.

And in health watch, how herbal remedies are becoming more commonplace. The West New York Police Department felt the heavy hand of the law this morning. Federal agents bust at nine members of the force, including a former chief, charging all of them with bribery and kickbacks. Marie DeNoia has details on what the feds call one of the biggest corruption cases ever in the state.

The charges say West New York's former police chief Alexander Oriente and eight other officers took part in the work of the city's lowest and most active criminals. That these cops, instead of protecting and serving their community, helped to protect and promote prostitution, gambling and illegal towing operations. The purpose of this enterprise was to profit on these police officers and others through a pattern of protection of unlawful gambling, prostitution, and after hours liquor businesses. Today is a sad day for the town of West New York and the police department in this town. But first I want to assure the people of West New York that the public safety of this town is not in question. We spent some time out here on the streets of West New York to try to gauge citizen reaction to what happened this morning. We found many people very reluctant to talk about this. But I don't want to. Do you have the camera? You don't want to talk?

Thank you, but that is the town is full of it. I have no problem. And while today's arrests marked the culmination of a three-year investigation, uncovering a lucrative racketeering enterprise and snagging a raft of dirty cops, FBI agents called it a bitter victory. They wear a badge similar to ours, and they have sworn a similar oath of office, both of which these officers used again and again to commit serious crimes against the very citizens of West New York who they are sworn to serve and protect. This afternoon, those officers made their first appearances in federal court, Marie DeNoia and Jan News, West New York. The family of the nine-year-old boy that drowned in a pod wants to know if medication was a contributing factor to the boy's death. Craig Brower was napping in his family's truck when it rolled into the water and sank. Brower's parents are asking if the boy's medication, which he was taking for attention deficit disorder, might have prevented him from regaining consciousness once he hit the water.

The Brower's told the star ledger the medicine always made their son sleepy. A recent prevention magazine study shows that 60 million Americans use herbal remedies for everything from depression to menopause. Health and medical corresponded Sarah Lee Kessler reports their popularity shows another example of how alternative medicine has gone mainstream. Jim Zebrowski suffered from depression, Sandy DeMille from crippling arthritis. Joanne Melhato had hot flashes due to menopause. They could have been treated with prescription drugs, but all are getting relief from herbal remedies. I don't have the mood swings anymore. Joanne's gynecologist Herbert Goldfarb credits Black Cahosh, a plant-type estrogen. Your estrogen levels actually came up a little bit. St. John's Ward is helping patients like Jim cope with depression. St. John's Ward represents a breakthrough in the treatment of depression.

Lucosamine sulfate is being used to treat arthritis. Before I started taking Lucosamine sulfate, I was living with constant back pain. Now the pain has gone. Prevention magazine says testimonials like these made 1997 the year alternative therapies went mainstream. This year you'll be hearing a lot more about Cava Cava, a natural tranquilizer. It is being used more and more instead of the benzodiazepines, valium, zannics and the like. A major New Jersey Medical Center, Hackensack, is studying Shark Cartilage, a nutritional supplement, as a potential cure for cancer. But health experts warn not all nutritional supplements and herbal remedies are created equal. The FDA doesn't regulate them. So look for a label that shows the product has been independently lab tested. Sarah Lee Kessler, NJN News The Ex-Business News is coming up next. He's here now with a preview of what he's got for us tonight.

Kent, what's on the business community's wish list for the first year of Governor Whitman's second term? Got some answers. And tallying up the cost of inflation for all of 1997 will have the results. Stay with us. You You You told me earlier the national rate of inflation belowest it's been in what?

When they tallyed up all of 1997 it was the lowest inflation rate in 11 years. But New Jersey, huh, can we top that? Check this out. The last time inflation was this tame in New Jersey, most baby boomers were still in junior or senior high school. The Beatles topped the charts and Lyndon Johnson was president. But with the release of price data for December we now know what the inflation rate in New Jersey was for all of 1997. In northern New Jersey prices actually fell slightly last month for an annual inflation rate of 2%. In South Jersey, December prices were nearly unchanged and for the year inflation was less than 2%. 1.3%. That's the lowest New Jersey inflation rate since the mid 1960s. Now for comparison try this. This is a $100 bill. Now what this bill would buy in 1965 now requires or would have required a 1997 five of these plus 72 $502. Yeah, $2 and 72 cents more. So $500 and 72 cents in 1997 same as $100 in 1965.

Amazing. A bounce in technology issues put some life back into the old bull on Wall Street today. Stocks closed broadly higher the Dow average gain nearly 85 points to close at the 7732 level. The MX composite added nearly nine and a half. The NASDAQ composite jumped 34 and the S&P 500 rose nearly 13. The price of the long body is about half a point. It's yielded 5.72%. Well, in her state of the state message today, Governor Whitman only devoted two sentences to economics and none to business. She simply recounted the number of jobs the state has recovered since the last recession. Businesses agree they've done well the last four years in New Jersey and that their concerns are overshadowed by more populist pocketbook issues at the start of the governor's final term. We're at a point now where we have regained all of our jobs that we lost during the recession and the business climate has viewed has been good. We hope we can basically build on a pro business environment that's been in this state probably for the last six years now. On the business agenda, all three of the major business advocacy groups in the state agree that an adequate supply of educated workers is their biggest concern.

Workforce development and training. We hear that as the labor market tightens, it becomes more and more critical that the workforce be prepared. So education is a big issue for us moving forward and it's become a real pocketbook issue which we wouldn't have even talked about five years ago. Overall, what we've seen in the surveys from my membership is that they are concerned about the quality of education that some of the individuals coming into the job market have. And that's something that's been growing in the last few years. And so I think if we can kind of get a handle on our educational needs vis-a-vis these people coming into the job force, I think that's the way to address it. Now, of course those comments are made on our business program New Jersey, incorporated here at NJN. But the issue here is that businesses, if they can't get these workers, puts New Jersey at a competitive disadvantage seriously. So education, of course, is very, very important. We seem like the governor was on the right track there when she brought that up today.

All right, Dick, thank you and still ahead tonight. The check of our forecast is coming up and take note. We'll tell you what's on the New Jersey Symphony Orchestra's program for this coming season. A mile day across the state today with clouds and scattered showers throughout. Temperatures got up near the 50 degree mark. Here's a look at our New Jersey forecast in the northern part of the state tonight, clear skies and cold with lows in the teens. Tomorrow, a sunny day with a high, though only of 35 degrees, the cold weather returns.

In South Jersey tonight, clear and brisk with lows in the teens and tomorrow, a mostly sunny day with highs in the upper 30s. And finally tonight, a few notes about the New Jersey Symphony Orchestra's upcoming season details of its new schedule have been released. It's 76th year of performances, and here are some of the highlights. The symphony will hold an opening night gala with violinist Itzak Perlman at the Performing Arts Center in Newark. Pianist Andre Watts will also perform during the season. The orchestra will explore operas from Wagner's During Festival, and there's a series of family concerts titled Music for Young People. The symphony orchestra will also perform at theaters statewide, a little something for everyone's musical taste this season. And a reminder before we close our program tonight, NJN will re-broadcast today's state of the state address by the governor and the democratic response tonight at 8 o'clock. And NJN Radio will re-air the program at 9 p.m. From all of us here at NJN News for Dick and all of us.

Thank you for being with us. Good night everyone. you you

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