Judge strikes down massive gift Democrats in NJ gave to gaming industry

The sneaky sneaksters — Democrats, all of them — who tried to slip special tax treatment for New Jersey casinos into law, were rebuked this week by a state judge who said the law was passed improperly and likely violated the state constitution.

A Superior Court judge in New Jersey has struck down a state law granting Atlantic City’s casinos tens of millions of dollars in tax breaks, saying that the measure was passed on dubious grounds and violated the state Constitution.

The ruling, handed down Monday, deals a blow to Gov. Phil Murphy and the state’s legislative leaders, who fast-tracked the legislation through the Legislature last year. It is also a rebuke to the gaming industry, which had argued the bill was needed because it was struggling amid the COVID-19 pandemic.

At issue in the court case were changes to a local taxing program known as PILOT, or payment in lieu of property taxes. Since 2016, instead of paying property taxes, each casino has paid a share of an industrywide assessment that was distributed to Atlantic City, its school district and the county to fund various operations. The number was calculated based on the prior year’s total gaming revenue. But last year, the industry pressed for and won a key legislative change to that formula, excluding online gaming — a fast-growing sector of its business — from the program. The alteration reduced the gaming companies’ total PILOT liability this year by $55 million — revenue cuts that disproportionately impacted Atlantic City, one of the state’s most distressed cities.

A conservative nonprofit group called Liberty and Prosperity 1776 challenged the constitutionality of the law, saying the state’s founding document bars preferential tax treatment. The state countered that the new law was exempt from that prohibition because it served a “permissible public purpose.” On Monday, Atlantic County Assignment Judge Michael Blee sided with the nonprofit, potentially increasing casinos’ tax bills and sending tens of millions of additional dollars into local coffers.

I haven’t looked yet, but I’ll bet that these state leaders — again, mostly Democrats — have profited handsomely in some way from the gaming industry.

New Jersey has a Democratic trifecta. Both houses of the legislature and the governor’s office are all controlled by Democrats.

Which goes to show you, that no matter how bad the Republicans are — and they are mostly much worse than Democrats in every way — there will always also be Democrats willing to sell out voters to large, well-funded corporations.

Start paying attention!

If I lived in NJ and my Democratic legislators voted for this, I’d have a hard time voting for them again in the next Democratic primary.

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