Governor Jon Corzine on February 13 committed New Jersey to reduce its greenhouse gas emissions to 1990 levels (a cut of about 20 percent) in 13 years and by 80 percent by 2050. Corzine signed an executive order directing several State agencies to evaluate how the reductions will be achieved and make policy recommendations in six months. Legislators are also considering legislation, A-3301 (Stender, Vainieri Huttle)/S-2114 (Buono, T. Kean), which would establish similar emission limits.

The executive order is aimed at reducing greenhouse gases like carbon dioxide (CO2), which are produced by burning fossil fuels. Greenhouse gases have the ability to trap heat inside the earth’s atmosphere and are often blamed for causing global warming.

The executive order requires the Board of Public Utilities and the Departments of Environmental Protection, Transportation, and Community Affairs to develop implementation plans. They are expected to recommend greater use of energy efficient fluorescent light bulbs, “green building” techniques, low-emission or zero-emission hybrid cars, and renewable energy sources like solar and wind power.

While NJBIA believes reducing energy usage makes good sense, we are concerned about the economic impact of mandating such a dramatic reduction in greenhouse gases. By acting alone, New Jersey could significantly increase the cost of electricity while producing a negligible environmental benefit, particularly given population increases by 2050.

New Jersey’s industrial and commercial users already pay some of the highest electric rates in the nation. Regulating greenhouse gas emissions is expected to increase those costs and hurt the economy. The State could put limits on how much energy businesses can use, mandate use of more expensive building materials and techniques in construction, and increase taxes on the use of energy.

Curiously, the executive order comes at a time when State government is evaluating New Jersey’s energy needs and the environmental impacts of meeting them. The State’s Energy Master Plan will contain recommendations that are set to be finalized by October. The State should finish the master plan before establishing huge cuts to greenhouse gas emissions. For more information, contact Sara Bluhm at ext. 204.

Governor to End Double Taxation of S Corporations—The double taxation of S corporations in New Jersey could be a thing of the past. The corporate tax on S corporations is set to expire on June 30, and published reports indicate that Governor Jon Corzine will not renew it. Eliminating the tax will save 107,000 mostly small businesses $40 million.

Typically, S corporations, named for of the section of the IRS tax code under which they are organized, are not taxed on their corporate income. Instead, shareholders pay income tax on their portion of the profits. In New Jersey, however, S corporations pay corporate taxes on their profits in addition to the income taxes shareholders’ pay.

Eliminating the double taxation of S corporations has been a long-term NJBIA goal. In 2001, then Governor Donald DiFrancesco signed legislation to phase out the corporate tax on S corporations over three years, only to have Governor James McGreevey halt that phase-out in 2003. Governor Corzine deserves credit for recognizing the detrimental impact this tax has had on New Jersey’s business climate. For more information, contact Art Maurice at ext. 247.

DEP Unveils Permit Tracking Web Site—Businesses can now access online status reports on their environmental permit applications, the NJ Department of Environmental Protection (DEP) announced on February 14. The site is called Pending Permit Progress Report and can be accessed on the DEP Web site. Applicants and the public will be able to use the site to check the status of applications for brownfields' cleanup, water quality, emissions, wetlands development and solid waste permits.

The Web site will identify the DEP staffers assigned to handle the request for specific applications and the dates various steps were completed. It will also provide a contact name and telephone number for answers to questions about pending permits. The site will use red text to indicate that a permit-application review has been stopped for administrative or technical deficiencies, and green text will indicate when information was received to correct the deficiency and restart the review process. For more information, contact David Brogan at ext. 236.

The Latest NJBIA Fast Facts: Get Ready for Flu Pandemic—A flu pandemic could cause workplace absenteeism to jump by 30 percent and cripple the economy, experts warn. According to a new NJBIA Fast Facts, businesses should update their emergency preparedness or continuity plans to include contingencies for a flu pandemic. To order your flu pandemic Fast Facts, go to www.njbia.org/fast_facts.asp, or contact Julie Burnett at ext. 202.

Flu pandemics typically occur every 20 to 30 years. The last one in the United States occurred in 1968-69, and 34,000 people nationwide died as a result of it. Because flu pandemics are rare, people have had little exposure to the virus and, therefore, have built up little or no immunity. To prepare, businesses should identify their essential functions and the employees who are responsible for them, then start training other workers to perform them should those employees be out for extended periods. Businesses should strive to build redundancies necessary to function even if absenteeism hits 30 percent. For guidelines on preparing for a flu pandemic, visit the federal Occupational Safety and Health Administration (OSHA) Web site at or call 202-693-1999.

Meet the Decision Makers Series Begins February 21 with Labor Commissioner David Socolow—NJBIA will kick off its Meet the Decision Makers breakfast series on Wednesday, February 21, with David Socolow, Commissioner of the NJ Department of Labor and Workforce Development (DOL). Find out what’s in store for employers on issues such as wage and hour enforcement, unemployment insurance, and workers’ compensation. Also, several Labor Department officials will be on hand to answer individual questions and distribute valuable information. This is also a great networking opportunity. Register for this event now.

The breakfast will be held from 7:30 a.m. to 10:00 a.m. at Forsgate Country Club in Monroe Township. The cost to attend each breakfast is $69 per person for NJBIA members and $105 for nonmembers. For more information, contact Stacy Wichner at 609-393-7707, ext. 213. Call Sherry Esteves at ext. 219 to become a high profile sponsor.

Raise Your Visibility. Become an Event Sponsor—Golf & Tennis Day. NJBIA's Meet the Decision Makers series. First-rate events like these offer your company an excellent opportunity to reach their target audiences and heighten their visibility as an event sponsor. Learn more about becoming an NJBIA sponsor online or contact Sherry Esteves at 609-393-7707, ext. 219.