In a move that could lead to higher electricity prices, Governor Jon Corzine on July 6 signed A-3301 (Stender, Vainieri-Huttle)/ S-2114 (Buono, T. Kean) to severely cut New Jersey’s greenhouse gas emissions. The new law requires the State to reduce greenhouse gas emissions by 20 percent between now and 2020 and 80 percent by 2050. The law does not detail how these reductions will be achieved. Instead, the NJ Department of Environmental Protection (DEP) will list sources of emissions and set up a reporting and monitoring system by January 2009, and by next June will recommend regulations and legislation to implement the 20 percent reduction. By June 30, 2010, DEP will recommend regulations and laws to achieve the 2050 goal. NJBIA was able to convince lawmakers to eliminate provisions for fees to be imposed on businesses that were in an earlier version of the bill.

NJBIA opposed enactment of the bill. It will likely lead to higher electricity costs, arbitrary limits on energy use and higher taxes on business, while having little impact on the overall accumulation of greenhouse gases. New Jersey businesses already pay some of the highest electricity rates in the nation. According to the federal Energy Information Agency, New Jersey’s industrial ratepayers pay the 4th highest electric rates in the nation and commercial ratepayers pay the 11th highest electric rates in the nation. Increasing these costs further will raise New Jersey’s already high cost of doing business.

While the Association understands the need to reduce greenhouse gases, doing so on a state-by-state basis is ineffective. The business community is already working with other Northeastern states collectively to reduce greenhouse gases. It is also working closely with the Governor’s office on a new energy master plan, which will analyze the State’s future energy needs and the related environmental impacts. These initiatives should be finalized before any new limits on greenhouse gas emissions are imposed. For more information, contact

NJPRO Study: Healthcare Costs Make it Harder for NJ Businesses to Compete-The rising cost of healthcare makes it harder for New Jersey companies to compete in an increasingly competitive global market and reduces access to health insurance by workers, according to a new study by NJBIA’s research affiliate, the New Jersey Policy Research Organization (NJPRO) Foundation. Entitled High Healthcare Costs in New Jersey, the recently released study is part of NJPRO’s Facts for Discussion series.

The study provides a detailed description of health insurance hyperinflation, both in New Jersey and nationally. Citing NJBIA’s 2007 Health Benefits Survey, the study said health insurance costs rose by an average of 11.3 percent for NJBIA members in 2006 and have increased 80 percent over the last five years. The average cost to employers is $7,561 per employee. Soaring costs have forced many small businesses to drop health insurance coverage altogether, with 82 percent of companies with two to 19 employees providing health insurance coverage in 2006, compared with 92 percent three years earlier.

NJPRO also highlights some of the underlying causes for skyrocketing premiums, including government imposed health insurance coverage mandates, providing treatments solely to avoid medical malpractice lawsuits, the rising cost of treating the uninsured, and inefficient record-keeping. While acknowledging that healthcare reform is also a national issue, the study concludes that several reforms could be enacted on the State level. Among them are offering businesses more choices in the types of health plans they can buy, repealing existing coverage mandates, banning future coverage mandates, using electronic medical records and enacting medical malpractice reform. To view the full study, go to the NJPRO Web site. For more information on NJPRO, contact

DEP Issues New Truck Idling Regulations-The amount of time trucks are allowed to run idle has been steeply reduced under NJ Department of Environmental Protection (DEP) regulations that took effect July 2. Diesel-vehicle drivers can no longer idle for 30 minutes at their place of business at the beginning of the day or for 15 minutes following a three-hour engine shutdown (except in very cold temperatures). Violators are subject to a penalty of $250 to $1,000 per day for each vehicle.

After April 30, 2010, truck operators will be prohibited from idling their vehicles overnight. They will have to use new technologies such as truck-stop electrification and alternate power units to provide heating, cooling and other amenities without a running engine.

DEP, in partnership with the New Jersey Motor Truck Association (NJMTA), provides grants to truck owners to install technologies to reduce idling and save fuel. These technologies include alternate power units, bunk heaters and tailpipe retrofits. Interested truck owners can contact the NJMTA at (732) 254-5000 for more information on these grants. For more information about the DEP's diesel program, visit the Web site.

New State Web Site Offers One-Stop Resource for Bidding on State Contracts—Businesses can now view advertisements and information for bidding on all State government contracts at one Web site. The Web site contains information businesses need to submit bids or proposals on contracts from every State governmental entity, including departments, agencies, independent authorities and State colleges and universities.

The site contains contract information for over 100 State entities and allows businesses to search available contracts or receive email notifications of bidding opportunities within their realm of expertise. In announcing the Web site, Governor Jon Corzine said it would make the process more open and transparent, allowing the State to attract more bids, which will save taxpayers money. It will also give more businesses, particularly small, women and minority-owned businesses, better opportunities to bid on these contracts.