Once again, a missed opportunity was lost by the Jersey City Council when it modified the Jersey City rent control ordinance on May 8. The new ordinance reduces the amount of money a landlord can make but the city council avoid the glaring problem with the ordinance – it does not allow tax pass along compared to other Hudson County towns. It is the reason why landlords rush to Hudson County Tax Court and win big appeals because they receive the tax increases but the ordinance protects the tenants from those taxes.
We, the small homeowner, not under rent control pay the refunding bonds given to these massive appeals. The county and public school do not give refunds for successful appeals, the reason for the refunds. We are actually victimized twice, the tenant use these services but do not pay the increase services for them and they vote for laws to increase the small homeowner’s taxes such as the county and municipal open space levies. Another vote for the art tax will be on the ballot soon and tenants will have the opportunity increase the tax rate on small homeowners, again. Neither will tenants pay one cent for the massive increase of school funding on the horizon yet I am sure they use the schools.
The city rent control law and tax abatement policy are nothing but a Ponzi scheme. A Ponzi scheme takes money from one group to pay another. There is no way Jersey City can be affordable when taxpayers paid $909 million to the city, school, and county in 2018. Likewise, Jersey City pushes off the tax increase from tenants and tax abated properties onto the small homeowner. The politicians just protect another class of citizens with this policy; it did not make Jersey City affordable for the small homeowner since they inherited the tax.
I cannot figure out why business people go to prison for their Ponzi scheme yet politicians are elected for doing the exact same thing.