CAPITOL NEWS & COMMENT: February 14

The following items are taken from reports issued by legislators and other items of political concern.
Casinos
   Legislation Assembly Democrats Celeste Riley and Troy Singleton sponsored to require casinos to install and maintain security cameras in every stairwell throughout casino hotel facility has been advanced by an Assembly committee.
   ”The purpose of this bill is to enhance the safety of visitors and employees at casino hotel facilities in Atlantic City, increase public confidence in the security of those facilities and protect property,” said Assemblywoman Riley, D-Gloucester, Cumberland, Salem. “When people feel safe, they’ll, of course, want to visit more, and that will serve to boost South Jersey’s economy.”
   ”This is a common sense measure in this day and age of technology,” said Assemblyman Singleton, D-Burlington. “This is a cost-efficient and standard way to improve safety and build confidence that our casino hotel facilities are great places to visit.”
   The bill requires the holder of a casino license to install and maintain in every stairwell in a casino hotel facility, including any parking facility, a system of security cameras that provide the licensee’s security personnel with clear and continuous visual monitoring and recording of all activity throughout the stairwell at all times.
   Recorded material must include the date and time of its recording and must be preserved for at least one year.
   The bill also directs the Division of Gaming Enforcement to develop specifications for security camera systems, ensure compliance with the bill’s provisions and adopt necessary regulations.
   The bill will take effect 90 days after enactment, but the division may take any necessary administrative action in advance.
   The bill, A2157, was advanced by the Assembly Tourism and Gaming Committee.
Bad ‘checks’
   Two bipartisan bills that include electronic funds transfers within the criminal and civil statutes for the issuance of bad checks have been approved unanimously by the Assembly Financial Institutions Committee.
   The legislation, A1153 and A1162, is sponsored by Assembly Republican Jack Ciattarelli, R-Somerset, Hunterdon, Mercer and Middlesex.
   Under current law, a person is guilty of such a crime when he or she knowingly authorizes a check or money order that will not be honored by the financial institution on which the order for payment is drawn. EFTs, which also are legally binding financial arrangements, have become a more and more common method of payment between parties, and there is no specific law with respect to authorizing a transfer that cannot be honored.
   ”New Jersey’s implementation of modern-day technologies for financial transactions such as taxpayer reporting and payment is a very positive development,” Assemblyman Ciattarelli said. “That development, however, requires us to modernize our statutes, which were originally written for a paper system.
   ”Whether someone is passing insufficient funds electronically or receiving them, there is a victim in either case. Modernizing the current statutes to include the electronic transfer of funds goes a long way towards keeping our laws current with new technological reporting and payment systems and ensuring there is recourse for those who are impacted.”
   Under criminal law, a person who makes a fraudulent EFT for checks or money orders would be subject to the following penalties:
   • A second-degree crime if the amount is $75,000 or more.
   • A third-degree crime if the amount is $1,000 or more but less than $75,000.
   • A crime of the fourth degree if the amount is $200 or more but less than $1,000.
   • A disorderly persons offense if the amount of the check is less than $200.
   Under civil law, if payment is not made, the maker is subject to certain monetary damages whereby the recipient can enforce the payment to be made in a civil action.
   For a person who passes a bad check, the payee on the check or order may recover the amount owed, attorney’s fees, court costs and damages in an amount equal to $100 or triple the amount of the check or order. Damages recovered may not exceed by more than $500 the amount of the check or order.
   Both bills clarify that electronic funds transfers are to be treated the same as a check, draft or order under the provisions of the statute and includes appropriate references to electronic funds transfers throughout the demand for payment form.
   Assemblyman Ciattarelli noted the bill will be of particular help to the state’s Division of Taxation when dealing with taxpayers who make insufficient fund payments via an electronic funds transfer. The division has the option to invoke criminal sanctions when a written “bad” check is presented, but there is no current parallel authority with respect to electronic transfers, which have become the primary means of payment.
   Assembly Republican Jay Webber and Democrats Gary Schaer, John McKeon and Timothy Eustace are the other primary sponsors of both bills.
Sandy funds
   Assembly State Government Committee Chairwoman Linda Stender, D-Middlesex, Somerset, Union, on Wednesday criticized the administration’s latest plans to distribute Sandy relief funds with so many questions still swirling about how the first round of money was used.
   She said she plans to submit OPRA requests to state departments that have spent Sandy funds to determine how this money was used and ensure no funds were misused or will be misused in the future.
   ”It is unbelievable that this administration is preparing to spend another $1.46 billion in Sandy recovery aid, including $5 million for more TV ads, when there are so many unanswered questions about how the first round of recovery funds were spent and whether the spending was appropriate,” she said.
   She added, “How many more questionable projects are we going to find? The Belleville and New Brunswick projects may have been legitimate projects, but should not have received money specifically allocated to help towns and residents hit hardest by Sandy. Then there is the money that was spent on marketing efforts that seemed to serve the governor’s reelection efforts more than the shore towns affected.
   ”I don’t believe we should be spending any more money until we know how the first round of money was spent and what criteria were used so we can prevent potential misuse going forward.
   ”As chair of the Assembly State Government Committee, I plan to OPRA all contract information from all state departments that have spent federal Sandy money and what criteria they used for distribution. There are just too many red flags about how this administration has handled the distribution of Sandy relief aid for us to not dig deeper.
   ”The residents have been victimized all over again by what appears to have been an ineffective recovery.”
Banking
   Assemblyman Craig Coughlin was named chairman of the Assembly Financial Institutions and Insurance Committee for the 216th session of the Legislature.
   Assemblyman Coughlin replaces Assemblyman Gary Schaer, who will take the helm as chairman of the Assembly Budget Committee this session.
   Assembly Speaker Vincent Prieto cites Assemblyman Coughlin’s exemplary work on the Assembly Regulated Professions and the Assembly Labor Committee during the last session.
   ”Assemblyman Coughlin’s legal acumen paired with his steadfast advocacy for business and industry,” said Speaker Prieto, D-Bergen, Hudson. “He is prepared to take on the issues of two of the more vital industries in the state and their impact on all New Jerseyans.”
   ”I thank the General Assembly leadership of Speaker Vincent Prieto and Majority Leader Lou Greenwald for giving me the opportunity to lead the Financial Institutions and Insurance Committee,” said Assemblyman Coughlin, D- Middlesex. “I truly appreciate their confidence in my abilities to lead such a significant committee.”
   The Assembly Financial Institutions and Insurance Committee is responsible for issues such as banking, finance, trusts and estates, auto insurance, liability insurance, life insurance, product liability, property insurance and tort reform.
   Assemblyman Coughlin noted that the purview of Financial Institutions and Insurance Committee is enormous and will demand thoughtful and deliberative discussion where any action taken must reflect the importance of these industries on the New Jersey economy, but, more importantly, the people of the state who interface with financial institutions and the insurance industry on a day-to-day basis.
   ”Among the many issues the committee will review is the rise in automobile insurance rates of which millions of New Jerseyans are responsible for purchasing regardless of their ability to pay and the federal government’s Affordable Care Act, which has and continues to change the insurance industry,” Assemblyman Coughlin said. “It will be important to monitor its implementation for New Jersey consumers and businesses.
   ”Also, nationwide, we have been saddened to learn of instances where consumers’ personal and financial data has been compromised, lost or stolen. The result to our friends and neighbors has been a steep financial and emotional price for these breaches.
   ”Over these next few months, I will be meeting with stakeholders from the banking, insurance and real estate industry about the important issues and challenges they face while at the same time being mindful of the impact on New Jersey families.”
   Assemblyman Coughlin also will serve on the Assembly Labor Committee.
   Assemblyman Coughlin represents the 19th Legislative District, which includes the Middlesex County municipalities of Carteret, Perth Amboy, Sayreville, South Amboy and Woodbridge.
Red-light cameras
   Assemblyman Declan O’Scanlon said comments made by a former red-light camera company top executive in legal documents reveal a pattern of corruption and abuse that brings the entire program into question.
   A recent article detailed Chicago ‘s dealing with the red-light camera company, Redflex, and the investigation currently underway into that company’s highly questionable business practices in multiple states — with New Jersey specifically being named as one of the states where unethical — if not illegal — activities took place.
   ”I’ve been saying this for years now,” said Assemblyman O’Scanlon, R-Monmouth. “The companies are not about safety or improving traffic, they are about the almighty dollar, and they will stop at nothing to get it. We can’t trust anything they say as they work to game the political system to ensure their lucrative public contracts are safe.”
   The article revealed Aaron Rosenberg, Redflex’s top national salesman, was forced to cover long-standing practices of “providing government officials with lavish gifts and bribes.”
   Mr. Rosenberg said that during his tenure, Redflex “bestowed gifts and bribes on municipal officials in dozens of municipalities within, but not limited, to the following states: California, Washington, Arizona, New Mexico, Texas, Colorado, Massachusetts, North Carolina, Florida, New Jersey, Tennessee, Virginia and Georgia.”
   Redflex lost its $100 million Chicago contract, its largest in North America, amid investigations triggered in 2012 by newspaper reports of a questionable relationship between the company and the longtime Chicago city official in charge of the red light program. But the company still is handling the city’s red light camera operation thanks to a series of extensions while the city transitions to a new vendor.
   ”I’ve spent the duration of New Jersey’s red-light camera program proving that these companies will twist accident numbers and tamper with yellow-light timing to convince the public that they are serving a noble purpose,” Assemblyman O’Scanlon said. “But the truth is much more nefarious. Companies like Redflex will do anything to get a contract. They have donated tens of thousands of dollars to lawmakers’ campaign funds here in New Jersey alone. These red-light camera companies are not good corporate citizens; they are the worst kind of businesses who stop at nothing to ensure a profit.”
   ”Of course, when the basic premise of your business model is based on a lie — that red-light cameras provide any public benefit — then I guess it shouldn’t come as a surprise that the companies would feel any compunction to be honorable at any level,” he added.
   Chicago Mayor Rahm Emanuel banned the company from competing for a new speed camera program and ultimately fired it as the red-light vendor. Redflex fired Mr. Rosenberg amid what it claimed was a second internal investigation that found the company had misled city ethics officials and a newspaper about its problems.
   In its own documents, Redflex said the behavior of Mr. Rosenberg and the company’s former CEO “will likely be considered bribery by the authorities.”
   ”This is who New Jersey has gotten into bed with,” Assemblyman O’Scanlon explained. “We have eschewed the interests of our citizens for a snazzy marketing ploy. It’s time, as leaders, we did the right thing. There should be a thorough investigation into this company’s business practices here in New Jersey. Any official found to have accepted gifts from this company should be held to the highest level of accountability. This program hasn’t worked since day one. The cameras are robbing innocent motorists every day — with absolutely zero demonstrable safety benefit — and the companies are laughing all the way to the bank. When will enough be enough?”
Students
   Two measures sponsored by Sen. Diane Allen that will help to better protect students now are closer to becoming law after being advanced by the Senate Education Committee.
   The committee unanimously has advanced Sen. Allen’s S441 to require school districts to adopt policies concerning electronic communications between employees and students. The policies must include provisions designed to prevent improper communications between school employees and students made via email, cell phones and social networking websites.
   ”It’s important teachers be able to engage students through the most effective means possible, but it is critical those interactions take place within the bounds of standards that protect both students and educators,” said Sen. Allen, R-Burlington. “By requiring districts to put standards in place, there will be an established context for when it is appropriate or not for teachers to use email or online messages to communicate with students. While every teacher should already know there are lines not to be crossed, this will help to eliminate any gray areas that might lead to even perceived improprieties.”
   The committee also has advanced S322 sponsored by Sen. Allen to allow nurses at nonpublic schools to provide care for preschool students in cases of emergencies. Current law requires a board of education to provide certain nursing services to nonpublic schools within the district, but only specifies the nurse’s care extends to students K-12.
   ”This is a common sense fix to a loophole in the law that, unfortunately, has resulted in situations where nurses have refused to render aid to injured preschool children for fear of the current law’s wording,” Sen. Allen said. “More and more children are being enrolled in preschool, and we need to update this law accordingly.”
   A third measure (S225) sponsored by Sen. Allen to expand access and student participation in science, technology, engineering and math (STEM) education programs was advanced as well.