Transparency bill sheds light on ‘shadow govt.’

Close to 600 local authorities and commissions spend $5 billion in taxpayer money per year that until recently was nearly impossible to track in New Jersey’s so-called “shadow government.”

“Seven out of 587 [government entities] have basic information available online. That’s a pretty paltry number especially when you recognize that these local agencies are spending $5 billion a year,” said Sen. Jennifer Beck (R-11th District) in an interview.

“That’s all taxpayer money that they’re spending and citizens didn’t have information about them available.”

To increase transparency and promote accountability, Beck co-sponsored bill S-2765 with Sen. Barbara Buono (D-18th District).

Signed into law Jan. 9 by Gov. Chris Christie, the legislation requires all local and regional authorities and commissions to maintain an Internet website that provides basic public information pertinent to an entity’s operations and activities.

According to Beck, the legislation was based on the results of state Comptroller Matthew Boxer’s transparency report, released Feb. 15, 2011.

Boxer’s report found that only 3 percent of independent local authorities and commissions posted their financial reports on the Internet, while more than 36 percent did not even operate a website.

“Too often the public never hears about these local agencies until scandals unfold. But we pay for these agencies every day when we pay tolls, when we pay our water bills and when we pay our property taxes,” Boxer stated in the report.

According to the report, the state averages one government unit every 3.8 miles.

“When you have so many different government units spending public dollars, it becomes difficult for even the most attentive members of the public to monitor how their money is being spent,” said Boxer in the report.

According to Beck, the lack of information tends to keep the public from attending the public meetings held by the various authorities and commissions.

“If you can’t find out when an entity meets, the day or time [of those meetings], or what’s on their agenda, it’s unlikely that people will ever go. You’re not going to attend because you can’t find any information about it,” Beck explained.

“So if a member of the general public wanted to attend the water authority’s meetings to find out the rates were going up or how they were going to spend their budgeting resources for the coming year, there was no way to know when they were meeting, who sat on that authority board, what was included in that budget and what wasn’t. That information was simply not available online,” Beck said.

The bill also requires that any contractor, whether a law firm or a consultant, that receives a contract for more than $17,500 from one of these entities must be named and listed on the website, Beck said.

The comptroller’s review of 587 New Jersey agencies with independent fiscal authority included 214 local authorities and commissions, 185 fire districts, 85 housing authorities, 48 joint insurance funds, 17 workforce investment boards, 15 soil conservation districts, 11 Urban Enterprise Zone development corporations, five county park commissions and seven regional health commissions.

“Honestly, I think entities like a housing authority or a water authority just aren’t as visible as your mayor and council because they’re generally not covered by the press. It’s just not something that’s in the public eye, and so I don’t think there’s been a clamoring from residents for information. To some degree, they’ve been invisible to the public,” Beck said.

However, the anomaly is the $5 billion a year in taxpayer money, she said. The bill will affect regional authorities like the Passaic Valley Sewerage Commission, which came under fire from Christie for excessive overtime pay and other perks for its employees last year.

Under the bill, a list of full-time and parttime employees, as well as the name and phone number of the principal executive responsible for operations, must be provided as public information on the website.

“It’s just greater accountability, greater transparency and it’s good government. I’m really happy that the governor signed the bill,” Beck said.

Each entity has a two-year window to implement the websites, which can be a page attached to their municipality’s website or an independent website created by the organization. According to Beck, the N.J. League of Municipalities requested the timeframe.

The senator said the recently approved bill didn’t encounter any opposition from local entities. Instead, she felt it could be a positive thing by creating visibility for many organizations seeking volunteers for various projects.

“I actually think there can be a positive upside for entities like a fire district where they’re really looking for volunteers to support their mission. They’re going to be easier to find. If you don’t put the time and date of your meetings online but you’re looking for people to come sign up and volunteer in your fire department, it makes it hard for people to participate,” she said.

A day after the bill was signed into law, Beck was assigned to the Senate Budget and Appropriations Committee on Jan. 10. The committee has 13 members that oversee the state’s spending priorities and assist in shaping the annual budget that is passed by July 1 of every year.

“I’m looking forward to it. It’s exciting to be a part of that process. I’ve been very vocal since I’ve been a councilwoman for the borough of Red Bank about the fiscal issues of our state so I look forward to participating and being a voice for the residents,” Beck said.

Contact Kristen Dalton at kdalton@gmnews.com.