On to the next battle in Trenton: Property tax reform.

Gov. Jon S. Corzine plans to call a joint session of the Legislature on or soon after July 28 to launch a formal debate about real property tax solutions, according to published reports.

The Senate and the Assembly then will pass joint resolutions to create four bi-partisan committees to come up with recommendations that will help New Jersey tackle its highest-in-the-nation property taxes. They include school funding; employee benefits reform; local government and shared services; and a possible constitutional convention

Two months of the bi-partisan committee hearings are planned, with the goal of proposing viable property tax reform measures to the full Legislature before year’s end.

Convention vs. Session Although state leaders agree on the need to address property tax reform, they disagree on the method that should be used to attack the problem.

Senate President Richard J. Codey has argued that the Legislature has a responsibility to address the issue.

Assembly Speaker Joe Roberts, a long-time advocate of a citizen’s Constitutional Convention, has agreed to restrict the scope of a convention to the state’s revenue structure. Meanwhile, Republican legislators have criticized any effort that does not scrutinize state spending, in addition to revenue policy.

NJSBA believes the magnitude of the property tax issue warrants the Legislature to take immediate action through a special session. A convention would require voter approval of a ballot question and the subsequent election of delegates. Therefore, the state may not have a solution until 2009 or later.

NJSBA policy supports a revenue-neutral tax shift, which means a statewide decrease in local school property taxes that is matched, dollar for dollar, by a shift to a state revenue source.

Look for special session updates in School Board Notes’ Capitol Watch, and online at www.njsba.org.