TRENTON – The Senate Labor Committee gave unanimous approval today to legislation sponsored by Senator Shirley K. Turner that would deny state and local development subsidies to any business found to employee illegal aliens.
“Development subsidies are only effective if the company receiving those funds reinvests them into the community,” said Senator Turner, D-Mercer. “When companies receive loans, grants and tax breaks it is with the intention of creating more jobs and expanding the local tax base. When illegal aliens are employed instead, our communities lose all of the benefits of these subsidies.”
The bill, S-2086, was introduced over the summer in response to the hiring practices of the company that was rehabilitating the Broad Street Bank Building in Trenton. The Bank Building is being rehabilitated and turned into a residential and retail building and the City of Trenton awarded the company that owns the building economic development funds to use to rehabilitate the building. The company, while fulfilling the intent of the city grant, subsequently hired illegal aliens to perform the work in order to cut their labor costs.
“When the State and local authorities give out development subsidies, there must be certain expectations made of the recipient. Namely, that company should be obligated to hire legal New Jersey residents who pay State and local taxes and spend money in the local community,” explained Senator Turner. “Whenever such a company fails to meet these expectations, whether by hiring from out of state or illegal aliens in state, then the people of New Jersey are getting ripped off.”
The bill would make it unlawful for any organization that receives a development subsidy to employ any aliens unless they were l lawfully residing in the United States at the time of the employment. Development subsidies would cover any amount of funds from a public body for the purpose of stimulating economic development in New Jersey, including, but not limited to, grants, loans and tax breaks. If a recipient organization violates the law, it would have to repay any granting body which provided the subsidy the amount that was received in the five year period leading up to the violation within 60 days of notice.
The bill passed the Committee by a vote of 3-0 and now goes to the full Senate for its approval.