Runyan’s donkeys, Bon Jovi’s bees: Farm subsidies draw scrutiny

December 06, 2011|By Joelle Farrell, Inquirer Staff Writer
Image 1 of 2
  • Donkeys graze within a fenced pasture in Mount Laurel. Those who keep such animals in New Jersey get an agricultural tax break.
  • Donkeys graze within a fenced pasture in Mount Laurel. Those who keep such animals in New Jersey get an agricultural tax break. (ELIZABETH ROBERTSON / Staff…)
  • Jon Runyan caught heat for invoking the tax break. (APRIL SAUL / Staff Photographer )

The miniature donkeys that graze at the Mount Laurel homestead of U.S. Rep. Jon Runyan became political fodder as soon as the former Eagles tackle announced his candidacy in 2009. Under a New Jersey law designed to protect farmers from soaring property taxes, Runyan receives a 98 percent tax break on most of his land because he keeps donkeys and sells firewood.

Democrats attacked Runyan, whose median net worth is estimated at $7 million, for taking advantage of a farm program to avoid paying the full tax rate on 20 of his 23 acres.

Two years later, tax breaks for the wealthy are drawing even sharper criticism as Congress fights over how to spur the sluggish economy and manage the country's debt.

Story continues below.

Last month, conservative Sen. Tom Coburn (R., Okla.) slammed "millionaires" for taking tax breaks, including agricultural benefits, in a report called "Subsidies of the Rich and Famous."

Coburn focused on federal subsidies, but he also cited New Jersey's farmland assessment, noting that rock stars Jon Bon Jovi and Bruce Springsteen enjoy the same subsidy Runyan receives.

Farm programs, Coburn wrote, were established to "encourage individuals in agricultural pursuits."

"Farmers that are millionaires no longer need this encouragement," he wrote. "Further, a millionaire landowner should not be paid by the government to preserve their land."

Runyan, 38, says he pays his fair share of property taxes and follows the law to keep his farmland assessment.

"It's open space that everybody cherishes, especially here in New Jersey," he said. His critics "don't dig into the overall tax burden . . . . For me, it's almost $62,000."

This year, Runyan paid $61,627.28 in property taxes on the three acres that include his house. For the remaining 20 acres, he paid $123.80.

Republican Runyan defended Bon Jovi and Springsteen - who have actively campaigned for Democrats - for likewise taking the tax break. Bon Jovi raises honeybees, and Springsteen reportedly leases land to an organic farmer. Neither responded to requests for comment made through spokeswomen.

"They're probably in the same boat," he said. "My guess is they're probably paying more because they have bigger homes than I have and the area they live in is an area that's more expensive than it is down here."

Runyan bought his property in 2000 for $980,000, according to deeds.

Josh Schwerin, a spokesman for the Democratic Congressional Campaign Committee, said that just because the tax break is legal doesn't make it right.

1 | 2 | 3 | Next »
|
|
|
|
|