| | | |  | | By Matt Friedman | | Presented by |  | | | Good Wednesday morning! The proposed budget is in. Gov. Phil Murphy yesterday outlined a $58 billion spending plan with a large $6.3 billion surplus. There were no radical new proposals in this budget, and no massive spending cuts despite facing down a deficit. Even the StayNJ senior property tax reimbursement plan, whose eventual $1.2 billion price tag has made it a potential burden for the next governor, is getting fully funded. The one overarching message of the governor’s budget address was “uncertainty” — a word he used five times, mostly referring to the Trump administration. New Jersey gets about $27 billion in federal funding, about half of which goes to Medicaid for nearly 2 million New Jerseyans. “I think it’s safe to say that we are facing more uncertainty — at the federal level — than at any other point in modern history,” Murphy said. The budget includes $1.2 billion in tax and fee hikes, partly on vices like internet gambling, smoking (weed and tobacco) and drinking. But it also would double the current 1 percent “mansion tax” fee on home sales of over $1 million (these days in New Jersey, a million dollar house is not synonymous with “mansion”), and increases it to 3 percent on home sales of over $3 million — just after some in the real estate industry were hoping to repeal or reduce the tax. And while it doesn’t raise the sales tax itself, it un-exempts and un-caps several things, like boats and car trade-ins and, for some reason, horse training. Once again, the governor has broken a pledge to not raise taxes he made during the gubernatorial debate in 2021. And Murphy, who has a surprisingly decent relationship with President Trump, promised pushback against his policies when it comes to LGTBQ rights, migrants and abortion. He also took a shot at Trump for pardoning all the Jan. 6 rioters. “I will also never back down from defending our police officers — like South River native Brian Sicknick — instead of pardoning the violent mob that assaulted them,” Murphy said. Still — and I don’t know whether this should be read as a measure of Murphy’s political ambition — Murphy’s speech didn’t hit an anti-Trump message as aggressively as Illinois Gov. JB Pritzker, who compared the Trump administration’s actions to the rize of the Nazis in Germany. Read more here from Ry Rivard and Daniel Han HAPPY BIRTHDAY: AnneMarie Devito, Paul Fishman, Quinton Law, Taneshia Nash Laird, Jason Springer. WHERE’S MURPHY? No public schedule QUOTE OF THE DAY: “He’s a man of good humor” — State Sen. Declan O’Scanlon on Gov. Murphy, who responded to O’Scanlon’s criticism of Murphy’s budget as “slathering gallons of lipstick on a pig” by handing O’Scanlon some lipstick on the Assembly floor
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I WILL NOT TAKE THE BAIT AND MAKE A JOKE ABOUT THIS — Republicans warn governor’s budget plan will leave New Jersey in ‘an enormous hole’, by New Jersey Monitor’s Dana DiFilippo: “Gov. Phil Murphy for months has called for cuts in state spending but offered a bloated budget proposal packed with unnecessary new spending, Republican legislative leaders said Tuesday after the governor’s annual budget address. The record-high $58.1 billion budget proposal perpetuates the state’s structural deficit and leaves a surplus that would take the state just 39 days to burn through, said Sen. Anthony Bucco (R-Morris). New programs like Stay NJ, a tax break for seniors that will cost more than $1 billion a year when it’s fully phased in, just add to that structural deficit, Bucco said. ‘This next governor is going to be left with an enormous hole to fill. And you know what they say: When you’re in a hole, stop digging. Well, this governor keeps going deeper and deeper and deeper, and it’s going to be that much harder for the next governor to be able to move that program forward,’ Bucco said … They also objected to new or expanded taxes and fees Murphy has proposed, including on firearms, drones, and alcohol.”
COMING SOON: THE SUMMER OF HEAVEN — “Murphy budget gives cash-strapped NJ Transit major infusion from new corporate tax,” by The Record’s Colleen Wilson: “The first infusion of a new state corporate transit fee would more than double state aid for NJ Transit in the coming fiscal year, according to Gov. Phil Murphy’s budget proposal revealed Tuesday. The Treasury Department estimates NJ Transit will receive about $815 million from the corporate transit fee in fiscal year 2026… If the state Legislature were to pass Murphy's proposed 2026 budget as is, NJ Transit would receive a combined $1.44 billion in state revenue to support its budget, more than double the $670.1 million the agency received in the current fiscal year.” —Murphy wants to poach OB-GYNs from other states —“In the Trump era, crafting a state budget becomes more complicated” —“Murphy's budget proposal includes $1M for Platkin's legal war against Trump's orders” —“Murphy proposes $1 million to incentivize youth voting in school board elections” —“Tax and spending increases mark Murphy’s final NJ budget plan” —“Murphy’s budget gets mixed response as millions meant for ‘clean’ climate are sent to NJ Transit”
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| | | IF SOMETHING SEEMS OFF, LOOK TO MAYO — “Scutari taps ex-judge as new SCI commissioner,” by New Jersey Globe’s David Wildstein: “The chairman of the Joint Legislative Committee on Ethical Standards has been named to the State Commission of Investigation. A. Todd Mayo, a former East Brunswick Municipal Court judge, will take the seat vacated last month by Tiffany Williams Brewer, who gave up her commissioner slot to become executive director – a gig that lasted just four days. Senate President Nicholas Scutari named Mayo, an Air Force veteran who spent a decade as a municipal court judge and less than four years as a Workers Compensation Court judge. The governor gets two picks for the SCI, and the Senate President and Assembly Speaker each get one. Mayo attended the Thomas M. Cooley Law School in Michigan at the same time as Scutari, who graduated one year earlier. … Brewer resigned as executive director in January, four days after her appointment was announced and one day after the Asbury Park Press reported that she was living in Maryland and working as a law professor at Howard University. She blamed SCI employees for torpedoing her.” EDUCATION —“Thousands of New Jersey students aren't fluent in English. See what experts fear it means,’ by The Asbury Park Press’ Amanda Oglesby: “Thousands of New Jersey students in classrooms have a limited grasp of English. They come speaking Spanish, Mandarin, Tagalog and Ukrainian. Other students speak Portuguese, Gujarathi and Hindi. As of 2023, about one in every 11 New Jersey students was learning to speak English in school, or about 131,000 children and teenagers across the state, according to New Jersey Department of Education records. In Ocean and Monmouth counties, about one in every 16 students is learning English, or about 9,500 students, according to the state department, but the numbers are continuing to grow. Experts worry these children face serious obstacles to academic success, from trouble registering for school, to crowded classrooms and limited resources after years of deep budget cuts.” ATLANTICKED COUNTY — Atlantic County Democrats hold their convention this weekend for governor. And just this month, the county committee made a change to their rules, barring any candidates from seeking their endorsement who have pledged to bracket with a candidate who’s not competing at the convention. If the rule change appears aimed at the Assembly candidates running with Steve Fulop’s gubernatorial campaign in the 2nd District, that’s because it is. “The short answer, in terms of Fulop, yes, I’ll be honest with you,” county Democratic Chair Michael Suleiman told me. “But the legitimate reason is in the future we want a situation where the folks that are running are sincere about accepting our slogan.” In the end, it’s not really much of a change. Suleiman noted that the committee has for decades required convention winners to run under the county party’s slogan, so this rule change was just clarifying that. And Fulop’s Assembly running mates, Lisa Bonanno and Bruce Weekes, didn’t plan to compete anyway. (Bonanno told me she decided not to compete at the convention once the county’s Democratic organization got behind Joanne Famularo and Maureen Rowan, though she had bought a convention ticket and paid her municipal Democratic club dues). Fulop told me, “The fact that they’re changing rules … shows we’re doing something that makes them feel uncomfortable, and we’re probably on the right track.” The Democrats competing for Atlantic County’s endorsement are Steve Sweeney, Mikie Sherrill, Ras Baraka and Sean Spiller.
| | | | Donald Trump's unprecedented effort to reshape the federal government is consuming Washington. To track this seismic shift, we're relaunching one of our signature newsletters. Sign up to get West Wing Playbook: Remaking Government in your inbox. | | | | | —“A potential legal battle looms over New Jersey’s new proposed weed laws” —“Spadea wins Ocean County with hefty 61%” —“Ciattarelli wins Passaic GOP endorsement” —“The NJ Senate ballot reform bill is a massive step backward. It must not pass | Opinion” —“Sweeping investigation launched into N.J. school empire accused of nepotism, overpaying leaders” —“Dozens of New Jersey marijuana businesses push to legalize home cultivation, despite resistance from governor and legislative leaders” —“Trump threats spur bipartisan support for NJ immigrant privacy bill”
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PARDON ME — “Would Trump cast a lifeline to Bob Menendez as he did for Eric Adams? Doubtful,” by The Record’s Charles Stile: “The Adams case also underscores how unlikely it is that Trump will come to Menendez’s rescue with a pardon. While Adams had been cozying up to Trump at sunny Mar-a-Lago, Menendez auditioned for a pardon … minutes after being sentenced to prison for 11 years for selling out his Senate office for cash and gold bars as a behind-the-scenes agent for Egypt and for trying to stop two criminal investigations. Menendez is appealing the conviction. Adams has something of value to offer Trump: his help with the president's mass deportation plans, even with the Sword of Damocles hanging over his head. What does Menendez offer Trump? What does he bring to the table? Maybe some criticism from Trump's friends at Fox News, his chief hiring pool. … But here is one possibility: If Trump is serious about turning Gaza into the “Riviera of the Middle East," he’ll need help from Egyptian officials in an agreement to accept potentially hundreds of thousands of Palestinian refugees from Gaza. Perhaps Trump could pardon Menendez and make him a special envoy to Egypt, where he can reunite with those officials he once wined and dined and helped with the release of hundreds of millions in military aid. He knows some of them on a first-name basis.”
IT’S GONNA BE A SUPERFUN FOUR YEARS — “Republicans in Congress attack Superfund cleanup tax,” by NJ Spotlight News’ Benjamin J. Hulac: “Republicans in Congress, with control of the White House and backing from chemical companies, are trying to eliminate a federal tax on chemicals that funds the cleanup of toxic waste sites nationwide. As part of a 2021 federal infrastructure law, lawmakers revived a tax that expired in the 1990s. The tax pays to clean toxic sites where the company that polluted the location cannot be found or no longer exists. Often, the responsible company or companies went bankrupt years prior. Now, the tax that has provided funding to clean up these places — what are known as ‘orphaned’ sites — is at risk … The elimination of the tax would slow cleanup efforts at orphaned sites in New Jersey and other states a few years after money had begun to flow to pay to remedy dangerous sites, often former chemical plants, military depots, lumber mills or steel-making companies.” —“Van Drew emerges as swing vote on House GOP budget plan” —“NJ's Edan Alexander is last surviving U.S. hostage in Gaza. Why his father remains hopeful” —“Trump’s reckless cuts will kill’: Rutgers leads labor to D.C. DOGE attacks” | | LOCAL | |
CHEATINGS FROM ASBURY PARK — “Ex-Asbury Park schools chief lawsuit says he was suspended for exposing unearned diplomas,” by The Asbury Park Press’ Charles Daye: “Former Asbury Park Schools Superintendent RaShawn M. Adams filed a lawsuit against the school district and the Board of Education, alleging that he was placed on administrative leave as retaliation after exposing "illicit/illegal" activity to the board. Adams had a contentious relationship with the teachers' union since he took over as superintendent in 2021. It all came to a head in February 2024 when the Board of Education voted to place Adams on paid administrative leave. The lawsuit was filed in state Superior Court in Monmouth County on Feb. 13 and states that ‘in his efforts to reverse decades of chronic, institutional failure and mismanagement’ Adams sought to re-evaluate the entire operation of the district. Adams says he focused his efforts on contracts with all outside vendors, particularly tuition payments to charter schools and out-of-district placements. Adams determined that some district employees were fraudulently or illicitly managing public finances as a result of incompetence, or worse, for personal gain, according to the lawsuit.”
UH OH, CANADA — “Jersey Shore businesses brace for big loss of Canadian tourists amid rising tensions,” by NJ Advance Media’s Eric Conklin: “With just 13 Fridays until the start of Memorial Day weekend, the phone at Ponderosa Campground just outside of Avalon has been ringing. But some calls haven’t been the kind you want ahead of the crucial summer season, owner Marcia Kelleher told NJ Advance Media. More than a half-dozen Canadian families have cancelled reservations in what Kelleher fears could be a growing trend. ‘We rent out about 40 cabins, and we get a lot of Canadians,’ said Kelleher. … Canadians make up a large portion of bookings, particularly in July when construction projects are paused for two weeks, and they frequently stay for two weeks or more, she said.” —“[Fairview’s] data breach left thousands of people exposed, lawsuit claims” —“After much back and forth, Garfield will hold school elections in April” —“[Newark] Central Ward special election will not be held in tandem with April BOE election” —“Montclair council appoints new township manager” —“Cape May County budget expected to reduce tax levy” —“What commuters think of the upgraded, brighter Hoboken PATH station” —“Montclair settles claim ex-teacher discriminated against Jewish students” —“[Clark] middle school teacher accused of distributing child porn” | | EVERYTHING ELSE | |
R.I.P. — “Beloved N.J. county fair volunteer known for his ‘rooster crow’ dies at 103”
—“‘103 & Fabulous.’ N.J. centenarian celebrates another milestone birthday” —“Caught on camera: Hazlet police officer rescues dog from icy lake”
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