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Governor Phil Murphy has signed a record $58.8 billion budget for New Jersey, marking the final budget of his governorship. The budget, signed just before midnight on Monday (June 30), includes tax increases on internet sports betting, gambling, and high-priced real estate, though these are lower than initially proposed.
The budget also offers significant property and school tax relief, with full funding for public-worker pensions and the school funding formula. It includes $13 million for MetLife Stadium improvements ahead of next year's FIFA World Cup and funding for the StayNJ property tax rebate program for seniors.
Despite these measures, the budget has faced criticism for its size and rapid passage. Republican leaders, like Assemblywoman Nancy Munoz, have criticized it as unsustainable, while some Democrats have defended it as a necessary step to improve the state's fiscal health. The budget also features $727 million in additional spending, often referred to as "pork" projects, which has drawn criticism from some lawmakers.
The budget maintains a $6.7 billion surplus, though it runs a structural deficit, spending $1.5 billion more than it collects in revenue. Governor Murphy emphasized the budget's focus on affordability and fiscal responsibility, stating that it aims to deliver economic security and opportunity for all New Jerseyans.
According to NJ.com, the budget also includes controversial provisions, such as blocking reforms for low-performing nursing homes and diverting opioid settlement funds to the state's general fund.
The New Jersey Monitor reports that the budget's passage narrowly avoided a government shutdown, with votes largely falling along party lines.
NorthJersey.com notes that the budget is about $2.2 billion higher than the previous fiscal year and includes significant funding for international events and improvements at MetLife Stadium.