New Jersey
A closer look at what's in New Jersey's proposed $56.6 billion budget, from taxes to spending
TRENTON, N.J. — New Jersey lawmakers are poised to send a $56.6 billion fiscal year 2025 budget to Democratic Gov. Phil Murphy this week, hiking taxes on high-earning businesses and funding for many state services and programs.
The annual spending plan is expected to get enough votes in the Democrat-led Legislature on Friday to reach Murphy’s desk. The state constitution requires a balanced budget to be enacted by July 1.
Here’s a closer look at what’s in the budget, which would spend 4.2% more than the plan Murphy signed last year.
ARE THERE ANY NEW TAXES?
Yes. The budget calls for increasing the state’s corporation business tax on companies that make more than $10 million a year. The current 9% rate would climb to 11.5%. Business groups say that would give New Jersey the nation’s highest tax rate and punish the state’s best corporate citizens.
WHY ARE TAXES GOING UP?
The higher rate was first proposed by Murphy as part of his budget proposal early this year to help New Jersey Transit. He’s billing the levy as a corporate transit fee to help the beleaguered agency, which has regularly had to use capital funds to help finance projects.
Critics note that the revenue won’t go to transit until next year. The current budget keeps it in the general fund, so when the money goes to transit next year, whatever is being paid for now out of the general would need to be replenished or cut, those critics say.
ARE THERE OTHER TAX CHANGES?
Yes. The budget calls for ending a sales tax holiday on school supplies that had gone into effect around the start of the academic year. That cut was first introduced in 2022 when the Democrats who control state government aimed to show voters they were making the state more affordable. Lawmakers didn’t explain this cut when they unveiled the budget Wednesday, but the additional revenue could help balance the budget.
WHAT ABOUT PROPERTY TAXES?
New Jersey has among the nation’s highest property taxes, levied by local governments to finance services and schools. The state dedicates some income tax revenue to fund local governments, which helps keep property tax rates from growing even higher. This budget calls for increasing state K-12 funding to fully implement an aid formula ratified by the state Supreme Court, raising such aid to more than $11 billion, up nearly $1 billion from the current fiscal year. The budget also has about $2.5 billion for direct property tax relief, continuing programs introduced in 2022 and 2023 to help residents, renters and seniors. The average property tax amount in 2022, which is the most recently available information, is about $9,500, according to the state.
WHAT ELSE IS IN THE BUDGET?
Quite a bit, given it funds all aspects of state government, from the executive departments to public colleges and universities, to the Legislature itself, which this year passed a 67% pay raise for lawmakers, their first since 2002, which goes into effect in 2026. Overall, spending is up just over 4% compared with the current fiscal year budget.
It includes a number of expenditures — sometimes referred to as Christmas tree line items because they’re viewed as gifts for specific constituencies. They include funding for ending homelessness, helping people re-enter society from prison, fire departments, arts programs and one city’s effort to teach life skills through tennis.
Republican lawmakers said they barely had time to review the budget and lamented that they weren’t sure what all was in it. Even Democratic Senate Budget Committee Chairman Paul Sarlo said the document is too vast to read line by line, but he supports it overall.
“I could not take a test and be quizzed on every line item because it would take hours and hours and days and months,” Sarlo said. “I try to look at it in totality and that’s where I think we’re at.”
New Jersey
Family grieving after deadly wrong-way crash in Totowa, New Jersey
Two people were killed and two others, including a toddler, were injured in a wrong-way crash in Totowa, New Jersey, earlier this week.
Officials confirm the wrong-way driver was off-duty Newark firefighter Albin Fermin, 30. According to Newark officials, Fermin had been with the Newark Fire Department since February 2024 and was assigned to Engine 10.
Wrong-way driver, mother of 2-year-old killed
The crash happened on I-80 just after 2 a.m. Monday.
New Jersey State Police said 60-year-old Joanne Furman was driving west on I-80 with her daughter Imani Furman, 24, and her 2-year-old grandson, when they were struck head-on by Fermin, who was driving the wrong way.
Fermin and Imani Furman were both killed in the crash.
Police said Joanne Furman was seriously injured and the 2-year-old suffered moderate injuries. Both were taken to a local hospital.
The crash remains under investigation.
“It wasn’t my daughter’s fault”
Janice Furman, Joanne Furman’s mother and Imani Furman’s grandmother, said her family is devastated.
“It wasn’t my daughter’s fault. It was not her fault,” she said. “They’re showing pictures of [Fermin], his family and the whole team of his fire department. ‘We’re going to miss you.’ Almost like a heroic thing. This isn’t heroic. He killed someone.”
Janice Furman said after undergoing several surgeries, Joanne Furman regained consciousness Wednesday. That’s when the family had to break the news about Imani Furman.
“That’s all she said to me, is, ‘Mommy, she’s gone,’” Janice Furman said.
She said the family is overwhelmed with grief.
“Imani was a very spirit-filled young lady. She loved life. She loved to sing. She loved to dance,” Janice Furman said.
She said Imani Furman’s only son, Messiah, was her world.
“She won’t see him graduate. She won’t see anything,” Janice Furman said.
Joanne Furman will have to undergo weeks of physical therapy before she can walk again, her mother said. The family is asking for prayers as they navigate her recovery and plan a funeral.
New Jersey
Sherrill Announces that Lisa Asare will Continue as President and CEO of the NJ Maternal & Infant Health Innovation Authority – Insider NJ
Governor-elect Mikie Sherrill today announced that Lisa Asare will continue as the President and CEO of the NJ Maternal & Infant Health Innovation Authority, and the position will remain in the Gov.-elect’s cabinet. Lisa Asare brings a depth of experience to the role, having held previous positions as Deputy Commissioner of Health Services within the New Jersey Department of Human Services and as Assistant Commissioner of the Division of Family Health Services at the New Jersey Department of Health.
“I have asked Lisa Asare to continue her strong leadership at NJ Maternal & Infant Health Innovation Authority as New Jersey continues to confront the Black Maternal Health crisis. She is known for her ability to bring state government together with practitioners, community partners, and local advocates to develop solutions that improve affordable access to care and health outcomes for women. Together, we’ll invest in programs that build the midwife and doula workforce, and leverage telehealth and remote monitoring services, both during and after pregnancy, to support postpartum moms and healthy infants,” said Governor-elect Mikie Sherrill.
“I am honored to continue to lead the NJ Maternal & Infant Health Innovation Authority. At MIHIA, we are focused not only on delivering physical care, but addressing the social determinants of health, expanding the perinatal workforce, supporting research and data collection, and acting as an incubator for innovation in maternal and infant health. I’m looking forward to continuing to advance this work as part of the Sherrill-Caldwell administration because I know the Governor-elect is committed to these same goals and has already demonstrated that community members have a seat at the table as we work to address healthcare disparities for communities of color across the state,” said Lisa Asare.
Governor-elect Sherrill highlighted the need to address maternal healthcare disparities throughout her campaign for governor and is committed to delivering on those promises. She sat down with moms, providers, community leaders, and advocates at roundtables across the state to pinpoint the key issues state government must address. Specifically, the Sherrill-Caldwell administration will work to build a culturally competent workforce, including doulas and nurse midwives, and ensure that students of color have access to these training programs. Additionally, the administration plans to invest in telehealth services, remote monitoring, and home visiting programs immediately after pregnancy to support postpartum outcomes and healthy infants.
Lisa Asare is the President and Chief Executive Officer of the NJ Maternal and Infant Health Innovation Authority, a position she was appointed to in March 2024. Prior to this appointment, Ms. Asare served as Deputy Commissioner of Health Services within the New Jersey Department of Human Services. In this role, she oversaw the Division of Medical Assistance and Health Services that administers NJ FamilyCare and the Division of Mental Health and Addiction Services. She also served as the Department lead on First Lady Murphy’s Nurture NJ maternal health initiative.
Ms. Asare previously worked as the Assistant Commissioner of the Division of Family Health Services at the New Jersey Department of Health, for more than 20 years. She redesigned the Division’s approach to addressing black infant mortality and maternal mortality, contributed to the NurtureNJ strategic plan, addressed the social determinants of health by collaborating with other state agencies and non-traditional partners, and leveraged additional state, federal, and philanthropic funding to address emerging issues and the COVID-19 pandemic.
New Jersey
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