New Jersey
Murphy budget plan seeks revived, narrowed business tax to fund NJ Transit – New Jersey Monitor
Gov. Phil Murphy proposed $55.9 billion in spending for the coming fiscal year during his annual budget address, asking lawmakers to approve a structural deficit and a shrinking surplus while reviving and altering a business tax that sunset mere months ago as the state’s revenue enters a post-pandemic sag.
Murphy will ask lawmakers to approve a 2.5% non-marginal tax on all income earned by businesses making more than $10 million in annual net income. The so-called “corporate transit fee” would replace the recently expired corporate business tax surcharge, which added a 2.5% surtax on business profits above $1 million.
“We will raise this revenue without placing any new burdens on small- and medium-sized businesses. In fact, nearly 2,500 companies will see their taxes decrease from last year. And let me take this opportunity to thank, in advance, the big companies which will be stepping up. Many of them have partnered with our administration since day one,” Murphy said.
Progressive groups have for months urged the surcharge’s resuscitation, but business leaders moved to oppose the tax hike before it was even announced, with Tom Bracken, CEO of the state Chamber of Commerce, calling it “a major step backwards.”
The new tax is expected to generate $818 million in revenue annually, though it’s expected to raise just over $1 billion this year because it will be applied retroactively to the first two quarters of 2024.
Only 600 businesses are expected to pay the new tax, compared to the roughly 3,100 that paid the old surcharge. But those who do will pay more because, unlike the old surcharge, the new tax will be levied on a larger tax base that includes the first $1 million of business profits.
Revenue from the new transit fee would be dedicated by statute to NJ Transit. The money would help the agency meet the roughly $900 million fiscal cliff it faces in the fiscal year that begins in July 2026, but the statutory dedication means the money can be diverted at the whim of a future governor and Legislature.
“As our friends in the press are fond of reminding me, I have said many times that I would fix NJ Transit even if it killed me. Well, I’ve still got a pulse,” Murphy said.
Despite the additional collections, Murphy’s proposed budget would shrink New Jersey’s surplus to just under $6.1 billion, bringing it under a statutory threshold needed to keep the StayNJ property tax relief program up and running. Democrats proposed StayNJ last year as an effort to reduce senior citizens’ tax bills by half.
Provisions in StayNJ’s enabling legislation require, among other things, the state to keep a surplus equal to at least 12% of its spending to pay out StayNJ awards. Lawmakers can waive those statutory restrictions through budget language or legislation.
But the state’s surplus is likely to be smaller in reality. The administration is pushing for lawmakers to dedicate revenue from the new tax to NJ Transit. Because corporate tax collections lag by months, fee revenue from the fiscal year that begins July 1 is likely to be used to bridge the fiscal cliff NJ Transit faces starting in July 2026. That could bring the state’s surplus down to just under $5.1 billion, though it’s not clear the agency would need all the funds.
Murphy’s proposed budget would see the state spend $1.8 billion more than it takes in through taxes and fees. It would be the second straight year New Jersey has run a structural deficit, draining the surplus to meet spending priorities.
The governor’s proposal maintains a full $7.1 billion pension payment and makes the largest year-over-year increase to state school aid in more than a decade.
Murphy proposed increasing formula aid to schools by just over $900 million, bringing the state’s school funding formula to full funding levels for the first time in its history. He asked legislators to add another $124 million to fund preschool expansion, including a tranche of $20 million set aside to create 1,000 new preschool seats.
“I promised — from day one — that instead of short-changing our public schools or skimping on our pension payments we would invest in the long-term success of our state. We promised to build a stronger economy to support our vision for a fairer New Jersey,” Murphy said. “Our strategy is working.”
Despite the worsening fiscal condition, New Jersey will maintain its largest tax relief programs in the coming fiscal year.
That includes nearly $2.3 billion for the Anchor program and a planned $200 million deposit into a lockbox fund for StayNJ.
“At a time when families are grappling with higher prices at the checkout counter, we are putting more money back into their pockets than ever before. Since it was introduced, the ANCHOR Program has effectively lowered property taxes down to levels that, in many cases, our families have not seen in a decade,” Murphy said.
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New Jersey
Violent teens clash with cops at NJ carnival — prompting officials to cancel beloved yearly event
Unruly teens violently overwhelmed a New Jersey community carnival, sparking several fights and cursing out police officers, forcing organizers to prematurely shutter the beloved annual event.
A large gathering of “unsupervised juveniles” descended onto the Maple Shade Tigers Youth Football Carnival at JFK Memorial Field in Maple Shade, NJ, on May 1, inundating the yearly gathering to fundraise for the youth sport organization, according to township officials.
“Officers on scene, along with event organizers, directed those involved and other unruly individuals to leave the carnival grounds in an attempt to restore order and maintain public safety,” Maple Shade officials said.
“As a result of the incident, the carnival was closed for the remainder of the evening.”
The delinquents weren’t ousted without a fight, causing problems with officials at the carnival about 15 miles east of Philadelphia.
“They were cursing at police officers. They were clearly trying to provoke physical confrontations with cops,” Maple Shade Police Department Lt. Daniel O’Brien told 6 ABC Philadelphia.
Police say several teens were charged but didn’t reveal the alleged crimes, according to the outlet.
One witness described the mass exodus as a “herd of kids” being escorted by cops, according to the outlet.
Large swarms of teens were seen on video posted online getting into fights and sprinting down the streets of the neighborhood.
One clip captured police officers chasing some of the hooligans as night fell on the Burlington County enclave.
Rumors began to spread online about weapons being brought into the carnival, but Maple Shade Police could not verify the reports, and no weapons were recovered from the scene.
Because of the Friday night mayhem, the second night of the carnival was also canceled.
“We recognize that this decision is not made lightly. The Maple Shade Tigers Youth Football Carnival is a valued tradition that supports a dedicated youth sports organization and brings the community together each year,” town officials said.
“From the outset of this event, Township officials, the Maple Shade Police Department, and the Maple Shade Youth Football organization have worked in close coordination with a shared commitment to ensuring the safety and well-being of all attendees,” officials said.
“Despite these proactive efforts, the circumstances that developed this evening required immediate action.
Officials estimate that the youth football organization lost thousands of dollars after the cancellations.
“It’s a non-profit, everything that we have always goes back into the program. New equipment, uniforms, helmets,” Thomas Oshinsky told 6 ABC Philadelphia.
Following the chaos in Maple Shade, officials beefed up security measures for the upcoming St. Mary of the Lakes Carnival and Music Festival in neighboring Medford.
Fences will enclose the event, and there will only be two entrances, officials said in a statement on Facebook.
“Face coverings are strictly prohibited, hoodies cannot be worn over your head, wand screening will be conducted, and all bags will be subjected to search,” the advisory warned.
Guests over 18 will be allowed into the park free of charge, with minors taller than 60 inches needing to buy a ticket.
“Carnivals are meant to be fun, family-friendly, fundraising activities held within communities,” officials said. “In Maple Shade, we saw yet again, what happens when groups of teens come to a carnival with intentions other than riding rides, eating funnel cake or playing games.
“We are hoping the measures above will prevent anything unwanted,” the statement added.
Medford officials blasted the uptick in teenage chaos as the community events that have plagued local carnivals in the South Jersey area over the past several years.
New Jersey
Bruce Springsteen says Long Island and New Jersey kinda like the same place
New Jersey … Long Island … what’s the difference?
Bruce Springsteen, stage-bantering during his Tuesday night concert at UBS Arena in Elmont, told the audience he seen little difference between the two bedroom communities of New York City.
And he paid tribute to Billy Joel.
“You see, Long Island and New Jersey — they’re the same thing. We were just separated at birth. That was what happened,” he said to cheers while performing “Wrecking Ball.” “We’re all my fellow bridge and tunnel people.”
Then, maneuvering his guitar, he added: “If you shake up New Jersey like this it becomes Long Island.”
The banter was prompted by the song lyrics, “I was raised outta steel / Here in the swamps of Jersey.”
Springsteen’s tribute to Long Island drew laughter, cheers and nods of agreement. His lyrics referencing the New York Giants and The Meadowlands Sports Complex also received warm and enthusiastic reactions from the audience.
As if all that weren’t enough, Springsteen also gave a shoutout to the Piano Man, who has boosted his presence in Florida and isn’t much in a “New York State of Mind” after listing his Gold Coast mansion, movin’ out and becoming a Florida resident.
“Let Billy hear ya in Florida!” Springsteen said during “Hungry Heart.”
Springsteen, of Freehold, New Jersey, has shouted out Long Island — and Hicksville’s Joel — before.
In 2009, at a 25th anniversary concert for the Rock & Roll Hall of Fame at Madison Square Garden, Springsteen asked the audience: “Are you ready for the bridge-and-tunnel summit meeting right here, right now? Because Long Island is about to meet New Jersey on the neutral ground of New York City!”
Then, Joel emerged. The two performed together.
Newsday’s Rachel Weiss contributed to this story.
New Jersey
80-year-old crossing guard killed after being hit by car while helping kids cross street in New Jersey – AOL
An 80-year-old crossing guard who neighbors say devoted years to protecting children was killed Monday after she was struck by an SUV while helping two students cross a busy New Jersey intersection, authorities said.
Witnesses told ABC7 that Jean Schultz pushed the children out of the path of the oncoming car moments before they were struck.
It happened at the intersection of McBride and Lackawanna Avenues in Woodland Park just after 3:30 p.m., according to the Passaic County Prosecutor’s Office.
Schultz, who lived in Woodland Park, was rushed to St. Joseph’s University Medical Center, where she was pronounced dead.
The two children, who are siblings, according to officials, were hospitalized with minor injuries. Authorities said they were not hit by the vehicle but suffered minor injuries when they fell to the ground.
Jean Schultz was helping two children cross a busy intersection in Woodland Park, New Jersey when she was struck by a vehicle (ABC7)
Police said the driver remained at the scene. No charges have been announced as the investigation continues.
The tragedy sent shockwaves through the community, where residents described Schultz as a beloved staple who took pride in keeping children safe.
“You know, we try to save the people, the kids, but it’s very bad what happened,” fellow crossing guard Franko Racanati told CBS News Tuesday.
“She loved the job. She loved it, and it cost her her life. But she was just a good person. I can’t say enough about her,” neighbor David Holster told ABC7.
“She was a staple, a staple. It’s so unfortunate. Eighty years old, and to have to go like that,” resident Giuseppe Martucci added.
“She literally put herself in harm’s way to protect the kids,” Marino Florio, another resident, said.
In a statement shared to Facebook, Woodland Park Mayor Tracy Kallert called Schultz’s death a “heartbreaking loss.”
“Jean Schultz was a dedicated crossing guard who took great pride in keeping our children safe each day,” Kallert said. “We extend our heartfelt condolences to her family, loved ones, and our crossing guard team as we mourn together.”
The mayor later described Schultz as “more than a crossing guard.”
“She was a bright and reassuring presence for generations of children and families,” Kallert said. “Jean was a kind and gentle soul who lit up every time she saw the kids coming, greeting them with a smile and ensuring their safety each and every day.”
“Her compassion, warmth, and genuine love for the children of Woodland Park left a lasting impact that will never be forgotten,” the mayor added.
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