Budget dispute

 

New Jersey Governor Phil Murphy and legislative leaders still haven't struck a deal for a new state budget, but the Governor is offering to compromise to get the sustainable revenues he's insisting on.

In a letter to lawmakers, Murphy proposes a modified corporate business tax surcharge, a small hike in the marginal tax rate on personal income over a million dollars, and a gradually raising the sales tax rate back to seven percent over two years.

New Jersey legislative leaders and Governor Phil Murphy have until the end of June to reach agreement on a new state budget. A stalemate could risk a potential government shutdown.

Senate President Steve Sweeney and Assembly Speaker Tom Coughlin are resisting the governor’s proposed tax increases and free community college.

Democrat Assemblywoman Patricia Egan Jones does not expect there will be a government shutdown.