NJ budget plan draws unusual bipartisan support
TRENTON - The New Jersey Legislature on Monday sent Gov. Christie a $34.8 billion budget that for the first time in recent years attracted several votes from Republican legislators.
TRENTON - The New Jersey Legislature on Monday sent Gov. Christie a $34.8 billion budget that for the first time in recent years attracted several votes from Republican legislators.
The Democratic-controlled Legislature's budget, up $1 billion from the appropriations bill Christie signed into law a year ago, includes the same amount of spending the Republican governor recommended in his February proposal.
The Senate voted, 28-11, with five Republican votes, to pass the measure, and the Assembly voted in favor, 50-27, late Monday.
Senate Budget Chairman Paul Sarlo (D., Bergen) described the budget as "fair, balanced," and "meant to help and protect citizens across the great state of New Jersey."
In his February budget address, Christie said the uptick in proposed spending was fueled almost entirely by the rising costs of health care and pensions for public employees, plus debt service.
The administration in May reduced its revenue projections in response to a shortfall in estimated income-tax revenues, to $34.5 billion for the fiscal year that begins July 1.
The governor's projected $613 million surplus is slightly greater than the Legislature's forecast.
The state constitution requires the Legislature to pass, and the governor to sign into law, a balanced budget by June 30.
Under the constitution, Christie can veto any line item in the budget, but he cannot add spending.
Among the Democrats' priorities were funding for expanded preschool education, nursing homes, family planning services, and various safety-net initiatives.
Republicans expressed some reservations about $300 million that Democrats added to the budget late in the process.
"Despite those concerns, this is a budget I will support because I am confident Gov. Christie will carefully review the additional spending and make the necessary adjustments that mirror the original budget," said Sen. Anthony Bucco of Morris County, the top Republican on the budget committee.
In recent years, Democrats had protested that Christie's proposed spending plans underfunded the pension system for public employees, and unions alleged that the governor had violated a 2011 law that overhauled the retirement system and required bigger contributions from workers and the government.
In spring 2014, for example, Christie announced a two-year, $2.75 billion shortfall - largely the result of his administration's overly optimistic revenue projections. The administration blamed changes in federal tax policy for the faulty projections.
To fill the budget hole, Christie cut the state's contributions to the pension system, prompting Democrats to vote in favor of tax hikes on millionaires and corporations, which the governor vetoed.
Unions representing public employees sued Christie for shorting the pension system, but the New Jersey Supreme Court last year ruled in the governor's favor. The high court shot down another challenge to the 2011 law this month.
By contrast, there was little to no politicking over the budget for fiscal 2017.
Christie in February proposed a $1.9 billion contribution to the pension system, satisfying Democrats. Despite the administration's projected $300 million decrease in fiscal 2017 revenues, Christie has not indicated that he will cut pension funding.
Instead, acting Treasurer Ford Scudder told lawmakers in May, the administration would delay granting tax credits for businesses and increase income tax withholding for lottery winners.
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