In order to address a looming $10 billion revenue shortfall, the Murphy administration has proposed $5 billion in spending cuts. The supplemental budget does not include a subsidy for NJ Transit, or senior freeze or homestead rebate payments. The state will also delay a planned pension payment. The new spending blueprint does not include any tax increases.
The Murphy administration found one potential opportunity to save costs by making some policy changes that would allow government workers to take voluntary furloughs as a way to avoid layoffs.
The Economic Development Authority has approved a $50 million expansion of a grant program for small businesses. Starting next month, businesses can begin applying for grants of up to $10,000.