Business Report: Gas tax drops in NJ, Murphy threatens ‘nuclear option’ over NYC congestion pricing

The state’s gas tax dropped by 8.3 cents on Friday to 42.4 cents a gallon

If you are a New Jersey driver you just got a tax break. The state’s gas tax dropped by 8.3 cents on Friday to 42.4 cents a gallon. The gas tax is set each year based on fuel consumption projections. Last year there was a tax increase when gas tax revenues slumped as so many drivers stayed home during the pandemic. As of Friday, the average price for a gallon of gas in New Jersey is $3.22, so even with this tax decrease, gas prices here are still a few cents higher than the national average, according to AAA.

Gov. Phil Murphy is threatening to act if New York moves forward with its congestion pricing plan, which would hike tolls for New Jersey drivers. According to Politico, Murphy said he would consider vetoing the minutes of any Port Authority meeting. The governor called that a kind of nuclear option: Vetoing the minutes would essentially halt Port Authority budgets and contracts, potentially creating some logistical havoc in the region.

New Jersey’s manufacturers came to the state’s aid throughout the pandemic, scaling up to produce personal protective equipment. On Friday, that hard work was recognized. The New Jersey Manufacturing Extension Program, a nonprofit that works with small and mid-size manufacturers, held an event to celebrate all things Made in New Jersey. According to the organization’s CEO John Kennedy, the industry continues to face challenges, including supply chain issues and labor shortages. Meantime, Kennedy said the reconciliation bill under debate in Washington would raise the corporate business tax rate, which would impact the ability of manufacturers to create and retain jobs.

We’re in this together
For a better-informed future. Support our nonprofit newsroom.
Donate to NJ Spotlight