Murphy says he's prepared to veto legislature's budget proposal

New Jersey could face a government shutdown

Suzanne Monaghan
June 18, 2018 - 3:24 pm
Gov. Phil Murphy hosts a press conference to discuss the budget.

Edwin J. Torres Governor's Office via Flickr

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TRENTON, N.J. (KYW Newsradio) — With only 12 days left to enact a new budget, New Jersey Gov. Phil Murphy said he will veto the legislature's proposal.  

Murphy said the proposed budget would leave the state with a $164 million budget deficit.

"They are proposing almost $1 billion in unsustainable revenues, either in one shots or two shots," he said. "They're proposing $450 million in new spending beyond my initial budget. They are including savings and efficiencies that are largely not real."

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The state needs a budget that isn't based on short-term gimmicks, he added.

"The millionaires tax is sound and sustainable. Closing corporate loopholes is sound and sustainable," Murphy continued.

Murphy's proposed budget includes an increase in income tax on residents with taxable incomes over $1 million, closing corporate tax loopholes and restoring the state sales tax to 7 percent.  

Although no one wants a government shutdown, Murphy said he is prepared to veto any budget that doesn't create maintainable revenue. 

"This is my goal, and if it takes my vetoing a budget to reach that goal, I am prepared to do so," he said.