Category: Press Release

Labor Unions, Policy Experts, and Racial Justice Organizations Oppose Corporate Tax Loophole Bill

Posted on by NJPP Staff

On Wednesday, members of For The Many NJ and other supporting groups sent an open letter to members of the Senate and Assembly Budget Committees urging them to amend a proposal (S3737/A5323) that would open major loopholes in the corporate tax code and make it easier for multinational corporations to hide their profits in tax havens overseas.

The letter was signed by labor unions, small businesses, essential workers, faith leaders, and advocates for immigrants’ rights, the environment, affordable housing, and racial justice.

“Corporations doing business in New Jersey should pay their fair share of what they owe to the state to support our communities, schools, infrastructure, and social safety net. Yet corporations are poised to get more opportunities to avoid paying their taxes with this bill, on top of an anticipated $1 billion tax cut at the end of the year,” the letter states.

The letter highlighted two key provisions of the bill that must be removed to avoid opening tax loopholes for multinational corporations to exploit:

  1. Reopening a loophole for phantom interest and royalty payments, allowing corporations to artificially reduce their profits for tax purposes
  2. Reducing the tax rate on foreign income in low-tax nations to merely 5 percent, rather than the 50 percent under current law.

The recommendations in the letter mirror those outlined in an analysis of the bill by New Jersey Policy Perspective (NJPP).

“New Jersey loses roughly $700 million to corporations shifting their profits to foreign low-tax jurisdictions,” the letter continues. “Eroding the corporate tax base to assist the world’s largest corporations in tax avoidance schemes hurts the state and its residents, while handing ever more money to corporate shareholders already experiencing record profits.”

The letter was signed by 27 organizations and labor unions, including: New Jersey Policy Perspective, Make the Road New Jersey, New Jersey Institute for Social Justice, ACLU of New Jersey, Latino Action Network, CWA, New Jersey Education Association, 32BJ SEIU, New Jersey Sustainable Business Council, Main Street Alliance, New Jersey Alliance for Immigrant Justice, and New Jersey Working Families Party.

Read the open letter here.

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For The Many is a statewide coalition of more than 30 organizations working to expand funding for essential services and improve budget practices to meet current and future needs, especially for communities that have been historically left behind.

Workers and Advocates Urge Lawmakers to Stop the Corporate Millionaires Tax Cut

Posted on by NJPP Staff

A day before Governor Murphy delivers his annual budget address, workers, policy experts, and advocates from For The Many NJ gathered outside the State House to urge lawmakers to stop the corporate millionaires’ tax cut and maintain the Corporate Business Tax surcharge in next year’s budget.

Eliminating the 2.5 percent surcharge, paid on every dollar of corporate profit over $1 million, would cost the state at least $650 million in revenue every year. The coalition warned that the tax cut would blow a big hole in the state’s budget and threaten investments in essential public services, programs, and infrastructure that residents and businesses alike rely on.

“Low and moderate-income families are struggling to make ends meet. Sunsetting the corporate business tax and undermining our current and future progress as a state would be a mistake,” said Antoinette Miles, Political Director of New Jersey Working Families and emcee of the press conference. “The only promise our state must fulfill in its budget is the promise of uplifting working families — not the largest multi-million dollar corporations.”

According to a report released last week by New Jersey Policy Perspective, only the top 2 percent of businesses operating in New Jersey pay the surcharge, including multi-national corporations not headquartered in the state like Amazon, Walmart, and Bank of America.

“This is a tax cut for some of the wealthiest corporations on the planet, not ‘Mom and Pop’ businesses,” said Sheila Reynertson, Senior Policy Analyst at New Jersey Policy Perspective. “When big corporations don’t pay what they owe, we all have to make up the difference, either in higher taxes or in cuts to vital public services like schools and transportation. We should know by now that corporate tax cuts never trickle down. This is a bad deal for New Jersey.”

Speakers from the coalition urged lawmakers to pass a budget that would benefit all residents, not just corporate shareholders.

“While working families struggle to pay for rent and food every month, multi-billion dollar corporations like Amazon are reporting record profits,” said Rodney Salas, leader and member of Make the Road NJ. “New Jersey cannot give bad actors like Amazon a tax break. Letting the (CBT) expire would mean that working people would have to subsidize billionaire corporations like Amazon that are making record profits. Working people do not want to subsidize corporations. It is time to invest in housing, schools & working families, not to give tax cuts to billionaire corporations like Amazon in the FY2024 budget.”

“We urge Governor Murphy and the NJ Legislature not to walk away from a successful policy that reversed the state’s fiscal damage and ensured the viability of important investments in low- and moderate-income New Jerseyans,” said Dena Mottola Jaborska, NJ Citizen Action Executive Director. “If our leaders reverse the CBT surcharge while we are simultaneously seeing a deep drop in federal funding, the state’s fiscal health will take a huge hit largely at the expense of our most vulnerable communities. All for a windfall for the state’s wealthiest corporations while jeopardizing funding for a host of programs that millions of residents need to achieve economic security. Progress for these communities requires sustained investment and commitment.”

“Cutting the corporate business tax surcharge is giving money to our wealthiest corporations, those in the top 2% of earnings,” said Francine Pfeffer, Associate Director of Government Relations at NJEA. “That’s $600 million the state doesn’t have to help schools pay for new ventilation systems, student transportation, or other needs.”

“Investments to protect New Jersey’s environment and public health have long been short-changed and allowing the millionaires tax for Corporations to expire on Dec 31st this year will be disastrous. Clean energy programs for the poor and mass transit capital projects are already defunded; climate programs are underfunded and delayed when they need to be expanded to meet the moment; and a cut to the corporate business tax will make matters worse resulting in a direct cut of $48 million to green and blue acres,” said Eric Benson, Clean Water Action, NJ Campaigns Director. “We are running out of time to make a meaningful impact on emissions before the worst impacts of the climate emergency become our NJ children’s future and we can’t afford to let New Jersey’s richest corporations, who have thrived in the last three years, off the hook.”

“Allowing the CBT surcharge to sunset would be yet another giveaway to the wealthiest corporations who already exploit tax avoidance loopholes to maximize short-term profits,” said Richard Lawton, Executive Director of the NJ Sustainable Business Council. “Since 98 percent of New Jersey businesses have revenues that make them exempt from the surcharge, eliminating it would only compound the unfair competitive advantage that large out-of-state companies already have over local businesses who do their part as responsible citizens to make New Jersey a great place to work and live.”

“The Christian church began our 40 day tradition of reflection, confession and renewal this past week on Ash Wednesday. We confessed that we are in bondage to sin and submit too readily to the idols and injustices of economic life. We often rely on wealth and material goods more than God, and close ourselves off from the needs of others. Too uncritically we accept assumptions, policies, and practices that do not serve the good of all,” said Rev. Sara Lilja, Executive Director of Lutherans Engaging in Advocacy Ministry NJ (LEAMNJ). “Today we call on all people of faith to question the decision of the Governor to let the Corporate Business Tax surcharge expire. Cutting the CBT puts vital funding for public services at risk — like investments in public infrastructure, health care, and public schools. Just as the federal government is pulling back on SNAP assistance for hard working families, or TANF benefits to those most in need, we as a state must continue to assist. If the pandemic taught us anything, it is that we rely on “essential workers” for our daily life, we must continue to support all New Jerseyans; and continue to fund programs that support families in the hight cost state.”

Keeping the Corporate Business Tax surcharge in place generates more than $600M per year and at a time when future federal windfalls are in doubt, making this revenue stream permanent is more essential than ever,” said Matthew Hersh, Director of Policy and Advocacy of the Housing and Community Development Network of New Jersey. “Corporate landlords are raising rents at unconscionable rates — between 20 and 40 percent statewide – while benefiting from huge tax breaks. NJ has long been a leader in many sectors, but when it comes to housing the approximately 200,000 neighbors in need of an affordable home, we continue to fall short. Working closely with the Murphy administration and our legislative allies, we have made great strides toward funding and allocating the Affordable Housing Trust Fund, creating the Affordable Housing Production Fund for towns with unmet Fair Share housing obligations, prioritizing first-time and first-generation homeownership and emergency rental assistance. But we cannot take our foot off the pedal now as we HouseNJ: the CBT is a key part of funding these priorities, and we cannot and should not reverse course.”

“It is unconscionable that New Jersey lawmakers would give tax cuts to the state’s largest corporations that make millions of dollars in profits every year instead of investing those funds in transformative policies that would narrow our massive racial wealth gap and create a more equitable New Jersey for everyone,” said Harbani Ahuja, Associate Counsel, Economic Justice, New Jersey Institute for Social Justice. “$600 million could go a long way in funding programs like Baby Bonds, to enable low-income and low-wealth Black and other children of color to build wealth and economic security.”

“Now is the time to address the future of New Jersey’s economy. The Corporate Business Tax has significantly supported investments and policies critical for maintaining the high quality of life New Jersey has to offer,” said Kelly Conklin, President of the Main Street Alliance Board. “As it stands, the CBT is New Jersey’s third largest source of revenue. To sunset the surcharge, of which only 2% of New Jersey businesses are taxed, will not help small businesses. Main Street businesses will have to pick up the revenue tab left by large multinational corporations, adding an undue burden to the struggles small businesses face year over year to make their margins, keep pace with inflation, retain their employees with competitive benefits and manage personal responsibilities. To sunset the CBT is to forfeit $664 million a year and force families in this state to spend an entire second income on child care. To sunset CBT is to give away $664 million to companies recording record profits while simultaneously laying off tens of thousands of employees. Without this funding public infrastructure like our roads, public spaces, schools and more will crumble. Corporations that qualify for the CBT have long avoided paying their fair share of taxes, placing the responsibility on small businesses and other vulnerable communities. Eliminating the Corporate Business Tax surcharge is not in the best interest of small businesses in New Jersey.”

Watch a livestream of the event here.

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For The Many is a statewide coalition of more than 30 organizations working to expand funding for essential services and improve budget practices to meet current and future needs, especially for communities that have been historically left behind.

Assemblywoman Reynolds-Jackson Introduces Child Tax Credit Expansion Bill

Posted on by NJPP Staff

Today, Assemblywoman Verlina Reynolds-Jackson (D-Trenton) introduced legislation to expand and improve the New Jersey Child Tax Credit (CTC) to further reduce child poverty and support working families facing rising costs.

The proposal, A-5214, would increase the tax credit over two years for children under 6 years old — doubling the maximum credit from $500 to $1,000 — and expand eligibility for the program to include children age 6 through 11. The expansions would build on a policy with a proven track record of success at both the federal and state levels in directly assisting families.

“Our children are our future, and we must do everything we can to support them,” said Assemblywoman Verlina Reynolds-Jackson (D-Trenton), sponsor of the Child Tax Credit expansion bill. “The Child Tax Credit recognizes the high costs of raising kids, especially now as families face rising prices for groceries, housing, clothing, and other basic needs. This bill would provide much-needed relief for families by expanding the Child Tax Credit with larger benefits and so more children qualify. When families have the resources they need, it sets their kids up for success now and later in life.”

The expansion is similar to one proposed in a recent report by New Jersey Policy Perspective (NJPP), which found that an estimated 441,000 families across New Jersey would benefit from the expanded tax credit, including 713,000 children in households receiving the tax credit.

“Expanding the Child Tax Credit is a smart investment in the state’s future,” said Louis Di Paolo, Communications Director at New Jersey Policy Perspective (NJPP). “This proposal helps kids, targets relief to families who need it most, and will have both immediate and long-term benefits for the families who receive it and the broader economy. Policies like this are how we make New Jersey affordable for families struggling to keep up with rising costs.”

The expanded tax credit would be available to New Jersey families with annual incomes up to $80,000. After two years, the tax credit would break down as follows:

  • Households with an income of $30,000 or less will receive a tax credit of $1,000 for each child under 6, and $600 for each child age 6 through 11.
  • Households with an income of $30,000 to $40,000 will receive a tax credit of $800 for each child under 6, and $500 for each child age 6 through 11.
  • Households with an income of $40,000 to $50,000 will receive a tax credit of $600 for each child under 6, and $400 for each child age 6 through 11.
  • Households with an income of $50,000 to $60,000 will receive a tax credit of $500 for each child under 6, and $300 for each child age 6 through 11.
  • Households with an income of $60,000 to $80,000 will receive a tax credit of $300 for each child under 6, and $200 for each child age 6 through 11.

The original New Jersey CTC, also sponsored by Asw. Reynolds-Jackson, passed in June 2022 by a 31-6 vote in the Senate and 72-2 vote in the Assembly. Families with children under six years old started receiving their CTC payments earlier this year at the start of tax season.

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Unions, Advocates, and Policy Experts Urge Lawmakers to Say No to Corporate Tax Cuts

Posted on by NJPP Staff

On Friday, members of For The Many NJ sent an open letter to Governor Murphy, Senate President Scutari, Assembly Speaker Coughlin, and members of the Senate and Assembly Budget Committees calling for the extension of the Corporate Business Tax surcharge.

“This is exactly the wrong time to be giving the most profitable corporations a $600 million tax cut. Such a gift for corporations and their shareholders takes away resources from our schools and infrastructure and undermines funding for areas that promote opportunity for all,” the letter states.

The Corporate Business Tax surcharge is a 2.5 percent tax on corporate profits exceeding $1 million. The surcharge is paid by the top 2 percent of the wealthiest corporations operating in the state, including multi-state corporations like Amazon and Walmart that make profits in New Jersey but are not headquartered here. The tax cut is estimated to cost the state at least $600 million annually.

“The wealthiest 2 percent of businesses should be paying more, not getting a tax cut when everyday New Jerseyans are struggling,” the letter continues. “We keep hearing about kitchen-table issues and middle-class New Jerseyans. How will corporate tax cuts help them?”

The letter was signed by 28 organizations and labor unions, including: New Jersey Policy Perspective, New Jersey Institute for Social Justice, ACLU of New Jersey, Latino Action Network, 32BJ SEIU, CWA, and the New Jersey Education Association.

The letter calls for lawmakers to extend the Corporate Business Tax surcharge so the state can continue investing in the programs that make New Jersey an engine of economic growth and opportunity.

A copy of the letter can be read here.

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For The Many is a statewide coalition of more than 30 organizations working to expand funding for essential services and improve budget practices to meet current and future needs, especially for communities that have been historically marginalized.  

Less Than 1% of New Jerseyans Hold Over $746 Billion in Wealth

Posted on by NJPP Staff

A tiny fraction of New Jersey families hold a staggering amount of the state’s wealth, according to a new 50-state report by the D.C.-based research organization the Institute on Taxation and Economic Policy (ITEP). The wealth inequality highlighted by the holdings of these extremely wealthy families limits economic opportunities for everyday New Jerseyans, and both reflects and exacerbates racial inequality. Tax policy is a critical way that policymakers could start addressing this inequality, but right now federal and state tax codes barely tax extreme wealth at all, and instead often favor sources of income that are derived from wealth.

“Runaway wealth inequality is an enormous problem for New Jersey, but the good news is that we have the tools to fight it,” said Sheila Reynertson, Senior Policy Analyst at New Jersey Policy Perspective (NJPP). “Closing the tax loopholes that have helped build so much of this nation’s extreme wealth is a commonsense way that lawmakers in Trenton and D.C. can combat inequality and promote opportunity.”

The report defines extreme wealth as the wealth held by households with net worth over $30 million. This tiny fraction of families holds more than one in four dollars of wealth in the U.S. ITEP estimates that total extreme wealth will reach $371 billion this year in New Jersey and $26 trillion nationally.

Other key findings:

  • A nationwide tax of 2 percent on wealth over $30 million could have raised nearly $415 billion if it were in effect this year, including $9 billion from extremely wealthy New Jerseyans.
  • This tax would affect just 1 in 330 households in New Jersey, or 0.30 percent of the population. Nationally it would affect 0.25 percent of the population.
  • Ninety-two percent of extreme wealth is owned by white, non-Hispanic families.
  • A large share of New Jersey’s extreme wealth – 40 percent – is held in the form of unrealized capital gains, meaning investment income on which these families have yet to pay tax (and may never pay tax under current law). Nationally, this share is 43 percent.
  • A tax on the stock of unrealized gains in 2022 could be expected to raise between $529 billion and $3.9 trillion nationally depending on the tax rate chosen and the percentage of gains deemed to be realized. This includes between $3 billion and $54 billion from extremely wealthy New Jerseyan. The report models six different policy options for taxing unrealized gains.

 

In addition to a wealth tax or a tax on unrealized capital gains as outlined above, the report identifies other ways to strengthen the federal taxation of extremely wealthy people, including:

  • taxing increases in wealth annually as an asset grows (mark-to-market taxation)
  • taxing increases in wealth before they are passed on to heirs (ending stepped-up basis)
  • eliminating the tax preference that makes tax rates on realized capital gains lower than on income from work
  • strengthening the estate tax
  • creating an inheritance tax

 

All of these are viable policy options for lawmakers looking to curb wealth inequality.

At the state level, tax codes are already overwhelmingly regressive when it comes to income – and are even more lopsided when it comes to wealth. State lawmakers seeking to fix this imbalance in New Jersey’s tax code also have several readily available options as identified in the report, such as:

  • implementing new or increased current top income tax rates
  • raising rates on realized capital gains income
  • enacting progressive taxation of real estate wealth
  • strengthening taxation of corporate profits and
  • reinstating or enhancing estate and inheritance taxes

 

“A very small number of households hold a staggering share of nationwide wealth, and they’ve been able to grow their fortunes in part because our tax system asks very little of them,” said Carl Davis, ITEP’s research director and an author of the report. “New and strengthened taxes on extreme levels of wealth could dramatically reduce the runaway inequality we face today.”

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New Jersey Policy Perspective (NJPP) is a nonpartisan think tank that drives policy change to advance economic, social, and racial justice through evidence-based, independent research, analysis, and strategic communications.

The Institute on Taxation and Economic Policy (ITEP) is a non-profit, non-partisan tax policy organization that conducts rigorous analyses of tax and economic proposals and provides data-driven recommendations on how to shape equitable and sustainable tax systems. ITEP’s expertise and data uniquely enhance federal, state, and local policy debates by revealing how taxes affect both public revenues and people of various levels of income and wealth.

New Jersey Policy Perspective Celebrates 25th Anniversary, Honors Progressive Champions

Posted on by NJPP Staff

By

Published on Sep 23, 2022 in General

On September 22, New Jersey Policy Perspective (NJPP) celebrated 25 years of policy research and policy wins.

At the think tank’s 25th Anniversary Gala at The Heldrich Hotel in New Brunswick, NJPP honored influential policy leaders whose contributions helped advance justice for everyone in the Garden State: Hetty Rosenstein, former New Jersey State Director of the Communications Workers of America (CWA); Michellene Davis, former State Treasurer and current President and CEO of the National Medical Fellowships; and former New Jersey Governor James J. Florio.

Founded by Jon Shure in 1997, NJPP is a nonpartisan think tank that drives policy change to advance economic, social, and racial justice through evidence-based, independent research, analysis, and strategic communications. For the past quarter of a century, NJPP has been at the forefront of efforts to secure a thriving future for everyone in New Jersey — from a $15 minimum wage, to paid sick leave, to a fairer tax code, and beyond.

“It’s my privilege to honor three policy leaders who significantly helped NJPP – and the state of New Jersey – throughout the last quarter century,” said Nicole Rodriguez, President of NJPP. “Governor Florio, Michellene Davis, and Hetty Rosenstein are fierce champions for working families, and their contributions through public service have helped millions of residents in every corner of the state.”

Hetty Rosenstein is widely regarded as one of the most influential labor leaders in New Jersey and has extensive experience in direct organizing for workers’ rights, economic justice, and social equality. She most recently served as State Director for New Jersey for the Communications Workers of America (CWA). Rosenstein was a key partner in many of NJPP’s policy wins including $15 minimum wage, paid sick leave, and the millionaires’ tax.

“Whenever workers’ rights were on the line in Trenton, NJPP was there with hard numbers to show that when workers win, we all win,” said Hetty Rosenstein, former New Jersey State Director of the Communications Workers of America. “From the Fight for $15 to the push for paid sick days, NJPP has a long history of putting workers and their families at the center of the state’s most pressing policy debates. It’s an honor to be recognized by NJPP and to be a part of their 25th anniversary celebration.”

Michellene Davis, former Treasurer of the State of New Jersey, assumed the role of President and Chief Executive Officer of National Medical Fellowships, Inc., (NMF) in May of 2021. Davis most recently served as Executive Vice President and Chief Corporate Affairs Officer at RWJBarnabas Health, the largest academic medical center system in New Jersey and one of the largest in the nation. Davis’ tenure as a leader in New Jersey’s health care industry continues to make an impact in New Jersey by making health care affordable and accessible for all New Jersey residents.

“Policy works best when it’s developed by and for the people, and this ethos is at the heart of NJPP’s research and advocacy,” said Michellene Davis, President and CEO of National Medical Fellowships. “I’m thrilled to be honored by NJPP on their 25th anniversary and welcome their partnership with National Medical Fellowships as we work to advance health justice.”

The Hon. James J. Florio has been active in public life for more than 50 years, including 25 years in elected office. Governor Florio currently serves on the board of directors of the New Jersey Health Care Quality Institute and as co-chair of the Regional Plan Association’s New Jersey Committee. He is a founding partner of Florio Perrucci Steinhardt & Cappelli LLC, and serves as chair of the firm’s environmental law and government and regulatory affairs law groups.

“Tonight we are thrilled to celebrate NJPP’s past achievements and recognize its future potential,” said Marcia Marley, Chair of the NJPP Board of Trustees and President of BlueWaveNJ. ”And we know that none of this would have been possible without the tireless work and support from tonight’s honorees. Thank you Governor Florio, Michellene, and Hetty for everything you have done for this organization and the people of New Jersey.”

New Jersey Policy Perspective will continue its 25th anniversary celebration on Friday, September 23 at their annual policy conference, Progress 2022: Justice for All, featuring keynote speaker Taifa Smith Buter, President of Demos, and Governor Phil Murphy.

Check out more photos from the evening below.

Photos by Frank Wojciechowski.

More Transparency Needed in American Rescue Plan Funding Process

Posted on by NJPP Staff

With only a fraction of New Jersey’s federal American Rescue Plan (ARP) funds remaining, a diverse coalition of labor unions, essential workers, and advocates called for more transparency in how funds are spent — and for lawmakers to provide direct relief to workers and families harmed most by the pandemic.

“If used correctly, these federal funds provide a once in a lifetime opportunity to invest in families and communities harmed most by the pandemic,” said Sheila Reynertson, Senior Policy Analyst at New Jersey Policy Perspective (NJPP). “But with more than $5 billion appropriated behind closed doors and few details available to the public, lawmakers must do a better job of providing direct relief to workers, families, and communities who need the most help, and in a transparent manner that invites public input before new spending is approved.”

Roughly 85 percent of the state’s $6.2 billion in ARP funds have already been appropriated without an opportunity for members of the public to weigh in on proposals before they’re approved. Unlike typical legislative hearings where policy experts, community members, and advocates have an opportunity to testify on proposals before they’re voted on, ARP funds have been approved either by Governor Murphy or members of the Joint Budget Oversight Committee without a chance for members of the public to provide feedback.

“We urge transparency in the State’s decision-making and allocation process for these remaining funds, and that New Jersey use these funds to bolster the financial recovery and stability of countless residents still reeling from the pandemic’s economic fallout,” said Maura Collinsgru, Director of Policy and Advocacy at New Jersey Citizen Action. “This includes $500 million for the 120,000 eviction prevention applicants who have not yet received financial assistance to remain in their homes, extending funding for families who received general or emergency assistance during the pandemic and now face termination in order to sustain their recovery, and expanding staffing and infrastructure in anticipation of the Public Health Emergency’s end so none of our 2 million residents enrolled in NJ FamilyCare are left behind. We cannot ignore now many New Jerseyans’ ongoing pandemic recovery or risk undoing much of the hard work of the last two years.”

Even after ARP funds are appropriated, the public documents detailing the approved projects often lack any meaningful description of where the funds will go. For example, lawmakers allocated $300 million worth of ARP funds to water infrastructure, but without basic details, it’s unclear which communities will benefit. Another $300 million was granted to Rutgers University, but only thanks to a reporter’s diligence did we learn that a third of it will pay for new sports facilities.

“Essential workers like me saved lives during the pandemic — we shouldn’t have to worry about how to make rent or put food on the table,” said Mariana Velasquez of Make the Road – New Jersey. “But with increasing inflation, we are struggling to survive. Our elected officials have a choice: They can ignore the issues impacting our communities, or they can use remaining federal funds to provide critical relief to essential workers through hazard pay and a permanent expansion of the safety net.”

More than $2.4 billion of ARP funds were appropriated in the latest state budget that took effect July 1. These appropriations did not include direct relief for immigrant workers, hazard pay for essential workers, rental assistance, or cash assistance for residents living in poverty who maxed out their benefits through the Temporary Assistance for Needy Families (TANF) program.

“The fight for hazard pay for essential workers is one that needs to be a priority for the State of New Jersey,” said Kevin Brown, Executive Vice President and New Jersey State Director for SEIU 32BJ. “Essential workers and their families are in great need of recognition and change. They deserve fair compensation for providing a safe and reliable environment for commercial tenants and apartment residents while putting themselves, their coworkers, and their families at enormous risk. Hazard pay for essential workers is a crucial step towards equity and fairness in the Garden State, and these issues need to be discussed openly and with transparency.”

“The American Rescue Plan dollars have the opportunity to be transformative for long-festering needs where lack of investment was exacerbated by the shock of the pandemic’s impacts,” said Doug O’Malley, Director of Environment New Jersey. “More than two years after the onset of the pandemic, those needs are still there and we should have a more transparent process to give people the chance to publicly testify to the JBOC committee on the proposed spending plans. There are clear needs for our state’s environment and infrastructure from crumbling water infrastructure and lead service lines and the need for more reliable NJ Transit bus and rail service – and the public should have more of an opportunity to weigh in.”

“The State must invest $30 million to fund a comprehensive Language Access Bill ensuring that government meets the needs of our diverse families through timely, accurate translation and interpretation,” said Laura Bustamante, Policy and Campaign Manager at New Jersey Alliance for Immigrant Justice. “At no time was this need more evident during the COVID-19 pandemic. New Jersey is a leader in the diversity and size of our immigrant communities, so it is fitting that we are now leading with the country’s most expansive language access proposal. We expect nothing less than a transparent process from our government on how this ARP funding will be allocated and demand that it be allocated to programs like these that support the resilience and recovery of our communities.”

“Our children continue to struggle with the impact of the pandemic — we urge the Governor to devote a small portion of remaining ARP funds to expand community school approaches to more high-poverty public schools throughout our state,” said Greg Stankiewicz, statewide coordinator of the New Jersey Community Schools Coalition. “Moreover, we stand with our colleagues in calling for increased transparency in how the Governor and Legislature distribute these vital federal recovery funds.”

“Given the opaque process and very limited time for public input, we worry that the public’s best interest will not be prioritized,” said Joe Marchica, Co-Chair of Our Revolution Trenton Mercer. “Direct aid is the most beneficial economic stimulus method, both for people in need and the whole economy. We ask for substantial funding for hazard pay, undocumented New Jerseyans, and aid sent directly to low- and no-income people. That’s what should take priority — not more corporate tax breaks and kickbacks.”

“We are at a critical juncture when it comes to funding climate, lead service line replacements, waste water and drinking water infrastructure, mass transit not highway expansions,” said Amy Goldsmith, New Jersey State Director of Clean Water Action. “ARP funds must be used wisely to expand the Garden State’s capacity to create family-supporting green jobs, protect our communities from harm, and lift up people and places that have largely been left behind or out of the economy in the past because of the color of their skin or the ZIP code they live in.”

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For The Many NJ is a statewide coalition of more than 30 organizations working to expand funding for essential services and improve budget practices to meet current and future needs, especially for communities that have been historically left behind.

New Jersey Policy Perspective Expands Into Transportation and Environmental Policy, Adds New Analyst

Posted on by NJPP Staff

New Jersey Policy Perspective (NJPP) announced today that the organization has hired Alex Ambrose as a Policy Analyst to expand the think tank’s work on policies at the intersection of transportation and environmental justice.

In this role, Alex will connect climate and transit policies to their impacts on the broader health and economic well-being of New Jersey families and communities. Specifically, Alex’s research will focus on improving the state’s bus and rail systems, building out infrastructure for electric vehicles, and finding ways to promote a clean energy future through the state budget.

“Alex is a rising star in the environmental policy world and brings incredible experience to the NJPP team,” said Nicole Rodriguez, President of NJPP. “With climate change being the single biggest threat to New Jersey’s short- and long-term success, we’re fortunate to have someone with Alex’s breadth of knowledge lead our work mapping out policy solutions that center people harmed most by pollution and global warming.”

Prior to joining NJPP, Alex Ambrose was Policy Associate at the Association of New Jersey Environmental Commissions (ANJEC) where she researched and advocated for policies that protect clean water, preserve open space, and reduce greenhouse gas emissions with an emphasis on equity. Most recently, she worked to pass plastic pollution legislation including the statewide ban on single-use bags. Previously, Alex served as a Policy Assistant at the New Jersey League of Conservation Voters (NJLCV).

“It’s an honor to join an organization like NJPP that sets the standard for combining rigorous policy research with a dedication to advancing justice for all,” said NJPP Policy Analyst Alex Ambrose. “In this new position, I will do everything in my power to make sure those hit first and worst by the climate crisis are prioritized in the state’s halls of power.”

In addition to her work with NJPP, Alex currently serves as the Chair of the Clinton Township Environmental Commission and is pursuing her Master’s in Public Administration at Rutgers University. She received her Bachelor of Science in Ecology, Evolution, and Natural Resources from Rutgers University with a minor in Environmental Geomatics.

Celebrating its 25th anniversary, NJPP is a “think and do” tank, driving policy change to advance economic, social, and racial justice through evidence-based independent research, analysis, and advocacy.

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Backroom Budget Deals Hurt Residents Who Need Help The Most

Posted on by NJPP Staff

Labor unions, faith leaders, essential workers, and advocates for immigrants’ rights, housing, and the environment panned the newly approved state budget as a missed opportunity to provide transformative relief to working families who need the most help. With billions of dollars in surplus and federal aid, the state budget was crafted behind closed doors, shut members of the public out of the process, and, as a result, left out important investments that would have benefited low-paid workers and their families.

When billions of dollars in funding are negotiated away from the public eye, it’s inevitably the public who loses out. The hard-working New Jerseyans who are struggling the most with rising prices, rent, and inflation do not have highly-paid lobbyists and special-interest dollars to fight for them. This budget could have made New Jersey affordable for all, but instead directed the state’s record-setting surplus towards tax relief for wealthy homeowners, corporations, and a gimmicky sales tax holiday.

Although there are many important and much-needed investments in the budget, a lack of transparency and accountability for the way public money is spent leads to worse outcomes for the people who have the least. Notably, the budget lacks proposals to expand safety net programs, tax credits, and assistance to those with the lowest incomes: Cash assistance in Temporary Assistance for Needy Families (TANF), the Earned Income Tax Credit (EITC), the Excluded New Jerseyans Fund, and hazard pay for essential workers.

Nicole Rodriguez, President, New Jersey Policy Perspective (NJPP):
“New Jersey’s working-class residents, immigrant families, and essential workers have faced serious economic challenges since the pandemic, and this budget should have been the prime opportunity to support them with direct relief. Instead, their voices were shut out of the budget process, while behind-the-scenes deals secured hundreds of millions in pet projects and corporate giveaways. With a growing and diverse population, New Jersey should not be a state where a few powerful people make decisions that affect the many without taking their voices into account.”

Rev. Sara Lilja, Executive Director, Lutherans Engaging in Advocacy Ministry:
“The bible teaches us that where your treasure is, there your heart is also. This budget reveals that our heart does not regard low and working families as essential. It is often said that budgets are moral documents; this budget does not align with a morality that is committed to supporting the hundreds of thousands of essential working families that are the economic engine of our state. Morally, our state budget should be for the many, not just the powerful elite.”

Laura Bustamante, Policy and Campaigns Manager, New Jersey Alliance for Immigrant Justice:
“It has been our immigrant workers who have helped us survive through this pandemic. There is still no meaningful or permanent relief for those who continue to put their lives at risk and have been excluded from aid. Essential workers have put their lives at risk and on the line day in and day out and today the legislature turned their backs on immigrant families and working people. The State needs to do more for those who risk their lives everyday.”

Marcia Marley, President, BlueWaveNJ:
“I applaud this budget for its commitment to housing, education, reproductive health, and the new Child Tax Credit. Unfortunately, it leaves out many working families, like those from our immigrant community, misses an opportunity to address the racial wealth gap, and is not bold enough on transit and infrastructure issues where we continue to ignore the need for dedicated funds.”

Kevin Brown, Executive Vice President and NJ State Director, SEIU 32BJ:
“We are disappointed to have to write these words again, but on behalf of our 13,000 hardworking SEIU 32BJ members living and working in New Jersey, we strongly and unequivocally condemn the lack of public transparency around this year’s budget process. Working families deserved a voice in the allocation of the budget’s historic surplus, which presented an unprecedented opportunity to improve affordability and level the playing field for the middle class and low wage workers. While we applaud the Legislature for expanding the Child Tax Credit, there is so much more they could have done to transform the lives of essential workers in our state during an unprecedented time of massive budget surpluses.”

Julie Larrea Borst, Executive Director, Save Our Schools NJ Community Organizing:
“Save Our Schools NJ applauds the continued steps toward fully funding our K-12 schools and the expansion of preschool. We are disappointed that the state’s huge budget surplus was not used to restore funding to S2 districts and that the funding allocated for the Schools Development Authority fell far short of what is needed for school construction and repairs in our most impoverished school districts. If we cannot meet these needs now, when the budget is abundant, then when can the Legislature step up and do the right thing?”

Banessa Quiroga, member of Make the Road New Jersey:
“This budget is a missed opportunity for essential workers like me and for immigrants across New Jersey. The Legislature has failed to fund the Excluded New Jerseyans Fund or hazard pay, and left out key, bi-partisan measures like the Earned Income Tax Credit expansion. These measures would have helped my family make ends meet in a time of unprecedented inflation and skyrocketing rents. Instead, the budget rewards upper middle class homeowners with tax breaks.”

Debra Coyle, Executive Director, NJ Work Environment Council:
“Unfortunately, once again the Legislature has chosen to have an opaque budget process, entirely completed in the private backrooms of Trenton, that intentionally excluded the voices of New Jersey citizens and advocates. This is the largest budget in the state’s history and it presented enormous opportunity to address so many issues faced by every day New Jerseyans, but instead they decided to forge ahead with a broken process where no one even saw the budget until after it was voted on in committee and gave no real opportunity for public input.”Barbara Rosen, RN and First Vice President, HPAE:
“HPAE nurses and health care workers argued for, lobbied and, ultimately, challenged Gov. Phil Murphy and state legislators to adequately fund the operation of New Jersey’s only public hospital by raising the annual budget allocation for University Hospital in Newark to $151.1 million. Unfortunately, the 2023 Fiscal Year budget calls for just $44.7 million for University Hospital in Newark. This does not meet the needs of patients, workers and the community served by the hospital. This allocation is a profound missed opportunity at a time when the state has actual resources to put its money where its mouth is. University Hospital in Newark is committed to continuing as an anchor institution in the municipality and the Northern New Jersey region. In addition to the crucial, direct patient care that UH provides, it has a vital and unrivaled role as a public health institution in the state.”Joe Marchica, Our Revolution Trenton Mercer Chapter Chair and OR New Jersey Member:
“Yet again, our legislature drops a complex budget document on representatives, advocacy groups, and the public with next to no time for us to properly analyze and assess the most important piece of legislation in New Jersey each year. This budget mostly ignores the opportunity and necessity to invest in our people. It prioritizes the interests of the wealthy, instead of the programs needed to establish and maintain an economy that works for all of us. We do, however, applaud one notable exception to this: the inclusion of a Child Tax Credit, which is a bright spot in an otherwise gray budget.”Latino Action Network:
“Given unexpected tax revenues, the state of New Jersey was uniquely positioned to invest in and care for the communities who were hardest hit during this pandemic – the working class, communities of color, and Immigrant New Jerseyans. Instead, politicians ignored transparency and have continued to leave out budget reforms which could improve the lives of millions of New Jerseyans. New Jersey’s leadership cannot continue to tout New Jersey’s diversity and multiculturalism on the one hand and do little to materially support our communities on the other. It’s high time to create budgets that center the most marginalized.”

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For The Many is a statewide coalition of more than 30 organizations working collectively to expand funding for essential services and improve budget practices to adequately meet current and future needs, especially for communities that have been historically marginalized.

Sales Tax Holiday is a Gimmick That Will Not Make New Jersey Affordable

Posted on by NJPP Staff

Advocates, essential workers, and policy experts from For The Many NJ slammed a 10-day sales tax holiday proposal announced earlier today by Governor Phil Murphy and legislative leaders, calling it a gimmick that will not make the state more affordable for low-paid workers and their families.

“This tax holiday proposal is a gimmick that will not provide meaningful relief to working families who need it most,” said Sheila Reynertson, Senior Policy Analyst at New Jersey Policy Perspective (NJPP). “Changes to the sales tax, whether they’re temporary or permanent, are not targeted, so guess who benefits the most? Wealthier residents who generally buy the most and have the flexibility to stock up during the holiday period. And if this tax holiday applies to online purchases, there’s no guarantee it will do anything to help local businesses here in New Jersey.”

Sales tax holidays are a poorly targeted form of tax relief, reduce state revenue that could be invested in other areas, are often exploited by retailers who raise prices, and can be difficult to administer, according to research by the Institute for Taxation and Economic Policy (ITEP), a non-partisan tax and budget policy think tank in Washington, D.C.

“Instead of a tax holiday that benefits New Jersey’s wealthiest residents, we should invest in working families like mine,” said Banessa Quiroga, leader of Make the Road NJ from Elizabeth, NJ. “I was an essential worker during the pandemic. My labor saved lives, but I’m still struggling to put food on the table and pay my bills. Expanding the Earned Income Tax Credit, and providing hazard pay and funds for excluded workers are a better use of our dollars. People who put their lives at risk throughout the pandemic shouldn’t be going hungry, especially when New Jersey has billions in surplus.”

Wealthier residents benefit the most from sales tax cuts and holidays as they have the most disposable income and can easily shift the timing of their purchases to take advantage of the holiday. Similarly, those who purchase more expensive items — like laptops and TVs — will benefit more from the tax holiday than those who cannot afford higher-priced goods.

“New Jersey’s communities of Color and low-income families are still struggling to recover from the pandemic, and a gimmicky sales tax holiday won’t provide them the relief they deserve nor safeguard us from future crises,” said Laura Bustamante, Policy and Campaign Manager of the New Jersey Alliance for Immigrant Justice. “Our racial and economic disparities are systemic, not episodic. They require lawmakers to dig deeper, beyond new computers or fancy big-screen TVs, and use the historic budget surplus to provide hazard pay, direct relief, and robust safety net programs.”

When New Jersey lawmakers cut the sales tax in 2016 from 7 percent to 6.625 percent, the state’s lowest income residents saved roughly $32 a year, while the top one percent of earners saved more than $720 a year.

“While working families appreciate measures such as a back-to-school sales tax holiday, they would have hoped to see some REAL, long-term targeted relief,” said Kevin Brown, SEIU 32BJ  Executive Vice President and New Jersey State Director. “These band-aid measures are a disservice to the role of the Legislature and governor’s office of protecting and building a New Jersey for all. Our workers need hazard pay, rental assistance, more Earned Income Tax Credit, more Excluded New Jerseyans Fund. As we continue the recovery process, we urge the authorities to come up with reasonable measures that improve affordability and level the playing field for the middle class and low-wage workers throughout the state.”

“The sales tax holiday isn’t a permanent fix; it has no staying power,” said Sue Altman, Executive Director of the New Jersey Working Families Party. “We’d far prefer the Legislature take up reforms that would provide real savings to working families. They can start by cutting the New Jersey Corruption Tax, which is the premium we all pay for living in a state with machine party bosses running the show. Unaccountable grifter insurance brokers, corporate tax incentives with no benefit to local communities, and tons of Christmas tree giveaways to politically connected professional services firms does nothing to make the state affordable for most residents. It does plenty, however, to help the politically connected buy shore homes.”

Earlier this week, essential workers and advocates from For The Many NJ called on lawmakers to use the state’s $10 billion surplus on targeted relief to low-paid workers and their families by: expanding the Earned Income Tax Credit (EITC), establishing a state-level Child Tax Credit, boosting cash assistance in WorkFirst NJ, providing essential workers with hazard pay, and fully funding the Excluded New Jerseyans Fund.

“There are better ways to get money to working- and middle-class families struggling to keep up with inflation and rising prices,” Reynertson added. “There are proposals in the Legislature right now that would expand the Earned Income Tax Credit and create a state-level Child Tax Credit, both of which put hundreds of dollars back in families’ pockets. A sales-tax holiday is needlessly complicated, untargeted, and expensive, all while failing to make the state more affordable.”

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For The Many NJ is a statewide coalition of more than 30 organizations working to expand funding for essential services and improve budget practices to meet current and future needs, especially for communities that have been historically left behind.

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