It’s Time for New Jersey to Fix WorkFirst NJ to Better Support Low-Income Families

Good afternoon Chairman Vitale and members of the Committee. Thank you for this opportunity to provide my testimony on the proposed Work First New Jersey (WFNJ) reforms. My name is Dr. Brittany Holom-Trundy, and I am a senior policy analyst at New Jersey Policy Perspective (NJPP). NJPP is a non-partisan, non-profit research institution that focuses on policies that can improve the lives of low- and middle-income people, strengthen our state’s economy, and enhance the quality of life in New Jersey.

NJPP strongly supports the changes proposed in S1642. We believe that the comprehensive reforms proposed in this bill are a good step toward a WFNJ that more effectively tackles childhood poverty, helps support low-income families, and builds a stronger, more equitable future for the state.

New Jerseyans need these changes now, as the program’s structure falls short of effectively addressing poverty. As of February 2022, fewer than 10,000 — only 9,976 — families were participating in TANF. This means that TANF is supporting fewer than one in six New Jersey families in poverty. And this number has only fallen over the past two and a half decades since the last major reform at the federal level.

WFNJ falls short not only in the number of residents it serves, but in how it serves them. Administrative barriers arbitrarily limit assistance, and even those who receive that assistance do not get enough to make ends meet. Monthly cash benefits in the program remain at less than ⅓ of the Federal Poverty Level, meaning that cash assistance now has only a quarter of the strength relative to federal poverty levels than the cash assistance that was provided in the 1970s. Benefit cliffs and inadequate off-ramps for the program leave families hanging, facing the reality that working full time in a minimum wage job in New Jersey today will still leave a parent with two children below the federal poverty level…And this does not even take into account that the federal poverty level is tens of thousands of dollars below estimates of what it takes to pay monthly food, utility, housing, and other necessary bills in New Jersey. All of these problematic limitations of the program leave families with an inability to save, to prepare for unexpected expenses, and to ultimately break free from the cycle of poverty.

This bill advances comprehensive reforms to address many of these shortcomings. By increasing the monthly grant (benefit) amount to at least 50% FPL with automatic cost of living adjustments, improving off-ramps, modifying work requirements to better meet realities for working parents, and making other important changes to rules that bring the program into the 21st century, we can make the WFNJ program truly work for New Jerseyans.

We hope that the committee will advance these reforms today. Now more than ever New Jersey’s parents and children need commitments from our state leaders to support their well-being and a brighter future.

Thank you for your time.

Without Transparency, New Jersey Risks Spending ARP Funds in Ways That Don’t Provide True Relief

If used as intended by the Biden administration, the state fiscal recovery funds granted to New Jersey through the American Rescue Plan Act (ARP) offer a once-in-a-lifetime chance to advance racial equity by investing in communities that were hardest hit by the pandemic and historically left behind in the lawmaking process. Yet, despite repeated calls from policy experts, community leaders, and advocates to prioritize disproportionately harmed residents, elected leaders have failed to deliver adequate direct relief to those who need it most.

With less than $1 billion remaining, New Jersey’s unique opportunity to provide immediate and meaningful relief to these families and communities is quickly slipping away. As Governor Murphy and lawmakers decide how to use the remaining funds, let’s not forget the “Rescue” in the American Rescue Plan. There are a lot of workers and families still struggling who would benefit from:

  • Direct relief for immigrant workers
  • Hazard pay for essential workers
  • Rental assistance for those facing eviction
  • Cash assistance for residents who maxed out their TANF benefits

Transparency Not Treated as a Priority

Based on current, available documentation, each new allocation of ARP funds in the latest budget lacks any kind of description, meaning there is no way to tell who exactly benefits from hundreds of millions of dollars’ worth of spending. For example, lawmakers allocated $300 million to water infrastructure, but without basic details it’s unclear which communities will benefit and which will be left behind.

In other cases, the allocation goes to a new or existing program that will require ongoing funding, drawing into question the state’s commitment toward its success once the federal funds are gone. Case in point: The state’s only public hospital received $50 million for a building assessment plan, but with no guarantee that the plan will be implemented.

The lack of information on ARP allocations also calls into question whether some of these investments were necessary at all — especially for funds sent to private institutions that should have plenty of resources to cover the costs themselves. For example, $13 million has been granted to two health systems for “hospital infrastructure” and workforce education.

The truth is: we’re nervous.

Despite ongoing requests to address the harms of the pandemic itself and the economic and social aftermath, the transparency with which final decisions are made has been dismal. The public, in fact, has not been granted a meaningful process by which to weigh in on how the remaining dollars are spent and, based on the uneven quality of issuances so far, that must change.

Lawmakers can start by allowing public testimony at future JBOC hearings — consistent with most other legislative committee hearings — so that policy experts, essential workers, and community leaders alike can weigh in on ARP spending proposals before they’re approved.

Thank you.

Offshore Wind Benefits New Jersey in More Ways Than Meeting Climate Goals

My name is Alex Ambrose and I’m a policy analyst with New Jersey Policy Perspective. Thank you for the opportunity to speak today.

New Jersey Policy Perspective fully supports Ocean Wind 1 moving forward as quickly as is feasible and safe. We need clean energy to mitigate the worst effects of climate change, and without offshore wind, we will not be able to meet those clean energy goals. There is no doubt that climate change is one of the biggest known threats to our wildlife and our environment, and we are already seeing those effects on our oceans with sea level rise and ocean acidification. New Jersey is uniquely situated to not only be on the front line of the worst effects of sea level rise; we are also on the verge of becoming a national leader in offshore wind.

The offshore wind sector is the biggest job creator in the US’s energy economy, and is one of the best ways we have to meet our climate goals while keeping good-paying jobs in New Jersey.

There is no doubt climate change has already caused irreversible effects to New Jersey’s people and environment, and clean energy projects such as this are one of the best ways to mitigate those effects. Every day we delay these projects, we are letting the real threat to wildlife–climate change–take more than the already 3 billion birds that have disappeared and endanger more than the 1 million species of plants and animals threatened due to a rapidly changing environment.

Offshore wind sits at the intersection of protecting our shore tourism, preserving wildlife, creating local jobs, improving public health, and addressing long-standing inequities for overburdened communities. I look forward to seeing this project move forward with the environmental guardrails outlined in the proposal to ensure the net benefits are maximized for this essential clean energy resource. Thank you.

Sales Tax Holidays Do Little to Ease the Burden on Working Families

Good afternoon, Chair Sarlo, and members of the committee.

Sales tax holidays have a long track record of being untargeted, complicated, expensive, and easy to exploit, all while being inconsistent drivers of economic activity. If the goal of this legislation is to get money into the hands of working families with children, as well as educators and school districts, the straightforward approach would be to cut them a check through an appropriation, not a tax holiday that will disproportionately benefit wealthier families.

New Jersey Policy Perspective opposes this legislation in favor of fairer and more effective changes to the state tax code that make life more affordable for families.

Untargeted: By spreading the benefit over all residents, S-2914 fails to assist the low-paid and working-class families who need the most help. Wealthier residents are better able to schedule their spending for the holiday window, and when sales tax rates decrease — whether in the short-term or long-term — higher-income residents receive the bulk of the benefit because they tend to spend more. As a response to inflation, this also misses the mark. Lower-income residents’ budgets are more likely to have a higher percentage dedicated to inflation-sensitive categories like food, rent, and utilities — all areas outside the school supplies targeted by this tax holiday.

Complicated: The list of eligible goods captures a diverse but specific array of items. For merchants, administering this list for a short timeframe will add unnecessary burden by inserting them as middlemen, rather than giving direct aid to families.

Expensive: S-2914 does not include a budget estimate, but sales tax holidays have a history of causing substantial reductions in state revenues. Last year, sales tax holidays cost state and local governments more than $550 million nationally. This year, that number looks to grow even more.

Easy to exploit: Research shows that merchants raise their prices during sales tax holidays because there is no provision preventing them from doing so, reducing the benefit for consumers. Additionally, without distinguishing between online and in-person sales, S-2914 does not even ensure that the generated business will flow into local small businesses and communities, rather than Amazon’s corporate pockets.

Instead of one-off gimmicks that fail to make New Jersey more affordable, the budget should instead include strong investments in families and children, as well as sufficient school funding to allow them to purchase the supplies they need. I encourage committee members to vote no on this bill.

Thank you.

A State-Level Child Tax Credit Would Make New Jersey More Affordable for Working Families

Good afternoon, Chair Sarlo, and members of the committee. Thank you for the opportunity to testify today.

One in 10 New Jersey children live in poverty, an appalling figure for one of the country’s wealthiest states. That rate is even higher for the state’s youngest children, with families fighting each day to meet the high cost of raising children in the state.

The bill before you today creating a state-level Child Tax Credit shows a new way forward, sending money directly to families to help alleviate these costs. As the expanded federal Child Tax Credit demonstrated, sending direct payments to families with children can reduce poverty, improve food security, and keep family finances stable through rocky economic times.

With those tough times on the horizon, and inaction from Congress on extending the federal Child Tax Credit, now is the time for New Jersey to join states like New Mexico, Vermont, and Minnesota in creating a state-level Child Tax Credit to assist families this year and for years to come. Although this $500 credit is not going to cure child poverty, it will make life a little easier for families of young children.

By covering households earning up to $80,000, the proposed credit would ensure that support goes to families who need it most, benefitting around 250,000 households and more than 400,000 children.

A state-level Child Tax Credit is a critical step in making New Jersey affordable for all. I urge the committee to consider bills that, like the Child Tax Credit, assist working families become financially secure, including expansion of the Earned Income Tax Credit (S-2458) and WorkFirst New Jersey reforms (S-1642).

Thank you.

Liberty State Park is for the People, Not Private Developers

Good morning, Chair Verrelli and members of the committee. Thank you for the opportunity to testify today.

My name is Alex Ambrose, Policy Analyst at New Jersey Policy Perspective, and I am here in support of the amendments to A4264 put forth by Sam Pesin, President of Friends of Liberty State Park, and Greg Remaud, Chief Executive Officer of the NYNJ Baykeeper.

These amendments would create additional recreational opportunities and increase public access to Liberty State Park, all while protecting critical natural spaces and habitat areas, by:

  1. Protecting the Caven Point Natural Area Migratory Bird Habitat and Nesting Area
  2. Prohibiting large-scale commercialization or privatization of the park
  3. Designating 50 acres of the interior for active recreation, with no more than 62 total active recreation developments throughout the park, in line with the acreage development recommendations from the NJ DEP 2020 New Vision Plan
  4. Requiring that the $250 million appropriated in the bill can only be used for certain purposes, as outlined in the Liberty State Park Protection Act, sponsored by Assemblyman Raj Mukherji of Jersey City.

But I’m not here to explain the amendments, as many others here have done and will do, but to paint a picture of what Liberty State Park could look like with these amendments in place.

It’s a beautiful, sunny June day. You step off the shuttle into Liberty State Park with your little one. They run ahead, wanting to join the kids practicing on the new soccer field. Instead, you grab their hand, giving them your reusable bags you’re going to fill up with produce from the farmer’s market ahead. You pass a group of senior citizens chatting about the aerobics class they finished up at the new community center swimming pool.

Later, snacking on some fresh blueberries, you walk over to a giant field dotted with blankets, a few people leaning up against trees. A local musician has gathered a crowd singing Springsteen. You stay for a few songs even though you’re more of a Bon Jovi fan.

Your little one darts around the trees, playing an impromptu game of tag with a few other kids. You hear one of the other parents, who like you maybe got into birding during the pandemic, mention they saw a red knot — an endangered bird — flying near Caven Point just the other day.

There is no smell of asbestos. There is no worry about contaminants under your feet. There is just the wind whipping off the water, gulls circling overhead, keeping an eye on the new international food court to see if they can snag a chip from an unsuspecting visitor.

To support the amendments put forth today is to support a future like this. A future where the park remains open to the public, safe for children and wildlife alike.

I want to make this clear: this is not about being pro-development or anti-development. It’s about investing in Liberty State Park responsibly, and doing what’s backed by science and public input.

Assemblywoman McKnight, I thank you for your leadership on this and the Liberty State Protection Act. I know you want the best for this state. I ask you amend this bill with the four provisions to ensure that this generation and the next can have this kind of future.

Thank you.

Racial Impact Statements Are Essential When Changing Criminal Justice Policy to Advance Racial Justice

Good morning, Chairwoman Greenstein and members of the committee. Thank you for the opportunity to testify today.

I’m Marleina Ubel from New Jersey Policy Perspective (NJPP), a nonpartisan think tank focused on advancing economic, social, and racial justice for New Jersey residents.

While the bill is less than ideal and unlikely to actually reduce gun violence, NJPP supports the amendments that have been made to narrow the scope of S513. However, we cannot fully support this legislation without a racial impact statement. Legislation like S513 will likely change the number of people being held in our jails and it is critical that a racial impact statement accompany this bill given that New Jersey has a history of arresting and incarcerating people of color at disproportionate rates. Moreover, it is required by statute that the Office of Legislative Services produce and make publicly available racial impact statements when there is a change in criminal justice policy.

Thank you.

Easy Enrollment Would Make Affordable Health Care More Accessible for All

Good afternoon Chairman Danielsen and members of the Committee. Thank you for this opportunity to provide my testimony on the proposed Easy Enrollment program. My name is Dr. Brittany Holom-Trundy, and I am a senior policy analyst at New Jersey Policy Perspective (NJPP). NJPP is a non-partisan, non-profit research institution that focuses on policies that can improve the lives of low- and middle-income people, strengthen our state’s economy, and enhance the quality of life in New Jersey.

NJPP strongly supports the establishment of an Easy Enrollment program for New Jersey. Extensive research has shown that, in addition to affordability, a significant obstacle to lowering uninsured rates lies in the enrollment process itself. A lack of easily accessible resources for many residents means that there are residents who are eligible for affordable care who struggle to enroll. This program would take a regular event in the calendar — the filing of tax forms — and turn it into an opportunity for people to quickly and easily receive information about coverage for which they are eligible, simply by checking a box.

The idea of easing enrollment is not a new approach: we have seen during the COVID-19 pandemic that a pause in disenrollment in Medicaid — resulting in the removal of constant re-enrollment burdens for those who may lose eligibility temporarily or need to switch to new coverage — has helped to lower the number of uninsured New Jerseyans. Additionally, similar, more limited options have existed for decades, including through programs like Express Lane Eligibility for enrolling children in Medicaid and the Children’s Health Insurance Program. These programs, when fully addressing the needs of residents, not only reduce obstacles for those residents, but decrease administrative costs where data sharing can eliminate redundant paperwork.

To ensure the program’s efficacy, legislators and administrators should take lessons from successful enrollment experiences in other states — specifically in Maryland, where a similar Easy Enrollment program is already up and running (url listed below for further information). Waiving the shared responsibility payment is a good step to provide an upfront incentive for people to participate. Pre-populated forms, structured follow-up outreach systems that involve feedback and coordination with community organizations, and auto-enrollment for those who qualify for free coverage would further ease the process and limit excessive time requirements for enrollment and verification. Finally, setting a required implementation date would ensure that this program is established in a timely manner.

We hope that the Committee will release this bill today and support the building of this important program.

Thank you for your time.


Link to a brief overview of Maryland’s Easy Enrollment program, mentioned above: https://www.marylandhealthconnection.gov/easyenrollment/

It’s Time to Hold Amazon Accountable for High Worker Injury Rates

Good afternoon, Chairwoman Sumter and members of the committee. Thank you for the opportunity to testify today.

I’m Nicole Rodriguez, Research Director and incoming President of New Jersey Policy Perspective (NJPP). NJPP is a nonpartisan think tank focused on state-level policies that advance economic, racial, and social justice for New Jersey residents.

All working people deserve to be safe on the job. But, as our report points out, people who work at Amazon are far too often not safe. As Amazon grows into the state’s largest private employer, the injury crisis in its facilities is accelerating. In New Jersey, the total recordable injury rate among Amazon warehouse employees was 5.8 per 100 workers in 2021 compared to 3.8 per 100 workers in 2020. This is more than a 50 percent increase.

And that’s just the tip of the iceberg — many injuries go unreported or are not investigated by OSHA.

New Jersey isn’t alone. Across the country, Amazon work is far more dangerous than work in comparable industries, as revealed by employer data reported to OSHA: Injury rates among Amazon workers nationwide were almost twice as high as the injury rate among all other warehouse employers in 2021.

What makes New Jersey unique, however, is the rate of growth of Amazon facilities and workers in the state. The number of Amazon’s New Jersey employees grew from 5,500 to 49,000, a nearly 800 percent increase, in the past five years. We are now home to 53 Amazon facilities, and there are plans to expand operations at Newark Airport.

New Jersey is fast becoming Amazon’s staging ground to build and strengthen its presence across the country. Amazon needs our public assets — our roads, highways, and ports — which unfortunately exacerbates pollution. Now they need the airport, where Amazon is trying to build an air hub without public input.

But, ultimately, they need our workers. And we need enforceable standards to protect our workers.

Good employers already provide this. But Amazon has proved over and over that it doesn’t prioritize the very workers that bring its company success.

This needs to change.

Amazon workers shouldn’t have to risk injury to help New Jersey residents receive packages rapidly.

These workers deserve passage of legislation that will mandate health and safety protections for workers. In this spirit, we recommend the following:

  1. Workers should be allowed to form health and safety committees in each worksite to create and run safety training programs as well as monitor, review, and collaborate with employers on all workplace health and safety policies. New York State passed the Health and Essential Rights Act or “Hero’s Act” in 2021, which allows for just this. Workers know best how to protect themselves, and it would benefit Amazon to listen to them.
  2. Unreasonably high productivity quotas contribute to on-the-job injuries. We need a regulatory framework that addresses harmful management practices. Workers should have the right to refuse to work if they feel unsafe, as well as protection from retaliation when raising concerns, and transparency in quotas.
  3. Finally, we should establish strong penalties and enforcement mechanisms to promote compliance. Strong enforcement levels the playing field for businesses that do comply with the law.

If the pandemic taught us anything, it is our collective responsibility to keep each other safe. Workers and good employers can’t do this alone.

Thank you for your time.

Local Government Should Not Be Funded With Fines and Fees

Good afternoon, Chairman Spearman and members of the Committee. Thank you for the opportunity to testify today.

I’m Marleina Ubel from New Jersey Policy Perspective (NJPP), a nonpartisan think tank focused on advancing economic, social, and racial justice for New Jersey residents, and it is in keeping with this mission that I testify in opposition to A-959.

Municipal government and services should be funded with robust, reliable, and progressive revenues, not fines and fees extracted by law enforcement or court systems. A-959 would divert funds generated by fines and fees from state coffers to the municipal government where a motor-vehicle violation happens to take place. “Taxation by citation” for local government through law-enforcement-generated fines and fees has a history of being discriminatory, falls heavily on low-income residents, and creates an unreliable source of revenue.

Motor vehicle fines and fees disproportionately fall on lower-income residents and communities of color. In the first half of 2021, Black motorists made up more than 24 percent of State Police summonses, despite making up only 13 percent of the state’s total population.

Law enforcement and government finance groups on the left, right, and center agree that funding government through motor vehicle fines and fees distorts government services and undermines public safety and public trust in law enforcement and courts.

If the goal of A-959 is to ensure appropriate funding for municipal courts, NJPP recommends robust state funding for municipal courts. As the Supreme Court Working Group on Municipal Courts report from 2019 suggests, the Legislature should focus on reducing local reliance on law-enforcement- and judicially-imposed fines and fees, rather than deepening municipal reliance on these unstable and discriminatory revenue sources.