New Jersey faces budget battles and community challenges ahead
The current issues facing New Jersey are diverse, impacting both the economic landscape and the community fabric of the state. A proposed budget of $60.7 billion has raised eyebrows concerning its transparency and implications for middle-class benefits. As communities like Gloucester Township face the cancellation of beloved events due to safety concerns involving unruly youths, the sense of camaraderie that these gatherings foster is threatened. Furthermore, a recent report from Focus NJ sheds light on the loss of over 7,000 jobs alongside significant tax revenue due to downsizing and relocations, painting a concerning picture of the business environment in New Jersey.
This week, a budget deal was reportedly struck, emphasizing the importance of the details as some cost-cutting measures may affect middle-class retirees negatively. Notably, the Stay NJ program, which receives an additional $100 million, may adjust eligibility and benefits. While $60.7 billion seems substantial, the potential lack of transparency concerns many, as the public and legislators alike may find themselves pressed for time to fully scrutinize its contents before approval.
In addition to fiscal concerns, community events are facing significant challenges. Gloucester Township has canceled its annual Township Day for the second year running, with the local authorities unable to secure safe conditions amidst fears of disruptive incidents. These cancellations signify more than just the loss of entertainment; they reflect a declining sense of community as shared experiences become rare. The importance of such gatherings lies in their ability to unite neighbors and create joy in local spaces, something that is increasingly at risk.
Additionally, the analysis from Focus NJ highlights the troubling trend of job losses and the revenue gap created by companies relocating or downsizing. An estimated $675 million in annual payroll and approximately $27 million in income tax revenue has been lost, underscoring the need for policy changes that create a more favorable business climate. The sentiment expressed by industry leaders seems to be that without significant shifts in policy, businesses will continue to look elsewhere for growth.
The interplay between economic health and community spirit illustrates a complex reality for New Jersey residents. As the state grapples with how to balance budgetary needs with the preservation of community traditions and safety, the very foundation of what makes New Jersey unique is at stake. The upcoming weeks will be crucial for determining how effectively the state can address these challenges while fostering a welcoming environment for both families and businesses.
Ultimately, the objective remains clear: to cultivate a New Jersey where families want to reside, businesses aim to thrive, and communities can enjoy safe gatherings without fear. This vision represents not just a goal but a necessity for maintaining the essence of what it means to be part of New Jersey.
Transcript
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It's a Jersey thing for this Tuesday. I'm Eric Scott. We got a busy show coming up again tonight. Um budget deal reportedly has been reached. The devil is going to be in the details and there's a lot of devils in this budget. Wilding teens are cancelling more New Jersey festivals and more missed economic opportunities as companies continue to flee New Jersey. There is a new analysis out that shows what the actual impact is. And for the employment picture in New Jersey, it is not looking good. Plus, your comments on the app chat anytime. Just download our free mobile app. Leave me a comment. Thomas and I love reading them. Man, Thomas, did you get caught in that rainstorm on Monday? Oh. Oh, absolutely. Uh, so after uh the after the morning show, after I'm done with everything with that, I got I leave about 12:30. So, I have to run a couple errands. I pick up a couple things, do this, do that, and then I get home around 2:30, right when I pull into my uh driveway, my parking lot, it just starts torrential downpouring. So, from the time I about 10 seconds from my car to the front door. So, the time that I ran that 10 seconds, I walked in the door, looked like I jumped into a pool, Eric. [laughter] I I kid you not. I haven't seen it rain that heavy for that long in a long time. And you know I I know Dan Zuro tells us all the time we need it. We're on near drought and then behind my house is a big retention basin and it was filled up almost to my yard. Could imagine. And it is if it had been a weekend or it had been during the day, I would take the dogs swimming in there because they love especially Holly the little one. She loves to swim and it's up to above my knees in the deepest spots when it fills up like that. Um, and I just wasn't going to deal with wet dog last night. The LA when I got home, the last thing I wanted to do was deal with with wet dog, but we definitely did need that. And then unfortunately, we've got rain, I guess, coming in again on Friday. I'm too early, you know, for Dan to say whether it's going to spoil the weekend or not. But boy, I hope we don't get into this pattern where we have beautiful weather during the week and then wet weekends. What was it a couple years ago where it rained every single weekend? every single weekend in the summer and we throw a big Fourth of July party. Um, and then there's a lot of changes coming up at at our house because once the Fourth of July party is done, then they start the demo on the first floor of our home to do a long overdue remodel. Um, the kitchen cabinets came on Monday and we're storing them in the garage. And I thought, okay, well, how big could these boxes be? will be able to get at least one car still in the garage. No, no, no. I I was not home when they were delivered. Um neither Sandra nor I were home and they stacked them in the garage and I spent much of yesterday afternoon trying to rearrange them so we at least could get Sandra's car in the garage and it doesn't look like that is going to work. So that's going to be I it anybody who's been through a remodel um it is so disruptive. so disruptive. We did this during the pandemic, we did the remodel on the second floor and it was it took about a year. Yeah, it took a year. I I'm hoping this is not going to take that long. I'm by the end of August, I'm optimistic that we will be able to do that. Um and then we've got to get out of the house for probably a week with the dogs because I'm having the hardwood floors refinished and the hardwood floors cover every entryway in the home. So I I can't come through the front door. I can't come through the side door or the garage door um because there's hardwood floors there and it takes about a week for them to sand it and finish it and sand it again and finish it and and all of that stuff. So we're either looking for an Airbnb that is dog friendly so we can stay there for a week or Sandra's latest idea is let's rent an RV. How would you an RV? Yeah, like a motor home. Rent a motor home. All right. Um cuz the dogs obviously can go in there and then, you know, we'll spend a week driving around New Jersey or we've got some friends that are in like North Wildwood and she's like, "Come on down, park it on our driveway." I feel like there's a lot of options before you go into an RV, though. There's got to be something you do. There's got to be some, but there's even like friends and relatives, there's no place for us to go with the dogs. I don't want to do that to to folks like that, you know? And even, you know, Alex is moving into his own apartment. I'm like, "Well, maybe we'll go stay with him for a week." And then it's [laughter] I no. So I either an Airbnb or something like that or we're going to rent an RV. I I'm warming to the RV idea. I Airbnb is probably your best bet. I'm assuming that most Airbnbs are would be pet friendly or a dog at least that for just at least a couple days. You know what I mean, right? I mean, I hope so. I mean, I could rent the RV and park it in my driveway, I guess. you know, and then we're still then we're still home and the dogs still have their backyard. I would love to know if there are any listeners that have rented an RV. Where did you rent it from? And was it a good experience? Um, I mean, we traveled around the country in an RV when I was a kid. You know, that was our entire summer. My dad had a big Midas motor home and all the kids would pack into that the whole family. And, you know, my dad was the guy that would drive eight hours to see the world's largest ball of twine. you know, I mean, it was so that was I we did that every summer and it was a lot of fun. I mean, there were some hassles there, but I mean, we spent a lot of time at Jellystone Park and KOA campgrounds. Um, and I think there actually is still a Jelly Stone in New Jersey down in Salem County, I think. I I think I recall. Um, we're not going to do the cross country trip, but it might be a cool idea. Just you get the RV though and you park it in your in your uh parking lot. You're going to look like the National Lampoon [laughter] Chrisation. Well, you know, and and I said to Sandra, I said, "If we do that with our friends in North Wildwood every morning when Danny comes out to go to work, I'm going to yell blanks full." Yeah. Right. [laughter] Uh because you have to. Um All right. Anyway, I want to talk about a a potential state budget deal that has been reached. The devil is going to be in the details. So, let me go through what we know to this point. There has been some movement on the stay NJ program, potentially expanding it for some, but contracting it for others. And I also want to talk about a couple more of these fairs and festivals that have now been cancelled, not because they have been targeted with a popup party, but because of past issues, and now towns are worrying about whether they can even secure these venues for these familyfriendly events. So, we'll talk about that. And then a little bit later on in the hour, this new report from Focus NJ on the missed opportunities to grow New Jerseys economy and what that's truly costing us in terms of job growth and expansion in New Jersey. That's coming up next on a Jersey thing. It's a Jersey thing for this Tuesday. I'm Eric Scott. Drop me a comment on our app chat uh whether or not you've ever rented an RV. Where did you get it from? And was it a pleasurable experience? Cuz I think we may do that with the dogs for at least a week um this summer. All right. So, as you heard me talk about this morning on the morning show, it appears that there is the framework for a budget deal negotiated between Governor Mikey Cheryl, Assembly Speaker Craig Coughlin, and Senate President Nick Qatari. and it comes in at $60.7 billion. That's unusual because it's the first time in a decade that you've actually had potentially now a finished budget that comes in at the same number that was proposed by the governor. You remember all through the Phil Murphy years, you had anywhere from half a million to a billion half dollars jammed into the spending plan at the end of the process. literally at the 11th hour of all these Christmas tree items, pork items, supplemental spending bills, etc., and you never really had a chance to see it. The key point that is being reported by our friends at NJ Globe, is that the stay NJ program, which is beloved by Assembly Speaker Craig Coughlin, is getting another $100 million. Now the details are what is going to matter here in terms of who is impacted. Could still be looking at adjusted income limits. You still could be looking at reduced benefits. You still could be looking at a shifting of this money to lower income individuals. And then you would have middle class retirees and the like getting less of a benefit. That may still be a sticking point. And we're 7 days away from when the budget has to be approved by law. The fiscal year starts July 1. The new fiscal year starts July 1. And here's the issue with that. If you wait until the last minute, certainly not the public, and even some legislators will not have the opportunity to review this document. Yes, there are public budget hearings that are held, but you really have no voice or say in this process. So even if a $60.7 billion budget is passed, you won't really know what's in it until it's too late. You have no input in this process. And the legislators won't even see a budget bill until sometimes minutes before they vote on it. That is not government transparency. So, as this week goes on, we'll be picking more pieces of this out and to see if the affordability governor Mikey Cheryl is going to live up to her pledges. What else is happening now? Glouster Township Day has been cancelled for a second consecutive year. You will remember it was in 2024 when you had out of town teenagers showing up at this familyfriendly event and just going on a rampage. They canled it last year. They're cancelling again this year. Not because there have been rumors of another I don't know if you want to call this a pop-up party, but a wilding event or whatever, but because the mayor and the police chief cannot determine a proper path to security to prevent a repeat. And more and more of these types of family-friendly events are being cancelled for that same reason because there is the possibility that they could be taken over by wilding teens. Communities invest months in planning these events and families lose the opportunity to gather. And you know over the years I've said that there is a tremendous value to these types of community days. We don't really have a center of town in most of New Jerseys communities and municipalities and cities anymore. It isn't like everybody is shopping on Main Street. So, you don't see your neighbors. You don't see your fellow members of your community except at events like this. And if you've never been to a lawn fate, you've never been to one of the summer concert series in your town, you've never been to a Memorial Day parade or a Labor Day parade or anything like that, I always encourage you to go because it rekindles a sense of community that is lacking. And if we cancel these events because you can't guarantee their safety, you're losing part of your sense of community. And that's the tragedy here. Social mediafueled gatherings may have changed these events forever. And especially as we approach the 250th anniversary of our nation's birth and independence, we need that sense of community more than ever. And unfortunately, these types of disruptions, even the very threat of them, even if there isn't something that is material promoting it on social media, is forcing the closure. And that's a loss for New Jersey. It's a loss of a sense of community. It's a loss of a sense of camaraderie and patriotism. And I hope that that doesn't become a Jersey thing. It's a Jersey thing for this Tuesday. I'm Eric Scott and keep those comments coming. If you have ever rented an RV for a family vacation, we need it for the dogs to get out of the house during the the remodel. Um, and I'm thinking it might be cool. Some of you agree, some of you disagree, but drop me a comment in the app chat. U, we talked a little bit about the state budget, which is 7 days away now from the deadline. um and the impact that it may have on businesses. And as we've continued to talk about the business unfriendly climate in New Jersey and the tax structure driving businesses away, out came a new report from Focus New Jersey that really takes a granular look at economic competitiveness. The executive director of Focus New Jersey, Althia Ford, joins us now on a Jersey thing. Althia, I appreciate your time in talking about this because as I was going through this report, it really underscored everything that we have been talking about here for months. So, for [snorts] our listeners and for our viewers, walk me through the findings in this report, please. It's great to be here um and and happy to be here to talk about uh this important topic. So this study in essence um analyzes eight companies. So it's a small snap snapshot and I want to you know kind of highlight that um because even in this small snapshot a lot is being said um but we're looking at eight companies that in essence have a presence in New Jersey and have either um recently chose to uh downsize their operations in New Jersey uh expand their operations elsewhere or relocate um entirely out of New Jersey. And so when uh we're talking about business climate and a friendly business climate, obviously having companies come into the state would be a good sign that um the the the climate is friendly. Um and having them leave or choose to uh expand business elsewhere um would be some sort a red flag of sorts. Um and so with this study, what we've identified just through these eight companies, um that [clears throat] uh New Jersey estim is estimated to have lost over 7,000 jobs, uh nearly $675 million in annual payroll, and approximately $27 million in annual income tax revenue. So when the state now as we're in budget season as you noted when we're having to have these conversations around you know um uh scalable sustainable uh revenue sources we can't rely on these businesses because of the policies potentially that New Jersey is pursuing. Um, and so this study is hopefully it it's meant to highlight and open eyes to I think some of the conversations that have been have that have been had at the state level when you know policies are moved forward and the sentiment is well you know no one's really doing anything. No, you might not be seeing large, you know, um, grand gestures of of exits, but when businesses are choosing to expand in sizable ways outside of the state, that's also saying something about, you know, what what the current climate is. We're talking with Althia Ford. She's the executive director of Focus NJ on the new study, basically talking about missed opportunities. in Althia. I think the thing that you said as you were outlining this was the amount of tax revenue that was lost and that seems to be about the only thing that Trenton really understands. How much tax revenue again with these 7,000 plus jobs did you did you attach to that? Over $675 million. And and that's that's a lot. That's that's a lot of money. Um what has been the feedback from policymakers if any when you show them that real number and this is not hypothetical these are jobs that are that are gone or going. So this study um you know the goal is again to educate and put you know pen to paper um with the ultimate goal of trying to share with the state the impact of decisions right so focus New Jersey we are a research entity um we are you know designed and and encouraged to educate and you know provide the information that other resources and other entities can use to advocate. Um we work very closely with the New Jersey Business and Industry Association um that does a lot of that advocacy and I think that you know having this research arms uh the advocacy arm of BIA and others to say we need to take a better look at what we as a state are doing in terms of policy that is having these uh negative consequences. I think the other thing to to impress upon those that read the report is there's more than just these numbers, right? So, yes, there's the metric of following, you know, income tax, um sales tax implications and things like that and the number of jobs, but these are also these numbers also reflect individuals that contribute to our communities, right? um individuals that are volunteering for the little league team, you know, who are our coaches who are um integral parts of our community. And so when we are making these decisions that deter businesses from uh bringing the the talent here or or utilizing the existent talent here, we're also missing out on those cultural and um community assets um when we when we're not thinking past, you know, just the numbers. Well, and Althia, that ties in perfectly to what we talked about in our previous segment is that we are we are slowly but surely seeing a degradation of that sense of community in New Jersey. Um this is and you aptly point out that this is one more ramification. Um, in about the minute that we have left here, what's the biggest obstacle that you've found to business growth in New Jersey right now? It would be the volatility, right? So, the the lack of consistency. Businesses recognize that um, you know, nothing is going to be I don't want to even say stable, but right there's a certain there's a certain expectation that things are going to change. there's a certain understanding that um you know there there's going to be nuance in you know planning for the future for businesses but the lack of the additional lack of uncertainty I think is what really creates the challenges that for many businesses are saying well I'm just going to take my ball and go right because or if I'm not you know I I'll still maintain New Jersey as my home as as our headquarters Um, I know even, you know, a couple years ago, uh, the Johnson and Johnson, uh, CEO noted that, you know, they will always maintain a presence in New Jersey, but then you have to you have to think about, but then where are they growing? Where are these businesses choosing to expand? Because those are the missed opportunities, right? Yes, it's something to be said about um attracting business, but when they're here, are they truly able to grow and develop and expand? And if they're not, those truly are the missed opportunities for for New Jersey. Althia Ford, executive director of Focus New Jersey, thanks for being part of a Jersey thing. I mean, think about that. 7,000 jobs, $675 million in tax revenue that it's costing the state, plus all of the residuals that we talked about, and the need to grow New Jerseyy's economy and get away from the reliance on tax hikes. That has to be a Jersey thing. We're wrapping up a Jersey thing on this Tuesday. I'm Eric Scott. Don't forget to check out our YouTube channel. Just go to the New Jersey 101.5 YouTube channel or search for Jersey Thing with Eric Scott. You'll see replays of full episodes and highlight clips from our previous programs. And always welcome your comments on the New Jersey 101.5 app chat. And I know that um a lot of you are starting to give me some recommendations on where to rent an RV. And it's kind of mixed, I guess, 50-50 about whether you've had a good experience or whether you've had a bad experience. The biggest issue that I have really with trying to do like an RV vacation or something like that is I don't like to drive as much anymore. And and I you know, Bill Spady and I we've had this conversation on the morning show many times. He loves to drive and loved it when he had his RV and he drove cross country with it. I just don't think that I would be able to to do that. If I were ever to do an RV vacation, I'd have to get one of those big like hotelish RVs and then somebody to drive it and then it becomes cost prohibitive because who can afford that? Um, also wanted to mention because I didn't have a chance before, you know, we talked about Gloucester Township cancelling their uh Gloucester Township Day for the second straight year. Milville and Mount Holly are cancelling their July 4th events. But then you have Pemdan, which will hold its very popular water carnival this Saturday, and then the rain is going to be Sunday. This kind of cool. This reminds me of something that we used to do as as kids where people would on boats or floats or things that they would create. U they parade them across the lake and then there's a carnival and stuff like that around it as well. It was cancelled last year by the previous mayor. The new mayor um and the new local government said no, this was a popular thing. Some 8,000 people were at the last water carnival. So, good on Petan uh for going forward and doing that. Um I maybe it's a I don't know it's a generational thing. Did you ever do that Thomas? Did you ever go to you know like church lawn fates or carnivals or parades or things like you did? Okay. That's great. Growing up and it's still going on actually in my town. We had there's an Immaculate Conception fair. Immaculate Conception Church uh in Clinton thato hosts a fair. I think it's actually currently going on right now. It's in it's always in the middle of June, but we used to go there every single year and it's like they would bring a whole carnival there. There'd be a bunch of rides, there'd be uh stands to play. It was very fun. I loved that stuff when I was a kid. We had a fireman's carnival in town. Um and every year, you know, it it was it was like the thing to do. And granted, I grew up in a very small town. Um but it was a fireman's park and they had all the rides and things like that. and and the and and the adults would all go and they'd hang out in the beer tent or the beer pavilion and they'd give, you know, kids a couple of bucks to go get the tickets for the for the rides. Um, and it was um it was I from the time that I I can't remember a time when it wasn't there. I don't think they hold it anymore, but then there was a big fireman's chicken barbecue and you know, it just it was a fun time. And in fact, on the they called it the egg roll ride. So, it was like a mini ferris wheel and it had an egg-shaped car on it and you could fit two people in there and it was a full cage and then it went around like a ferris wheel but then the car the egg also spun. [laughter] So, if you got it rocking hard enough, that's why it was completely enclosed. It would flip over. Um, and I remember the first time I ever kissed a girl was on that ride. Wow. Wow. Uh, and it's Yeah, that was I I don't even I won't even tell you what year it was, but the first time I ever kissed a girl, or is it that she kissed me? I don't know. Um, her name was Jennifer Douchnik, and I think she is some kind of mental therapist or something that living out in California now. Okay. And she was kind of like a little bit of a hippie chick, you know? I mean, it just And it was Yeah. So, um, Jennifer, if you're listening, I still remember that Fireman's Carnival in 19 um, on the egg roll. My favorite ride was always, if anyone that's ever gone to the Point Pleasant Boardwalk, they remember the Himalaya, the one that just went round and round and round and round. They had that at my fair, too. It was called Something Else, but that was always my favorite ride. Oh, I love that. Uh, was that the one where they played like the loud music and everything on it? Yeah. For no reason, just for that. And it did. The ones that I were on, it went forward and backward, I think. Yes. Yeah. Okay. And then um uh the pirate ship. I loved the pirate ship. If you if you had that, you know, bold enough to put your arms up, you know, that type of thing. Yeah. It's they're just a lot of fun. I mean, it's great family memories. All right. What caught your uh ears and eyeballs on the app chat today? Yeah. To go off uh talking about the [laughter] fair and the pop-up parties, we have Jen and Su saying, "My kids always love the Gloucester Township Day. It's sad. Few people ruin it for absolutely everyone. Yeah. And it isn't even a real threat. It's just the threat of a threat. And that's sad. I like this one, Eric. Jared Redbank saying, "If we cancel every event that we're or excuse me, if we're scared of these kids popping up at these parties, we're going to cancel every single event." I I hope that that is not the case. Um, communities are going to have to come up with a security plan, and I don't know what that's going to look like. And then lastly, Joe and Tucker saying, "We always we have to worry about these takeovers now. We used to just worry about it raining. These kids are ruining festivals. Yeah. I mean, rain is not dangerous, but when you have wilding teens that are rampaging through these events, that's dangerous. Somebody's going to get hurt. Uh I mean, look, for all the talk about affordability, today's show highlighted two very different New Jerseys. One is a state government preparing to spend more than $60 billion while still promising relief someday. The others are local communities struggling to keep beloved traditions alive because public events have become harder to manage and more expensive to protect. And then the new report suggesting we're still losing opportunities to states that are competing harder for jobs and investment. So maybe the real question isn't whether Trenton got a budget deal done. Maybe it's whether we're building a New Jersey where families can afford to stay, businesses want to grow, and communities can still gather without fear because that's the New Jersey that is worth fighting for. And that is a Jersey thing.
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