TRENTON, N.J. — New Jersey Gov. Phil Murphy’s second budget proposes a roughly $1 billion increase over the current year’s spending and finances it with higher income tax rates on wealthy residents and savings in public worker benefits.
The Democrat presented the spending plan for fiscal year 2020 to a joint meeting of the Democratic-led Assembly and Senate on Tuesday.
The $38.6 billion budget would replace the current year’s $37.4 billion budget expiring July 1.
Among the changes Murphy proposes are boosting income tax rates to the top bracket of 10.75 percent from 8.97 percent on people making more than $1 million.
He’s also calling for a boost to New Jersey Transit, K-12 school aid and a higher public pension payment.
Murphy also says his budget has a 16 percent decrease in public worker health benefits.