NJ Treasury: Projected revenues drop by more than $9 billion

Treasury officials are proposing massive budget cuts to make up for tumbling revenues amid the COVID-19 crisis.

To make up for projected declines in sales, income and business taxes this year and next that total more than $9 billion, officials are preparing to pull more than $5 billion from next year’s budget.

The state government has already instituted a hiring freeze, tapped the entirety of its $421 million rainy day fund and placed almost $1 billion of this fiscal year’s appropriations into reserves.

On top of $1.3 billion in planned cuts Treasurer Elizabeth Muoio announced Friday Morning, the Gov. Phil Murphy’s administration is urging $3.2 billion in cuts or delays to first-quarter appropriations and the withdrawal of Nearly $850 million in funding for priorities the governor announced in his February budget address.

Read more: https://newjerseyglobe.com/governor/treasury-projected-revenues-drop-by-more-than-9-billion/