Record NJ budget, higher business costs and shrinking STAYNJ benefits: What's in the deal for you?
💰 New Jersey leaders have reportedly agreed on a $60. 7 billion state budget, matching Gov. Sherrill's original spending plan. 🏠 STAYNJ gets an extra $100 million, but some seniors could see reduced benefits. . .
💰 New Jersey leaders have reportedly agreed on a $60. 7 billion state budget, matching Gov. Sherrill's original spending plan. 🏠 STAYNJ gets an extra $100 million, but some seniors could see reduced benefits under revised eligibility rules. 📈 The deal continues New Jersey's trend of record spending while businesses face new costs, regulations and economic uncertainty. NJ leaders reportedly strike budget deal as spending hits another record highSTAYNJ funding restored, but some seniors could receive lessGov. Mikie Sherrill and Democratic legislative leaders have reportedly reached an agreement on a new state budget that will keep spending at a record-high $60. 7 billion,according to the New Jersey Globe. The deal, negotiated between Sherrill, Assembly Speaker Craig Coughlin and Senate President Nick Scutari, comes just days before the constitutional July 1 deadline for adopting a new spending plan. According to the Globe, the final budget will remain at the same $60. 7 billion level Sherrill proposed during her first budget address in March. One of the most significant changes involves the STAYNJ property tax relief program. The agreement reportedly adds an additional $100 million to the program after Sherrill initially sought to scale it back. The compromise, however, would reduce benefits for some seniors and tighten income eligibility requirements, shifting more assistance toward lower-income recipients. New Jersey budget spending continues upward trajectoryThe agreement also continues a long-running trend of increased state spending under Democratic leadership in Trenton. For comparison, former Gov. Chris Christie signed a $34. 7 billion budget for fiscal year 2018, his final spending plan before leaving office. The proposed fiscal year 2027 budget is nearly $26 billion larger than that budget, highlighting the dramatic growth in state government spending over the past decade. According to the Globe, legislative leaders secured additional funding for programs that were not included in Sherrill's original proposal, including some legislative earmarks and increased childcare tax credits. To offset those additions, the administration reportedly identified about $35 million in cuts and other savings while keeping the overall spending level unchanged. Business groups continue to raise concerns over taxes and feesThe budget agreement arrives at a time when New Jersey businesses are grappling with economic uncertainty, thousands of new layoffs and concerns about the state's business climate. Sherrill's original budget proposal included several measures designed to raise additional revenue from employers and businesses. Her plan relied on hundreds of millions of dollars in new revenue generated through changes affecting business tax obligations. Business organizations have repeatedly warned that higher costs, additional regulations and new fees could make it more difficult for New Jersey to retain employers and attract new investment. Few budget details expected before final legislative votesDetails of the final agreement have not yet been publicly released and some details are still being negotiated. The actual budget may not be completed in time for any comprehensive review before lawmakers are asked to vote on it. Often, any changes to the plan are not known until after the budget has been passed and signed into law. The last-minute rush to approve the spending plan before the July 1 deadline means the public, and even rank and file legislators who must approve it, will have no chance to review how New Jersey intends to spend its' citizens money before it is too late to make any changes. Biggest layoffs in New Jersey this yearNew Jersey started 2026 with more than 4,700 notable layoffs announced, revealed by employers in the first three months. By early June, the total was over 7,600. Here's a look at the largest announcements. Gallery Credit: Erin VogtShare of your tax bill going to schools vs. municipalityHow your property tax bill is split up depends on where you live. This is the data from the state for the year 2025. Gallery Credit: New Jersey 101. 5Report a correction👈 | 👉Contact our newsroom