Gov. Phil Murphy isn’t shy about planning to raise taxes to help pay for his proposed $37.4 million budget. But even with the $1.5 billion in hikes, Murphy is raiding a clean-energy fund paid into by ratepayers to make up a $136 million shortfall in his spending plan.
According to a report in NJSpotlight, Murphy plans to use the money to help New Jersey Transit ($82 million) and cover energy bills ($47.5 million). Five million dollars is earmarked to get New Jersey back into the Regional Greenhouse Gas Initiative, while $2.7 million will go to the state Board of Public Utilities, according to the report.
While environmentalists expressed disappointment that Murphy, who says he backs a clean-energy agenda, is tapping the fund for other purposes, the amount he is taking is less than Christie used last year. Christie took a total of $1.5 billion from the fund during his eight years in office to plug budget gaps, according to the report.
The money comes from a surcharge on utility customers’ monthly bills. It is expected to raise about $700 million this year, with about half supposed to go to the clean energy fund and the remainder used to fund energy-assistance programs.
Murphy had criticized Christie’s use of the funds, and there was once talk of a constitutional amendment to prevent diversion of the money, the report noted.
Quote of the Day: “It is responsible, it is consistent completely with what we said. No one should be surprised. We said what we’re going to do, and we’re doing it.” — Gov. Phil Murphy, who last year said he would not consider raising the sales tax, defending his plan to impose several new taxes and raise the sales tax.
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