Governor Murphy signed the $46.4 billion fiscal year 2022 state budget in late June, a 15 percent increase over last year’s budget. It was passed by the legislature along party lines, without support from Republicans. The state budget contains no new or increased business taxes. Considered an election year budget, it is a 35 percent increase from four years ago and more than $1.5 billion higher than governor Murphy’s budget proposal just four months ago.
The final budget provides increased funding for the pension payment, the homestead rebate, assistance to small businesses, childcare, workforce development, and infrastructure.
Besides approval of the state budget, other legislative action was taken that had support from NJFC.
Product Return Law
Governor Murphy signed into law a bill sponsored by Senators Addiego (D-8) and Oroho (R-24) in the Senate and Assemblywoman Chaparro (D-33), which rescinds the product return law, which was enacted in March of 2020 at the request of NJFC. This law generally prevents customers from returning groceries and other foodstuffs during the state of emergency. The end of the public health emergency did not end the prohibition on product returns because this law is tied to the state of emergency, which is still in effect. This new legislation allows the product return law to be tied to the public health emergency, which has now been terminated. We have been advocating for this prohibition to expire with other COVID restrictions, and are appreciative the governor signed this bill so quickly. This bill would allow for the prohibition on product returns to be reinstated in the event of a future public health emergency. This repeal of the prohibition on returns took effect on July 4.
Minor Working Hours
Governor Murphy also quickly signed into law a bill, sponsored by Senator Sarlo (D-36) and Assemblyman Mazzeo (D-2), which allows minors to work up to 50 hours in a week during the summer beginning on the last day of a minor’s school year and ending on Labor Day. We are very supportive of this initiative, which provides some relief to NJFC members and other employers who are struggling with workforce shortages. The law took effect immediately.
The legislature finished their regular work session to pass the Budget, and now will take a break until after the November elections. If there is some legislative activity the next few months, it will likely be limited. New Jersey will hold our gubernatorial election this year and all 120 members of the legislature are up for election. After the Election cycle, the Legislature goes into a lame duck session until activity concludes in mid-January. Many well-known leaders and industry friendly legislators are retiring from the state legislature, so we can expect a busy lame duck session with a flurry of activity as policy makers attempt to make a last minute push to shepherd their legacy proposals to the governor’s desk.
We remain grateful to our members for voicing their support or concerns throughout this legislative cycle.