Garden State Times

Senator Carmen Amato, Jr. has urged Governor Murphy to reinstate the transparent formula-based aid for municipalities in the fiscal year 2026 budget. This request follows the removal of such aid from the fiscal year 2025 state budget.

In a letter addressed to Governor Murphy, Senator Amato highlighted concerns regarding the impact of these cuts on municipalities and property taxpayers, especially during a period marked by high inflation. "The cut to a fair formula property tax relief program will hit municipalities and property taxpayers hard after years of high inflation," stated Amato. He emphasized that communities involved in a State-run health insurance plan, which recently experienced a 16% premium increase, would be particularly affected.

Amato also suggested alternatives if income tax revenues are not allocated solely for fair formulas to compensate for the $150 million elimination in property tax relief. "If your budget does not ensure income tax revenues are used solely for fair formulas as a way to restore the elimination of $150 million in fair property tax relief, there are other options," he wrote. The senator mentioned that he and his colleagues have proposed various measures including state budget savings, program reforms, and non-tax revenues that have yet to be considered.

The full content of Senator Amato's letter is available for public reading.