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Phil Murphy offers Democrats a budget counter offer
Governor Murphy during his press conference on the budget blockade
Legislators meet in Trenton on Saturday to provide details of a bid that Governor Phil Murphy should consider by to avert a government shutdown, but with only a few hours to go on the statutory deadline to pass a budget, you sit opposite the governor.
After a one-day meeting with Democrats that ended in frustration, which prohibited a budget freeze until the weekend, Murphy sent a letter to the legislature calling his Compromise proposals submitted "to avert costly government stalemate."
The letter of June 29 was released Saturday morning describing Murphy's position before the Democrats made a counter offer that he rejected "out of control", as the Assembly spokesman, Craig Coughlin, said.
Coughlin and other legislative leaders accused Murphy, i n days of negotiations not to compromise. One source familiar with the negotiations said the publication of the letter was intended to refute this claim, while Murphy was willing to consider the full terms of the terms.
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The Assembly's spokesman, Coughlin, talks to Governor Murphy about the budget blockade.
The deadline for a budget is midnight. If a deal is not reached, Murphy can order a government shutdown.
"We're close," Murphy wrote in the letter. But, he added, "time is of the essence, and if we can not reach an agreement, the people of New Jersey will eventually suffer, our common priorities and our credibility would be in jeopardy, all we hope to achieve is ours The state and our people are in balance. " NJ government shutdown 2018: Will the state parks and beaches close again?
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Where the budget stands
The offer from the Legislature Friday included a new tax on income over $ 5 million and a declining corporate tax that would fall after four years. Murphy found the so-called millionaire's tax merely a symbolic gesture that would bring in about $ 160 million annually and exempt some 21,000 high earners, including him, from the proposed new rate of 9.95 percent. The current top rate is 8.97 percent and applies to income over $ 500,000.
Murphy has been campaigning for years to revive a 10.75 percent rate for revenues in excess of $ 1 million, but Senate President Stephen Sweeney, once an advocate of the tax, has declined.
In his letter, Murphy said he was ready to accept raising the income limit to $ 1.75 million. He estimates it would raise $ 550 million a year.
Murphy is also ready to reduce his proposal to reduce sales to 7 percent, from which Coughlin has rejected. This offer, according to Murphy, would depend on finding "the right balance" between the business and the millionaire's tax.
It is not known that meetings are planned this weekend.
The Assembly is scheduled to vote on various legislative bills on Saturday afternoon. Sweeney from Gloucester County said he planned to be in Trenton on Saturday, but he cut it off without reaching an agreement on the budget.
Even as Murphy prepares for a shutdown, he has the option to keep the government open as the negotiations progress.
Look at more about this evolving story.
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