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N.J. Democratic budget proposal restores funding to Medicaid, provides $50M to public safety fund

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TRENTON — Democrats will introduce a $30.6 billion budget proposal later today that restores a host of funding cuts proposed by Gov. Chris Christie, from tuition assistance to Medicaid, according to documents released late Sunday night. The Democrat budget relies on more optimistic revenue figures and is roughly $1 billion higher than the governor’s plan. That does not include...

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TRENTON — Democrats will introduce a $30.6 billion budget proposal later today that restores a host of funding cuts proposed by Gov. Chris Christie, from tuition assistance to Medicaid, according to documents released late Sunday night.

The Democrat budget relies on more optimistic revenue figures and is roughly $1 billion higher than the governor’s plan. That does not include a separate bill that would establish an extra tax on all income above $1 million, which would provide roughly $500 million in additional aid to suburban school districts.

Christie has vowed to veto the tax, but some lawmakers said the tax should be non-negotiable, particularly in light of the fact that the governor and lawmakers are asking public workers to dig deeper into their pockets for health and pension benefits.

“This is a line-in the sand issue for me,” said Assembly John McKeon (D-Essex). “I don’t care if we have to shut the government down until September.”

Christie, in his role as governor, certifies the final revenue figures. Last week, he told Democratic lawmakers to rely on the Treasury Department’s figures of $29.6 billion, which means Democrats must scale back their plans or else Christie will use the line-item veto to trim it himself.

The budget must be approved by Thursday, and voting sessions have been scheduled for later this week. The Senate and Assembly Budget Committees are holding hearings later today.

Here is a more detailed summary of the Democratic proposal.

• The plan provides $447 million for Abbott districts, as required by the state Supreme Court, along with $580 million 215 “below adequacy” school districts.

• Provides $50 million for a public safety fund that can be tapped by police and fire departments stung by layoffs and spikes in crime.

• Increases tuition aid grants by $21 million, while restoring funding for NJ STARS II, which gives financial assistance to top students to attend the state’s community colleges.

• Restores $3 million in funding to New Jersey After 3, an afterschool program.

• Eliminates governor's proposal to raise the exemption to the estate tax to $1 million.

• Eliminates the Department of Environmental Protection's Office of Economic Growth and Green Energy.

• Boosts tax rebates to seniors with incomes below $70,000 by $61 million and restores the earned-income tax credit for the working poor.

• Provided $7.5 million for women’s health centers and $ 9 million to prevent the closure of Hagedorn Psychiatric Hospital and the Vineland Developmental Center.
Restores Medicaid cuts to NJ FamilyCare

• Partially restores cuts to the Urban Enterprise Program, which would receive $46.9 million in funding.


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