TRENTON — Democrats called it a victory for the state’s working poor. Republicans called it flat-out illegal. In a day full of theater but no surprises, the Legislature passed the Democrats’ $30.6 billion budget and sent it to Republican Gov. Chris Christie, who says he won’t sign it. The proposal is $1 billion bigger than the one Christie unveiled...
TRENTON — Democrats called it a victory for the state’s working poor. Republicans called it flat-out illegal.
In a day full of theater but no surprises, the Legislature passed the Democrats’ $30.6 billion budget and sent it to Republican Gov. Chris Christie, who says he won’t sign it.
The proposal is $1 billion bigger than the one Christie unveiled earlier this year that included tax breaks for businesses, boosts to education spending and cuts to Medicaid. Democrats want to prevent the Medicaid cuts while tacking on millions more for school districts, women’s health care and property tax relief.
Christie’s office last night would not say how he will pare the budget down to his liking. The governor could eliminate individual spending items or send a modified bill back to the Legislature.
Democrats said their proposal would help heal the state after more than a year of Christie’s steep budget cuts.
"It’s time that Democrats stand up and take our state back for the working families and middle class who have suffered under this governor’s misguided priorities," said Assembly Budget Chairman Lou Greenwald (D-Camden). "The Democratic budget before you today offers fairness and relief, not just sound bytes or YouTube moments."
Republicans blasted the Democrats’ proposal as "irresponsible" and a "Ponzi scheme" that showed "blatant disregard for the law."
"It seems to be politics shrouded in politics," said Sen. Kevin O’Toole (R-Essex). "You know this is theater."
In party-line votes, the Senate passed the bill 24-15, while the Assembly passed it 46-32.
The flashpoint in this year’s budget battle has been competing estimates on how much tax revenue the state will collect next year. In devising their proposal, Democrats relied on a projection $400 million larger than the amount approved by Christie. Because the governor makes the final call on revenue, Republicans said that makes the Democrats’ bill unconstitutional.
"The Democratic budget passed today by the Senate and the Assembly is unconstitutional in its present form," Christie spokesman Michael Drewniak said. "There is a lot for the governor to study and review in order to make a determination as to whether the budget can be fixed and brought into balance."
Democrats expect Christie to line-item veto their proposal, which would allow the bill to become law, minus the spending he eliminates. But if Christie decides to modify the bill with a conditional veto, it must return to the Legislature for a new vote.
That could put state government in a bind. Democrats don’t have enough votes to override a veto, but Christie might not have enough votes to push an amended budget bill through the Legislature. Some Republicans have said they won’t vote for a budget that includes school money for poor districts ordered by the state Supreme Court in May. With the state’s fiscal year set to begin tomorrow, stalemate on the budget could force a state government shutdown.
Three sources said Senate Democrats plan to return next week to respond to whatever Christie does. That could include a possible override vote on line-item vetoes. They requested anonymity because they were not authorized to discuss strategy.
"You hate to see a shutdown, but we’re standing for what we believe in," said Senate President Stephen Sweeney (D-Gloucester). "And he’s standing for what he believes in, and we’ll see what that’s about."
Greenwald said there haven’t been any negotiations on the budget with Christie’s office. "He really had no interest," he said. "He just said, ‘Send the bill over.’"
In an unusual move, the Legislature moved the budget to the start of its agenda. Budget votes usually stretch late into the night, but the bill passed both houses before dark Wednesday.
"It’s actually refreshing to be standing here in the light of day discussing the state budget," said O’Toole.
"Isn’t it cool?" Sweeney quipped in response.
Democrats are using the budget battle to bounce back from the controversial overhaul of public worker benefits, which was signed into law by Christie on Wednesday. The debate divided the Democrats’ caucus, as Sweeney and Assembly Speaker Sheila Oliver (D-Essex) backed the overhaul despite opposition from the majority of Democrats.
Spurred by dissatisifed members of their caucus, Democrats charted a more combative course on the budget than last year, when they largely sat on the sidelines while Republicans advanced Christie’s proposal.
The Democrats’ proposal veers significantly from Christie’s $29.6 billion plan. The outcome of the standoff will affect millions of New Jerseyans from seniors who benefit from property tax rebates to working parents who rely on Medicaid for health insurance.
It includes an extra $447 million for the so-called Abbott school districts, responding to a May state Supreme Court decision saying the state needed to spend more on poorer districts. But it also tacks on an additional $574 million in school spending for more than 200 other underfunded districts.
Democrats are also including $300 million for Medicaid, which Christie had planned to cut.
Another big-ticket item is $50 million to help cash-strapped cities replenish police and fire departments hurt by layoffs.
The proposal includes $7.5 million for women’s health centers, $45 million for the earned income tax credit program for the working poor, and $61 million for property tax relief for senior citizens.
Democrats also advanced the millionaires tax, an income tax surcharge on residents making more than $1 million a year, even though Christie has promised to veto it. The tax would provide about $500 million to the state’s suburban school districts.
"In these difficult times, we’ve seen working class and senior and disabled citizens bearing the heaviest burden, but a call for shared sacrifice should include all residents of New Jersey including the most affluent," said Assemblyman John McKeon (D-Essex), one of the bill’s sponsors. "The millionaires tax is a fair component to shared sacrifice."
Chris Megerian and Jarrett Renshaw/Statehouse Bureau
Ginger Gibson contributed to this report.
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