Gov. Phil Murphy returned to his familiar “stronger and fairer” theme in Tuesday’s State of the State speech, promising to work “even harder” to “make life even more affordable for more families” by continuing to shore up state finances, boost innovation, expand affordable housing and reduce the burden of medical debt.

Murphy was upbeat in his sixth annual address, delivered live before a joint session of the Legislature and invited guests in Trenton — which began just over an hour before the state was to enter a state of emergency Murphy had called in advance of the latest storm. Murphy recapped some of his administration’s successes like expanding property-tax relief, pension investment and pre-K enrollment, all part of an effort to make New Jersey “the best place anywhere to raise a family.”

Murphy, a Democrat in his second and final four-year term, also noted the global impact of two wars, surging hate crimes, inflation and the aftereffects of the COVID-19 pandemic, which led to more than 36,000 deaths in New Jersey. He pledged to do more to ease access to abortion, expand voting rights and reform “a justice system that has failed Black and Brown communities for far too long.” Murphy faced criticism from social justice advocates after his State of the State speech last year, which they said failed to sufficiently address these issues.

‘The sad fact is, for a long time, Trenton was content with ignoring the fiscal elephants in the room … From day one, I have kept my promise that we would get our fiscal house in order. And we have.’  — Gov. Phil Murphy

“That means undoing the damage of the failed war on drugs. And helping our neighbors who have been unjustly thrown behind bars get back on track,” Murphy said, adding that he would be announcing a “new clemency initiative” in the coming months. “And reforming our criminal justice system strikes right at the heart of building a stronger and fairer New Jersey,” he said. “We need to reject the notion that compassion comes at the cost of vigilance.”

Amy Torres, executive director of the New Jersey Alliance for Immigrant Justice, welcomed the progressive policies Murphy highlighted in his speech. But she said the governor and state leaders need to do more to combat “anti-immigrant and racist rhetoric” that has emerged in some communities recently as local officials face the arrival of busloads of undocumented immigrants from Texas. “Our communities need to hear that the vast majority of New Jerseyans, from the most powerful office in the state all the way down to the community services office on their block, have their back in the fight against racism,” Torres said.

‘AI moonshot’

Murphy closed his nearly hour-long message with a call for an “AI moonshot,” a reference to President John F. Kennedey’s promise 63 years ago to put a man on the moon. In December the state announced a partnership with Princeton University to create an AI (artificial intelligence) innovation hub to encourage new developments. The moonshot, to be led by the state’s Chief Innovation Officer Beth Novak, will build on that to bring together innovators, investors and other leaders over the next decade.

“From revolutionizing the discovery of new drugs and medical treatments, to creating new, personalized educational tools that can dramatically improve literacy rates and math skills, whatever the challenge, we are going to harness generative AI to unlock a new generation of possibilities,” Murphy said. “With our state’s talent, our resources, and our thriving innovation ecosystem, we are going to pioneer breakthroughs — not for the benefit of a small group of stakeholders — but for the benefit of everyone.”

Murphy urged lawmakers to pass a measure to ban out-of-pocket costs for abortion, something he said he wanted to sign before this summer.

Republican leader Sen. Anthony Bucco said he worried about the potential price tag on this and other new plans. “The governor was very focused on affordability,” Bucco (R-Morris) told NJ Spotlight News after the speech, “but your actions have got to match your words,” he said, pointing to the more than $1 billion Democrats added to the current annual state budget during final negotiations. “When you talk about these big ideas, you’ve got to be able to back them up,” he said. “I believe the devil will be in the details.”

Murphy highlighted his administration’s investments in infrastructure, including transit — noting that it finally broke ground on a third Hudson Rail tunnel, a project canceled under former Gov. Chris Christie, a Republican — as well as increasing the minimum wage and boosting pension investments, which he pledged to fully fund for the fourth year in a row in the upcoming budget. All these commitments have helped make the state more affordable, he said.

“The sad fact is, for a long time, Trenton was content with ignoring the fiscal elephants in the room,” Murphy said. “From day one, I have kept my promise that we would get our fiscal house in order. And we have.”

What he didn’t mention

The speech included no mention of COVID-19, nursing home reform or maternal health, a theme in past years and a policy focus for first lady Tammy Murphy, who is now running for U.S. Senate. And there were few details on the new plans Murphy outlined, several of which — from an effort to expand affordable housing to a call for eliminating all out-of-pocket costs for abortion — require action by the Legislature first.

While Murphy’s relations with his fellow Democrats in the Legislature have been stilted at times, his party gained ground in the most recent election in November, when all Senate and Assembly seats were up for election. However, the new Legislature, which was also sworn in Tuesday, has two fewer women and falls short in representing New Jersey’s growing Hispanic and Asian populations.

The governor reiterated his clean-energy goals without mentioning climate change by name or Ørsted, the Danish company that pulled out of two offshore wind projects in New Jersey.

Murphy highlighted his administration’s work to protect the rights of voters, LGBTQ+ residents and women. That includes access to abortion, he stressed, something the state codified in state law in advance of what he called “that dreadful Dobbs decision,” the U.S. Supreme Court ruling that struck down a long-standing national protection for the procedure.

“There is no sugarcoating it: Women’s health care in America is in a state of crisis,” Murphy said. “So when I talk about making New Jersey the best place to raise a family — that also means ensuring every woman has the freedom to start a family on their own terms,” he continued, prompting applause.

Murphy urged lawmakers to pass a measure to ban out-of-pocket costs for abortion, something he said he wanted to sign before this summer. “We cannot lose any momentum in the fight for fundamental freedoms,” he said.

Medical debt

In addition, Murphy asked the Legislature to pass the Louisa Carman Medical Debt Relief Act, legislation — yet to be introduced — designed to ensure medical bills are clear and transparent. The measure is named for a 25-year-old staffer in the governor’s Office of Health Care Affordability and Transparency, who died in a car accident on New Year’s Day. The initiative aims to build on a $10 million investment the state is making this year, working in partnership with a nonprofit to retire at least $100 million in medical debt now held by New Jersey residents.

“Louisa was talented. Incredibly thoughtful. And dedicated every day — as a member of our team — to making our health care system more accessible and more affordable for more people,” Murphy said, his voice cracking slightly and prompting a standing ovation when he mentioned her family was watching a livestream of the speech. “So with this legislative package, we can carry her mission forward — and help thousands of our neighbors avoid falling into medical debt.”

Murphy also honored former Lt. Gov. Sheila Oliver and Joe Fiordaliso, the former president of the Board of Public Utilities, both of whom died suddenly last year. He also hailed Casey McIntyre, a Teaneck native who raised more than $1 million online to help other families pay off medical debt before she died of ovarian cancer in November.

Up next?

Looking forward, Murphy outlined a new plan to improve literacy rates through phonics-based instruction and emphasized his commitment to universal preschool. To date, the administration has helped more than 14,000 kids enroll in preschool, he said. Murphy has previously committed to making full-day, high-quality preschool available to all three- and four-year-olds in New Jersey.

Murphy also reiterated his clean-energy goals without mentioning climate change by name or Ørsted, the Danish company that pulled out of the two offshore wind projects it had in the works for New Jersey in October, complicating the state’s plans to wean itself from fossil fuels. The state is still striving to be using 100% clean energy by 2035, he said, something environmental advocates continued to welcome.

“This is not just about doing what is right for our planet. This is also about creating a generation of good-paying jobs in the industries that will — literally — power our future, like offshore wind and solar,” Murphy said.

— Hannah Gross contributed to this story.