Business groups applauded Gov. Phil Murphy’s pledge not to raise taxes this year, but they wanted more from his State of the State address. Both the New Jersey Business & Industry Association and the State Chamber of Commerce are calling for Murphy to release more federal COVID-19 relief dollars to businesses that are still struggling. Chamber president and CEO Tom Bracken said the small-business sector is the backbone of New Jersey’s economy and it’s still hurting. (Bracken is a member of the NJPBS board of trustees.) During the address, which was released Tuesday, Murphy touted tax cuts he’s made, but business groups say New Jersey’s taxes are still too high.
In the past year, inflation, as measured by the government’s consumer price index, rose 7%. That is the fastest pace since 1982 and it’s increasing expenses for households and businesses. For example, prices of used cars are 37% higher than a year ago. Gas, food and shelter all cost more. Restaurants say they’re raising prices or, as Domino’s said this week, they are cutting back on promotions. COVID-19 gets some of the blame for all of this as workers call out sick. Shortages of some products are also pushing up prices.
The push to develop clean energy through offshore wind got a boost Wednesday. The federal government announced plans for an auction of 488,000 acres off the coast of New Jersey and New York. The auction in late February will allow offshore wind developers to bid on six lease areas — the most areas ever offered in a single auction.
