Murphy calls for tax incentive reform after EGS hearing

Gov. Phil Murphy called on lawmakers to implement his tax incentive reforms following Thursday’s hearing of the Select Committee on Economic Growth Strategies.

“The economic experts the Senate relied on during yesterday’s hearing confirmed what I’ve been saying for over three years: The old system of incentives wasted far too much taxpayer money and created far too few jobs,” Murphy said. “That is exactly why I issued a conditional veto to stop a status-quo extension of these programs and institute much needed reforms.”

The governor conditionally vetoed a seven-month extension of two troubled tax incentive programs last month. He telegraphed the veto for months, saying he would strike down the bill absent reforms.

At Thursday’s EGS Committee hearing, tax incentive experts offered recommendations, like spending caps and increased oversight, that largely aligned with Murphy’s own.

“Taxpayers, and businesses, deserve better. I have put forward a plan to bring our incentives program under control through workable spending caps, and to provide both genuine accountability and a real focus on creating new jobs,” Murphy said. “My plan will put the needs of our communities and economy ahead of an indefensible and unsustainable status quo that failed to create jobs. And, it can be voted on immediately.”