New law will save businesses $25

Legislation sponsored by Sens. Carmen Amato (R-Little Egg Harbor) and John Burzichelli (D-Paulsboro), along with Assemblyman Roy Freiman (D-Hillsborough), aimed at reducing business filing fees and lowering the cost of starting a business in New Jersey, has been signed into law by Gov. Mikie Sherrill.

The bill, S4534, lowers business formation fees by $25. The initial registration fee will decrease from $125 to $100 for for-profit businesses and from $75 to $50 for not-for-profit businesses.

The measure passed the General Assembly by a 78-vote margin. Alex Sauickie (R-Jackson) did not vote, while Gerry Scharfenberger (R-Middletown) abstained. It then passed the State Senate unanimously.

The swift, bipartisan passage of the legislation reflects broad agreement on an all-of-the-above approach to affordability, even as the measure addresses only a small part of New Jersey’s broader affordability crisis.

Some legislators criticized the bill’s narrow scope as insufficient in the face of broader issues facing the business community in New Jersey.

Assemblyman Mike Inganamort (R-Chester), who serves on the Assembly Budget Committee, voted for the bill in committee and again on the floor. During committee deliberation, he poked fun at the measure by contrasting it with other policies he believes have had a greater negative impact on the state’s business climate.

“I have to come clean; I have to say there was a moment when I thought the 25-year Democratic majority in Trenton had a bit of an anti-business streak: the highest business taxes in America, the corporate transit fee you added last term, the three business taxes you’ll be passing tonight, all things that drive business taxes in New Jersey,” said Inganamort.

Inganamort then sarcastically suggested that the bill represented a broad-scale change in New Jersey’s business climate.

“But then this bill came along, which is going to save businesses $25 per year, and I said to myself,’ This is fantastic, they finally get it,’” he said

“So I really think this is a sea change in New Jersey politics; I’m glad to be here to witness it. Let’s stop businesses from fleeing New Jersey; let’s save them 25 bucks. I’m a big yes,”the .” The Morris County Republican stated. exclaimed. 

Republicans have criticized some of the measures the Democratic-controlled Legislature and Gov. Sherrill have taken to combat the state’s affordability crisis as gimmicks that do not address its root causes.

Still, Amato believes the bill is a step in the right direction.

“This law removes an unnecessary cost for businesses and is a step toward creating a more welcoming environment for employers and job creators,” Amato said in a statement.

Despite criticisms from Republican lawmakers, this bill’s rapid passage reflects a willingness among a Vast Bipartisan Majority of the legislature to vote for even a small-scale solution to the state’s affordability crisis.