TRENTON — To further address the ongoing fiscal disruption and uncertainties caused by COVID-19, Governor Phil Murphy today signed Executive Order No. 137, rescinding Executive Order No. 73 (2019), which directed the Department of the Treasury to achieve a $1.276 billion surplus by the end of this current fiscal year.
“No one has been more committed to restoring our state's fiscal foundation than I have,” said Governor Murphy. “We have spent the past two years working nonstop to build surpluses and put money aside for a rainy day fund. However, in the absence of significant federal assistance, we are on the brink of having to make very tough fiscal decisions, and a $1.28 billion surplus for this fiscal year is no longer realistic.”
“New Jersey is not alone in dealing with unprecedented budget challenges right now as this crisis continues to unfold,” said Treasurer Elizabeth Maher Muoio. “Building our reserves to responsible new heights was one of our paramount fiscal goals. However, COVID-19 handed us an entirely new reality. Absent additional federal funding and a substantive borrowing facility, our foremost priority now is ensuring sufficient cash flow to meet this health crisis head on while also meeting our basic obligations.”
The executive order states the following:
The Governor’s executive order also authorizes and directs the State Treasurer and the Director of the Division of Budget and Accounting to continue, update, and expand, as necessary, their ongoing actions and activities in response to the COVID-19 pandemic.
The Order will take effect immediately.
A copy of Executive Order No. 137 can be found here.