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NJ Governor Phil Murphy Heads to Washington Looking for a Federal Bailout

the staff of the Ridgewood blog

Trenton NJ, Governor Phil Murphy is scheduled to visit the White House this morning to meet with President Donald Trump as New Jersey seeks federal help to cope with the health and economic crisis of the coronavirus pandemic.

Governor Murphy and  several other governors are asking for hundreds of millions of dollars in federal aid for state and local governments to help balance budgets in the face of untold lost tax revenue because of the virus. The bipartisan National Governors Association is asking Congress to approve $500 billion in aid.

Murphy has warned  and the Ridgewood blog reported  of mass public-worker layoffs in New Jersey if that doesn’t happen.On Wednesday, no surprise the credit-rating agency S&P Global Ratings revised the state’s credit outlook to negative.

“We’re desperately in need of money,” Governor Murphy said during his daily press briefing earlier in the day, while also stressing that all states, not just Democratic-leaning ones, need funds.

According to the Trump Administration ,New Jersey already received $18 billion in federal assistance, but the U.S. Treasury Department said the money could be used for only for coronavirus-related expenses. Murphy of course says he also hopes to have those guidelines relaxed.

Treasury Secretary Steven Mnuchin said states that had poorly managed budgets before the Covid-19 outbreak sent their economies reeling should not be rescued by the federal government.

“This isn’t just going to be a federal bailout of the states,” Mnuchin said early Tuesday on CNBC. “States that had specifically large expenses because of the coronavirus, like New York and New Jersey, it was the right thing that the federal government gave them money.”

He said he approves of local governments using coronavirus funding to enforce public safety through law enforcement, but not for revenue lost because of the economic shutdown or “states that were mismanaged” before the pandemic hit.

President Donald Trump on Monday appeared to align himself with Senate Majority Leader Mitch McConnell, who has said Congress shouldn’t debate relief to cash-strapped states until lawmakers reconvene next week.

In a Monday morning tweet, Trump echoed controversial comments made last week by Senate Majority Leader Mitch McConnell, who insisted that hard-hit states like New York declare bankruptcy rather than receive federal aid.

“Why should the people and taxpayers of America be bailing out poorly run states (like Illinois, as example) and cities, in all cases Democrat run and managed, when most of the other states are not looking for bailout help? I am open to discussing anything, but just asking?”

16 thoughts on “NJ Governor Phil Murphy Heads to Washington Looking for a Federal Bailout

  1. They almost kissed each other.

  2. I must say I watch the whole Meeting word from word ,it went very well, it’s nice to see that the governor has a very good rapport with the president. Which in that aspect means the president is behind New Jersey financially thank you. Stay healthy

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  3. The TDS element of NJs Dems (pretty much all of them) must have been hurling objects at their TVs, watching their Governor kissing Trump’s butt.

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  4. Or we could could fire greedy public sector workers and diminish their excessive benefits?

    Which are killing already taxed out private sector workers who don’t get nearly the same level of pension & healthcare benefits?

    Remember Gov. Murphy is a union puppet. Trump knows that.

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  5. Trump almost instantly tweeted the good things Murphy said. Remember Fatso Christie hugging Obama?

  6. That was a layup for Trump. “Luv you Guv”! Nothing will come out of it except bankruptcy for this once great state that has been destroyed by union greed while everyone else in Trenton and the municipalities genuflected.

  7. Yes, the same Fatso Christie who tried to save NJ. He made some progress but the NJ swamp maintained the downhill path.

  8. Or we could could put a 70% tax on the income of the greedy Wall Street retirement fund managers that the taxpayers bailed out in 2008 after they collapsed the United States economy.

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  9. I listen anyone go to became a teacher, police, fire, Sanitation marker, it’s your choice. If you would like to go work in the office in New York City that’s your choice. Enjoy and wash or hands

  10. Guess what people New Jersey will not go bankrupt in the story.

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  11. Classic Trump: “sure Murphy, whatever you need, anything at all.”

    Reality: If you need anything, please call Mitch McConnell, he’ll sort it out for you in Congress. And have fun being the first state to file for bankruptcy , those people who’s votes you bought won’t be happy seeing their pensions and benefits diminished! Give my best to Steve Seeeney!

  12. Police and Firefighters will not see their pensions and benefits diminish when the state goes bankrupt. As of 2018 New Jersey can no longer use (steal) our pension money since they are no longer in control of our Pension.

    New pension law giving control to N.J. firefighters and police scorned by Wall Street

    Murphy, a Democrat, signed the law on July 3, 2018 allowing the pension system for police and firefighters to split from the broader pension system for teachers and other state workers.

    The unions have long desired control over their pension fund, which they say the state has mismanaged.

    The police and firefighter unions had feared lawmakers might someday pool assets to shore up those ailing funds and have disagreed with the state’s investment strategy, namely its push into high-cost hedge funds.

    The portion funded by counties and municipalities, which are required to make full contributions annually, is 73.1 percent funded, according to the state’s statutory funding data. The smaller portion funded by the state, which has skipped or shorted contributions for more than two decades, is 41.8 percent funded.

    https://www.nj.com/politics/2018/07/credit_rating_agency_says_new_police_fire_pension.html

    ……..So go ahead and keep hoping the state goes bankrupt Charlie Slime. I will not care if it does.

  13. It’s not gonna happen.

  14. Murphy, Como, Trump, will win again. They’re doing a great job nobody can’t say they’re not. During all this.

  15. You know exactly who the union slobs are on this thread…they can’t even put a sentence together.
    And to the rest of you “not gonna happen “ and
    “We turned control over to the union” idiots good luck…
    Your going to need it.

  16. We don’t need good luck. Just by getting rid of the overpriced over paid piggy 🐷 fund managers and getting rid if hedge funds the PFRS investments have been doing great.

    And if the state of New Jersey goes bankrupt it will not change the PFRS at all. I know that fact alone will drive you crazy 😜

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