Gov. Phil Murphy spoke to business leaders and elected officials Thursday night at the Walk to Washington banquet — the eighth time he has done so during his administration.
And while Murphy again vowed to “run through the tape” and work hard until his final day, even he acknowledged the legacy question that comes at the end of every administration.
For Murphy, it will be a complicated question.
Any review of his administration will start with his handling of COVID — a judgment which may be based more on someone’s political bent than the facts of the case (we’ll leave that one right here).
His push for clean energy — and for the state to achieve 100% clean energy by 2035 through a combination of solar and offshore wind programs combined with electric vehicles on the road — never seemed like a realistic possibility.
The beginning of the second Trump administration in this town certainly has ended any hope for success there — though only time will tell if the view of Murphy or Trump was the correct vision.
For this crowd, judging his pledge to create “a stronger and fairer” economy may be the fairest metric of his legacy.
Murphy offered his take.
“The recent data points are encouraging,” he said, announcing the state finished in the top 10 percentage population growth of all American states year over year — and that more people are employed in more businesses than ever before in our history.
Murphy talked about the state’s effort to support small businesses, saying N.J. has put more than $1 billion toward that effort, a total topped by only the larger California and New York.
He talked about the state’s strategic innovation centers in which the state has partnered with higher education and the private sector to build pathway to success — the latest being announced just last week at Princeton, where the university will work with Microsoft and CoreWeave on an AI hub that could dramatically shape the state’s future.
Murphy even offered his bumper-sticker line.
“Every state has a bumper sticker: Ours is the No. 1 state in America to live, work and raise a family,” he told the crowd.
But is it the best place to have a business?
Murphy’s relationship with the business community always has been layered and — as is the case in every state — begins with the tax rate.
Some gave him a pass for adding a “temporary” 2.5% surtax on businesses that made at least $1 million in annual profits — giving N.J. the highest corporate business tax in the country.
And while the business community praised him for allowing the tax to sunset at the end of 2023 — they were stunned when it was seemingly replaced by a “corporate transit fee” he introduced weeks later.
So, what is his legacy?
An unofficial ROI-NJ survey on the train trip down showed a variety of answers.
Some may be surprised to learn that Murphy’s economic vision was by far the top response, with many pointing to his strategic innovation centers and other efforts.
“The efforts of most governors can quickly be undone by the next administration – these can’t be,” one rider said. “And they could have a huge upside years after leaves office.”
The second-highest selection was something that was never brought up during the speeches at the event: Murphy’s determination to make a full pension payment, something the state will do for a fifth consecutive year in 2025.
That impact will be felt long after Murphy has left office, a rider said.
“He’s reversed a trend,” the person said. “The next governor can no longer fail to meet this obligation, saying he or she is simply following the lead of others. Now, they will have to follow Murphy’s lead.”
Then there’s this: When given a chance to rate Murphy’s impact on the business community on a 1 (bad) to 5 (great) scale, 20 percent gave the governor a “5” while 80% gave him a score of 3 or better.
But, when asked if the state is headed in the right direction, the more than four dozen respondents were split at a perfect 50%-50%
State Chamber CEO Tom Bracken has long pushed Murphy on issues for the business community — as he should.
On Thursday, he praised Murphy for creating an Economic Council that will bring elected officials and leaders in the business community together on a regular basis — something Bracken certainly hopes will be a legacy that the next administration continues.
Ralph LaRossa, the chair and CEO of PSEG and Choose New Jersey, the state’s nonprofit business attraction organization that has had extraordinary success during Murphy’s tenure, praised the governor for something else: His spirit.
“I never thought I’d run into anybody who cared about the state as much as I do,” he said. “And there is no if ands or buts about it: When we work together on Choose New Jersey and the work that we do attractive businesses here, day in and day out, there is no bigger cheerleader for the state than Gov. Murphy.”
Bracken seconded that emotion.
“I think he has projected a great image for our state internationally – and a great image for state domestically,” he said. “That could have impact for years. The same goes for the Economic Council. That could lead to something that unlocks a lot of opportunity for business.”
