Gov. Phil Murphy delivered his eighth and final State of the State address Jan. 13, saying New Jersey was “stronger and fairer” than when he took office in 2018.
Murphy is the first Democrat to serve two full terms as governor since Brendan Byrne (1974-1982). Murphy is term‑limited and will leave office on Jan. 20, when Gov.‑elect Mikie Sherrill is scheduled to be inaugurated.
Murphy spoke before the 222nd Legislature at the State House, presenting an overview of economic, social and fiscal policies enacted since he first took office in 2018. He emphasized increases to the minimum wage, property tax relief in one of the nation’s highest-taxed states, innovation, abortion rights, and touted the emergence of the film and television industry on his watch.
“Together, we have built a New Jersey that is stronger and fairer than ever before,” Murphy said, returning to the theme repeatedly. “We were who we said we’d be, and we did what we said we’d do.”
Murphy credited legislative leaders such as Senate President Nick Scutari and Assembly Speaker Craig Coughlin, and former CEO of the New Jersey Economic Development Authority Tim Sullivan, for helping advance his agenda.
The speech did not break any news, nor did it introduce major new policy proposals.
On economic policy, Murphy cited doubling the minimum wage and said New Jersey had the fastest-growing economy in the Northeast, while touting New Jersey as the “quintessential organized labor state.” He defended the millionaires tax as part of a fairness agenda.
Murphy talked about property tax relief, positioning it as a major achievement of his administration. ANCHOR Property Tax Relief Program is one part of the property tax relief effort. New Jersey has the highest property taxes in the nation.
He touted fiscal responsibility and cited the nine increases in the state’s credit ratings during his administration. Murphy said his administration “inherited a paltry $409 million surplus, our administration is leaving the next governor a surplus that is more than 15 times greater — at nearly $7 billion.” He said his administration has made the full payment into New Jersey’s pension system five years in a row.
“Fiscal responsibility is not an option — it is an obligation,” he said. “The need to spend within our means, while also paying our long overdue bills, has never been more urgent.”
Murphy took credit for reviving the state’s reputation as a global home of innovation, launching 12 Strategic Innovation Centers to drive breakthroughs in life sciences, fintech, aerospace technology, and beyond – including partnering with Microsoft, Princeton, and CoreWeave to launch the New Jersey AI Hub.
He said the state acted to codify the right to abortion months before the U.S. Supreme Court issued the Dobbs decision and committed to fully funding Planned Parenthood. He said he wanted to make the state “safe for reproductive freedom.” Murphy was proud of his administration’s efforts to put New Jersey on track to free, universal pre-K by creating over 26,000 new seats, and invested more than $1 billion in expanding access to child care.
Murphy also touted the surge in film and television activity, citing Netflix construction of a film production facility at Fort Monmouth, Lionsgate breaking ground for a film and television production complex in Newark and 1888 Studios building a movie studio in Bayonne. The Murphy administration reinstated the Film and Digital Media Tax Credit Program in 2018.
Murphy paid tribute to former Gov. Dick Codey, a public servant for 50 years, who passed away earlier this month, and he cited the first responders for their work during the COVID-19 pandemic that claimed the lives of 35,000 New Jerseyans.
The outgoing governor said the burden of leaders whose mission is never completed. He cited the ongoing attempt to fix NJ Transit as an example. He also expressed concern about the role social media plays in the lives of young people. He said last month, lawmakers in Australia began enforcing a law that bans anyone under the age of 16 from accessing social media. While conceding that could raise issues regarding enforcement, he suggested such a policy would be “the kind of big swing we need to take in New Jersey and as a country.”
Murphy gave a shoutout to his successor, Gov.-elect Mikie Sherrill, calling her “a superhero waiting in the wings.” He said he was grateful Sherrill has also identified children’s online safety as a major priority for her incoming administration.
Murphy describes himself as a “practical optimist.” Among his closing remarks was the sentiment “New Jersey is where the American Dream was born — and it is where the American Dream lives on.”
NFIB New Jersey State Director Eileen Kean reiterated her critique of Murphy’s tenure as governor. “Unfortunately, Governor Murphy did not articulate any specific actions, plans, or reforms that would reduce the steep tax and regulatory burdens the state imposes on New Jersey’s small businesses,” she said.
“The continued strain on New Jersey small business owners’ bottom lines have stifled hiring, meaningful growth, and their very survival. The Garden State’s income and property taxes – both among the highest in the nation – along with the dramatic growth in state spending under the Murphy administration, have made our state one of the least affordable places to grow a business and create jobs.”
