TRENTON – Senator Joseph Cryan (D-Union) issued the following statement in support of the executive order issued today by Governor Phil Murphy directing the State Comptroller’s Office to complete a performance audit of the New Jersey Economic Development Authority’s tax incentive programs.
Senator Cryan is the sponsor of legislation (S1052) creating the ‘Economic Development Incentive Review Commission’ to perform an annual review of the individual rewards issued under the state’s incentive programs, and an overall evaluation of the programs themselves, among other requirements:
“I applaud the governor for taking swift action to evaluate the state’s tax incentive programs, which have provided billions of dollars in tax credits to companies over the last eight years. Taking stock of these programs and whether the incentives have produced economic development and jobs as intended is critical to determining how they should operate going forward.
“Creating jobs and economic growth is the highest priority for all of us, but we have to make sure that is, in fact, being achieved by the tax incentive programs. According to Pew Charitable Trust, there are currently 28 states in front of New Jersey leading the charge on reforming their incentive programs. This Executive Order is a great first step in the right direction.
“I am sponsoring legislation to create a standing commission to conduct regular reviews of the state tax incentive programs, with the goal of creating a long-term solution to better understand New Jersey’s incentive program moving forward. This commission would also provide recommendations for improvements to the programs. All of this is critical to making sure the programs are operating effectively, transparently and meeting their stated goals.”