| | | | |  | | By Matt Friedman | Presented by McDonald's | Good Friday morning! There’s plenty of blame to go around for the House’s refusal to pass SALT. The issue is back on the table in New Jersey politics after Democrats and a small group of Republicans on Wednesday night tanked a rules vote that would’ve allowed them to vote on legislation in which a married couple could increase their state and local tax deduction from $10,000 to $20,000. While many New Jersey Democrats have long pushed for the state and local tax deduction’s restoration, this vote would have also allowed the House to consider an anti-Biden resolution. Sue Altman, now the presumptive Democratic nominee against freshman U.S. Rep. Tom Kean Jr. in the 7th District, quickly criticized Kean — a sponsor of the restoration bill — for failing to “deliver tax relief for NJ.” Kean’s campaign in a press release called Altman’s statement “deranged” and blamed New Jersey Democrats for “standing in the way.” Most if not all New Jersey Democratic and Republican members of Congress — especially the ones who represent wealthy districts — want the higher SALT cap restored. But the politics aren’t the same with their out-of-state colleagues. It was Republicans, as Altman’s statement noted, who reduced the cap to $10,000 in 2017, when their party controlled the White House and Congress. It was clearly a whack at high tax blue states, and it hit the hardest in the well-off suburban region that turned against Republicans in the Trump era. But Democrats held the White House and Congress from 2021 to 2023, and they never managed to pass it either. Kean’s campaign highlighted a 2022 tweet from Altman in which she criticized U.S. Reps. Mikie Sherrill and Josh Gottheimer over a “sharp turn away from the party and Biden/Pelosi” because they said they’d refuse to back tax increases in the Inflation Reduction Act without SALT relief. (Altman spokesperson Anthony Campisi said it was clear at that point that the SALT deduction wasn’t going to make it out of Senate negotiations and Altman “wasn’t willing to let the perfect be the enemy of the good and wanted to pass as much of President Biden's agenda as possible.") There are many Democrats — especially progressives — who hated Trump and his tax cuts, but not enough to come around to the idea of helping homeowners with property nice enough to pay property taxes that are higher than average, even in New Jersey. There are also Republicans happy to stick it to the blue states. Now it looks like the big fight over SALT will be pushed to 2025, when the cap is set to expire. So it looks like it’s set to remain a big issue throughout this year’s election. TIPS? FEEDBACK? Email me at mfriedman@politico.com QUOTE OF THE DAY: “Let’s remember Hamas started this.” — Gov. Phil Murphy after being ambushed by Gaza protesters. PROGRAMMING NOTE — New Jersey Playbook will be off on Monday for Presidents Day. HAPPY BIRTHDAY — Eash Haughton, Steven Nagel, Raine Cusgelio. Saturday for Sean Conner, Mike Mignogna, Ron C. Rice. Sunday for Brian Rock, Jonathan Sternesky. Monday for Sadaf Jaffer and Jonathan Pantano. WHERE’S MURPHY? — No public schedule. | | | | A message from McDonald's: From 2021 to 2022, the McDonald’s System contributed over $830 million to New Jersey’s economy, supporting over 17,000 jobs statewide. McDonald’s presence in local communities throughout New Jersey generated nearly $150 million in federal, state and local tax revenue, providing funding for public schools, infrastructure, parks and more. Learn more about McDonald’s impact on local communities in New Jersey and nationally by visiting https://www.mcdeconomicimpact.com/state-impacts/nj. | | | |  | WHAT TRENTON MADE | |
THE NUCLEAR OPTIONS — New Jersey nuclear power plants to switch from state to federal subsidies, by POLITICO’s Ry Rivard: The owners of New Jersey’s nuclear power plants are no longer seeking controversial state subsidies because of new federal tax credits. New Jersey currently spends $300 million a year to subsidize Public Service Enterprise Group Inc.’s three nuclear plants, a move that drew some criticism early in the Murphy administration and a legal challenge … During a BPU board meeting Wednesday, an agency staffer said PSEG and a co-owner of two of the plants — Constellation Energy Generation, formerly known as Exelon Generation — had withdrawn paperwork seeking the state money late last year. PSEG confirmed the move in a statement, pointing to guidance from the federal treasury department about the so-called production tax credits and how they could be used to replace the state’s so-called zero emissions credits.
SAILY AWAY, SAILY AWAY, SAILY AWAY — NJ Democratic State Committee executive director departs, by POLITICO’s Matt Friedman and Daniel Han: New Jersey Democrats’ top staffer is departing. Saily Avelenda, who’s been executive director of the Democratic State Committee since February 2020, plans to do political consulting work outside the party apparatus. “Four years is a long time. It’s time to hand the reins over to a new generation of female leaders. I appreciate the opportunity Chairman [John] Currie gave me and Chairman [LeRoy] Jones continued to give me,” Avelenda said in a phone interview. "I’m proud of the work we did to help elect Democrats in New Jersey." … Her departure comes during a heated Democratic U.S. Senate primary between Rep. Andy Kim and first lady Tammy Murphy … Leslye Moya, the party’s deputy director, and Kinn Badger, its coalition director, will take over as co-executive directors under Jones. STOP ME IF YOU’VE HURD THIS ONE BEFORE — “Ethics charges against N.J. judge for remote work issue are ‘a joke,’ colleagues say,” by NJ Advance Media’s Kevin Shea: “The Mercer County judge charged with violating court rules for allowing his secretary to work remotely when ineligible to do so said in a formal response that his decision was, ‘at best, an honest mistake.’ A state committee earlier this month accused Superior Court Judge Douglas H. Hurd of ‘abusing the power and prestige of his judicial office’ for the benefit of his secretary, who he allowed to work remotely periodically for five or six months in 2022 … The initial complaint said Hurd allowed his secretary to work remotely for five or six months, and his response says it was, “approximately 3 to 6 days in the course of a month … Also weighing in on the charges is former Mercer County Superior Court Judge Bill Mathesius, who is friendly with Hurd and was so stunned when he learned of the complaint, ‘I thought it was a prank, a joke, or a deepfake.’” —Murphy announces how NJ will spend $95M in opioid settlement money to address crisis —“Democrats dominate in getting bills to become laws, with leadership snagging the most wins” —“Federal appeals court affirms retired law enforcement officers’ right to carry guns” —O’Toole: “We deserve a new Midtown Bus Terminal worthy of the people of NJ, NY” —Siekerka: “NJ must not become an extreme national outlier for corporate taxes. Here's why” | | | | DON’T MISS POLITICO’S GOVERNORS SUMMIT: Join POLITICO on Feb. 22 to dive into how Governors are wielding immense power. While Washington remains gridlocked, governors are at the center of landmark decisions in AI and tech, economic development, infrastructure, housing, reproductive health and energy. How are they setting the stage for the future of American politics, policies and priorities? How are they confronting major challenges? Explore these questions and more at the 2024 Governors Summit. REGISTER HERE. | | | | | | | BIDEN TIME | |
THE TROJAN PEACE — “Peacemaker Troy Singleton working on deal for Murphy, Conaway to share Burlington line,” by New Jersey Globe’s David Wildstein: “Burlington County Democrats are considering a peace plan to allow two local lawmakers seeking an open congressional seat to share the organization line, a deal that could be extended into the U.S. Senate primary. Several sources with direct knowledge of the discussions confirmed that Senate Majority Whip Troy Singleton (D-Delran) is trying to hold off a civil war by including his two Assembly running mates, Carol Murphy (D-Mount Laurel) and Herb Conaway (D-Delran), on the county line … Party leaders are optimistic that there is a pathway to a peace accord before the Burlington County Democratic Convention on February 24. If the deal occurs, it will be in the next 48 hours. Democrats are also considering putting the two leading candidates in the U.S. Senate primary, Kim and Tammy Murphy, on the line together. Kim is regarded as the odds-on favorite to win the convention.”
THE REBEL ALLIANCE — “Solomon promoting Bhalla and Kim meet and greet in Downtown Jersey City,” by Hudson County View’s John Heinis: “Jersey City Ward E Councilman James Solomon is promoting a downtown meet and greet with U.S. Rep. Andy Kim (D-3), a Democratic candidate for U.S. Senate, and Hoboken Mayor Ravi Bhalla, a Democratic candidate for Congress (D-8). ‘I want to invite you to an event to meet two stellar candidates for federal office: Congressman Andy Kim running to be our next Senator and Hoboken Mayor Ravi Bhalla running to be the next Congressman in the 8th Congressional District,’ Solomon wrote in an email blast today. 'It is so rare in Hudson County that we get truly competitive elections; when we can tell the bosses who are elected officials will be, not the other way around.’” DEJCIPLINE — “Jersey City PD suspended 12 cops in 2023, 1 gave up job after domestic assault,” by Hudson County View’s John Heinis: “Det. Dejon Morris, a board of education trustee, was suspended for 90 days in November, and while he apologized, he said he still planned to serve in his elected post … For the first time, the major discipline report sheds some light on the details of what the suspension was for. ‘On 2/19/2022, Det. Dejon Morris neglected his official duties by failing to secure video evidence of a crime involving a stabbing,’ the incident description says. ‘He failed to notify his supervisor of evidence requiring collection and failed to transport the victim of a crime. Det. Morris also spoke in a discourteous, arrogant and condescending manner to the complainants.’” GLASS CITY — “46 Stories, 579 Units Considered for Downtown Newark,” by TAPIntoNewark’s Matt Kadosh: “A proposed 46-story building with apartments and retail space could replace vacant commercial buildings in an historic part of downtown Newark close to Prudential Center. The proposal for ‘Newark Summit Tower,’ a 46-story mixed-use building with 579 residential units would come to 200-204, 206-208 Market St., according to the application from Prudential Point LLC, which is scheduled to be presented to the Zoning Board of Adjustment on Thursday, Feb. 22.” 22.2 MASTROS — “Arts center to expand with apartments, shops, offices due to $200M tax credits from state,” by NJ Advance Media’s Steve Strunsky: “The state economic development agency awarded $200 million in tax credits to the New Jersey Performing Arts Center this week to create additional apartments, performance and educational space, shops and offices surrounding NJPAC in downtown Newark. The New Jersey Economic Development Authority said Monday that the credits would help create a 350-unit, 385,000-square-foot apartment tower with 10,500 square feet of office space and another 12,600 square feet for retail. The credits will also help finance creation of the Cooperman Center, a 53,000-square-foot arts education facility and community center, and the renovation of an existing Episcopal Church official building for additional education space” —Press release: “Booker joins 24 senators in support of ongoing U.S. diplomacy to free hostages, restore mutual ceasefire agreement in Gaza” —“New filing alleges Menendez urged NJ mayors to use lab with ties to his wife for COVID testing” —“An interview with Bonnie Watson Coleman” | | | | A message from McDonald's:   | | | | | LOCAL | |
WEST MILFORD — "Councilman accused of inappropriately touching woman at N.J. home," by NJ Advance Media's Nicolas Fernandes: "A New Jersey councilman is facing criminal charges after it was alleged he inappropriately touched a woman at a residence in North Jersey. Matthew P. Conlon, 32, a West Milford councilman, was charged by complaint on Thursday with fourth-degree criminal sexual contact and harassment, a disorderly persons offense, according to the Passaic County Prosecutor’s Office. A woman reported that Conlon touched her intimate parts in an unwelcomed manner at a home in West Milford on February 4, officials ... According to his since-deleted LinkedIn profile, Conlon worked as Chief of Staff to Republican state [Assemblymember] John V. Azzariti, Jr. ... 'Matt Conlon no longer works in my office. I have no further comment,' Azzariti wrote in an email to NJ Advance Media."
TOMS RIVEN — “'Circus' at Toms River council meeting cutting police jobs as speakers get booted,” by The Asbury Park Press’ Jean Mikle: “Township Council members voted 5 to 2 Wednesday afternoon to adopt a controversial police staffing ordinance that cuts two police captains' positions to fund eight emergency medical technicians' jobs … The council took action at the start of a raucous meeting that lasted more than four hours and included angry exchanges between Mayor Daniel Rodrick, who favored the ordinance, and two of his critics. Rodrick has repeatedly said that a lack of EMTs is a "life-and-death issue" and that cutting the captains' jobs will save $700,000 in salaries and benefits, allowing the township to fund the new first aid responders. ‘The constituents in my ward have been crying out for ambulance service for some time now,’ said Lamb, who represents the barrier island area. ‘… The last mayor, Mayor Mo Hill, refused to respond.’ … Two residents, Paul Williams and Philip Brilliant, were escorted out of the meeting by police.” HUDSON DEMOCRATIC BOSS EXPLORES NOVEL CONCEPT OF DEMOCRACY — “Sphinx-like Sacco makes his move,” by InsiderNJ’s Max Pizarro: “Amid a lot of tugging by the Hudson County political classes at Sacco and his Union City alter ego, Brian P. Stack, in the vicinity of the developing Jersey City mayoral drama, Sacco apparently cleared things up this week. Stack picks former Governor James McGreevey to succeed Steven Fulop. People around the neighboring North Bergen Mayor are nudging Sacco toward Hudson County Commissioner Bill O’Dea to succeed Fulop. That would put Sacco on a collision course with Stack … Not so fast, says a source close to Sacco. What the North Bergen Mayor said to his inner circle after the dinner went something like this: ‘I say, let the people of Jersey City decide.’ Meaning? ‘Nick is now neutral in the mayor’s race,’ a source told InsiderNJ. ‘He had previously endorsed McGreevey but is concerned about Middlesex taking over the HCDO with Brian.’” —“Vanishing beach in [North Wildwood] has some residents rethinking their plans” —“Ex-[Ridgefield Board of Education] business administrator claims she was fired over concerns on grants, funding” —“Burlington commissioner won’t seek re-election” —“Paterson officials silent on convicted cop Kevin Patino’s future job status” —“Brick religious school group wants to use chapel's classroom, but neighbors object” | | | | YOUR GUIDE TO EMPIRE STATE POLITICS: From the newsroom that doesn’t sleep, POLITICO's New York Playbook is the ultimate guide for power players navigating the intricate landscape of Empire State politics. Stay ahead of the curve with the latest and most important stories from Albany, New York City and around the state, with in-depth, original reporting to stay ahead of policy trends and political developments. Subscribe now to keep up with the daily hustle and bustle of NY politics. | | | | | | | EVERYTHING ELSE | |
THE SINS OF THE FATHERS — “Sex abuse claims against clergy cannot be ducked by insurers, victims argue,” by NJ Advance Media’s Ted Sherman: “The insurance carrier argues that abuse cases were not ‘Accidents,’ but rather conduct tolerated or hidden for decades by the Church … [A]dvocates and lawyers representing Doe 68 and others who have filed suit against the diocese believe Century Indemnity Co., a unit of Chubb Insurance that contains legacy liabilities, is essentially seeking to evade paying out what could be millions in claims … ‘It’s appalling,’ said David Catalfamo executive director of the Coalition for Just and Compassionate Compensation, a Washington-based advocacy group of survivors of child abuse, their representatives, and others that was formed in the past few months to put a spotlight on the issue. ‘Folks who have come forward, bared their souls, and we come to this,' he said.”
DEUTSCH — “He took lavish trips, stayed at high-end hotels on the company’s dime in $1.5M fraud, AG says,” by NJ Advance Media’s Ted Sherman: “The former chief financial officer of one of New Jersey’s biggest law firms — fired last year after it was discovered he allegedly paid himself huge bonuses and charged tens of thousands of dollars in hotel stays and high-end vacations on a company American Express card — was indicted Wednesday on charges he embezzled more than $1.5 million from the partnership and evaded state income taxes on that money. John Dunlea, who had served as CFO as well as the chief operating officer of McElroy, Deutsch, Mulvaney & Carpenter of Morristown, was charged by the state Attorney General’s office with two counts of theft by deception and five counts of failure to pay tax in connection with the alleged fraud. The 61-year-old Westfield resident had been with the firm for more than 20 years.” HEADHUNTED TO HEAD HUNTER — “Rutgers-Newark chancellor to head CUNY’S biggest campus,” by NJ ADvance Media’s Steve Strunsky: “Nancy Cantor, the popular chancellor of Rutgers University-Newark who was let go by the Rutgers president without explanation, has been hired as the new president of Hunter College in Manhattan, part of the City University of New York system, Cantor and CUNY said this week … Rutgers faculty, city and state elected officials, and other members of the Newark and campus communities have previously said they either didn’t understand or disagreed with Holloway’s decision to not to renew Cantor’s contract.” —“First hearing on controversial $10.7B Turnpike widening project coming to Newark” —“2 tanker trains carrying 28,000 gallons of ethanol derail in Linden; no injuries” —“The state’s case fell apart. The accused killer accepted plea, could be free in 3 years” | | | | A message from McDonald's: McDonald’s is an economic engine for the state of New Jersey, contributing over $830 million to our state’s economy, directly employing nearly 13,800 New Jerseyans and supporting an additional 3,200 jobs statewide. It’s also an engine of opportunity: 1 in 8 independent McDonald’s operators in New Jersey began their careers as restaurant crew members, generating wealth for their families and local communities. We are proud to support New Jersey through public schools, parks and more from the nearly $150 million in federal, state and local tax revenue generated by the McDonald’s System’s activities. And thanks to the generosity of McDonald’s customers and owner/operators, the $660,000 raised through Ronald McDonald House Charities in 2022 provided over 6,600 overnight stays for families with children receiving medical care in New Jersey. Learn more about McDonald’s impact on local communities in New Jersey and nationally by visiting https://www.mcdeconomicimpact.com/state-impacts/nj. | | | | | | | Follow us on Twitter | | | | Subscribe to the POLITICO Playbook family Playbook | Playbook PM | California Playbook | Florida Playbook | Illinois Playbook | Massachusetts Playbook | New Jersey Playbook | New York Playbook | Ottawa Playbook | Brussels Playbook | London Playbook View all our political and policy newsletters | | Follow us | | | | |
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