This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Christie's $32.9B NJ Budget Expands Medicaid

Christie proposed adding $40 million to the current-year budget to cover Sandy-related expenses not reimbursed by the federal government.

"This will ensure that we can move ahead with maximum speed, and that those things that fall through the cracks will not bankrupt families, businesses and local governments," Christie said.

Christie's budget abandons the 10 percent tax break he proposed last year that the Democratic-led Legislature refused to go along with. Christie and all 120 members of the Legislature face re-election in November.

His likely challenger, Sen. Barbara Buono, said afterward that Christie's priorities "are wrong for New Jersey." She said the budget does not address the state's persistently high unemployment rate, which was 9.6 percent in December, more than a full percentage point above the federal rate.

The proposed budget adds nearly $100 million to public education and allocates $2 million for a project to allow 200 low-income students in failing public schools scholarships to attend school elsewhere. A similar proposal has stalled in the Legislature, in part because it permits the taxpayer-funded scholarships to be applied to private and parochial school tuition.

The budget also expands the Medicaid rolls by 104,000 by allowing the federal government to take over costs, Christie said.

While making it clear he's no fan of the Affordable Care Act, Christie said he decided to accept federal funding.

"Refusing these federal dollars does not mean that they won't be spent. It just means that they will be used to expand health care access in New York, Connecticut, Ohio or somewhere else," Christie said.

Including New Jersey, 22 states and the District of Columbia have signed on to the expansion and 13 states have rejected it so far.

One casualty of the budget proposal is homeowner tax rebates. Senior, disabled and low-income homeowners expecting rebate credits in May would instead see them in August. The deferral would allow the state to cover a projected $407 million shortfall in the budget that expires in June. New Jersey's constitution doesn't allow deficit spending.

2 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs