Back
to top

Department of the Treasury


For Immediate Release:
July 3, 2019
For Information Contact:
William Skaggs
(609) 633-6565

Treasury Releases List of Spending Items Placed in Reserve Pursuant to Governor’s Executive Order Designed to Protect State’s Fiscal Health

(TRENTON) - The Department of the Treasury today released the list of spending items in the newly enacted FY 2020 Appropriations Act that have been placed into reserve pursuant to Executive Order No. 73 signed by Governor Murphy on Sunday.

The Executive Order authorized the Director of Treasury’s Division of Budget and Accounting (more commonly referred to as the Office of Management and Budget) to immediately identify, and place into reserve, items of appropriation in an amount sufficient to ensure that the state budget remains in balance while maintaining a responsible anticipated surplus balance of $875 million, as well as a Rainy Day Fund deposit of $401 million.

“As directed by the Governor, we have compiled a list of appropriation items that have been placed in reserve until further notice,” said David Ridolfino, Acting Director of Treasury’s Office of Management and Budget (OMB). “As noted in the Executive Order, the items placed in reserve will help the state maintain the surplus goals outlined by the Governor. Our review, pursuant to Executive Order 73, is ongoing and will continue as new or additional information regarding individual items of appropriation is available.”

The Executive Order (EO) was deemed necessary after the budget passed by the Legislature included up to $235 million in questionable savings items the administration identified as not likely to materialize, as well as initiatives the Legislature added but failed to adequately fund.

The EO laid out the following criteria for consideration by the Director in identifying spending items to be placed into reserve, including, but not limited to: 

  • the amount of the item of appropriation;
  • the likely statewide or localized impact of the item;
  • the history of state support for the item;
  • the timing during the fiscal year of any payment(s) in support of the item; and
  • the ability to delay payment until later in the fiscal year while monitoring overall budget performance.

The Governor’s EO stipulated that items for consideration should not be limited to legislative additions to the budget, but instead include all items of appropriation. It also stipulated that the following spending items should not be considered for reservation: items supporting current state-administered programs, services, and benefit levels, particularly items that relate to the health, safety, or welfare of residents.

After weighing all of these factors, the Director of the Office of Management and Budget (OMB) notified the Governor and Treasurer that appropriation items totaling $235 million have been identified and placed into reserve. In total, either a portion or all of the full amount appropriated for 64 line items were placed in reserve. A full list of those items is included below and a copy of the Director’s letter is attached.

Pursuant to the EO, the Treasurer will monitor whether savings initiatives identified as at risk of non-achievement have actually materialized, and take into consideration monthly revenue collections and other factors, in order to ensure that the estimated Fiscal Year 2020 undesignated fund balance, plus the balance in the Rainy Day Fund, total at least $1.276 billion when added together.

The Treasurer and the OMB Director are authorized to place additional appropriation items in reserve throughout the fiscal year as long as the conditions that necessitate the EO persist. If, upon notification from the Treasurer that amounts in excess of the targeted fund balance are anticipated to be available for expenditure, the Director may release items of appropriation from reserve.

DEPARTMENT

LINE ITEM NAME

RESERVE
AMOUNT
(in 000's)

Agriculture

Hunters Helping the Hungry

$100

Agriculture

Jersey Fresh

$100

Agriculture

NJ Hemp Farming Fund

$500

Community Affairs

Belleville Twp Recreation Program

$125

Community Affairs

Bergen Family Center Teen Center

$120

Community Affairs

Bergenfield Borough Pedestrian Safety Improvements

$50

Community Affairs

East Brunswick Senior Center

$750

Community Affairs

Ewing Twp Roadway Improvements

$1,000

Community Affairs

Fair Lawn Borough Pedestrian Safety Improvements

$50

Community Affairs

Franklin Twp Stream Restoration

$1,100

Community Affairs

Hamilton Twp (Mercer) Fire District Consolidation (PTRF)

$2,000

Community Affairs

International Youth Organization

$100

Community Affairs

Irvington Twp Camp Irvington Repair and Redevelopment

$3,000

Community Affairs

Little Ferry Borough Traffic Study

$50

Community Affairs

Morris Canal Park, Jersey City

$250

Community Affairs

New Jersey Re-Entry Corporation

$1,000

Community Affairs

NJ Hall of Fame Foundation

$2,500

Community Affairs

NJSHARES S.M.A.R.T. Program

$1,000

Community Affairs

Perth Amboy Green Infrastructure

$250

Community Affairs

Sayreville Borough - Bailey Park Improvements

$500

Community Affairs

South Amboy Intermodal Transit Village

$1,000

Community Affairs

Transitional Aid to Localities (PTRF)

$104,825

Community Affairs

Turtle Back Zoo

$4,000

Community Affairs

Volunteers of America - Re-Entry Services

$1,000

Corrections

Essex County Recidivism Pilot Program

$6,000

Corrections

Essex County-County Jail Substance Use Disorder Programs (PTRF)

$20,000

Corrections

Union County Inmate Rehabilitation Services (PTRF)

$3,500

Education

Governor's Literacy Initiative

$125

Environmental Protection

Grants for Urban Parks (PTRF)

$4,000

Health

Holy Name Hospital, Teaneck - Palliative Care Pilot Program

$3,000

Health

North Jersey Community Research Initiative

$75

Health

South Jersey Cancer Program - Camden (Cooper)

$15,400

Human Services

New Jersey Elder Index

$200

Human Services

SNAP Administration (PTRF) - Essex County

$7,000

Law and Public Safety

Essex Crime Prevention (PTRF)

$3,000

Legislature

Broadcast Technology Improvements

$350

Legislature

The Council of State Governments

$200

State

Battleship NJ Museum

$1,000

State

Carteret Arts Center

$1,000

State

College Bound

$800

State

Cooper Medical School of Rowan University

$7,000

State

CREATE - Rowan University

$2,000

State

Historic New Bridge Landing Park Commission

$100

State

Long Branch Historical Museum - Chapel Restoration

$250

State

Montclair State University - General Operations

$7,503

State

NJ Agricultural Experiment Station

$3,000

State

NJ Civic Information Consortium

$1,000

State

NJ Historic Commission - Celebration of America

$300

State

NJCU - Fort Monmouth Campus

$1,000

State

Ramapo College - General Operations

$1,000

State

Rowan/Cooper Medical School Operations Support

$5,000

State

Rutgers Equine Science Center Operating Support

$95

State

Rutgers New Brunswick School of Engineering - Equipment

$2,500

State

Rutgers University - Camden-Mental Health and Well Being

$170

State

Rutgers/Rowan Joint Board RU Camden Business School

$3,000

State

Stockton University - General Operations

$4,612

State

The College of NJ - General Operations

$1,000

State

Thomas Edison University - General Operations

$1,000

Transportation

Brown Ave/Rt 206, Hillsboro - Large Truck Bypass

$500

Transportation

I-287 Access Ramps from Rt 27 Final Design Costs

$450

Transportation

Restoration of East Orange Train Stations

$1,000

Transportation

Rt 440, Bayonne - Pedestrian Safety Improvements

$250

Transportation

Rt 46/Rt 93 Intersection, Ridgefield - Traffic Study

$250

Treasury

Aid to Independent Colleges and Universities

$1,000

$235,000

 

 

###


Last Updated: Wednesday, 07/03/19