21-05-2025
B-B-B-Bennies and regrets
When I first heard the term 'death spiral,' I figured it was the name of a new ride at Great Adventure.
Turns out it's even more fun. It's what's happening to the New Jersey State Health Benefits Program for local government employees, and probably soon for educators as well.
The Department of Treasury on Tuesday released a dead serious report about the problems plaguing the plans, which have faced huge premium increases over the last couple years and, according to the Murphy administration, are due for more without major structural reforms.
The report led to finger-pointing as to who's the blame. The administration points to one big cause as the rich benefits offered, including paying for expensive hormonal weight loss drugs like Ozempic. And they say the governing bodies for the plans, split between management and labor, often deadlock. Public sector unions like the CWA and PBA call this 'scapegoating' their members, blaming 'greed' and healthcare cost, along with the administration's 'refusal to address the real drivers of increasing costs and long-term instability: profit-driven healthcare.'
But nobody disputes the benefits plans are in deep crisis. Here's the death spiral part: Because rates are rising so fast, some local governments with comparatively healthy work forces can find cheaper rates in the private sector. The governments with less healthy work forces stay in, which further increases the rates.
Just a few days before this report came out, Assemblymember Carmen Theresa Morales introduced legislation that would, starting in October 2026, require local governments that enroll in the local government-and-educators portions of the program to stay in at least five years. That's not a coincidence. And I doubt it's the last piece of legislation we'll see on this.
FEEDBACK? Reach me at mfriedman@
WHERE'S MURPHY — No public schedule
QUOTE OF THE DAY: 'I have passionate differences and disagreements with Charlie Kushner, but I supported his confirmation because he has been unrelenting in reforming our criminal justice system and has substantively helped achieve the liberation of thousands of people from unjust incarceration.' — Sen. Cory Booker, the only Democrat to vote in favor of Kushner's confirmation as ambassador to France.
HAPPY BIRTHDAY — Sean Kean, Alaine Williams, Mollie Binotto, Brigid Harrison, Joshua Henne, Michael Gartland, Melissa Pollitt
WHAT TRENTON MADE
THE REPUBLICAN DEBATE — Republican gubernatorial candidates Jack Ciattarelli, Bill Spadea and Jon Bramnick disagreed on plenty during last night's 2.5 hour debate — much more than I can get into here. But here's one thing they agreed on:: The federal assault charges against Democratic U.S. Rep. LaMonica McIver.
'If you touch a police officer, that's aggravated assault,' Bramnick said. 'You cannot obstruct. So if the video shows a congressperson or anybody else is obstructing the arrest of an individual, that's what the law is. … I just think in this environment she's got a little bit of a problem.'
Spadea said: 'I would hope that a member of Congress would have more sense than to hit a police officer. I hope she is charged to the fullest extent of the law and serves whatever punishment is appropriate.'
And Ciattarelli: 'Video shows that this person who you mention laid her hands on another person. So that to me says that the charges are legitimate.' (McIver is shown shoving and elbowing into officers on videos, and being shoved by one, but none show her hitting them).
Where they differed on this was whether Newark Mayor Ras Baraka, whose arrest touched off the whole scuffle, should have been arrested in the first place. Habba dropped the charge against Baraka on Monday, which Bramnick said 'maybe those allegations weren't so strong.' Spadea, by contrast, said 'it's too bad' she dropped the charge against him.
I thought President Trump's endorsement of Jack Ciattarelli would have played a bigger role in last night's two and a half hour presidential debate, but other than the opening statements — in which non-endorsed Bill Spadea actually brought it up first — it didn't feature heavily.
'Let me be very clear: the president endorsed a poll — a poll that was conducted and paid for by Jack's campaign,' Spadea said. Ciattarelli shot back that Trump endorsed him for a many reasons, including his electability and fundraising. 'He endorsed me because i'm the only person who can beat the Democrats in November, and the goal is to win,' he said.
Bramnick, known as one of the few Republican New Jersey lawmakers who's critical of the president, just joked about it. 'I did not get the endorsement from Donald Trump. I waited up late at night. No phone call.'
Bramnick, who moonlights as a stand-up comedian, had a lot of punch lines that landed. This was was my favorite, in response to a question about the Trump administration's $5,000 'baby bonus': 'I think people are good with having babies without having a bonus. They know how to do it.'
—'NJ Transit strike halted but financial questions remain'
—'As NJ Transit trains start to roll again on May 20, here's how talks played out'
—'For the first time, group homes in N.J. would face fines for harming disabled residents'
—'N.J. man arrested in Florida for alleged death threats against Gov. Phil Murphy'
—"What NJ transit wage deal with union means for coming fare increase'
—"NJ Transit extends ticket expiration dates after strike by engineers'
TRUMP ERA
HABBA: MAMMA MIA, HERE SHE GOES AGAIN — Alina Habba targeted Democrats when she became New Jersey's top prosecutor. Now she's following through, by POLITICO's Matt Friedman, Erica Orden and Ry Rivard: From the moment she was named New Jersey's interim U.S. Attorney, Alina Habba made it clear she would use the office as a political bludgeon … Habba talked to a far-right activist about turning 'New Jersey red,' announced investigations into its Democratic governor and attorney general over immigration, called out Sen. Cory Booker's hometown of Newark for crime and said 'I'm looking at you, Paterson' over the city's immigration policies. Habba, who had no prosecutorial experience but represented President Donald Trump in three civil trials in recent years, found an opening this month to make her mark, when three Democratic House members and a progressive mayor running for governor showed up to inspect a migrant detention center in Newark. … It wouldn't be the first time New Jersey's U.S. Attorney's Office has been tainted by politics. … 'Chris Christie used that office brilliantly for his own political purposes, but he didn't come at it with a meat cleaver the way she's approaching it,' said Gerry Krovatin, a prominent New Jersey defense lawyer and Democrat who has often represented clients prosecuted by the New Jersey U.S. attorney's office.
— 'New Jersey Rep. LaMonica McIver faces felony assault charge in conflict at ICE facility, court filing shows"
— 'DOJ sends a warning to judges and lawmakers who stoke Trump's wrath on immigration'
—'Congressional hearing on ICE upended by charges against a House Democrat'
—'I'm looking forward to my day in court': McIver claps back at Trump's charges
—Snowflack: 'McIver case reveals the injustice of Trump's Dept. of 'Justice''
SALT — Blue-state Republicans, GOP leaders land tentative deal for $40,000 SALT deduction by POLITICO's Meredith Lee Hill and Benjamin Guggenheim: House Speaker Mike Johnson and a group of blue-state Republicans have reached a critical but tentative deal to boost the cap on state and local tax deductions to $40,000 in the GOP megabill, according to three Republicans with direct knowledge of the private agreement. The new deduction cap, which would be per household, will be limited to taxpayers making below $500,000. Under the tentative deal, the income cap and the deduction will grow 1 percent every year over a ten-year window. The deduction stays in place after the 10-year window and doesn't snap back to previous levels. President Donald Trump is expected to endorse the SALT agreement. However, GOP hard-liners and fiscal hawks who deeply oppose a higher SALT cap boost still need to sign off on the measure.
FLYING BLIND — 'Newark's air traffic nightmare continues as controllers lose contact with planes a 4th time,' by NJ Advance Media's Ted Sherman: Federal Aviation Administration officials are investigating yet another outage at the air traffic control center handling flights to and from Newark Liberty International Airport — the fourth such incident reported in the past three weeks. This one was brief, lasting only seconds, and did not interfere with operations, according to the FAA. The outage affected Philadelphia Terminal Radar Approach Control center, known as TRACON, which manages air traffic control in the airspace surrounding Newark Liberty. The facility has come under mounting scrutiny since a total radar and radio frequency blackout on April 28.'
MEDICUTS — 'What GOP's Medicaid cuts could cost NJ,' by NJ Spotlight News' Lilo H. Stainton: 'New Jersey stands to lose $3.6 billion — nearly a quarter of the federal funding it expected to collect — for its Medicaid program in the new budget year under legislation now advancing in Congress, according to an analysis by state officials. A Republican proposal, consisting of 11 smaller bills bundled together into an immense 1,116-page bill over the weekend, would cut as much as $300 million in hospital aid, impose work requirements on thousands of low-income adults and eliminate coverage for at least 360,000 residents, state analyses of the bills show.'
ANY WAY THE WIND BLOWS — 'Not dead yet? Trump reversal on NY/NJ wind farm stuns opponents of offshore wind power,' by The Press of Atlantic City's Wayne Parry: 'In a rare about-face, President Donald Trump has reversed his opposition to an offshore wind farm being built off New York and New Jersey, allowing it to proceed after New York Gov. Kathy Hochul promised to work with his administration on 'new energy projects.' Hochul and Equinor, the Norwegian energy company building the project off Long Branch in New Jersey and Long Beach on Long Island, said Monday night the U.S. Interior Department has lifted a stop-work order it imposed on the Empire Wind I project nearly a month ago. … The Ocean City-based Protect Our Coast NJ group called Trump's reversal 'shocking.' 'We were stunned to see this news,' said its president, Robin Shaffer. 'We believe that offshore wind anywhere is a terrible idea.'
—'How would Medicaid cuts hit disabled community in NJ? Mom frets as GOP offers assurances'
LOCAL
R.I.P. — 'Longtime Fair Lawn mayor and Bergen County freeholder David Ganz dies,' by The Record's Amanda Wallace: 'David L. Ganz, former Fair Lawn mayor and a longtime member of the Bergen County Board of Chosen Freeholders, has died, the borough announced May 20. His death was announced by the borough in a post on Facebook on May 20, which described Ganz as a 'devoted public servant, community leader, and esteemed resident whose legacy has left a lasting imprint on Fair Lawn and beyond.''
WAIT 'TILL WE GET OUR HAYNES OFF YOU — 'Newark school board member involved in Global Studies cases steps down from her role,' by Chalkbeat's Jessie Gómez: 'One of Newark's longest-serving school board members, who faced removal from her seat this year and has spoken out about racial harassment and tensions at a controversial district high school, has suddenly left the board, Chalkbeat has learned. Dawn Haynes, who was serving her third term, has stepped down from the Newark Board of Education effective immediately, according to multiple sources. First elected in 2018, Haynes recently faced criticism from Newark Public Schools Superintendent Roger León and other district leaders after her daughter filed a legal claim against the district alleging religious, racial, and gender discrimination and other harassment during her time as a Newark School of Global Studies student. In November 2024, the Newark school board voted to ask the state education department to recommend the removal of Haynes due to a conflict that stemmed from her daughter's legal claim, but the petition was shot down in January by the state's education commissioner.'
DID CARMELA TAKE IT FROM THE BIRD FEEDER? — 'Cliffside Park reported $38,000 in cash tax payments missing from borough hall,' by The Record's Kristie Cattafi: 'The borough has reported that over $38,000 in property taxes paid in cash by property owners to the tax office last year is missing. The missing funds, which were reported stolen to the borough police, represent second-quarter tax bill payments. The borough has no answers yet about what happened to the cash payments, but it recently recouped the losses through an insurance claim. As a result, the borough will no longer accept cash property tax payments, said borough spokesperson Bill Maer.'
COALITION FOR REGRESS — 'HCDO calls on Fulop-linked PAC, candidates, to denounce 'racist' mailer in LD-31,' by Hudson County View's John Heinis: 'The Hudson County Democratic Organization (HCDO) is calling on a super PAC linked to Mayor Steven Fulop's gubernatorial run, as well as some of his down ballot candidates, to denounce a 'racist' mailer related to the 31st Legislative District Assembly race. … The mailer in question is from the Coalition of Progress PAC, Fulop's main backer in gubernatorial race that has also shown support for Schillari and the Jersey City mayor's Assembly candidates. … 'Billionaire Paul Fireman gave Jerry Walker hundreds of thousands of dollars to help turn Liberty State Park into a private golf course,' the campaign piece that hit mailboxes early this month says. … The photo of Walker, running with the HCDO's support in LD-31, was taken from a Hudson County Board of Commissioners meeting and is wearing a silver watch. The original photo, where both of his arms are mostly obscured, appeared in The Jersey Journal last year.'
—'How Jersey Shore towns will respond to gangs of teens this Memorial Day weekend'
—'Congresswoman Ilhan Omar supporting Mussab Ali for Jersey City mayor'
—'So close, yet so far: how Barringer and Technology high schools diverge'
—'Morristown police officer accused of driving drunk and crashing car while off-duty'
—"Judge denies Hector & Alonso's request for waterfront voting sites in LD-33'
EVERYTHING ELSE
BORN ON THE PAYOU — 'New Rutgers president will earn $1M+. Inside his record-breaking contract,' by NJ Advance Media's Liz Rosenberg: 'Louisiana State University President William Tate IV will get a big raise when he takes over as Rutgers University's new president this summer. Tate was earning a base pay of $750,000 a year, plus the ability to boost his pay with bonuses, under a three-year contract extension he signed at Louisiana State in 2024. At Rutgers, he will earn a base salary of $1.1 million, plus significantly more in incentive pay and several other perks, according to the terms of his contract. That will make him Rutgers' highest paid president ever.'
IT'S HO SCALE — 'A comedian saves a railroad with purchase of a New Jersey home,' by The Wall Street Journal's Betsy McKay: 'A model railroad club is back on track after a television comedian and his wife bought the suburban home where it is headquartered and invited the train buffs to stay. James 'Murr' Murray, a star of truTV's 'Impractical Jokers' and his wife, Melyssa Murray, bought the Rocky Hill, N.J., home where the Pacific Southern Railway operates its trains on a vast layout of miniature cities, mountains and railroad yards in the basement. The Murrays, who live a few minutes away in Princeton, had never heard of Pacific Southern, but learned about it after The Wall Street Journal published an article about the club and its possible derailment. … Far from putting the brakes on the model trains, they're signaling big plans. Murr calls himself a 'massive train buff.' 'You just don't find that in America anymore, that kind of dedication to a club and craft and the imagination and sweat and time has been put into it,' he said.'
—'OceanFirst Bank improves to 'outstanding' grade from feds after $14M redlining fine'
—'Japanese drugmaker lays off 57 from U.S. headquarters in New Jersey'
—'I-80 eastbound lanes to reopen Wednesday in Wharton; two westbound lanes set to reopen next week'
—'Person may have spread measles at Shakira concert in MetLife Stadium, health officials say'
—'Moody's Ratings upgrades NJCU's financial outlook from stable to positive'
