1 00:00:00,640 --> 00:00:02,440 Speaker 1: Welcome to the program this evening you like to bring 2 00:00:02,440 --> 00:00:05,360 Speaker 1: in our radio audience as we welcome New Jersey Governor 3 00:00:05,400 --> 00:00:06,080 Speaker 1: Phil Murphy. 4 00:00:06,120 --> 00:00:07,960 Speaker 2: He joins just a few days after. 5 00:00:07,760 --> 00:00:11,320 Speaker 1: Signing New Jersey's fifty four billion dollar budget, a budget 6 00:00:11,320 --> 00:00:14,000 Speaker 1: that came in seven percent higher than last year's, but 7 00:00:14,080 --> 00:00:17,079 Speaker 1: conservatives in his state are calling it, quote a feeding 8 00:00:17,160 --> 00:00:22,440 Speaker 1: frenzy of unexplained pork. Governor, thank you for joining us. 9 00:00:22,480 --> 00:00:25,599 Speaker 1: So you avoided a government shutdown in your state record 10 00:00:25,600 --> 00:00:29,560 Speaker 1: setting budget. How concerned you though about further spending into 11 00:00:29,800 --> 00:00:32,880 Speaker 1: an economy that already is dealing with high inflation, and 12 00:00:32,920 --> 00:00:36,280 Speaker 1: there's also concerns about a recession that could affect residents 13 00:00:36,320 --> 00:00:36,880 Speaker 1: in your state. 14 00:00:38,600 --> 00:00:44,000 Speaker 3: With you, m Marie, notwithstanding the criticisms you cited, in fact, 15 00:00:44,280 --> 00:00:48,680 Speaker 3: almost universally, the opposite is true. It's the most fiscally 16 00:00:48,760 --> 00:00:50,720 Speaker 3: responsible budget in the history. 17 00:00:50,440 --> 00:00:50,880 Speaker 4: Of the state. 18 00:00:50,880 --> 00:00:54,480 Speaker 3: It has the highest surplus of over eight billion dollars. 19 00:00:54,480 --> 00:00:55,400 Speaker 4: That's unheard of. 20 00:00:56,080 --> 00:00:59,240 Speaker 3: Part of the reason why spending has gone up in 21 00:00:59,360 --> 00:01:04,039 Speaker 3: our administ is very simply. We inherited a state from 22 00:01:04,040 --> 00:01:07,959 Speaker 3: the prior administration that didn't meet its obligations, didn't make 23 00:01:08,000 --> 00:01:11,520 Speaker 3: a full pension payment, it didn't fully fund public education. 24 00:01:11,640 --> 00:01:15,600 Speaker 3: It didn't invest in the economy or in addressing inequities, 25 00:01:15,959 --> 00:01:16,560 Speaker 3: and we've. 26 00:01:16,360 --> 00:01:16,959 Speaker 4: Done all of that. 27 00:01:17,880 --> 00:01:21,560 Speaker 3: I'm worried, like everybody is, about a potential softening of 28 00:01:21,600 --> 00:01:25,479 Speaker 3: the economy, which is why we have again a record surplus, 29 00:01:25,920 --> 00:01:30,200 Speaker 3: paying down indebtedness, we made our full pension payment, we 30 00:01:30,400 --> 00:01:35,600 Speaker 3: fully funded public education. We've now had twenty tax cuts 31 00:01:35,600 --> 00:01:39,520 Speaker 3: for middle class families and seniors since we came into office. 32 00:01:39,920 --> 00:01:43,560 Speaker 3: So I am very comfortable with this budget, notwithstanding a 33 00:01:43,560 --> 00:01:46,080 Speaker 3: lot of un uncertainty. 34 00:01:45,520 --> 00:01:46,000 Speaker 4: In the world. 35 00:01:46,000 --> 00:01:50,120 Speaker 1: For sure, there also is going to be a sunset 36 00:01:50,200 --> 00:01:53,000 Speaker 1: on attacks that businesses pay, and a lot of. 37 00:01:53,000 --> 00:01:54,320 Speaker 2: Conservatives have been pushing for this. 38 00:01:54,400 --> 00:01:56,960 Speaker 1: You yourself think that actually this is prudent for the 39 00:01:56,960 --> 00:01:59,600 Speaker 1: state of New Jersey to remain competitive, but it's drawn 40 00:01:59,640 --> 00:02:02,720 Speaker 1: a lot of from progressives who want to see it. 41 00:02:03,120 --> 00:02:05,600 Speaker 1: The other concern at the same time is states like 42 00:02:05,640 --> 00:02:08,960 Speaker 1: yours starting to see more limited tax revenues as the 43 00:02:09,000 --> 00:02:13,080 Speaker 1: economy slows. Are you prepared, as Jersey prepared when the 44 00:02:13,120 --> 00:02:16,760 Speaker 1: collections potentially start to slow even further or at one 45 00:02:16,800 --> 00:02:18,119 Speaker 1: point maybe go negative. 46 00:02:19,080 --> 00:02:21,680 Speaker 3: Yeah, I mean, the answer it short is we are. 47 00:02:21,800 --> 00:02:24,440 Speaker 3: But that's a new thing for New Jersey. We haven't 48 00:02:24,480 --> 00:02:28,120 Speaker 3: been this well prepared in thirty or forty years. In fact, 49 00:02:28,200 --> 00:02:32,280 Speaker 3: we had let this corporate surcharge sunset, and that was. 50 00:02:32,200 --> 00:02:34,800 Speaker 4: The right thing to do. We put it in place. 51 00:02:34,560 --> 00:02:37,000 Speaker 3: When I first got into office, when I inherited a 52 00:02:37,080 --> 00:02:40,160 Speaker 3: state that was a fiscal train wreck, and we had 53 00:02:40,200 --> 00:02:42,280 Speaker 3: no other choice, but we made a commitment to the 54 00:02:42,320 --> 00:02:46,080 Speaker 3: big corporations. It said, listen, you pay up a little 55 00:02:46,080 --> 00:02:49,320 Speaker 3: bit here more for a bridge period. We will be 56 00:02:49,480 --> 00:02:52,519 Speaker 3: true to our word and let this expire. We need 57 00:02:52,520 --> 00:02:54,720 Speaker 3: you to be true to your word that they. 58 00:02:54,600 --> 00:02:55,560 Speaker 4: Have said to us. 59 00:02:55,639 --> 00:02:58,120 Speaker 3: If you'll let it expire, we're going to invest and 60 00:02:58,200 --> 00:02:59,000 Speaker 3: create more. 61 00:02:58,880 --> 00:02:59,799 Speaker 4: Jobs in the state. 62 00:03:00,600 --> 00:03:02,800 Speaker 3: But the fact of the matter is, I do expect 63 00:03:02,880 --> 00:03:05,400 Speaker 3: that the economy will soften. And when you look at 64 00:03:05,400 --> 00:03:09,519 Speaker 3: our big drivers of revenue corporate business tax, personal income tax, 65 00:03:09,919 --> 00:03:13,840 Speaker 3: sales tax, we monitor those literally on a daily basis, 66 00:03:14,120 --> 00:03:17,000 Speaker 3: and we think we've got a big enough surplus and 67 00:03:17,120 --> 00:03:19,720 Speaker 3: enough latitude of this budget that we'll be able to 68 00:03:19,760 --> 00:03:23,280 Speaker 3: withstand a softness and frankly come out the other side 69 00:03:23,320 --> 00:03:25,519 Speaker 3: of that stronger than ever before. 70 00:03:27,000 --> 00:03:29,840 Speaker 1: When you're looking at taxes at places like New Jersey, 71 00:03:29,919 --> 00:03:33,040 Speaker 1: like New York, Obviously, these are states that are looking 72 00:03:33,080 --> 00:03:35,440 Speaker 1: for relief when it comes to taxes, and the New 73 00:03:35,480 --> 00:03:39,480 Speaker 1: Jersey Congressman Josh Gottheimer weighed in on salt deduction. This 74 00:03:39,560 --> 00:03:43,320 Speaker 1: is a conversation with us here on Wall Street week 75 00:03:43,400 --> 00:03:44,080 Speaker 1: back in May. 76 00:03:44,400 --> 00:03:45,760 Speaker 2: Take a listen to what he had to say. 77 00:03:47,320 --> 00:03:50,520 Speaker 5: I think the Republicans know that they have two and 78 00:03:50,560 --> 00:03:52,600 Speaker 5: a half years to figure something out to kind of deal. 79 00:03:52,680 --> 00:03:55,680 Speaker 5: As time goes on, it's less and less attractive to negotiate, 80 00:03:55,920 --> 00:03:57,920 Speaker 5: and we'll just take the full deduction back. 81 00:04:00,200 --> 00:04:03,120 Speaker 1: Governor, do you see any hope in Washington that salt 82 00:04:03,160 --> 00:04:05,320 Speaker 1: will be on the table to defer a discussion. 83 00:04:06,840 --> 00:04:07,640 Speaker 4: I certainly hope. 84 00:04:07,680 --> 00:04:07,720 Speaker 2: So. 85 00:04:08,040 --> 00:04:10,200 Speaker 3: I mean, Josh has been a great fighter on this. 86 00:04:10,800 --> 00:04:14,080 Speaker 3: We've fought at every step of the way. It's ironic, 87 00:04:14,160 --> 00:04:17,400 Speaker 3: for all the criticism we face from our friends across 88 00:04:17,440 --> 00:04:22,279 Speaker 3: the aisle, the biggest, overwhelmingly, the biggest tax ever imposed 89 00:04:22,640 --> 00:04:26,000 Speaker 3: on New Jersey residents was the cap limiting the state 90 00:04:26,080 --> 00:04:28,960 Speaker 3: local tax deduction that was brought to you by Donald 91 00:04:29,000 --> 00:04:34,360 Speaker 3: Trump and a Republican led Congress. So, folks, let's make 92 00:04:34,400 --> 00:04:37,440 Speaker 3: sure we're being honest with ourselves. Listen, I hope there's 93 00:04:37,600 --> 00:04:40,960 Speaker 3: latitude for some kind of a deal. I think Josh 94 00:04:41,040 --> 00:04:43,720 Speaker 3: is rightfully pointing out that as the clock. 95 00:04:43,560 --> 00:04:45,680 Speaker 4: Ticks further and further towards this. 96 00:04:45,720 --> 00:04:49,200 Speaker 3: Deadline, there may be less latitude, but I'm not going 97 00:04:49,200 --> 00:04:50,240 Speaker 3: to give up fighting for it. 98 00:04:51,800 --> 00:04:53,159 Speaker 2: Well, Governor, We're going to be honest. 99 00:04:53,200 --> 00:04:56,279 Speaker 1: We should note that in the last session, the Democrats 100 00:04:56,360 --> 00:04:59,279 Speaker 1: had control of the House, the Senate, and the White House, 101 00:04:59,279 --> 00:05:02,880 Speaker 1: and still most Trump's air tax cuts remain in place. 102 00:05:03,279 --> 00:05:06,200 Speaker 1: I want to ask you about another topic that I 103 00:05:06,240 --> 00:05:08,000 Speaker 1: know is incredibly important to you, and this is what's 104 00:05:08,000 --> 00:05:10,159 Speaker 1: going on in New York in terms of the congestion 105 00:05:10,320 --> 00:05:14,839 Speaker 1: pricing plan. It's received its latest final approval last month, 106 00:05:15,320 --> 00:05:18,320 Speaker 1: and it's reported that you've actually hired attorneys. 107 00:05:18,360 --> 00:05:19,840 Speaker 2: Do you plan on suing New York? 108 00:05:21,400 --> 00:05:23,960 Speaker 3: No news to make there yet, Anne Marie, but we 109 00:05:24,040 --> 00:05:27,120 Speaker 3: are lawyering up and we're considering all of our options. 110 00:05:28,240 --> 00:05:30,240 Speaker 3: And listen for folks who are tuning in on this 111 00:05:30,320 --> 00:05:35,560 Speaker 3: for the first time. I'm not opposed to mitigating climate 112 00:05:35,839 --> 00:05:39,120 Speaker 3: or pollution. In fact, we've got the strongest environmental record of. 113 00:05:39,120 --> 00:05:40,040 Speaker 4: Any state in America. 114 00:05:40,800 --> 00:05:44,240 Speaker 3: But we can fix a broken MTA in New York 115 00:05:44,320 --> 00:05:48,480 Speaker 3: City on the back of New Jersey commuters that that's 116 00:05:48,520 --> 00:05:54,760 Speaker 3: not our job. So this discriminates against New Jersey commuters. 117 00:05:55,000 --> 00:05:56,960 Speaker 4: It's a huge tax on them. 118 00:05:57,360 --> 00:06:02,200 Speaker 3: It frankly challenges our environment because of all the rerouting 119 00:06:02,279 --> 00:06:05,760 Speaker 3: of traffic that will take place, exploring. 120 00:06:05,920 --> 00:06:10,200 Speaker 2: Instead of congestion, pricing well at. 121 00:06:10,040 --> 00:06:13,680 Speaker 3: A certain time and place and at a certain rate. 122 00:06:14,320 --> 00:06:16,960 Speaker 3: This is not necessarily a bad idea. But let me 123 00:06:17,040 --> 00:06:21,520 Speaker 3: just remind everybody before we got here, everybody dragged their 124 00:06:21,560 --> 00:06:24,760 Speaker 3: feet on the Port Authority bus terminal that's years away 125 00:06:24,800 --> 00:06:28,479 Speaker 3: from getting rebuilt. Everybody dragged their feet and canceled the 126 00:06:28,560 --> 00:06:32,920 Speaker 3: Gateway Tunnel predecessor project, which is two more rail tunnels 127 00:06:33,320 --> 00:06:37,000 Speaker 3: under the Hudson. When both of those are complete and 128 00:06:37,120 --> 00:06:40,440 Speaker 3: there's a fair deal to discuss, that's something. 129 00:06:40,200 --> 00:06:43,039 Speaker 4: I'd be completely open to. But this is not the 130 00:06:43,080 --> 00:06:43,960 Speaker 4: time or the place. 131 00:06:44,400 --> 00:06:47,480 Speaker 3: Neither of those things are in fact in place, and 132 00:06:47,520 --> 00:06:49,680 Speaker 3: I'm not going to allow the MTA to balance its 133 00:06:49,720 --> 00:06:52,000 Speaker 3: books on the back of New Jersey commuters. 134 00:06:53,279 --> 00:06:55,440 Speaker 2: So you have no news to make on this. But 135 00:06:55,560 --> 00:06:57,560 Speaker 2: you said you are lawyering up, So. 136 00:06:57,520 --> 00:07:01,480 Speaker 1: Are you looking at all the potential legal paths forward 137 00:07:01,560 --> 00:07:02,200 Speaker 1: for Jersey. 138 00:07:03,040 --> 00:07:05,120 Speaker 4: We are, in. 139 00:07:05,160 --> 00:07:10,240 Speaker 3: All aspects legal and otherwise we will not win. And 140 00:07:10,240 --> 00:07:12,600 Speaker 3: we also have the Port Authority, which is which is 141 00:07:12,640 --> 00:07:16,320 Speaker 3: a player here, and that's another avenue that we are 142 00:07:16,400 --> 00:07:20,840 Speaker 3: constantly assessing. We cannot allow this to the MTA to 143 00:07:20,880 --> 00:07:23,840 Speaker 3: fix its broken finances on the back of Jersey commuters. 144 00:07:23,880 --> 00:07:24,880 Speaker 4: We're not going to let that happen. 145 00:07:26,560 --> 00:07:29,920 Speaker 1: I want to also ask, as speaking of commuters, Newark 146 00:07:30,000 --> 00:07:33,040 Speaker 1: is a major hub, especially for United. We have been 147 00:07:33,120 --> 00:07:35,640 Speaker 1: hearing from the CEO there's been a lot of issues 148 00:07:35,640 --> 00:07:39,600 Speaker 1: regarding flight disruptions and Scott Kirby actually told staff in 149 00:07:39,640 --> 00:07:43,440 Speaker 1: a letter that United could quote further change or reduce 150 00:07:43,560 --> 00:07:46,440 Speaker 1: schedule to improve operations out of Newark. 151 00:07:46,800 --> 00:07:48,720 Speaker 2: Has Scott Kirby reached out, how. 152 00:07:48,600 --> 00:07:51,240 Speaker 1: Concerned of you that United may actually scale back its 153 00:07:51,280 --> 00:07:52,920 Speaker 1: presence at Newark Airport. 154 00:07:53,920 --> 00:07:56,160 Speaker 3: We speak to Scott and his team all the time 155 00:07:56,800 --> 00:07:58,800 Speaker 3: about this and about other matters. 156 00:07:59,760 --> 00:08:02,760 Speaker 4: This has been a tough several weeks here in the 157 00:08:02,760 --> 00:08:04,000 Speaker 4: Northeast United States. 158 00:08:04,000 --> 00:08:07,600 Speaker 3: This isn't unique to Newark, and I know Scott knows 159 00:08:07,640 --> 00:08:11,480 Speaker 3: that we work as best we can with the Port 160 00:08:11,520 --> 00:08:15,920 Speaker 3: Authority which runs the airport, with the big players, including United, 161 00:08:16,360 --> 00:08:19,080 Speaker 3: with the FENS. I think Scott is also on record 162 00:08:19,120 --> 00:08:22,160 Speaker 3: that he thinks that this is an air traffic controller 163 00:08:22,760 --> 00:08:27,480 Speaker 3: issue in terms of staffing levels, but we're investing in 164 00:08:27,600 --> 00:08:30,800 Speaker 3: Newark's tomorrow. Terminal A opened a few months ago to 165 00:08:30,920 --> 00:08:34,000 Speaker 3: great fanfare. The rest of it will all be entirely 166 00:08:34,080 --> 00:08:37,480 Speaker 3: opened to all the other gates by the middle of September. 167 00:08:37,960 --> 00:08:42,600 Speaker 3: We're early stage on Terminal B. This is an incredible gem. 168 00:08:42,640 --> 00:08:45,320 Speaker 3: When you pitch New Jersey around the world, as I 169 00:08:45,400 --> 00:08:47,520 Speaker 3: do when you pitch corporates to come in and plan 170 00:08:47,559 --> 00:08:51,240 Speaker 3: a flag, the connectivity with Newark Liberty Airport is a 171 00:08:51,240 --> 00:08:51,920 Speaker 3: big part. 172 00:08:51,720 --> 00:08:54,280 Speaker 4: Of that pitch. So we will stay vigilant on that. 173 00:08:54,320 --> 00:08:57,920 Speaker 1: I premisehip, and I just want to end on the 174 00:08:57,920 --> 00:09:01,360 Speaker 1: political landscape. Of course, the twenty four GOP hopeful, as 175 00:09:01,400 --> 00:09:07,319 Speaker 1: your predecessor, he's going after this anti Trump lane. Doesn't 176 00:09:07,320 --> 00:09:10,200 Speaker 1: seem like it's potentially working with Trump's base, though, because 177 00:09:10,200 --> 00:09:12,199 Speaker 1: Trump has this massive appeal on the base. 178 00:09:12,440 --> 00:09:14,079 Speaker 2: Do you think potentially he can. 179 00:09:14,080 --> 00:09:18,560 Speaker 1: Draw voters on the Democratic side, given he was the 180 00:09:18,600 --> 00:09:20,199 Speaker 1: governor at one point of your state. 181 00:09:21,400 --> 00:09:23,000 Speaker 4: I'm not sure about that, Honestly. 182 00:09:23,080 --> 00:09:27,080 Speaker 3: I think he's been very effective on prosecuting the case 183 00:09:27,160 --> 00:09:30,560 Speaker 3: against former President Trump, and I think he's on the 184 00:09:30,600 --> 00:09:33,000 Speaker 3: debate stage, he'll prove that even more so. 185 00:09:33,760 --> 00:09:37,000 Speaker 4: I just wish he had been like this in twenty. 186 00:09:36,720 --> 00:09:40,679 Speaker 3: Sixteen, because one could argue that the biggest, most important 187 00:09:40,720 --> 00:09:43,960 Speaker 3: endorsement that Donald Trump got us a candidate that year 188 00:09:44,480 --> 00:09:47,360 Speaker 3: was from Chris Christie. I guess bet'll link than never. 189 00:09:48,160 --> 00:09:51,559 Speaker 3: But I think he's very effective and I wouldn't underestimate him. 190 00:09:52,679 --> 00:09:55,000 Speaker 1: And you're, of course involved in twenty twenty four because 191 00:09:55,000 --> 00:09:58,200 Speaker 1: you're on the President's advisory board, you're going to be sarrogate. 192 00:09:58,240 --> 00:10:00,720 Speaker 1: I imagine really going out on the camp pay trails we 193 00:10:00,800 --> 00:10:03,480 Speaker 1: gear up for November of twenty twenty four. Do you 194 00:10:03,520 --> 00:10:05,880 Speaker 1: expect that you're going to be used even more to 195 00:10:05,960 --> 00:10:09,400 Speaker 1: go out and pitch the president's agenda, given the fact 196 00:10:09,480 --> 00:10:13,960 Speaker 1: that poll after poll continues to just show that Americans 197 00:10:13,960 --> 00:10:16,400 Speaker 1: are still quite concerned about the president's age. 198 00:10:17,320 --> 00:10:17,440 Speaker 4: Yea. 199 00:10:17,800 --> 00:10:20,080 Speaker 3: I'd be happy to go out any time anywhere for 200 00:10:20,160 --> 00:10:23,800 Speaker 3: the President and Vice president. Their track record, I'd say, 201 00:10:24,000 --> 00:10:28,959 Speaker 3: in particular on the economy and on leading the coalition 202 00:10:29,080 --> 00:10:35,559 Speaker 3: and this aggressive, obscene war that Russia has initiated on Ukraine. 203 00:10:35,760 --> 00:10:38,880 Speaker 3: I think the work on both of those fronts is outstanding. 204 00:10:39,280 --> 00:10:42,240 Speaker 3: I read somewhere recently. And this is important to note 205 00:10:42,440 --> 00:10:45,280 Speaker 3: that Ronald Reagan's numbers in the middle of nineteen eighty 206 00:10:45,280 --> 00:10:49,040 Speaker 3: three were actually quite weak. The economic recovery had really 207 00:10:49,080 --> 00:10:52,000 Speaker 3: started with the Wall Street up search in the late 208 00:10:52,000 --> 00:10:54,720 Speaker 3: summer of eighty two, and it hadn't caught up with 209 00:10:54,760 --> 00:10:57,840 Speaker 3: his popularity. I suspect you're going to see something very 210 00:10:57,920 --> 00:11:00,760 Speaker 3: similar happen with Joe Biden. If I could be a 211 00:11:00,760 --> 00:11:02,680 Speaker 3: part of that, as a surrogon or any other way, 212 00:11:02,960 --> 00:11:03,679 Speaker 3: I'd be honor to. 213 00:11:05,320 --> 00:11:06,880 Speaker 2: I have a final quick yes or no. 214 00:11:07,000 --> 00:11:09,160 Speaker 1: Governor, are you still keeping the door open for your 215 00:11:09,200 --> 00:11:11,560 Speaker 1: own political future for the executive branch? 216 00:11:12,440 --> 00:11:16,559 Speaker 4: That's an emphatic no, but thank you for asking well. 217 00:11:16,640 --> 00:11:19,440 Speaker 2: I mean you've alluded to it in the past. 218 00:11:19,559 --> 00:11:24,600 Speaker 1: So many are still, potentially Gary thinking that you might 219 00:11:24,640 --> 00:11:26,960 Speaker 1: wait in the wings if potentially there isn't a Biden in. 220 00:11:26,960 --> 00:11:29,080 Speaker 2: Twenty twenty four or maybe in twenty twenty eight. 221 00:11:29,160 --> 00:11:31,560 Speaker 1: So if you change your mind, please do let us 222 00:11:31,600 --> 00:11:32,559 Speaker 1: know first here. 223 00:11:33,360 --> 00:11:35,280 Speaker 3: You'll be the first I call what I'm one thousand 224 00:11:35,400 --> 00:11:37,560 Speaker 3: percent behind Joe Biden and a couple of hers. 225 00:11:38,840 --> 00:11:41,000 Speaker 1: All right, Governor Phil Murphy, thank you so much for 226 00:11:41,200 --> 00:11:42,240 Speaker 1: your time today.