Earlier today, the State Senate unanimously approved consensus revenue forecasting legislation to modify how the state estimates revenue during budget season. In response to the bill’s passage, NJPP offers the following statement. 

Sheila Reynertson, Senior Policy Analyst, New Jersey Policy Perspective (NJPP):

“Consensus revenue forecasting is a national best practice that helps depoliticize the budget making process. This is critically important in New Jersey where budget negotiations often focus on partisan squabbling instead of important policy choices. Having an agreed upon revenue projection will help ensure greater financial discipline and honest discussions about the state’s true financial condition. It will also signal to credit rating agencies that New Jersey is serious about breaking the cycle of accounting gimmicks that helped dig the state’s deep financial hole.

“Consensus revenue forecasting is an important first step toward creating sound, long-term budget planning. State lawmakers should now pursue other long-term planning strategies like multi-year forecasting for both revenue and spending. We look forward to this proposal passing the Assembly and encourage Governor Murphy to sign it.”

New Jersey Policy Perspective (NJPP) is a nonpartisan think tank that drives policy change to advance economic, social, and racial justice through evidence-based, independent research, analysis, and advocacy. NJPP has long-advocated for consensus revenue forecasting and other budgeting best practices. 

# # #