TRENTON, N.J. – Republican members of the New Jersey Senate are threatening legal action against Governor Phil Murphy’s administration, alleging unconstitutional misuse of income tax revenue intended for property tax relief.
In a letter sent Tuesday, Senate Republican Leader Anthony M. Bucco (R-25) and four other GOP senators warned that if the upcoming state budget continues to allocate property tax relief funds based on “political favoritism” rather than a formula, they will pursue litigation.
“For the past several years, the Governor’s budget proposals have unconstitutionally proposed using property tax relief funds based on favoritism,” the letter states.
Lawmakers argue this violates a provision in the state constitution requiring all income tax revenue to be placed in the Property Tax Relief Fund (PTRF) and distributed through a formula.
Since 1976, New Jersey’s constitution has mandated that income tax revenue be used exclusively to reduce or offset property taxes for counties, municipalities, and school districts.
Republicans claim recent budgets have disregarded that requirement.
The senators vowed to work with affected schools, municipalities, and taxpayers if the next budget follows the same pattern. Murphy’s administration has not yet responded to the letter.
The legal threat comes ahead of the governor’s budget proposal next week, setting the stage for a potential court battle over tax policy.
