Swelling N.J. Surplus Puts Heat on Murphy to Hand It Out Already

New Jersey, after decades in the fiscal dumps, is now bickering over how to spend $10.7 billion of surprise tax revenue ahead of a July 1 deadline for its annual budget.

Governor Phil Murphy wants to issue $900 million in taxpayer-relief checks, put at least $1.3 billion toward debt reduction and sock away more for an emergency. Earlier moves to build a financial cushion already helped the state win upgrades from credit raters this year, and Murphy doesn’t hesitate to say he wants many notches higher.

Phil Murphy

Photographer: Eva Marie Uzcategui/Bloomberg

But his political allies and foes alike say a financial crisis is ...