SENATE BILL NO. 4514

To the Senate:

     Pursuant to Article V, Section I, Paragraph 14 of the New Jersey Constitution, I herewith return Senate Bill No. 4514 without my approval.

     This bill would modify the distribution requirements and rates for certain motor vehicle-related taxes, fees, and penalties imposed at the municipal level.  Additionally, the bill would impose a new municipality-wide five percent tax on the rental of motor vehicles.  The provisions of the bill would apply only to a municipality with a population of 200,000 or greater that experienced a population increase of more than 15 percent between the 2010 and 2020 federal censuses.  The only qualifying municipality under the bill is Jersey City.

The legislative history accompanying Senate Bill No. 4514 indicates that the bill was introduced on June 24, 2026, and passed less than one week later at the time the Legislature passed the Fiscal Year 2027 Appropriations Act. 

The residents of Jersey City are currently suffering from a fiscal crisis caused largely by the irresponsible decisions made by the City’s prior administration.  The prior administration’s over-reliance on short-term budget gimmicks and “one-shots” have seriously undermined the City’s long-term stability.  Going forward, sustainable revenue growth and structural reforms must be a priority.  The proposed legislation is not appropriate at this time.

Accordingly, I herewith return Senate Bill No. 4514 without my approval.

                                 Respectfully,

     [seal]

/s/ Mikie Sherrill

                                      Governor

Attest:

/s/ Timothy P. Lydon

Chief Counsel to the Governor