CIG Insider 2025: Budget Breakthroughs, Primary Shifts, and a Milestone at CIG

Capital Impact Group
Jul 1
5 min read

Updated: 2 days ago

State House Happenings

Budget In Brief

After weeks of negotiations between legislative leadership and the Governor’s Office, late last night Governor Murphy signed a $58.7 billion budget bill for the 2025-2026 fiscal year, which commences today July 1st.

The state’s major revenue streams include $14.2 billion from the sales tax, $21.5 billion from the gross income tax which supports the Property Tax Relief Fund, and $4.1 billion from the corporation business tax. Additional revenue is generated through energy-related taxes and fees. Federal dollars account for a significant portion of funding across key areas such as Medicaid, transportation, housing, and environmental initiatives.

The budget prioritizes several strategic areas. In healthcare, the proposal includes more than $16.5 billion in federal Medicaid assistance, along with additional funding for mental health services, substance use programs, maternal health, and disease prevention. Education receives $1.1 billion in federal support directed toward K-12 programs, special education, literacy, and mental health resources for students. The infrastructure and environmental components include $3.2 billion in federal transportation funds and $1.2 billion dedicated to clean water, renewable energy, and environmental protection efforts. The budget also expands community support programs focused on affordable housing, homelessness prevention, re-entry services, food security, and domestic violence intervention.

Affordability remains a central theme, with the Property Tax Relief Fund totaling $22.6 billion. Additional state aid is allocated to municipalities, education systems, and other community programs designed to help offset local costs. Expanded investments in food security programs, affordable housing initiatives, and rental assistance pilots are also included.

The state continues to leverage one-time revenue sources such as cannabis regulatory funds and surplus property sales to help close budget gaps. There is also sustained investment in workforce development, re-entry programs, and mental health services, reflecting the administration’s broader policy priorities.

Election Update - Statewide Primary Election

nsequential primaries in state history. With turnout reaching one of the highest levels ever recorded for a primary election, the results underscored the intensity and national attention surrounding this year’s leadership transition.

On the Republican side, former Assemblyman Jack Ciattarelli secured the nomination with a dominant performance, bolstered by the endorsement of former President Donald Trump. Ciattarelli, who was the GOP nominee in 2021, entered the race as a clear frontrunner and maintained strong support throughout the cycle.

Congresswoman Mikie Sherrill (CD-11) won the Democratic nomination following a competitive and closely watched contest. While she consistently led in polling, Newark Mayor Ras Baraka’s strong performance was particularly noteworthy. Running on a progressive, urban-centered platform to Sherrill’s left, Baraka built a formidable coalition of grassroots organizers and voters of color. His showing highlighted an emerging ideological split within the Democratic Party and could shape how Sherrill engages the base heading into the general election.

The 2025 primary also marked the first election cycle conducted without New Jersey’s longstanding county line ballot system, which had historically provided structural advantages to party-backed candidates. While the removal of the line created significant uncertainty, especially in down-ballot races, the results revealed a more nuanced picture. County organizations remained influential at the top of the ticket, particularly in gubernatorial races, where institutional support and organizational infrastructure helped reinforce frontrunner status. However, their influence was far less consistent in legislative contests.

Sherrill and Ciattarelli now turn to what is expected to be a high-stakes general election this fall. Democrats are likely to position the race as a referendum on Trump’s political return, while Republicans will seek to tie Sherrill to Governor Phil Murphy’s record and legacy. Down-ballot, the primary results further reflect a shifting and more volatile political environment in a post-county line era, with continued implications for the 2026 legislative cycle.

Movers & Shakers

Jeff Brown was named Acting NJ Health Commissioner by Governor Murphy after serving as the Deputy Commissioner for the Department, and previously serving as the first Executive Director of the NJ Cannabis Regulatory Commission.

Huge congratulations to savvy Trenton veteran Athina Fassu on being named Deputy Director of Legislative Affairs in the Governor’s Office. Her colleague, Senior Legislative Aide Devin Mulroy, recently left the administration to serve as joint Chief of Staff to Assemblywoman Mitchelle Drulis and Assemblyman Roy Freiman (D16), Chairman of the Assembly Insurance & Financial Institutions Committee.

Sheaa Amin recently joined Rutgers University Government Relations team as a Senior Communications Specialist. Shea served as Communications Director for Senator Vin Gopal and Assemblywomen Margie Donlon and Luann Peterpaul in LD-11.

NJDEP veteran Jane Rosenblatt left the department earlier this month to serve as Senior Strategic Advisor at the NJ Economic Development Authority.

Earlier this month Michael Petruzzelli joined Cort Adelman’s Government Relations team at Virtua Health. Petruzzelli was previously policy chief at the NJ Department of Human Services.

NJ Cannabis Regulatory Commission member Maria Del Cid-Kosso recently departed to become Director of External Affairs & Policy for NJ Maternal & Infant Health Innovation Authority (NJMIHIA).

Kyle Sullender is the new Director of Government and External Relations for the Healthcare Institute of NJ (HINJ).

Shadaya Bennet returned to the NJ Legislature as Chief of Staff to Assemblywoman Shanique Speight, after serving as the Senior Legislative Analyst for the Advocates for Children of New Jersey.

Earlier this month Congressman Tom Kean (R-NJ-7) named Kristen Doran as his Operations Director and in May he announced that Sarah Whiteley joined his team as Legislative Assistant.

Congratulations to our friend Tom Bergeron on the launch of his new business news site, BINJE!

Capital Impact Group Elevates Sabeen Masih to Partner

Capital Impact Group (CIG) proudly announces the promotion of Sabeen Masih to Partner, recognizing her longstanding and exceptional service at the firm.

“Sabeen’s dedication to CIG and public service have helped shape the culture and success of our firm,” said CIG Founding Principals Gene Mulroy and Gerry Gibbs. “Her promotion is well-earned. More than a decade ago we welcomed Sabeen as a student intern, and now we are honored to welcome her as our Partner.”

CIG News

Gerry Gibbs was recently chosen to serve on the National Board for Black Men Vote (BMV). The New Jersey and Virgina Gubernatorial Races are immediate areas of focus for the organization.

NJSACB commission member Gene Mulroy, Commissioner Larry Hazzard and Deputy Rhonda-Utley Herring welcome Mike Tyson and UFC 316 to the Rock in Newark on June 7th.

CIG was proud to host CAWP’s New Leadership Program for a reception for students, staff, and elected, following a presentation on networking by Sabeen Masih. Pictured here is State Treasurer Elizabeth Muoio.

CIG was honored to host the launch of the Legislative Black Caucus PAC at our offices.

Out & About

CIG Client Spotlight

Capital Impact Group was proud to support Everytown for Gun Safety in advancing key gun violence prevention priorities this legislative session. Through their partnership with legislative leaders and the Attorney General’s Office, Everytown successfully helped move the New Jersey State Commission of Investigation’s gun trafficking legislative recommendations through both the Assembly and Senate committee processes, culminating in a full Assembly floor vote. The bill now awaits final consideration by the Senate.

In addition, we were honored to support Everytown’s 2025 State House Advocacy Day, which brought together advocates, survivors, and national partners to call for action on gun safety. Everytown also played a critical role in securing restored funding for the New Jersey Gun Violence Research Center at Rutgers University as part of the Fiscal Year 2026 state budget. These efforts reflect Everytown’s continued leadership in building a safer New Jersey and strengthening data-driven approaches to reduce gun violence.

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Capital Impact Group is a bipartisan public affairs and business development firm comprised of former public officials and communications experts that advocates for its clients at all levels of government. For more information about Capital Impact Group, please visit www.cignj.com or call (609) 989-5885.

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The CIG Insider is Capital Impact Group’s long-running bi-annual newsletter, offering updates on the latest political developments, legislative issues, and policy trends impacting businesses and organizations across New Jersey. Each edition provides valuable insights from our team, highlighting the people, priorities, and public affairs shaping the state’s landscape. See More