Since 1955, the New Jersey State budget has increased 100-fold or 10,000 percent, with Governors recommending an average of 10 percent a year more in spending and the State usually spending more than that, according to a new analysis by the New Jersey Policy Research Organization (NJPRO) Foundation released today.

Go here to read the full report.

NJPRO's Facts for Discussion showed that State spending has grown from $243 million in fiscal year 1955 to more than $25 billion in fiscal year 2004. In only two years (fiscal years 1976 and 1993) did State spending decrease from the year before, and while fiscal year 1994 spending was above the previous year's level, it was still below the total fiscal year 1992 expenditures.

"It is incredible that any entity can increase spending by 10 percent a year over a long period of time, but that has been the case for New Jersey State budgets," said Dr. Jim Sinclair, P.E., executive director of NJPRO. "Our latest Facts For Discussion shows that higher government spending has enjoyed widespread bipartisan support for five decades."

The NJPRO Foundation is an independent public policy research affiliate of the New Jersey Business & Industry Association. NJPRO produces innovative, practical research on behalf of New Jersey employers and advocates more efficient and effective government. Facts For Discussion is intended to provide a brief factual overview of a timely issue in order to stimulate debate over policy considerations.

In analyzing State budgets, NJPRO found that the increases spanned eight administrations (five Democrat and three Republican) and 13 distinct gubernatorial terms in office. In the 49 years for which actual expenditures can be measured, the State spent less than the Governor recommended only 14 times.

NJPRO cites seveal key factors driving up State spending, including the advent of casino gambling, the 1990 tax increases, the sixth New Jersey State Supreme Court Abbott v. Burke decision in 1997, the Corporation Business Tax increase in 2002 and increased borrowing during the Whitman and McGreevey administrations.

During the same 50-year period that State spending increased 10,000 percent, the State's population increased by 56 percent, inflation increased by 712 percent and property tax revenues increased by 3,200 percent.