What Mikie Sherrill’s Victory in New Jersey Means for Businesses

The race for New Jersey governor initially looked like a blowout. Earlier this summer, Democrat Mikie Sherrill held a 20 point lead in the polls over Republican Jack Ciattarelli, a former entrepreneur who owned and ran medical publisher Galen publishing. Ciattarelli, who campaigned on reducing corporate taxes and state spending, fought back with a key endorsement from Donald Trump, eventually pulling to a virtual tie, according to at least one poll, in the days leading up to the race. But Sherill came out on top on election night, capturing about 56 percent of the vote.

Sherrill is a former naval officer. Since 2019, she has served as the U.S. representative for New Jersey’s 11th congressional district. Before that, she was a federal prosecutor in the U.S. Attorney’s office for many years.

The race, one of just two gubernatorial battles this year (the other occurring in Virginia, which was also won by the Democratic candidate) was closely watched as it was the first for voters to register their feelings about the current presidential administration. New Jersey is often seen as a bellwether for what is to come in next year’s midterm elections. 

New Jersey’s economy may well have been the deciding factor for voters. Over half of the people surveyed by Emerson College/Pix 11/The Hill listed it as their top concern. Outgoing Governor Phil Murphy had seen his popularity plunge in recent months, with only a 34 percent approval rating in the days leading up to the election.

Now the question becomes what Mikie Sherrill’s election will mean for small businesses in the state.

During the campaign, Sherrill was endorsed by several key Democratic party members, including Barack Obama. She also was the candidate of choice of several labor groups, including the Teamsters Joint Council 53 and the New Jersey State AFL-CIO, which said, “She understands the dignity of work, the importance of strong unions, and the role that labor plays in building a fair economy.” (The National Federation of Independent Business’s New Jersey PAC endorsed her opponent.)

Here’s where Sherrill stands on four business-critical issues.

Taxes

Sherrill has said she plans to eliminate the state’s business registration fee to attract more companies to the state. She also wants to offer tax relief to businesses, in hopes of creating job growth. To make up for that income, she says, she plans to develop non-tax revenue sources, which will be used to find the transit system. This could be anything from higher parking fees at stations to more ads on New Jersey Transit buses and trains. Sherrill also says she plans to cut permitting and licensing wait times and expand the Business Action Center, a state agency that helps businesses in several ways, from offering guidance on regulation and permits to help accessing grants and other financing options.

Energy costs

Upon taking office, Sherrill plans to declare a State of Emergency on Utility Costs and freeze utility rates. She plans to build cheaper and cleaner power generation options and increase transparency from utility companies. More state properties will host solar projects, including closed landfills, carports and NJ Transit facilities and solar options will be expanded. She also plans to collaborate with neighboring states to upgrade New Jersey’s energy infrastructure. This would include expanding battery storage, which she says will bring down costs.

Minimum wage

Saying she is “committed to boosting wages for working families,” Sherrill stopped short of pledging to raise the state’s minimum wage. She noted it was indexed to inflation in the state to account for cost of living increases. Her focus, instead, seems to be on cutting costs, rather than increasing minimum incomes.

AI data centers

Mikie Sherrill’s Day One State of Emergency on Utility Costs will launch an initiative to build out new power generation systems, she says. Increasing those should make the state more appealing to data center developers. She also has said she plans to take the state’s grid operator to court, alleging mismanagement and failure to add readily available clean energy sources to the grid. Doing so, she says, has cost the state business contracts.