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Anchor: Tonight, sex trafficking charges in Essex and Cumberland counties.

>> These alleged crimes are a stark reminder of why we must be steadfast in our goal to end human trafficking in all of its forms.

Anchor: Plus, Senator elect Andy Kim jumping into the ring to negotiate a contract for a group of North Jersey nurses.

>> We are not asking for the moon but want to the deal done so I continued to stand with you to try to get a deal as soon as possible, one that uplifts what you deserve.

Anchor: Also, with Governor Murphy's orders to reduce spending, is New Jersey teetering on a fiscal cliff?

And after a Long Beach battle, relief finally on the way for North Wildwood and its eroding shoreline.

>> Are shore protection projects will be here 100 years from now.

Anchor: "NJ Spotlight News" begins right now.

♪ >> From NJPBS Studios, this is "NJ Spotlight News" with Briana Vannozzi.

Anchor: Good evening and thank you for joining us on this Tuesday night, I am Briana Vannozzi.

We begin with some top headlines.

First, a sex trafficking crackdown.

The state police and Attorney General's office today announced they had arrested seven people and dismantled two separate human trafficking they were connected to in North and South Jersey.

According to the indictments, one ring was based in Essex County where a suspected female trafficker allegedly used female violence to control teenage victims and then profited from their sexual abuse.

While an investigation into a couple in county-based ring and found new groups of women were being brought to a house of prostitution in Bridgeton every week.

Indictments come just before the second anniversary of the division of criminal justice is human trafficking unit formed in response to the rise in trafficking crimes in the state.

According to national data, 170 human trafficking cases were identified in New Jersey by investigators in 2023 just from calls to the National human trafficking hotline alone.

>> We do this work for the victims, for the survivors.

For those who deserve justice and dignity and who deserve to be treated like human beings.

We fight for everyone who has not only survived the horrors of human trafficking but also those who are working to rebuild their lives one step and one day at a time.

Anchor: Also tonight, the Patterson school district is under fire from the federal government for failing to protect students from sexual harassment and assault.

A review announced Monday from the federal education Department office of civil rights cited multiple instant his -- instances in a five-year period starting in 2017 were district employees learned of sexual harassment allegations between students and staff never reported them as required by the law.

The review also found school officials did not document internal investigations into complaints and failed to offer students supportive measures or even let them know they were available.

The report also detailed instances of student on student assault and harassment that went unchecked.

As a result, the Patterson school district agreed to follow a 15 page compliant agreement that includes more training for staff, mandated record keeping and reporting.

If the district doesn't comply it could face charges from the DOJ.

Aunt the drinking -- and the drinking water in Trenton went largely untested for more than a year.

According to a letter sent out to residents and neighboring suburbs, an employee at the local water facility was fired after falsifying data for 15 months from 2022 Ruth 2023 P -- through 2023.

They notified customers that officials became aware of a problem a year ago and began investigating, determining that reports meant to monitor for bacteria and contaminants were fudged.

In a statement today, the Trenton mayor defended the delay in notifying customers, pointing to a directive that requires the state DEP to first Yvette the issue him a and denied the water was ever unsafe for consumers.

He also said the city has put in more oversight for water sample collections like peering workers with supervisors and installing GPS trackers on vehicles.

Meanwhile, those who have been drinking it feel otherwise, including mayors from nearby towns like Ewing who want more transparency and accountability from Trenton.

The letter comes two years after the state took control of Trenton waterworks and more recently hit it with a massive fine for violating the safe drinking water act.

Tensions escalating between RWJ Barnabas health and the nooses -- nurses Union at the Clara Maass Medical Center, accusing their employer of unfair practices ever since they voted to unionize two years ago.

The dispute hinges on both sides failure to reach a contract agreement which the hospital system blames on actions by the union they say have denied nurses the right to vote.

As Raven Santana reports, the union is a to New Jersey's newest U.S.

Senator for help.

>> We are not asking for the moon but trying to make sure the deal is done.

I continue to stand with you to try to get a deal as soon as possible.

Reporter: Senator elect Andy Kim spoke out during a virtual conference in support of nurses at the Clara Maass Medical Center, demanding a fair contract with the largest health provider in the state.

The fight has been going on two years and nurses who voted to organize with the union in the summer of 2022 insist they do not feel seen or heard by the medical center they say virtually controls every aspect of their employment, from wages to health and retirement benefits.

>> We felt we weren't seen or heard and so we made a decision to form a union so we could have a voice not only for ourselves but the patients we care for on a daily basis.

Also for the community by extension.

>> When we started negotiations, they capped us at 30 years, so nurses who have been working at the hospital for over 40 years, they won't get the adequate increase in salary.

Reporter: This as the National Labor Relations Board recently issued a complaint charging the 472 bed facility in Belleville and the entire RWJ system, which is an underwriter of NJ Spotlight News, with violating nurses rights.

The secretary-treasurer says they unlawfully terminated one nurse and disciplined others for engaging in union activity.

>> For example, the rules that the system violated the right of a worker and terminated her because she was active in speaking up on behalf of coworkers for the union.

They also found the system violated workers rights by doing what is called surface bargaining.

It means you come to the table and offer things that you absolutely no workers will not accept because it will not actually do anything to improve patient care or the standards for the worker.

Reporter: In response to the claims, a spokesperson for Clara Maass Medical Center must says the workers were disciplined for inappropriate conduct not because of protected union activity.

She point out the National Labor Relations Board decided at sciu request to block nurses from deciding if they still wanted to be representative.

They say the rebuild lives charges filed by seiu are without merit and being used by the union to deny nurses the right to vote.

For 17 months, these unfounded claims that with the NLRB without any action.

In response to the statement, Silva said -- >> There was a worker dissatisfied with the union and she was recruited by this organization to move a petition to get rid of the union and that her but we are clear that the overwhelming majority of nurses at this institution voted to form their union and when the organization that is funded and their sole mission is to attack the unions, when those kinds of efforts are involved, it has to be stopped.

Reporter: Clara NASA says they remain -- Clara Moss says they remain committed to negotiating.

The two sides will argue their case at a hearing scheduled for February in Newark.

I am Raven Santana.

Anchor: The Murphy administration is tightening its fiscal belt as the governor prepares to deliver the final budget of his second term.

Recently ordering a pause on pay raises for most state workers, stricter limits on new hires and government spending cuts to bridge a budget gap teetering on a $4 billion.

The administration sees it as another tough choice to be made after inheriting programs underfunded during the Chris Christie era.

But as David Cruz reports, overspending is also to blame.

Reporter: If it feels a little bit like an overnight -- the morning after an online bender, prepare for a strong cup of coffee.

The governor's office signaling a more sober approach to spending going forward, tasking all department heads with finding at least a 5% savings in their budgets for the next fiscal year.

You hear budget cuts might you think service cuts and wonder what happened to the days of billions in federal aid and record-breaking state surpluses?

The treasurer says there's no need to panic.

>> We are in a much better position than we were before the governor took office in terms of the surplus pit we have resources to fall back on.

As we spend more than we take and for revenue, you eat into the surplus and that's what we want to address, we want to make sure we are still maintaining a decent surplus while meeting the needs New Jersey depends on us for.

Reporter: Easy for her to say, Republicans like the Senate budget officer say the structural imbalance, spending more than you take in, is over $4 billion in this budget, he says, causing the surplus to shrink.

>> Off the top you've got to billion of our vaunted surplus, it's down by 25%, from 8 billion to 6 billion.

Then we stole -- remember the CBT money?

The corporate business tax, the transit fee?

We collected over $1 billion and then went to transit.

It was used to balance last year's budget.

That's 3 billion right there.

Then you have it -- again, just easy stuff, 600 million and it was supposed to be debt and avoidance money swiped into the general fund, 3.6 billion.

Reporter: Democrats say Republicans are crying crocodile tears because they stood by while the previous governor, Republican Chris Christie, ignored the school funding formula, zero doubt social programs, and never made a full pension fund payment.

>> It has been painful fiscally to make that payment.

This year, it is $7 billion M a which in prior administrations, including the one we took over from, if they had been paying their full payment, it would have cost a little over one billion.

That's the penalty payment this administration and legislatures have been having to pay.

Reporter: Progressive groups like New Jersey policy perspective, say new budget cutting is nothing answer.

Popular programs like the anchor property tax relief and pre-k funding and more school aid are part of governments mission.

That said, policy perspectives Peter Chen says the answers come from sound fiscal policy and not the half measures all too common to the state budgeting process.

>> It's hard because the fixes had to happen two years ago.

If we had an opportunity to revise the corporate tax to make sure businesses that stash profits overseas had to show those profits when they paid taxes in New Jersey, the opportunity came and went.

We revised the corporate tax without doing it.

Reporter: The same goes with one billion here and one billion there and soon you're talking about real money.

State NJ, another proposed tax rebate program, would cost another one billion per year after it's up and running.

That's another program Republicans have blasted while at the same time voting yes on.

Lest anyone believe they can't do the same things for which they criticize, Democrats -- for which they criticized immigrants.

Anchor: In our spotlight on business report tonight, high taxes, the cost of doing business here and lowering both are among the top concerns of business owners in New Jersey.

That's according to the NJ BIA 66 annual business annual survey, which reported findings based on 620 valid responses from members.

Most, about 66%, were small businesses that had fewer than 24 employees.

The survey comes amid the backdrop of the 2025 to an editorial race to replace Governor Murphy and is seen as a wish list of sorts for what they would like the next administration to prioritize.

For more on what is on the wish list, I'm joined by the NJ BIA executive officer.

Let me start with the most glaring, why do you think property taxes have consistently been a top priority for your members when they are responding to this survey year and and your?

MICHELLE: When it comes to property taxes, businesses are left at the curb despite that they pay about 50% of property taxes across the state.

We have a property tax relief programs, anger is a program for homeowners and renters, which is Summer Lee for them, wonderful.

They get a check each year, a little bit of a rebate, that this is not included in that.

Everyone is talking about stay New Jersey next year, it will be the senior freeze program, rebates for seniors for property tax.

Again, business left out.

I pay about 50% a property tax across New Jersey.

Anchor: I imagine that's one of the primary factors, it was 74% of the business owners who responded said affordability is worse this year than last year.

Was property tax is one of the main factors?

What else was included?

MICHELLE: It's a host of things when it comes to affordability.

Mandates and in particular labor mandates, and the question of compliance in the state of New Jersey.

We are highly regulated and mandates on business -- this is why our mantra is every dollar counts for business, it means so much because it does.

Anchor: What has been the impact of health care costs and the corporate tax rate for your members?

MICHELLE: Those came in sadly highly ranked as well.

Health care comes at the top every year.

We know this continues to increase many years and double digits and that impacts the bottom line for business.

If they have to use more money toward health care they have to cut somewhere else or increase the price of products and services.

That concerns them because businesses want to provide good health care for the workforce, it's how they attract a good workforce, by providing a robust benefit package.

The other issue, the corporate business tax, no pun intended, it's off the rails with the transit fee.

It was such an unfair hit to the business community in this past year's budget and you see that loud and clear in this survey.

Anchor: What do you anticipate will be the biggest challenges for the next governor in order to spur growth, promote businesses, get hiring going?

What do you think they will fight us -- they will face essentially?

MICHELLE: They are facing a fiscal cliff and we know that because Governor Murphy put out a mandate to find ways to cut costs going into 2025 and freespending.

We've been saying this has been on the way for the last few years.

We knew a $56 billion budget is unsustainable for the future, and yet coming into the last budget cycle, policymakers found it of their own will to increase the budget.

They will be very challenged and we can't tax our way out of this anymore.

We are the most highly taxed state in the nation for property tax, income tax, sales tax, corporate business tax -- I could go on and on.

Anchor: Where their particular industries in the survey that felt more of a strain than others?

I'm thinking about small businesses, but a lot reported being hit by inflation, supply chain costs.

Were there industries that felt more of a strain than others?

Michelle: I have to say it was across the board.

The big challenges -- yes, while inflation seems to have settled down, still bit at the heels of these businesses, requiring them to increase the cost of products and services as again, we always suggest that will be the result of this.

The supply chain was difficult for them, about manufacturing as their costs go up in order for them to get products and services.

They can only pass that off in other ways and often times that's two increase their own products and services.

Business is so less profit and some even reported losses for the first time.

Anchor: I know you all are hoping lawmakers will take these findings into serious consideration.

Michelle, thank you for your time.

Michelle: Thank you for the opportunity.

Anchor: A decade-long battle has come to an end in North Wildwood that involved millions of dollars in fines and lawsuits over unauthorized work replenishing the resort towns beaches.

While officials say they have reached a deal with the state to move forward with the project that will widen beaches and protect the shoreline from erosion while also dropping claims on both sides and the pricey penalties that have come with it.

Ted Goldberg has more on what is in the settlement and what it means for beachgoers.

Reporter: A contentious battle over North Wildwood speeches ended with a whimper Tuesday morning.

>> This resolution is adopted.

Reporter: The North Wildwood city Council unanimously voted to reach an agreement with the state.

The city will drop its lawsuit against New Jersey while the state will erase a $12 million fine for unauthorized replenishment.

>> In my opinion this sets a clear path forward for protection projects.

Reporter: Projects that will cost about 57 million dollars but could provide North Wildwood with a protection going forward against storms and flooding.

>> Restricting marshland on the north side of town that's already wetlands.

Second is doing wildlife enhancement behind the seawall and the third is returning the amphitheater to its natural state.

>> The beach were a punishment this past summer was $17 million.

The seawall extension will push $20 million.

The islandwide projects will be over $20 billion just for the north wall.

These sure protection measures are expensive but when you calculate what they are protecting and the economics, the economy and property they are protecting, I think it more than makes sense financially.

Reporter: The city will pay about $7 million, while state and federal money will pay for the other 50.

>> These products are generational sure protection projects, particularly the seawall, that will be here 100 years from now.

It offers the maximum protection against coastal storms.

>> What concerns me is not only from a business standpoint but also islandwide, you need to have beaches so that it will protect the island.

Reporter: Nick owns the Acropolis oceanfront resort, a stones throw away from the famously thin beaches in North Wildwood.

>> It gets frightening when the water is close to the bulkhead.

Reporter: North Wildwood has perilously thin beaches because of strong erosion.

Concerned leaders ran afoul of state officials by doing unauthorized each replenishment and felt they were ignored in favor of other shore communities.

>> There was no choice.

Things were not moving and I don't think the state realized the severity of the problem at first.

But I think absolutely they came around and jumped in.

>> For too long we were left on her own in that regard, until the governor stepped in this past spring along with the senator and made sure North Wildwood was included like every other beachfront community in the state.

That to me was really what changed it.

This was a fight over long-term sure protection and making sure the state was engaged and they are now.

Reporter: If there's any bad blood it's been washed away by the tide and the major projects coming to North Wildwood.

>> We are very grateful for what has happened here.

>> I feel good about the DEP, they are very actively engaged with us on multiple sure protection projects.

>> It was a great conclusion.

I think the compromises made were excellent.

I think moving forward I'm very happy both the state, federal and city all got together to help us.

Reporter: These beaches should become wider sometime next year fixed to a $57 million solution to a years long fight.

In North Wildwood, Ted Goldberg.

Anchor: Finally tonight, both the FBI and FAA are joining the hunt for those unwanted eyes in the skies being reported by residents across North Jersey.

For weeks drones have been spotted flying at night around Morris County, sometimes in groups.

It's leaving neighbors on edge and frustrated over the lack of information about who is operating them.

Eyewitnesses have reported drones flying in precipitous and above two highways.

Residents say they hover above homes and sometimes for an unsettling amount of time.

The FBI has confirmed it is investigating the activity and is asking folks to report any sightings while the FAA has banned all drone flights over the nearby Trump National Golf club in Bedminster and the military base in Rockaway.

Police departments have issued warnings to residents, asking them not to approach or handle the drones if they land.

They also added there's no threat to the community right now.

Meanwhile, conspiracy theories are running rampant on social media, as you can imagine, from foreign spy cams to it being a hoax, and of course even a possible alien invasion.

That will do it for us tonight, but before you go, a reminder to download our podcast so you can listen to us anytime.

For the entire team at "NJ Spotlight News," thank you for being with us, have a great night and we will see you back here tomorrow.

>> New Jersey Education Association, making public schools great for every child.

RWJBarnabas Health, let's be healthy together.

andorstead, committed to American energy.

>> have some water.

Look at these kids.

What do you see?

I see myself.

I became an ESL teacher to give my students what I wanted when I came to this country.

The opportunity to learn, to dream, to achieve, a chance to be known and to be an American.

My name is Julia and I am proud to be an NJEA member.

♪