ANNOUNCER: Major funding for NJ Spotlight News is provided in part by NJM Insurance Group, serving days of residents and businesses from within 100 years.

And by the PSEG foundation.

BREANA: tonight, a financial turnaround from the governor toting improvements to the state's financial forecast.

But is it sustainable?

>> Our revenues -- excuse me, so far are holding up largely well.

>> Plus Washington gridlock.

Rep. Mikie Sherrill sheds some light on another push to avert the looming government shutdown.

>> We are continuing to work for it I, think we have a plan for a continuing resolution, but as far as a supplemental, that remains in limbo.

BRIANNA: Also, Senate campaign controversy for the first lady.

Intimidation and retaliation allegedly used against College Democrats to cancel their endorsement of opponent Andy Kim.

>> It was scary to hear an employee of the state party tell us that we would make powerful enemies with the Murphy's.

BRIANNA: End blue more snow on the way and temperatures plummeting, forcing shelters in all 21 counties to open doors for those in need.

NJSpotlightNews begins right now.

♪ ANNOUNCER: from NJPBS Studios, this is "NJSpotlightNews" with Brianna Vannozzi.

BRIANNA: good evening and thanks for joining us.

I am Brianna Vannozzi.

Just three years ago, the state was staring at an uncertain and potentially catastrophic financial situation, with a once in a Sentry pandemic casting an ominous shadow on revenue and is a prediction's.

But catastrophe did not strike.

In fact according to many economists, New Jersey is now on better fiscal footing that it has been in decades.

Today Governor Murphy made the case before a group of financial analysts in New York that his policies helped steer the state clear of that economic disaster.

Senior correspondent Brenda Flanagan reports.

[APPLAUSE] REPORTER: Governor Murphy gave a candid appraisal of New Jersey's economic status during a Q&A with financial analyst in New York.

He noted a big boost in school funding will take centerstage and his upcoming budget message as New Jersey which is the final year of adjustments to state education aid.

>> School funding will still be a multi-hundred million up, the biggest in the budget and that has been the case, 500 million to $700 million a year for every year I have been here.

It will ultimately reach its mountaintop with the budget I will be announcing.

Reporter: The governor took a modest victory lap for helping stabilize New Jersey economy raise its credit rating and stowaway annexed or $8 billion budget surplus.

But he also ticked off a list of looming economic hurdles.

Among them, tax revenues that have fallen short, down $530 million, or about 3%, since last July compared to the prior year.

But Murphy is hoping to see improvements.

>> Our revenues -- excuse me -- so far, are holding up largely well.

January -- April is a huge month , for obvious reasons.

January is a pretty big month.

>> The state had been in a circumstance where it had a lot of extra money flowing around for things like boosting pension payments and increasing K-12 school aid funding.

Now we may be in a little tighter environment.

REPORTER: Our budget and finance correspondent says holiday shopping could help provide the sales tax revenues New Jersey needs to cover the record-breaking $55 billion spending plan that Murphy signed last June.

The governor could also dip into surplus or cut spending, but more bills are coming due.

>> there is a whole new set of challenges that have to be confronted, and they include what to do with NJ Transit, what the next Transportation Trust Fund renewal is going to look like, and also how potentially the state will manage its next fiscal year.

If it is going to be playing out in a much tighter revenue environment.

REPORTER: He says Murphy is sticking to an economics energy that has earned accolades from financial industry analysts.

The governor announced New Jersey just paid another $500 million to reduce bonded debt, and he will make another full state pension payment.

Finding stable funding for NJ Transit, which Murphy said he would do, quote, "if it kills me," remains a sore spot.

>> We have in many respects talk NJ Transit through the customers lens, reliability, safety, confidence, on-time performance.

But now we will have to tackle what is a growing fiscal challenge and we are working on solutions there.

REPORTER: Meanwhile, state lawmakers have promised a significant but expensive poverty tax release.

Murphy's message -- >> The good value for money equation, is hugely important in New Jersey.

So, you know, as opposed to realistically we are either going to be the low-cost state to do your business in order to raise your family and.

Reporter: the governor is pushing to growth economy.

Expect announcements about offshore wind and a fintech hub.

The governor is budget message is delivered in late February.

I am Brenda Flanagan, NJ Spotlight News.

BRIANNA: While the state shores up its finances, Congress is struggling with not one, but two potential government shutdown deadlines, racing against the clock to pass a short-term spending bill by midnight tomorrow, as a snowstorm slated to hit Washington DC threatens to rail the whole thing.

The Senate has done their part, voting to approve a stopgap bill.

Now it is on the house.

I am joined by Congresswoman Mikie Sherrill, in the Capitol, for the latest.

Congresswoman Mikie Sherrill thanks for giving us a few , minutes of your time.

Let me ask you first about this logjam that is happening really over aid with Ukraine and looking at the border policies.

What is the likelihood that the house will take up a vote in time to avert a shutdown tomorrow night?

Rep. Sherrill: I think we will avert a shutdown.

We are working at -- we have a snowstorm coming here to Washington.

I know the Senate is working right now to get the continuing resolution over to the House.

So this will not actually be passing our new budget, which we still have not been able to do.

This will be continuing last year's budget so we can keep the government open as we continue to work to resolve some of the issues we still have -- getting the appropriations bills done.

Even that, even the basic budget continues to run into snags, with the House Freedom Caucus, the speaker announces how we will move forward, then the far-right of his party undermines him and tries to stop all forward movements.

So we are continuing to work for it.

I think we have a plan for the continuing resolution.

But then as far as the supplemental, that really remains in limbo here.

BRIANNA: We will clarify, this is a stopgap bill, this continuing resolution that needs to be voted on by tomorrow night, not the full spending plan.

But it seems like you all are in the same position you were in previously when we had House Speaker McCarthy.

How do you get around this then?

Guest: I think that is a really good question and, again, my concern was always that it doesn't get easier when you get into a presidential election year.

We have already of course heard Former President Trump suggesting to not do things, you know, don't get a border solution, wait until I get into office.

So, again, just trying to undermine the functioning of the country for your artisan politics, which is the very opposite of what we need to see from our elected officials when we have so much at stake.

We see a very different Congress in the last session.

You see all the bipartisan work, huge expansive bipartisan bills like the bipartisan infrastructure law that we work ed together to get across the finish line, and yet the House GOP cannot simply govern.

When you see the GOP in the majority in these legislative bodies, they simply can't govern at this point.

It has become so egregious, and we are seeing this kind of breaking point as we try just to get the supplemental budget passed.

So it is unclear how we will be able to do that supplemental with critical border support.

BRIANNA: Let me ask which gears then, looking at the frustration in Congress, you have had a really good quarter in terms of fundraising.

Obviously you are out for reelection this year, but there are other potential races looming down the pike.

What are you thinking about in terms of a gubernatorial run?

Rep. Sherrill: you can imagine, what I am focused on is making sure we get back into the majority in the house.

There is so much that we passed in the last Congress that is good for New Jersey.

Whether it is the gateway tunnel project, continuing to invest in research and development -- I have huge seeing extensions -- I have seen huge expansions in businesses in my district.

We need to invest in our schools.

One of the biggest concerns I hear in my district is that businesses don't have enough of a workforce, they need more people to fuel the economy as we move into this new economy.

So that is what I am focused on now.

I do think we have a great shot at future planning for the state.

I think the new economy we are building is going to work very, very well for New Jersey.

BRIANNA: Alright,, Congresswoman Mikie Sherrill, always good to have you on.

Thank you so much for your time.

Pennsylvania Senator John Fetterman today threw his support behind Representative Andy Kim in the high stakes political battle over New Jersey 's U.S. Senate seat.

A recent recording shared with first the New York Times reveals just how critical endorsements are in this race after a youth coordinator for the Democratic state committee seemingly tried to pressure the College Democrats of New Jersey against endorsing Kim instead of frontrunner Tammy Murphy.

A senior political correspondent David Cruise reports, it is a rare behind-the-scenes look at this race and a potential sign of a weakness in the Murphy campaign.

REPORTER: During election season, it is easy to get sucked in by news of a recorded phone call where one side says they felt politically threatened by the other.

Maybe you read the New York Times piece on how a college junior, a part-time paid organizer for the state Democratic Party, allegedly tried to pressure the college young Dems into canceling their endorsement of Andy Kim in the upcoming Senate primary.

>> I think if you endorse this early on, it will only hinder you in the long run in terms of your organization, and I would be worried that about that.

>> It was scary to hear an employee of the State party tell us that we were going to make powerful enemies.

Reporter: Nate Howard was on the other end of that call, a recording which we heard and -- it sounded friendly enough.

But political threats are in the , eye of the beholder, and the Murphy campaign says they get that.

But point out that the college junior you heard on that call did not represent the campaign.

And it called her comments totally and completely inappropriate.

But there is another part of the call which might point to what observers say is a potential weak point of the Murphy campaign -- lack of street cred among progressives, party grassroots, and, yeah, young people.

This from the same organizer in the same phone call.

>> I want you to know, I am voting for Andy Kim.

I am supporting him in this primary, I will be casting a vote for him.

I think he is the best person for young people.

>> Perception wise, she does have the perception that she is the organization's candidate.

That she is a regular Democrat.

That means if you are from a group that is typically more disaffected from the organizations, more disaffected from the line, that you may want to shop elsewhere.

Reporter: The Tammy Murphy campaign says it has plenty of grassroots and progressive support.

But the Phil Murphy administration, in which the first lady has played a major role, has had a lukewarm at best relationship with the left, who make up a bulk of primary voters.

Other candidates in the race say Tammy Murphy is the symbol of the political establishment, and not in a good way.

>> The concern is real.

The concern calls into a double standard, overreach of power.

All of us who are activists of the Democratic Party are concerned about it.

So there isn't a. real base of support for her on the ground.

>> The people who are gravitating to my campaign are, are the people that are just fed up with our broken politics.

That phone call that was putting pressure on the college Democrats, that was an example of this broken politics that people can't stand.

And that is why I stepped up to run.

Reporter: Progressives are often the loudest voices in the party their political potency is often , but debated.

In a multicandidate primary, though, a united bloc of voters is clearly desirable.

But in politics, what supporters say isn't always what they do.

A lesson learned by one college student this week.

>> I think what I learned is I don't want to have to be that person who is constantly compromising on my values and working to help candidates that I don't even like or support.

That is not the career I want.

Reporter:.

Reporter: Said almost every college aged students of politics ever before jumping into campaigns that will challenge that at every turn.

I am David Cruz, NJ Spotlight News.

BRIANNA: The dramatic hearing into last summer's Port Newark cargo ship fire wrapped up today with investigators from the U.S. Coast Guard and National Transportation Safety Board learning even more new details about the deadly incident, including confirmation from a doctor in the Armed Forces medical system on what killed the two Newark firefighters who got trapped in the blaze.

Wayne Brooks Jr. and Aixa Boo had toxic levels of carbon dioxide in their bodies, their deaths not the result of burns or blunt force trauma it .

It is just one example of the gritty details shared during six days of painstaking testimony.

Ted Goldberg reports.

>> The key information, was it conveyed by the ship's crew to you?

Or you able to understand?

>> Yes.

REPORTER: On the last day of scheduled testimony into the investigation of the fire on the Grande Costa D'Avorio last summer, the battalion chief laid out how Newark fire Fighters didn't have a complete picture on how to fight the fire.

>> Were you aware that the watertight door on deck 12 was open and they were unable to get a closed?

>> There wasn't anything mechanically wrong with it.

That information was not offered up by the ship crew.

Reporter: The battalion chief testified that it was difficult for fire fighters to get control of the fire as it spread quickly.

>> At any point where you made aware that they were having issues closing that ramp off?

>> We were never made aware of any mechanical issues.

Reporter: According to his testimony, it got so hot on board that fire fighters' boots were falling apart.

>> It was just the members that had the leather boots which are purchased by themselves.

.

It appeared that the water that was pooling from them cooling the cars on Deck 12 was being heated up by the surface I'm not a scientist, but it appeared that the glue that attaches the boot to the shoe was coming undone.

Reporter: Another issue for the firefighters was unfamiliar territory, as the former fire chief and current assistant public safety director Rufus Jackson testified yesterday, battling shipboard fires was unfamiliar territory and few firefighters were ever properly trained.

>> How many Newark them were in attendance with you, estimation?

>> I don't recall the actual numbers.

I do recall there was one other member who was under my previous command who, was on attendance that was on the ship that night, as well.

Reporter: Some people are blaming the lack of training on Jackson's testimony yesterday confirmed that firefighters have not gotten in-person training for shipboard fires since 2014.

Edward Kelly leads the International Association of firefighters Union and yesterday he said the New York fire department needs new leadership reports directly to the mayor, not a division of public safety reporting to police officers.

>> "it is time to prioritize firefighting in the city of Newark."

On the steps outside where the trial is happening, barely spoke with the victims' families yesterday and said Jackson must be replaced.

Meanwhile in testimony, the battalion chief said that the training he did receive nearly a decade ago was helpful but he could have used more.

>> What if any information was provided during the training that you utilized in this situation?

>> Just general knowledge.

The Port Authority was a retired police officer and stated in this course that it wasn't for tactics, just for awareness.

>> You have annual exercises.

How was Newark's participation in those?

>> Minimal.

>> How about the other 16 municipalities?

>> Strong.

They wanted to participate, they just didn't have the money.

REPORTER: This port security specialist testified yesterday that he knew Newark's mean fire but was out of service on the day of the fire.

>> Are you aware of circumstances where the fire department fire boats were called upon, but were unavailable because they were out of service?

>> Yes.

>> That happened prior to this incident?

>>.

Reporter: Is the hearing went down, the investigation continues for the Coast Guard and the national Transportation safety board they say a report will come out once their investigation ends.

In union, Ted Goldberg, NJ Spotlight News.

BRIANNA: Governor Murphy is renewing a pledge to shutdown the state's largest youth detention center after 50 men filed a lawsuit Wednesday alleging they were sexually abused there when they were boys.

The lawsuit accuses the New Jersey training school in Munro Township of a decade-long, quote, "culture of abuse that was allowed to go on virtually unchecked."

The disturbing allegations spanned from the 1970's to as recent as 2010, alleging guards, counselors and other staff sexually abused juvenile detainees and threatened them with more confinement if they spoke up.

The facility has long been considered troubled, and in 2018, the state announced plans to close it, but stalled citing the lack of other facilities to house youth in custody.

Today a spokesperson for Governor Murphy said he is, quote,, "Committed to the Responsible closing of the center."

The Attorney General also announced an investigation into the claims in the lawsuit.

According to the state, there are currently 200 youth housed there between the ages of 12-23 years old.

In our Spotlight on Business Report, the owners of two now-defunct nursing homes are getting booted from New Jersey's Medicaid program.

Acting Comptroller Stephen Walsh announced that instant care, and Woodland behavioral and nursing Center would be suspended from Medicaid, its primary source of funding.

The owners were given 100 days to the vest from the other nursing homes bageling in the state that Princeton care, you will recall, is the center that run out of cash and abruptly evicted residents in one day on September 1, leaving some sitting on vultures of the sidewalk waiting for family members to pick them up.

Walsh's report accuses the owners of, quote,, ", "Recklessness and route neglect that caused serious harm and trauma to residents at the center."

Last month the owners of a rehab center were also given 100 days notice to cut ties with the company that controls a nursing home, or face Medicaid suspension, these are the same folks who own Woodland he girl and nursing center, which was once New Jersey's largest nursing home that got shot down in 2022 fulfilling to protect the health and safety of its residents.

♪ Turning to Wall Street, stocks went higher today, signaling a rebound from the month's loss permit here is how the markets closed.

♪ Most of the state has been issued a winter weather advisory as we brace for the second storm this week.

The National Weather Service is predicting significant snowfall on Friday between three to six inches, ahead of the frigid weekend.

This time there it is the southern and central half of the state that will get hit by the most snow, especially Western areas closest to Pennsylvania.

Governor Murphy tonight reminding residents New Jersey is still under the state of emergency he declared for last week's major rainstorm and a code blue has been activated for all 21 counties with temperatures plunging below freezing.

That enables shelters and warming centers to open across the state.

But in Ocean County, one of the only areas in New Jersey without a full-time shelter, access is limited and often difficult for the need.

Senior correspondent Joanna Gagis takes a deeper look to find out why.

>> I was standing at the right place at the right time when somebody pulled me in.

Reporter: Where.

Reporter: were you living before this?

>> I was living in my car.

Reporter: Everything came back to mind.

It was really bad.

Reporter:.

Reporter: You came back to some cold weather?

>> Exactly.

REPORTER: What brought me here with my addiction and mental health.

I lost my house and because of that.

REPORTER: For Jacinda, Susan and Jesse, the night be deadly cold if it wasn't for "just leave" here in Toms River, a center that sets up a temporary shelter in the space provided by the Township.

>> People are coming in.

I naturally come in, I am in, walk in with a big smile and lots of love because they aren't getting that on the street.

I have spent time being homeless, so and a width that is like.

REPORTER: It provides shelter at once" blue has been activated.

See Dwight that temperature was set at 32 degrees a few years ago.

But in Toms River, the town Council approved a code blue to be activated at 35 degrees.

>> That helps us help more people because we have an extra couple of degrees to open a little bit earlier than the others.

Every year it varies, but I would say we get probably an expert 20 to 30 days every year because of the change.

Reporter: Well that ability to help is what drives the full year at just believe, they also face the reality of turning people away because they have reached their capacity of 30 bed early this winter.

>> I have a hard time turning them away.

Reporter: How many have you had to turn away this winter?

>> I don't have the number off at the former head -- 10 people.

OK?

We have had to turn away 10 people.

That's tough.

These are people who need help.

>> We need a full-time shelter.

Five months out of the year is great.

Reporter: But it is not enough.

And they lose touch with some of their clients in the month that they close, says the founder and CEO.

It is especially challenging because they help to connect them with other services like mental health and addiction counseling.

>> Maybe the county will give us a building is, we want you guys to run a year-round shelter.

>> If we had a full-time shelter, we would be able to get people plugged into services a little bit easier and make a difference.

I am sure a full-time shelter is more cost-effective anyway than what we're doing now with social services putting people up in hotels overnight.

At least this way we get people plugged into permanent housing.

Reporter: Permanent housing is the ultimate goal, one that Susan Reed is going to experience for the first time in years today.

>> I have a new place to move into tonight.

A real house.

I am excited.

>> [chatter] >> It has changed the course of my life.

I am not going here until the end.

I made a turn to better myself.

Reporter:.

Reporter: That is what Jacinda Crandall is working towards.

>> I am trying to get back to where I was because I have grandkids that a dormy.

They always love being around me.

They can't be around me here.

Reporter: And for Jesse Jenkins this has become his chosen family.

>> God bless need to have the family he wanted me to have.

These guys care about me and I care about them as well.

Reporter: This week alone, just believe found housing for 4 people.

So far this winter, it has been 42.

And last year's total was 312 people who got out of the cold and now have a chance at a better future.

In Toms River, I'm Joanna Gagis, NJ Spotlight news.

BRIANNA: That will do it for us tonight, but don't forget to download the NJ Spotlight News podcast so you can listen anytime.

I am Brianna Vannozzi.

for the entire NJ Spotlight news team.

Thanks for being with us.

Have a great evening.

We will see you right back here tomorrow.

♪ ANNOUNCER: New Jersey Education Association.

Making public schools great for every child.

And RWJ Barnabas Health -- let's be healthy together.

♪