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April 14 to 20
Empire Wind
Views on offshore wind power vary, but whatever your opinion, this was not a good month for what so many in Gov. Phil Murphy’s administration thought would be a key avenue for clean, renewable energy as the state transitioned from fossil fuels.
This week the federal government shut down construction of the Empire Wind project off the coast of Long Island. It marked the last move in the Trump administration’s efforts to end the offshore wind plans that had been a centerpiece of Joe Biden’s war on climate change.
Front and center on the decision to halt the work, Interior Secretary Doug Burgum directed the Bureau of Ocean Energy Management to end construction of the large-scale wind project “until further review of information that suggests the Biden administration rushed through its approval without sufficient analysis.”
Cape May County Congressman Jeff Van Drew issued a press release that announced his engagement with the departments of Interior, Commerce, and Justice on the decision. “I have worked closely with these federal agencies to expose the problems with this project, and now they have taken action,” Van Drew said.
Just days before, Van Drew also touted a Government Accountability Office report that called for federal action to address gaps in Interior’s oversight of offshore wind energy development. He argues that “the independent, nonpartisan report” from the GAO is further evidence that the nation must put an end to offshore wind efforts “once and for all before more damage is done.”
A spokesperson for Equinor, the Norwegian energy company engaged in the construction of Empire Wind, confirmed that construction on the project will halt. He also said the company is “considering its legal remedies.” This puts New York’s energy goals in jeopardy. The state’s climate act sets a goal of 70% renewable energy for the grid by 2030.
This decision does more that halt the federal permitting process. Rob Freudenberg, a vice president with the Regional Plan Organization, a civic organization looking at quality of life issues in the tri-state area, said, “We now have a situation where every change in administration could mean the revoking of permits and stop-work orders.” He added this “should reverberate beyond the offshore wind industry itself.”
Storm Season
The Atlantic hurricane season is an annual phenomenon that begins June 1 and ends Nov. 30. The peak of the season is usually the period following Sept. 10. Recent years have had an increase over historic norms for the number of named storms and the number of major hurricanes. This year will be no exception, according to early forecasts from the most well-respected sources.
This year the AccuWeather forecast is predicting stronger and more frequent storms than a typical year, but with less intensity than the 2024 storm season. 2024 saw 18 named storms, 11 of which became hurricanes, with five of those Category 3 or higher. The well-known and respected Colorado State forecast for 2025 is better than the results of 2024, but not by much. CSU calls for 17 named storms, nine hurricanes and four hurricanes of Category 3 or better.
NOAA’s hurricane research division is predicting three hurricanes will make landfall in the United States, as opposed to five last year. AccuWeather projects that the northern and eastern portions of the Gulf Coast and the Carolinas are at higher than average risk of direct landfall this season. CSU also warns that, like last year, we might see a major named storm in the Atlantic before the official start of the season.
2024 ended as the third-costliest season on record, with $130 billion in damage. It was also a very deadly season, with more than 400 fatalities. Hurricanes Milton and Hellene accounted for a great deal of damage, with Helene the deadliest storm to strike the U.S. mainland since Katrina in 2005.
There are concerns that the staff cuts at the National Weather Service and NOAA could hamper the ability of the federal government to track and predict the movement of storms during the 2025 season.
Online Gambling Tax
Part of Murphy’s record $58 billion proposed fiscal 2026 New Jersey budget calls for new revenue sources. Among them is a significant increase in the state’s online gambling tax. Murphy has recommended that the Legislature raise the tax to 25% on both mobile sports betting (now 13%) and iGaming (now 15%). Resorts CEO Mark Giannantonio is on record as saying, “I don’t think the idea is going to go anywhere.”
At least one recent poll says the majority of New Jersey residents disagree. In an April poll by The Hughes Center at Stockton University, 58% of those polled were in favor of raising taxes on online gambling and sports betting. The state senator for the 1st Legislative District, Michael Testa, has come out against the idea. He said it would cost jobs in his district.
Testa, a Republican, put out a joint statement with Democrat John Burzichelli (D-3) stating that “doubling the tax on online sports betting and iGaming is putting a New Jersey success story at significant risk.” Critics of the opposition by the gaming industry point to the fact that even at 25% the tax in New Jersey would be lower than that in Pennsylvania and New York.
At a luncheon for the East Coast Gambling Congress’ annual run, Hard Rock CEO Jim Allen said about the proposed tax increase, “Today is not the day.”
So far a segment of gamblers and the gaming industry have been successful in winning the day, even on issues where polls show public support against them. The issue of smoking in casinos is one example.
So far Murphy has not backed down. Other states are also looking to raise taxes on online gambling and sports betting. Ohio and Illinois both took that step recently. North Carolina, Maryland, Michigan, Louisiana and Indiana are all considering it. Every one of the states that recently acted or are considering such action already has a tax level for online gambling that is higher than N.J. except two, Indiana and Michigan.
Most likely this issue, like so many others in Murphy’s record budget, will not be resolved before the June 30 deadline for a new budget that has been signed into law.
Week in Review
*The Cape May County Park and Zoo is the new home for two young bobcats from Arizona.
*The Middle Township Sewer Utility has a proposed 2025 budget of $6.4 million, of which 80% depends on revenue from fees paid by users of the sewer system.
*A new Wawa is coming to Wildwood, and when it arrives, it will come dressed in doo-wop style.
*The Ocean City Council has introduced the mayor’s 2025 budget, which has a 7.04% increase in the local purpose tax rate, following a 2024 budget that saw a 7.5% jump.
*Two bills that would replace solar renewable energy certificates with a new program of fixed-rate incentives have been introduced in Trenton.
*Wildwood Mayor Ernie Troiano Jr. said the $42 million budget’s adoption by the city commissioners April 9 was the earliest he could remember a budget’s being approved.
*In the turmoil of reaching a funding agreement to keep the federal government open in March, the congressional earmark process was among the casualties. For New Jersey that meant the potential for $200 million in funding for more than 200 projects across the state was lost. In that number was $6.5 million meant for projects in Cape May County.
*An Assembly bill that would gradually eliminate the current tip credits used by employers toward compliance with the state’s minimum wage requirements is encountering opposition from both employers and workers.
*Saying it is committed to maintaining a work environment free of intolerance, harassment and bullying, Avalon has set boundaries for the interaction of the public with its employees.
*Ocean City High School senior Christopher Garrabrant is one of 25 finalists nationwide who received a $5,625 National Honor Society Scholarship.
*Four Burleigh residents, including an individual arrested on March 13, were arrested on Friday, April 11, on drug charges.
*Representatives from the U.S. Army Corps of Engineers told the county commissioners April 8 that the traditional funding formula for beach restorations would be used to fund the proposed New Jersey back bays project.
*A Wednesday afternoon drive in North Wildwood ended with a stop at the Cape May County jail for two Salem men after two city police detectives saw them commit multiple traffic violations.
*Wildwood Mayor Ernie Troiano Jr. denied a request by former political rival and current Commissioner Krista McConnell to be appointed the Class I member of the Planning/Zoning Board of Adjustments and instead appointed his son Ryan as the mayor’s designee to the board.
*Middle Township police, assisted by the county prosecutor’s office and SWAT team, made a third drug arrest in about a month in the Burleigh section of the township.
*The state Department of Environmental Protection has gone on the offensive, countering what it says are myths about its proposed Resilient Environments and Landscapes regulations aimed at blunting the impact of climate change.
*Three consumer advocates have asked a federal agency to set aside an electricity auction that will lead to a 17% increase in the supply portion of residents’ power bills in June.
*The Wildwood Crest borough commissioners have introduced an ordinance designed to clarify efforts to control overcrowding in non-transient rental units and related noise and traffic.
*The Stone Harbor Borough Council has introduced a $23 million general fund budget for 2025 that includes a 7.2% increase in the local purpose tax rate.
Spout Off of the Week
Here’s the thing about the whole 2nd homeowners here. Yes we appreciate the revenue, but what has happened is that the youth have no chance of buying a home here now. It hurts us because we are born and raised here, and we remember when it was reasonable and communal. it’s not your fault, but we are frustrated with the out of touch real estate prices and all the other things that go with it. it’s not your fault, it’s just not fair.
Cape May
