TO:                      Members of the New Jersey Senate 

FROM:               Hilary Chebra, Manager, Government Affairs CCSNJ

RE:                      Support of S-4065 (Addiego/Singleton)

DATE:                 December 2, 2021

The Chamber of Commerce Southern New Jersey (CCSNJ) would like to express our support for S-4065 (Addiego/Singleton), which revises the gross income tax credit for child and dependent care expenses.

As written, the bill revises the credit so that taxpayers would receive a cash refund if the credit amount is greater than their liability. It also expands the eligibility to include New Jerseyans who have an income of up to $150,000 per year.

According to the National Women's Law Center, 2.3 million women left the workforce in the last year and the cost of childcare is often cited as the major reason that has kept many from returning to the workplace now that it is safe to do so, following a year of remote work and schooling for many families. The funds that individuals will receive from excess credit will help alleviate the financial burden that the pandemic has caused for many people.

In April, the CCSNJ released our Preparing for the New Normal policy report, which assisted policymakers on how government could help businesses succeed post-pandemic. During the crafting of the report, businesses of all sizes cited that an employee’s inability to return to work due to difficulty obtaining childcare is a top employment and reemployment issue. New Jersey’s unemployment rate remains the second-highest in the country (only behind California and Nevada) and all efforts must be made to assist in returning New Jerseyans to work. The CCSNJ supports this bill, which will help families, especially working mothers, pay for childcare costs. As more people return to their offices, this bill will be a crucial and fundamental part of reversing unemployment trends and returning the workforce to normalcy.

Thank you for the opportunity to share our support of S-4065 (Addiego/Singleton).