The New Jersey General Assembly and Senate approved a budget of $ 46.4 billion for the fiscal year beginning July 1, including just over $ 6.9 billion for the retirement system of the ‘State.

The budget bill, passed Thursday, now goes to Gov. Phil Murphy, who had asked for a $ 6.4 contribution to the state’s pension plan – a combination of general revenue funds and lottery proceeds. Status – for the next fiscal year. The state constitution requires the adoption of a new budget for the fiscal year by July 1. The current exercise ends on June 30.

Lawmakers voted for an additional $ 505 million for the retirement system in a 2022 tax budget proposal that was helped by higher than expected tax revenues and federal aid for COVID-19 relief. The $ 46.4 billion budget bill is 3.6% higher than Mr. Murphy’s original $ 44.8 billion budget proposal.

In February, the governor proposed the state’s contribution of $ 6.4 billion, the first time since 1996 that the state would make its full annual actuarial determination. In recent years, the government has made annual payments to the pension system in increasing increments of 10 percentage points, ultimately reaching the goal of 100% annual actuarial contributions.

For the year ending June 30, the forecasted contribution of $ 4.7 billion represents 80% of the actuarially determined contribution. For the coming fiscal year, Murphy said in February that he wanted to accelerate the state contribution to 100% from the expected 90% of the actuarially determined contribution.

For several years, the state’s contribution relied on lottery receipts, with the state relying on around $ 1 billion annually.

For the fiscal year ended June 30, 2020, lottery revenue was $ 937 million, reflecting the impact of the coronavirus pandemic. However, for the 10-month period ended April 30, lottery proceeds amounted to $ 905.6 million, up 17.8% for the same period last year.

New Jersey pension fund Trenton had assets of $ 90.7 billion as of April 30, according to the latest available data.