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- State Questions Police & Fire Contracts: The state is taking issue with contracts the city recently negotiated with its fire and police unions, calling them “simply too expensive.” The Department of Community Affairs requested information on the contracts last month before the council was set to vote on them; the city agreed to the review. The DCA review found the raises in the contracts to “disregard the ability of the employer and, by extension, the taxpayer to pay for it.” But Mayor Healy says the unions were not willing to renegotiate the terms and that he will send them to the City Council for a vote.

- ‘Modified’ Fare Hike Proposal Being Hashed Out: While offering no specifics, NJ Transit officials say they are working to create a “modified” fare hike proposal after commuters raised concerns about a proposed 25 percent increase at recent public hearings. The changes will reportedly be in place before the agency votes next Wednesday.

- Murder Victims Will be Buried Together: The separate funerals of the engaged couple who were killed last weekend are today and tomorrow, after which the couple will be buried side by side at Rosedale & Rosehill Cemetery in Linden. Meanwhile, Hudson County Prosecutor Edward DeFazio says investigators are working with state police to determine if a gold Pontiac seen leaving the scene of the murders with the three suspects was stolen. The car may have been driven by a fourth suspect.

- Kenny Sentencing Pushed Back: The sentencing of former Ward B councilman Phil Kenny on corruption charges has been moved from today to May 4.

- Corrections Officer Shoots Himself in Hand: A Hudson County corrections officer and former shooting instructor accidentally shot himself in the hand at the Hudson County jail on March 31.

Today’s Best Bets:

- Tonight brings two promising art openings, with receptions for Lau Gallico Klohe’s “La La Land” at Fish With Braids (6 pm), and an exhibition of photography by Joe Russo at the Iron Monkey (8 pm). There’s also free live theater on tap tonight, with the classic Greek play “The Trojan Women” kicking off a two-week run at NJCU (7:30 pm). Last, but not least, the Just Add Sound open mic returns to the Grassroots Community Space tonight at 9 pm.

In Statewide News:

- The Worst Off Will Bear the Budget Burden: A legislative budget officer says New Jersey’s elderly and poor would see their income tax liability rise under Gov. Christie’s proposed budget, while the wealthiest in the state would see their tax burden shrink. Budget officials will face a second day of questioning today.

- Capping Tuition Costs: Gov. Christie is proposing a 4 percent cap on increases in tuition and fees for the state’s public colleges and universities, and is considering reopening union contracts to try to get salary concessions at the schools. The move comes as he prepares to slash state aid to higher education.

- Who’ll be Laid Off? Gov. Christie’s plan to trim more than 1,300 jobs from the 63,500-person executive branch workforce includes 529 jobs from the Hagedorn Psychiatric Hospital slated for closure, 129 jobs at NJN, which is proposed to be privatized, and hundreds of police and public safety jobs, according to details of his budget released Wednesday.

- Privatization Task Force: The five-member task force tasked with finding ways to save money by privatizing state services met yesterday, and heard about a series of problems with past privatization efforts from the state’s top government watchdogs, but also heard about potential benefits. Government watchdogs say using private firms for public functions can still produce waste and abuse. Advocates of the idea say using contractors will lead to lower taxes and more nimble responses.

- Merrill Lynch Settles: Merrill Lynch will pay New Jersey $4.87 million in penalties to end an investigation into how the firm marketed auction-rate securities.

- Reading Test Success: New Jersey fared comparatively well on reading tests on the 2009 National Assessment of Educational Progress’ reading tests, a widely quoted measure of student achievement in different states.