Jersey City homeowners who felt relieved by a property tax cut a few years back could soon face pressure for higher taxes or leaner city services—because the money used to fund that cut is gone, and the bill for years of financial maneuvering has come due.
Mayor James Solomon released a report in February documenting a roughly $250 million budget deficit for 2026, a hole he says was left behind by former Mayor Steven Fulop’s administration.
The deficit equals 28% of the city’s annual operating budget—and according to the report, it didn’t happen by accident…
Marc Pfeiffer, a senior policy fellow and faculty researcher at Rutgers’ Bloustein Local Government Center, put it plainly: “When one-time revenue sources grow from 4.5% to over 25% of a city’s budget in just a few years, that’s a clear warning that budgets are being balanced on paper rather than in reality.”