The Jersey City Council unanimously approved (9-0) introducing a $886,546,594.16 municipal budget with a 15.5 percent tax increase and a memorandum of understanding with the state for the terms of a $105 million loan at a marathon meeting last night.
By Daniel Ulloa and John Heinis/Hudson County View
“Working people are being positioned against taxpayers. When one worker loses a paycheck, the entire community feels it,” Jersey City Police Officers Benevolent Association (POBA) President Letia Nalls said during the first public comment of the evening.
“A 15 percent increase in taxes is going to put us all in greater fiscal distress. You’re putting homeowners at risk now, and that’s what I consider unconscionable,” activist Charlene Burke said to applause.
With over 100 speakers signed up, public comment spanned for hours, and predictably, the vast majority expresses serious concerns about a double digit tax increase.
“The administration has been spending money, and you have been allowing it … Demand every director come in, top down, start from zero and justify every expense,” began Esther Wintner.
“Double-sided printing, turn down the electric, negotiate rates, contact PSE&G … I don’t want to see anybody on Facebook posting pictures, marching around, cutting ribbons until we have a budget for 2027 passed,” she declared to applause.
Kevin Davis called the MOU an MWU since the council “met without us,” noting that with the proposed interest, the city is gong to be paying back slightly more than the $15 million grant they received along with the $105 million loan.
“Now this is what it’s like being a citizen in Jersey City, I’ve got something up my sleeve [puts blindfold on]: We are blindfolded and we can’t see what our city government is doing,” he said, with his bit drawing roaring applause.
“ … We asked to see the negotiations and we got the final offer! And tonight, we’re being asked to play deal or no deal: The Jersey City version. And instead of Howie Mandel, we have Mayor James Solomon, who looks like James Franco but five inches taller! And tonight, every briefcase says final offer: 15 to 20 percent increase and an unreasonable MOU.”
The terms of the loan the council was considering was a 10-year repayment schedule at 2.75%, which requires a 15 percent tax increase, one of two options HCV exclusively reported earlier this month.
“We’re seeing a significant expansion of the mayor’s office! Eight newly created positions that are 150,000 a piece! That’s 1.2 million!” expressed Albert Harray.
“The issue is whether the level of expansion is necessary and whether taxpayers receive value for every dollar being spent. Questions have been raised … The perception alone underscores the need for greater transparency: Taxpayers deserve answers.”
Additionally, several public employees and union leaders addressed the governing body.
“During the election we supported Team Solomon. … We need help now to help pass a budget. Because in that budget is money for us in a contract. We have been suffering for six-and-a-half years without a contract,” said Public Employees Local 245 President Santo DeLaMonica.
“ … Are you going to wipe out all the traffic guards? Are you going to lay off the police department?” he asked. How about the Fire Department? You gonna close fire houses? Your city will burn … So Please do not cut city services.”
DeLaMonica blamed former Mayor Steven Fulop for the financial situation, but nonetheless urged the council to approved the budget so they can finally get a new contract.
Jersey City IAFF Local 1066 President Jack Collins, who represents one of the city’s two firefighter unions, said he was part of a coalition of city workers protesting cuts.
“We were all the belle of the ball in October and November, and back in September during the election when everyone liked us. Now we’re forgotten. We will not be pawns in whatever is going on,” he exclaimed.
“My members want a guarantee that you’re going to fix what’s broken first before you move on to anything else. We don’t want to hear about platforms you ran on … Fix the mess first… Secure their jobs. We know there’s a learning curve. Work with us. You have our backs, we’ll have yours.”
Jersey City Fire Officers Association President Peter Nowak said the city requires great workers to remain great and indicated he felt confident the council would do the right thing.
“Help us help you and support a budget… that provides for essential services that each person in this city deserves. We answer the call day in and day out. But we cannot do more with less,” he noted.
“We cannot answer more calls that are coming in with less firefighters in the field and apparatuses failing. Do not let us fail in our mission to protect you and the people that put you up on the dais,” he concluded to applause.
When it finally came time to vote after midnight, Ward B Councilman Joel Brooks thanked the Hudson County legislative delegation and County Commissioner Bill O’Dea (D-2) for their efforts before explaining why he was voting for the terms of the loan.
“This loan will help us address our debt, this tax increase, while painful, will help us address our operating deficit, which is separate from our debt. I want to take accountability: The lead up to this vote today … my communications around the possible 20 percent increase were clumsy did not take into account the consultation of the residents of Ward B,” he explained.
“I have committed to two community meetings with Ward B residents to go over the budget line by line, that doesn’t mean we’re gonna agree on everything, but I do want to make that commitment to transparency.”
He also thanked the city workers who came out, noting that the way the 31 layoffs were handled last week were “not dignified or respectful” and that municipal workers “deserve better.”
“I’m voting yes so Jersey City employees can get fair contracts that Steve Fulop screwed them out of,” Brooks concluded.
Ward C Councilman Tom Zuppa expressed disappointment in the blame game from the administration
“I told all of you and our residents in Ward C that at some point, a tax increase would be necessary purely due to the structural deficit that we have. Now whether you voted for me or not, I was elected not to be a rubber stamp, but I’ll also never vote a certain way just because it may be politically popular or easy for me,” he stated.
“I could vote no, knowing that this would still pass and let you blame my council colleagues while I take a victory lap. But that will leave us with a full $200 million deficit with no tax revenue coming in. I’ll always do the thing that I think is the most responsible thing to do for our residents.”
Ward F Councilman Frank “Educational” Gilmore was arguably the most frustrated among the governing body, criticizing the administration for making six-figure new hires when they already knew about their city’s financial troubles, also indicating that a 15.5 tax increase would force families out of their homes.
“I’m gonna tell you this now: This is not what I think, this is not what I hope, this is what I know. This is going to push Jersey City residents out. ‘How do you know that Councilman Gilmore, how do you speak so confident?’ Because I know people can’t survive now,” he declared.
“I know there’s people who, at wit’s end, two people on two salaries, and they’re struggling to live. And then to add insult to injury, we’re constantly going back to ask the same people to cover for mistakes that the municipal government made.”
He was also highly critical of the way the 31 layoffs were handled, also stating that the MOU should be rejected for the tax rate that goes with it, but at the same time, the $105 million loan is essential for the city. “Its a damned if you do, damned if you don’t.”
“I don’t know how somebody is not in jail for this stuff right here,” Gilmore added about the deficit.
Council President Denise Ridley began by noting that while she is leader of the governing body, she will not allow “outside forces” to attempt to create dissension among the council, continuing that “people who are not members of this council or other levels of government attempting to create a split council.”
She added that this was just the budget introduction, which officially starts the process and gets the hearings started, as well as that the council had no role in negotiating the MOU.
Both the votes on the MOU and the budget were passed unanimously (9-0), with an emergency resolution with the intent to send out third quarter tax bills with a 12 to 15 percent rate hike also passing 9-0, which would require state approval.
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