The Hoboken City Council reviewed the intricacies surrounding reintroducing their budget at yesterday’s roughly 40-minute caucus preceding tomorrow’s regular meeting.
By Daniel Ulloa/Hudson County View
On May 20th, the governing body delayed voting on an amended budget after introducing a preliminary $152,128,410.25 municipal spending plan that came with a nearly 19 percent tax increase in April, both as HCV first reported.
“We’re still working on CL2 (the budget). We had a good conversation today,” Hoboken Council President Ruben Ramos noted.
He explained that a resolution is on the agenda, that if approved, would authorize the tax collector to prepare and mail estimated tax bills for the third in the event that the governing body does not approve a budget tomorrow.
“Just for clarity, if we do adopt a budget on Wednesday night or we approve introducing a new budget, we have a hearing in 10 days, do we still have enough time before this estimate goes out?” 2nd Ward Councilwoman Tiffanie Fisher asked.
“Yes,” Ramos replied.
However, Business Administrator Jennifer Gonzalez said the situation was a bit more complicated than that.
“Not exactly. We have until June 30th to send out … Just a little more nuances that we have. We have let our provider who processes the estimated tax bills that we will need them by the 10th. There is a small likelihood that perhaps we would generate them and not actually need to send them out,” she explained.
“But our hope would be that the council would vote on an amendment, which is approved by the state, and then we could schedule a, potentially a special meeting, as need to vote on the amended budget and hearing. The hearing can be scheduled three days out from the vote, so there actually is a possibility to do this a lot sooner.”
Fisher said she thought the hearing could only be scheduled 10 days out, to which Gonzalez repeated it is 10.
“It’s only three? Okay. What I say it … unless we really don’t think we’re going to move forward with some sort of budget, we should do everything we can to tell our provider, that no ifs ands or buts, we’re not sending out estimates for August,” she suggested.
“So that if we need an extra two days, like whatever it is, just to be able to make sure, just because this number is so high, and because it’s so high – I think the maximum amount of an estimate is like 5 percent – we will clobber, we will literally just devastate our residents in November.”
She also recommended calculating what the next two tax bill should do, asking if it was possible to do implement say a 10 percent tax increase now and then another five percent in November.
“My understanding is … we can only send estimated tax bills at five percent over last year’s budget unless we have an adopted budget, then we can send the correct tax bills. Which is why, in an ideal world, there would be an amendment that is approved by the state, that’s actually my biggest concern really is the timing on the state approval,” Gonzalez replied.
She continued that they would ensure a hearing is scheduled and a vote on the amended budget was scheduled as soon as possible.
Fisher asked if the council would still be able to vote on the budget Wednesday if they reach an agreement, with or without state approval. Gonzalez said they could still vote, but it would not be effective until the state signs off on it.
“We need the provider to offer flexibility … We’re effectively increasing taxes 24 percent for the last half of the year. We’re going to have to have a 30 percent increase in November, and I think as a group we should want to avoid that,” Fisher said about the tax bills.
Fisher was hopeful that if the council approves a budget Wednesday, the state will give it the green lit on Thursday and then a hearing could be scheduled next week.
Gonzalez also mentioned that it was possible the state could seek to amend the budget.
“Because of the material changes, there will be a second vote … We are hopeful the State will not make you vote again.”
Fisher reiterated that sending an estimated tax bill “would be disastrous,” to which Gonzalez responded “we have a Plan A and a Plan B.”
The Hoboken City Council will convene tomorrow at City Hall, 94 Washington St., at 7 p.m. and the session will also stream live on their YouTube page.
