The Hoboken City Council narrowly approved a $150,267,179.02 budget with a 4.5 percent tax increase following significant debate over rising debt and service cuts at last night’s meeting.
By John Heinis/Hudson County View
At the council meeting, Business Administrator Caleb Stratton highlighted some of the change, noting that the initial budget approved in May came with a 6.9 percent tax hike.
“The council has passed amendments to that budget that would implement a 4.5 percent municipal tax increase. The total reduction was about $1.58 million from what was introduced,” he explained.
The budget expects to take in about $71.3 million from taxes.
Revenue sources include $12 million in surplus, $8 million from the parking utility, $2.5 million from the water utility, nearly $3 million in payment in lieu of taxes (PILOT) payments, and $180,000 in cannabis-related revenues and taxes.
Stratton also detailed department cuts were needed to get here: “a $30,000 reduction in the city clerk’s OE, $125,000 reduction in corporation counsel, $265,000 reduction in our insurance,” and across housing, zoning, redevelopment, and public safety.
He also pointed out that debt service is projected at $17.3 million in 2025, rising to nearly $19 million next year.
“I feel like a broken record. I say this every year … there’s no real plan to fix it… we actually increase that liability,” noted 3rd Ward Councilman Mike Russo, who routinely votes against every budget that comes wth a tax hike.
While some of his colleagues acknowledged the budget was not perfect, their options were either to adopt the current spending plan or accept a state takeover.
“I’m voting yes today… passing a budget keeps us in control over that destiny. Without that, the state’s gonna come take over,” noted Councilman-at-Large Joe Quintero.
“We’ve bonded a lot… debt is up, but we’ve also acquired parks and made major infrastructure investments. Two things can be true at the same time,” added 2nd Ward Councilwoman Tiffanie Fisher.
The Mile Square City’s six-year capital plan totals $333 million, including $79.6 million for Maritime Park, $22.9 million in water main replacements, $40 million Midtown Garage rehabilitation, and $21 million Southwest Park expansion.
“People expect a lot … The Northwest Resiliency Park has transformed an area where cars were flooded by Hudson seawater. That’s the value of these investments,” declared 5th Ward Councilman Phil Cohen.
“The initial 7 percent proposal was negotiated down to a 4.5 percent increase… the overall impact to residents is closer to 2 percent,” Councilwoman-at-Large Emily Jabbour said of resident’s tax bills that will incorporate the board of education and county budgets as well.
1st Ward Councilman Paul Presinzano, who has decried the city’s budgeting process since he took office in January 2024, took umbrage with the fact that some of his colleagues felt every budget must include a tax hike.
“Councilwoman Jabbour, maybe you just basically said if you’re elected mayor, you’re gonna raise the taxes – that’s what you just said … For eight years you sat up here and followed the mayor’s budget through, so don’t sit here and get on a soapbox,” he exclaimed.
The municipal budget was approved 5-3, with Fisher, Cohen, Quintero, Jabbour, and Council President Jim Doyle voting yes, while Presinzano, Russo, and 4th Ward Councilman Ruben Ramos voted no.
Even though the vote was close, the budget remains under the 2 percent state levy cap, with a margin of just over $81,000.
paul is so dumb it is almost sad to see the things he says and it makes me miss defusco. i watched the entire budget discussion and he literally talks like he thinks what he is saying is revelatory when in reality he is clueless. this is the guy who complains about literally everything but never wants to pay to fix it. his entire political philosophy is to have a boogie man and ensure that things dont get fixed so he can continue to rail against them.
MDF plz come back!!!!!
You can always count on Russo to vote no on the budget and vote yes to every municipal hire and big Hoboken employee contract.
Like clockwork.
Isn’t it quaint that Michael Russo thinks people believe he’s a budget hawk?
If he was so good with money, how does a physical therapist go out of business during Covid? When it was one of the few professions you were allowed to actually still perform during the lockdown?
Pays less than $1500 a month rent, including utilities and an affordable housing development for lower income and middle class city workers, inherited a house down the shore worth well over $1 million…
Perhaps he should help accelerate the payments and restitution. He owes the city through his father’s estate.
The famously convicted felon, Anthony Russo, former mayor of hoboken.
The Apple didn’t fall far from the tree some people say it’s still on it
Don’t forget the exploits of Mama “Five bucks a tow” Russo.