Official: $170M Bayonne municipal budget with 2.2% tax hike to be introduced in May

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The $170 million Bayonne municipal budget, that comes with a 2.2 percent tax increase, is expected to be introduced in May, according to Bayonne Business Administration/Board of Education (BOE) President Mary Jane Desmond, who is also a mayoral candidate.

Screenshot via YouTube.

By Dan Israel/Hudson County View

“The city has not yet adopted the budget. That’d be May,” Desmond said at the BOE’s workshop yesterday.

She added that taxpayers will see an average increase of about $32 quarterly and $124 annually with a 2.2 tax hike.

Her remarks came before the BOE adopted a preliminary $223 million budget with a 12 percent tax increase, as HCV first reported.

During the workshop, details of the municipal budget came about as Desmond addressed concerns over simultaneous tax increases from the school district, the city, and the county.

While she said at the April 20th mayoral debate that the city’s budget would be introduced before the May 12th municipal elections, that does not currently appear likely.

“We are not waiting for the election. We’re trying to do right by the residents. We are trying to keep any tax impact to a minimum. The only way to get through is to find new recurring revenue. You can’t keep taxing people,” she said at the time.

“It can’t be on your backs. That’s not the way it’s supposed to be. But I can tell you, we have probably I’m going to round off numbers, please don’t hold me to them. It’s probably a $170 million budget.”

At the debate, she also said that the budget will consist of $50 million for public safety, $30 million for health benefits of which 17 percent is for retirees, and 20 percent for pensions, with the remainder going to various operating budgets.

There are currently no regular or special meeting on the Bayonne website’s public calendar, with city spokesman Joe Ryan confirming that no meetings are currently planned before May 13th – though he noted that there is still time for that to change.

Responding to inquires from Trustee Hector Gonzalez asking if Hudson County would increase taxes on par with last year, which he said was a 7 percent hike, Bayonne Assistant Superintendent of Personnel Kenny Kopacz that budget hadn’t been adopted yet, either.

He is also elected as a Hudson County commissioner (D-1) and is running unopposed this year.

Nonetheless, Gonzalez raised concerns over the board of education raising taxes, on top of both the city and the county, but Kopacz said it was too soon to say as budget hearing will likely begin in June.

“I don’t know where you received that number from. Just because you’re hearing a number 8 percent throughout the county does not mean that’s going to affect Bayonne. There’s an equalization formula, that’s a state formula, that is not going to change. So even if the county taxes went up 8 percent, that does not mean Bayonne’s going to go up 8 percent,” he explained.

“We have gone up throughout the county and have actually went down in Bayonne … We don’t have those numbers yet. And if I had those numbers, I would give them to you. But just because the county taxes [increase], if you’re hearing a percentage or a number, that does not mean that’s going to be the number for Bayonne.”

Also at the debate, Desmond’s opponents, former Council President Sharon Ashe-Nadrowski and Councilman at-Large Loyad Booker, claimed the city’s municipal deficit sits at $22 million and $5 million, respectively.

“It’s quite disturbing because only eight months ago or 12 months ago at the State of the City address, we were told we had a surplus. And then, in October at a council meeting, one of the council people slipped that we’re $22 million in debt,” Ashe-Nadrowski exclaimed.

“After speaking with some of the financial professionals in town, we have a deficit of about $5 million. We’re in the process of selling some city-owned property to fill those gaps. And I agree 100 percent, we don’t have a budget right now, but I’ve spoken with the professionals and that budget is not being waited until an election,” Booker declared.

Desmond did not put a number on the deficit, but noted that it’s been an issue for many administrations, asserting that “we do not know how to budget” before adding that the main cause financial strain right now is a 37.5 percent increase in healthcare premiums.

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