Jersey City lawmakers approve 15% property tax hike amid budget crisis

Published August 27, 2026 10:08 AM EDT

After months of back-and-forth talks about Jersey City's budget crisis, local lawmakers have voted to stick property owners with the bill.

Jersey City tax hike

What we know:

The City Council in Jersey City approved and implemented a 15% municipal property tax rate hike Wednesday night.

The tax raise amounts to about $51 more per month for the average residential property, without including any other budget increases. 

A waterfront park across from One World Trade Center and lower Manhattan in Jersey City, New Jersey, US, on Thursday, June 20, 2024. These days more New Yorkers are trading coveted NYC zip codes for high-end finishes, extensive amenities and New Jers

New Jersey state lawmakers approved a $120 million rescue package for Jersey City earlier this year, which came with an agreement that the local property tax rate would increase by at least 15%.

City had no choice, mayor says

What they're saying:

Mayor James Solomon said it became necessary to raise property taxes in order to reduce the deficit and prevent mass layoffs of city workers by slashing services. 

He blamed the city's financial crisis and resulting tax increase on mismanagement by the previous administration.

Jersey City mayoral candidate James Solomon gestures while speaking to people at a food drive Tuesday, Nov. 25, 2025, in Jersey City, N.J. (AP Photo/Frank Franklin II)

"There are no easy solutions to a budget crisis of this magnitude … In the end, we cut city spending by over $58 million and limited this year's tax increase to the lowest possible level," a spokesperson for the mayor said in a statement to FOX 5 NY. "While both the cuts and tax increase are painful, we believe they are the first steps towards getting Jersey City's finances back to health and stable." 

Local perspective:

Jersey City residents said the 15% property tax hike could drive them out of the city. 

"Something has to give. Like, this is crazy," one resident said. "They're hitting us every which way. Who can afford a home in Jersey City anymore?" 

"I have a mortgage, so my escrow is going to increase, so my mortgage payment is gonna go up substantially. Can I afford that? Probably not," another resident said. 

"You're justified in your feelings. I've hosted several meetings. I was honest each time. I said the responsible thing will be to raise taxes," City Council Member Thomas Zuppa Jr. said. "I could grandstand and say no and say the budget's going to pass anyway. But that's not the honest, responsible thing. Our structural deficit is so large, that the only way to meet it was to raise taxes 15% and to get the state aid." 

What's next:

The tax hike applies to the Q3 property tax bill, meaning homeowners will immediately feel the impact. 

The Source: This story is based on information from the Jersey City Mayor's Office, City Council, and reporting by FOX 5's Teresa Priolo.

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