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City councils

Clifton City Council Rejects Proposed 10-Point Tax Increase for 2025 Budget

Strategic Insights

— 1 min read

The Clifton City Council has rejected a proposed 10-point tax increase for its 2025 municipal budget, already months late to meet the state's deadline to adopt the budget. The council's auditor warned that continued failure to adopt a budget may require the state to step in, potentially setting a tax rate higher than what is in the proposed budget. The rejected budget would have increased the cost of municipal services by $100 per $100,000 of assessed value.

Key Takeaways:

  • The Clifton City Council rejected a proposed 10-point tax increase for its 2025 municipal budget, despite the city manager's recommendation to adopt the full proposed amount.
  • The council's auditor warned that failure to adopt a budget may require the state to step in, potentially setting a tax rate higher than what is in the proposed budget.
  • The rejected budget would have increased the cost of municipal services by $100 per $100,000 of assessed value, which would have been the highest increase in 30 years.
  • Council members Chris D'Amato, Bill Gibson, Tony Latona, and Mary Sadrakula voted against the budget, citing concerns about bloated spending and fiscal mismanagement.
  • Council members Joe Kolodziej and Rosemary Pino, along with Mayor Ray Grabowski, voted in favor of the budget, arguing that it would be necessary to maintain services and prevent state intervention.
  • The city has been relying on surplus and American Rescue Plan Act money to fund expenses, rather than raising taxes.
  • The approved contracts for city police, fire, and public works departments have increased their budgets by almost $7 million in recent years.

Statistics:

  • The proposed 10-point tax increase would have increased the cost of municipal services by $100 per $100,000 of assessed value.
  • The city has been carrrying a surplus for years, which has delayed the need for higher taxes.
  • The city has increased the budgets of its police, fire, and public works departments by almost $7 million in recent years through approved contracts.
  • The state may step in to determine the city's budget if the council fails to adopt it.

Sources:

  • NorthJersey.com: "Clifton City Council rejects budget with 10-point tax increase"

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