A $255M shortfall,
and what it did to your bill.
The city says it inherited a $255M gap between what CY2026 costs and what it takes in. Closing it was not optional: New Jersey law requires an adopted budget to balance. This page shows what the budget documents themselves prove about how it was closed, and what that means for a single tax bill.
A Jersey City property tax bill is collected by the city but funds three bodies that each set their own rate: the city itself, the Board of Education and Hudson County. Only the municipal share is decided by this budget.
On the average home the city's share rose $614 this year, while the school and county shares rose $1,076 between them. So the larger part of the increase was set by bodies this budget does not control — which is also why "the city raised my taxes 15%" and "my bill went up 14%" can both be true and mean different things.
Two numbers get confused in this debate. The levy — the total the city collects — rose +19.5%. The rate you actually pay rose +15.4%, less, because new construction widened the tax base by +3.6%. Growth absorbed part of the increase; it did not come close to absorbing all of it.
What it costs a household
The average residential bill, 2025 to 2026, as published by the city.
| Who sets it | 2025 | 2026 | Change |
|---|---|---|---|
|
City (municipal) portion
Set by this budget
|
$4,090 | $4,704 | $614 |
| School portion | $5,205 | $5,956 | $751 |
| County portion | $2,145 | $2,454 | $309 |
| Other | $230 | $246 | $16 |
| Total average tax bill | $11,670 | $13,360 | $1,690 |
The city publishes this table for the average residential property. It does not state that property's assessment, but the assessment follows from the figures: a municipal share of $4,704 at the CY2026 municipal rate of $0.9783 per $100 implies an assessment of about $480,818 — consistent with the citywide average. That is what lets the estimator below rescale the table to any single property.
Estimate your own bill
Enter your property's assessed value — the figure on your assessment notice, not what the home would sell for. Assessments in Jersey City lag market prices considerably.
Each share is scaled from the published average bill in proportion to assessment. It is an estimate of the three rates applied to your assessment, not a bill: it excludes any deductions, exemptions or abatement you may hold.
How the gap was closed
The administration's own account, from the budget memo published with the CY2026 budget.
What the $255M is made of
The distinction matters. Bills already incurred are a one-time problem that borrowing can spread out. A recurring shortfall returns every year until spending or revenue changes permanently, which is why the city describes this as the first year of a multi-year plan rather than a fix.
What the budget documents show
Every dollar of the $130.9M change in spending between CY2025 and CY2026, traced to the revenue that funds it.
| Funding source | CY2025 | CY2026 | Change |
|---|---|---|---|
| State aid | $65,156,648 | $185,149,000 | $119,992,352 |
| Property tax levy | $404,630,954 | $482,125,687 | $77,494,733 |
| Payments in lieu of taxes and other special items | $180,370,655 | $123,420,320 | -$56,950,335 |
| Surplus from prior years | $27,929,353 | $2,238,433 | -$25,690,920 |
| Local revenues | $48,456,052 | $57,839,000 | $9,382,948 |
| Special items with state approval | $19,577,938 | $23,474,295 | $3,896,357 |
| Delinquent taxes | $910,480 | $3,182,466 | $2,271,986 |
| Construction code fees | $8,530,470 | $9,000,000 | $469,530 |
| Shared service agreements | $111,000 | $117,393 | $6,393 |
| Total | $755,673,550 | $886,546,594 | $130,873,044 |
These are the state's own revenue rollups, so they partition the budget exactly: the components add to $130,873,044 against a $130,873,044 change in appropriations, leaving $0 unaccounted for.
Where the two accounts agree
The memo and the budget document are separate sources, so the figures above are a check on the ones the city states. The city says the tax increase raises $75M and that state aid contributes $120M. Read straight from the budget document, the municipal levy rises $77.5M and state aid rises $120M.
The same holds for the headline rate. The city states a 15.5% rate increase; dividing the levy in the budget document by the ratable base the Department of Education publishes gives +15.4%.
Bills from earlier years
$66.1M of CY2026 spending — 7.5% of the budget — is an obligation that was not paid when it came due.
Emergency authorizations, overexpenditures and prior-year bills are how a New Jersey municipality carries a cost it could not fund when it arose. They totalled $29.2M in CY2025 and $66.1M in CY2026, a change of $36,938,302. Identified by account code from the budget document, they are the part of this year's spending that buys no new service.
The rate in context
The municipal tax rate per $100 of assessed value, against the school rate, since 2020.
The rate is the levy divided by the ratable base. The levy comes from the city's budget documents and the state's municipal workbook; the base and the school rate come from the Department of Education, which publishes the net taxable valuation each year. Two independent sources, which is what makes the rate checkable.
Where the spending cuts fell
True operating cost by department, CY2025 to CY2026, as published in the memo.
Set the inherited bills aside and the city puts its true operating cost at $856.7M in CY2025 against $798.4M in CY2026, a change of -$58.3M. That restatement is the city's own and is not a figure the budget document reports directly, so it is shown here as the administration's claim rather than as a derived total.
Follow the money further
The largest share of a tax bill is the school levy, and abated buildings pay a negotiated service charge instead of that bill entirely. Both shape what is left for everyone else to cover.