Jersey City Hall Should Prioritize Transparency Over Campaign Spin

Jersey City Council is set to approve a $57 million borrowing plan over the next five years to address a significant deficit attributed to revenue losses during the COVID-19 pandemic. The city administration is relying on a 2020 law that allows borrowing for COVID-related losses since it is otherwise prohibited by state law to borrow funds to fill budget gaps.

The city administration justifies its decision to borrow rather than address the deficit in the upcoming budget plan by claiming that it allows them to spread the burden of property tax increases over several years, with an approximate 2 percent increase annually.

While this reasoning seems reasonable, it raises the same question Councilman James Solomon asked earlier this month when the plan was announced: Why is this information only coming to light now?

Over the years, Mayor Steve Fulop and his administration have faced criticism for a lack of transparency, and this recent development adds to that concern.

During Fulop's State of the City address in March, which many see as the start of his campaign for the governor's seat in 2025, "fiscal responsibility" was emphasized. Excerpts from the address shared on the city website boasted about introducing budgets without tax increases and promising a budget with only a 2 percent increase this year, highlighting financial stability and a tax bill below the rate of inflation.

Surely, Fulop was aware of the $92 million shortfall at the time and the plan to invoke a strategy that, while appearing prudent in the short term, ultimately passes the problem to the next mayor of Jersey City. The plan was likely already being reviewed by state officials for approval.

However, where were the warning signs for the council and the public?

Now that the COVID state of emergency has ended, the pressure to take advantage of the one-time exception to state law unfairly limits the council's ability to explore alternative options.

The administration's attempt to spin the deficit in a positive light by emphasizing Fulop's foresight in preparing for the impacts of COVID-19 is nothing more than campaign rhetoric. The current constituents deserve a more transparent explanation.

With two years remaining until the 2025 Democratic primary for governor, Fulop's lack of transparency on local issues should be challenged at every opportunity, not only by council members who were not part of Fulop's team in 2021 but by all council members.