Mayor Solomon Releases Interim Budget Report & Unveils FY2026 Budget Framework with Plan to Pay $109 Million in Fulop's Unpaid Bills
FOR IMMEDIATE RELEASE
Contact: Nathaniel Styer | Communications Director
[email protected]
MAYOR SOLOMON RELEASES INTERIM BUDGET REPORT & UNVEILS FY2026 BUDGET FRAMEWORK WITH PLAN TO PAY $109 MILLION IN FULOP'S UNPAID BILLS
City Releases Timeline for Full Budget Adoption as Administration Works to Stabilize Finances After Inheriting Hidden Debts
Read the Report at JCNJ.org/ibr2026
JERSEY CITY, N.J. (June 17, 2026) — Mayor James Solomon today released an Interim Budget Report for Jersey City’s 2026 budget outlining how the Administration is using savings, non-tax revenue, and appeals for state aid to close the $255 million deficit left by former Mayor Steve Fulop. This framework addresses the approximately $109 million in unpaid bills left behind by Mayor Fulop — debts that go beyond structural growth in costs that are the primary driver of the fiscal crisis now confronting Jersey City residents and taxpayers.
"This year, Jersey City residents are paying $109 million in taxes this year to cover the cost of the previous administration’s unpaid bills and abysmal fiscal management. $109 million dollars that is not going to run your city today," said Mayor James Solomon. "Those are Fulop's unpaid bills, and they are landing on Jersey City taxpayers because he hid them. This budget is our plan to pay them off, stabilize our finances, and make sure this never happens again."
The Numbers
The FY2026 budget is projected to total approximately $874 million. Of that:
- Approx. $765 million represents at least a $16 million reduction in spending on core city services, despite inflation, new costs, and the administration’s work rebuilding broken city services from former Mayor Fulop’s 2025 budget of approximately $781 million
- Approx. $109 million represents accumulated unpaid obligations inherited from Mayor Steven Fulop — bills that were incurred but never budgeted for, and that the city is now legally required to pay. These unpaid bills break down into two key categories:
- Unpaid bills not budgeted for: VIA, settlement fund, debt services, and other reserves: Approx. $50 million
- Government services overspending, healthcare, retirement costs, holiday and comp time, and tax appeals improperly paid for through borrowing: $59 million
Since taking office, the Solomon administration has moved aggressively to put the city's fiscal house in order: conducting a full departmental review, freezing non-essential hiring, scrutinizing every budget line, and identifying $55 million in spending reductions. The administration has also launched an audit of PILOT agreements, is holding developers accountable for what they owe, and is pursuing $120 million in state aid and loans in partnership with Governor Mikie Sherrill and the Hudson County legislative delegation.
Budget Timeline
- June 18: Estimated tax increase submitted to City Council
- July 13: Full budget presented at City Council Caucus Meeting
- July 15: Budget formally introduced at City Council Meeting
- July 13–24: Budget Hearings
Mid-to-Late August: Passage of City Budget
-
The Path Forward
The Solomon administration has formally requested $120 million in state aid and loans from the State of New Jersey and continues to advocate directly with Governor Sherrill, the Department of Community Affairs, and legislative leaders in both chambers. If state aid is secured at the requested level, the administration believes the city's finances will be stabilized for the years ahead.
--
Nathaniel Styer
Communications Director | City of Jersey City
[email protected]