Bayonne has introduced its 2022 calendar year municipal budget. This year, the budget totals $160,467,986, up from $152,961,751 in 2021.
The 2022 municipal budget was introduced by the city council at its July meeting. The public hearing is set for the next meeting of the council in August.
The public hearing and vote on the budget will be held on August 17 at 7 p.m. in the council chambers at City Hall at 630 Avenue C. For more information, go to bayonnenj.org.
The budget by the numbers
Ahead of the public hearing, the Bayonne Community News analyzed the introduced budget. Starting with revenues, the 2022 budget estimates $3,000,000 in anticipated surplus, down from the $7,528,380 surplus in 2021.
Local revenues are expected to fluctuate but largely remain the same, including from: licenses for alcoholic beverages and other licenses; fees and permits; municipal court fines and costs; interest and costs on taxes, interest on investments and deposits; and rent of city-owned property.
The city also gets a slew of money from payments-in-lieu-of-taxes (PILOT) agreements, totaling 32. One of those PILOTs went offline this year, but three more are coming online.
Revenue from five year PILOTs is down from $212,945 anticipated in 2021 to $122,237 anticipated in 2022. In 2021, $208,005 was realized in cash.
Overall local revenues, including the PILOTs and other aforementioned sources, is anticipated to remain roughly the same as the $12,982,049 anticipated in 2021 at $12,884,837 anticipated in 2022. In 2021, $13,107,256 was realized in cash.
State aid and shared service agreements
Total state aid is anticipated to be $9,290,398 in 2022, up from the anticipated and realized amount of $8,829,801 in 2021. Of that, most is expected to come from the Energy Receipts Tax, totaling $8,451,132.
Shared services agreements are expected to double from the anticipated $134,000 in 2021 to $383,866 in 2022. However, $315,083 was realized in cash in 2021.
This was due to the higher than anticipated revenue brought in from the shared services agreement with the Bayonne Board of Education for garbage removal. In 2022, the revenue from said garbage removal contract with the Board of Education is anticipated at $325,000.
The other shared services agreements are with West New York for a Health Officer, which is anticipated to bring in $20,000 this year, down from the $30,000 anticipated in 2021. A total of $43,333 that was actually realized in cash that year.
This year, the city also approved a shared services agreement with Jersey City to also provide the services of a Health Officer. Totaling $34,666, the agreement was approved in April and ran until the end of July. The last shared services agreement is between the city and the Bayonne Housing Authority for garbage for $4,200.
Overall revenues anticipated to increase
Public and private revenues, which are mainly grants, are anticipated to increase to $18,466,241. This is up from what was anticipated and realized in cash totaling $13,104,299 in 2021.
Special revenue is expected to increase from the anticipated $14,153,656 in 2021 to the anticipated $20,747,949 in 2022. However, only 12,815,408 was realized in cash in 2021.
Total miscellaneous revenues are anticipated to be at $61,685,158, up from 49,203,807 in 2021. That was close to what was actually realized in cash in 2021, at $48,171,849.
The total amount to be raised by taxes for support of the municipal budget is anticipated to be $95,682,828, up from the anticipated $95,772,573 in 2021. However, $96,611,139 was realized in cash in 2021.
Altogether, the total general revenues are anticipated to to be $160,467,986, up from $152,611,751 anticipated in 2021. What was realized in cash that year was actually $153,057,652.
Appropriations increase, too
For 2022, total appropriations are anticipated to be $160,467,986, up from the $152,611,751 appropriated in 2021. What was actually expended last year was $149,483,155, with $3,478,593 reserved.
In this budget, general appropriations for municipal purposes is anticipated to be $113,775,204 in 2022, up from the $110,256,812 appropriated in 2021. What was paid or charged in 2021 was actually $107,255,154, with $3,001,657 reserved.
Included in that are municipal operations, anticipated to be $96,002,600 in 2022, up from the $91,519,156 appropriated in 2021. What was expended in 2021 was $88,733,552, with $2,785,603 reserved.
Of the $96,002,600, most is anticipated to go towards salaries and wages totaling $62,545,000, with the rest going toward other expenses totaling $33,457,600, This is up from the $58,329,680 appropriated for salaries and wages and the $33,189,476 appropriated for other expenses in 2021.
Salaries and wages, and statutory expenditures
Of the appropriations reserved for salaries and wages in 2021, $59,296,373 was paid or charged and $893,396 was reserved. For other expenses in 2021, $29,437,178 was paid or charged and $1,892,297 was reserved.
Of note, the only major change to the otherwise small fluctuations in salaries and wages was a nearly $3 million boost to the salaries and wages of the uniformed police officers from $20,115,000 appropriated in 2021 to $23,200,000 anticipated in 2022. Additionally, office expenses of the Health Division is expected to decrease from the $1,880,000 appropriated in 2021 to $340,000 anticipated in 2022.
Statutory expenditures are expected to total $17,772,604 in appropriations for 2022, down from $18,737,655 anticipated in 2021. $18,521,601 was paid or charged in 2021 and $216,053 was reserved.
These expenditures include things like public employees’ retirement system, social security system, consolidated police and fireman’s retirement system of New Jersey, Unemployment Compensation Insurance, pensioners and widowers. The anticipated decrease is largely due to a drop in the Police and Fireman Retirement System of NJ, which is expected to decrease from $13,989,775 in 2021 appropriations to an anticipated $12,694,900 in 2022.
Other appropriations for municipal purposes
Other appropriations for municipal purposes are anticipated to be $21,867,658. This is up from $16,051,683 appropriated in 2021. What was paid or charged was actually $15,992,254, with $409,29 reserved.
Other operations are expected to total $2,754,495 including the maintenance of the Bayonne Free Public Library. This is roughly the same as what was appropriated for the library in 2021 at $2,639,689. What was paid or charged in 2021 was $2,298,438, with $341,250 in reserve.
Then there is $383,866 anticipated to be appropriated for the shared service agreements that the city is reimbursed for, as mentioned previously. There is also $18,729,296 to be appropriated for public and private programs offset by revenues, which account for the grants the city has received to fund several projects.
Capital improvements are anticipated to total $300,000 in appropriations, for the Capital Improvement Fund. This is down from $850,000 appropriated last year, which is because the city paid for a new generator for City Hall in 2021 totaling $700,000. What was actually paid or charged for the generator was $632,493 with $67,507 reserved.
Debt service, deferred charges, and uncollected taxes
Additionally in the appropriations, the Municipal Debt Service is anticipated to total $13,432,058 in 2022. This is roughly the same as the $13,704,101 appropriated in 2021. This includes things like: the payment of bond principal, anticipation notes, and capital notes; interest on bonds, and interest on notes among other things.
Deferred charges are anticipated to be $490,251 in appropriations. This is up from $193,008 appropriated in 2021, due to the Declared State of Emergency Costs from Tropical Storm Ida.
For local school district purposes, $9,027,410 in appropriations are anticipated. This is a decrease from what was appropriated for 2021 at $10,453,613. Both payments of bond principals and interest on bonds decreased.
The reserve for uncollected taxes is expected to total $1,575,404 in appropriations. The is up from $1,102,533 in 2021.
Parking Utility Budget and Capital Improvement Fund
The Dedicated Parking Utility Budget totals $1,816,159. This is up from the anticipated $1,703,957 appropriated in 2021. What was expended was $1,603,114, with $100,842 in reserve.
There also is $1,853,750.00 in the Capital Improvement Fund, for various improvements including to the Public Library, Fitzpatrick Park, 16th Street Park, and various bridge, roadway, and traffic improvements in addition to various capital improvements.
Read the introduced budget at: bayonnenj.org/_Content/pdf/budgets/2022-Introduced-Budget.pdf.
For updates on this and other stories, check www.hudsonreporter.com and follow us on Twitter @hudson_reporter. Daniel Israel can be reached at email@example.com.