NEW BRUNSWICK, NJ (April 1, 2026) - Mayor Cahill has released a letter discussing highlights of the proposed 2026 Municipal Budget.
The full text of the letter is available below or by clicking
here.
Dear Members of the City Council, Residents, and Taxpayers:
I am pleased to present the City of New Brunswick's proposed 2026 municipal budget. This budget reflects our continued commitment to responsible financial management while making important investments in public safety, infrastructure, water quality, parks, and City services that improve the quality of life for our residents.
We recognize that residents are continuing to face affordability challenges, not only here in New Brunswick but across the country, as the costs of food, housing, utilities, and everyday necessities continue to rise. While many of these costs are beyond the control of municipal government, we remain committed to managing the areas where we can make a difference. One of the most important responsibilities we have is controlling the municipal tax rate, and I am pleased that this year's budget includes a reduction in the municipal tax rate, providing direct financial relief to our residents and businesses.
This is a fully funded budget that provides financial relief to taxpayers in the form of a tax cut, made possible through careful spending and increased revenues generated from outside the local tax base. The proposed 2026 budget totals $114,110,453.61, supported by a tax levy of $42,902,446.81.
The continued revitalization of New Brunswick is clearly visible throughout our skyline and has strengthened the City's financial position. These redevelopment efforts have generated $2,000,000 in new revenue, along with a $24,373,900 increase in the total assessed valuation of taxable property in the City. As a result, I am proposing a reduction in the municipal tax rate from $1.13 to $1.12 per $100,000 of assessed value. The average home assessed at $265,177 will see their taxes decrease from $2,989.03 to $2,983.37.
A reduction in municipal taxes also benefits our renters, as increases in property taxes are often passed along to tenants through higher rents. By lowering the municipal tax rate, we are helping to ease that pressure for both homeowners and renters alike.
Public safety continues to be one of our highest priorities. This budget funds the hiring of five new firefighters and nine new police officers. Four of these police officers are already on patrol and five will attend the police academy later this year. We are also continuing to invest in modern equipment for our first responders, including the recent purchase of a new Fire Department ladder truck valued at $1,788,300, ensuring our emergency services remain properly equipped to protect our residents.
The Department of Public Works will begin the 2026 annual milling and paving program on several streets, including Quentin Avenue, Mitchell Avenue, Curtis Place, Wright Place, Lufberry Avenue, College Avenue (from Hamilton Street to Somerset Street), Paterson Street (from George Street to Neilson Street), Oliver Avenue, Camner Avenue and Townsend Street. These projects are supplemented by state and federal grants secured by the City. In addition, the City plans to upgrade over 4.1 miles of water mains and underground utilities under Landing Lane, George Street, Voorhees Road, Tunison Road and Pennington Road. Once these utilities are upgraded, the streets will be repaved and the curbs replaced.
Our parks system continues to receive significant investment. The brand-new Liberty Square Park, located downtown, represents a $4,083,540 investment in new park development. The City is also moving forward with the complete renovation of Alec Baker Park ($2,150,000) and significant refurbishment and upgrades to the amenities in Joyce Kilmer Park ($1,900,000), with funding support from county, state, and federal grants. Work for both of these projects will begin this fall and be completed by the summer of next year. In addition, earlier this year we began the community input and design phases for our next park redevelopment project, Murphy Park.
This budget allocates $4,500,000 for Phase I of the new Fire Headquarters, which will include design, land acquisition, and site preparation. Construction documents are expected to go out for bid this summer in preparation for Phase II construction. In addition, exterior and interior upgrades to firefighter living quarters will be completed at all three existing firehouses in 2026.
The City's multi-year $58,000,000 water treatment plant upgrade, which will increase capacity by 5 million gallons per day, continues on schedule. Phase I ($23,000,000 ultra-filtration system) is nearing completion and will allow Phase II to begin, while Phase III is currently in the design stage. These investments ensure that New Brunswick continues to provide drinking water that exceeds New Jersey and federal standards. We are also replacing the 750,000-gallon Van Dyke Avenue storage tank with a new, larger 1.5-million-gallon tank funded by federal dollars. At the same time, utility crews are testing 7,700 water service lines and removing any lead connections, supported by $9,940,000 in IBank H2O grant principal forgiveness.
Revenue from the City's Stormwater Utility will fund a Stormwater Master Plan, including enhanced digital mapping of topography, contours, and water flow to guide future infrastructure investments, improve City planning, and increase resiliency during major storm events. This year, the City will deploy four high-powered vacuum trucks and trailers valued at $1,456,018.62, along with four Elgin Pelican waterless control street sweepers valued at $1,515,370 to modernize our fleet. Funded through state grant programs at no additional cost to ratepayers, this equipment will help keep storm and sanitary sewer pipes clear and mitigate the risk of flooding. We will also undertake a nearly $1,000,000 watershed and waterway abatement initiative to reduce obstructions and improve stormwater flow during major weather events.
In closing, this budget reflects a careful balance between fiscal responsibility and strategic investment in our City's future. It strengthens public safety, improves infrastructure, protects our water supply, enhances our parks, and continues the progress we have made in revitalizing New Brunswick, while also providing tax relief to our residents and businesses.
Thank you for your careful review of the proposed 2026 budget. I look forward to working together with the City Council as we finalize this budget for the coming year. Your input and suggestions are always welcome as we continue working together to serve the residents of New Brunswick.
Sincerely,
JIM CAHILL