Residents of New Jersey’s second-largest city could see a steep increase in their property tax bills.

Jersey City Mayor James Solomon has proposed a 20% tax rate increase. Solomon has called it "painful" but says the city must submit a balanced budget to the state. This stems from a $255 million deficit Solomon says he first became aware of in February - and that he blames the prior administration for.

“We are dealing with the worst fiscal crisis in Jersey City's modern history, and the worst one in New Jersey since Atlantic City in 2015," Solomon said.

The city is also seeking up to $120 million in state aid.

“The first thing you thought was, what is this going to mean for people in Jersey City?" said resident Kat Tatulli.

The average property tax bill in Jersey City is over $11,000. Using the city's tax increase calculator, that average assessed home would see a total tax increase close to $2,000. Renters could also see these costs passed along to them. According to RentCafe, 72% of Jersey City residents rent.

“If on average, someone's paying $10,000 a year in taxes, you're paying an extra [$2,000], that's a mortgage payment," said one resident.

The city says it has made $55 million worth of cuts. This includes the popular Via microtransit service - and a years-long French art museum project that was never built. The city is also looking to raise revenue - that could mean the parking rates and even camera-assisted enforcement.

“I would love to see more parking enforcement, or just like general tickets being had," said Tatulli. "I feel like it's pretty lax, especially when it comes to blowing stop signs, pedestrian safety.”

Solomon, a first-year mayor, is casting the blame on his predecessor, Steve Fulop.

“The last mayor paid the bills on the city's credit card, and we are stuck with the bill," said Solomon.

Fulop told News 12 that he disagrees - and that Solomon never raised these budget concerns while serving on the council.

There will be four town halls in July for residents.