East Brunswick Introduces $89.4M Budget, And A Tax Hike Could Be Coming

EAST BRUNSWICK, NJ — East Brunswick has introduced an $89.4 million municipal budget for 2026, and Mayor Brad Cohen is warning residents that a tax increase of just under 3% may be coming — driven by soaring healthcare costs, a major mall tax appeal payout, rising fuel prices, and a winter that drained the township's snow removal fund.

Cohen told the council at its March 23 meeting that the budget covers all existing township services — from parks and recreation to road maintenance — with no cuts, but acknowledged that rising costs largely outside the township's control have made a tax increase unavoidable.

"Just like everybody else, the township is facing the same type of expense issues that you do locally," Cohen said. "Our energy costs, just like yours, go up. Our fuel costs, just like yours, go up."

Cohen and Council President Dana Zimbicki both characterized the $89.4 million budget as lean and fiscally responsible, with no cuts to existing services.

"It's a very, very solid budget with no real extra meat on the bones, but enough to make sure that we can continue to provide the services that everybody has," Cohen said.

Zimbicki echoed that assessment, noting that the township has held budget increases to around 1 percent annually for the past eight years.

"The increases are things that are out of our hands — increases that we're all facing right now," she said. "I think we're still in a good place without making cuts that are going to be potentially problematic to our residents."

What's Driving the Increase

The mayor outlined five major cost drivers behind the budget:

Healthcare Costs: Healthcare expenses, which had been running at 2 to 3 percent annually, jumped 13 to 14 percent last year. Cohen attributed the spike largely to the township's obligation to cover healthcare for retired employees — a cost the school district does not bear, since retired teachers are covered by state health benefits.

The average age of employees on the township's health plan is 59, and pharmacy costs alone account for roughly a third of total healthcare spending. About 20 people are driving 80% of those costs due to expensive biologic medications.

"One employee alone is costing us almost $397,000 a year for one medicine," Cohen said. "These are things we have no ability to control."

The Brunswick Square Mall Tax Appeal: The township was required to refund approximately $1 million to the Brunswick Square Mall after the underperforming shopping center successfully appealed its property taxes for three years. Cohen warned that additional appeals for other years are still pending, representing a continued financial risk to the township.

Energy and Fuel Costs: Fuel is the single biggest cost driver across much of the municipal budget — not just for township vehicles, but as a pricing index built into road paving and pothole repair contracts. When fuel prices rise, the cost of every asphalt project rises with it.

Infrastructure and Roads: The township faces ongoing infrastructure demands, with road paving, pothole repairs, and other capital projects all subject to fuel-driven cost increases.

Snow Removal: This past winter was the worst in at least a decade, Cohen said, and the township burned through virtually all of its snow removal reserve fund — money it had been setting aside for years without needing to tap. That fund now needs to be replenished.

"We really ended up using virtually all of it this year," Cohen said.

A public hearing is scheduled for April 27 at 7:30 p.m. at the Municipal Building, 1 Jean Walling Civic Center Drive, where residents can speak before a final vote is taken.

The full budget is available for review at the Township Clerk's office and on the township website at EastBrunswick.org.

Have a correction or a news tip? Email sarah.salvadore@patch.com