Utica residents would see a nearly 8 percent increase in their property taxes under Mayor Robert Palmieri's proposed 2018-19 budget.

Palmieri presented his $72.5 million spending plan to the Board of Estimate and Apportionment on Monday.

The Mayor says an increase of $3.3 million in mandated costs are the driving factors behind the tax increase.

That includes retirements and pensions, salaries and healthcare premiums.

Palmieri says he kept expenditures as low as possible, but in order to meet the City's financial obligations and ensure a fiscally responsible and balanced budget, a 7.8 percent tax increase was necessary.

City taxes increased by only one half of one percent over the past three years and stayed under the tax cap four of the last five years.

The Board of E&A approved the budget by a vote of 4-to-1 and sent it to the Common Council.

The Council has until March 20th to pass a final budget.

Jim Rondenelli, WIBX