New York City Mayor Slashes Budget Proposal

Mayor de Blasio yesterday released the proposed Executive Budget for the City. The $89 billion fiscal year budget eliminates $7 billion from his January 2020 financial plan due to the effects of the coronavirus pandemic on the New York City economy. The budget projects a loss of a half a million City jobs, primarily in the retail and tourism sectors. 

The Mayor reported that this reflects a balanced budget though some of the Mayor’s forecasting depends on the reopening of society and a rebound in the economy in the second half of the fiscal year which begins on July 1st. Another major wild card of the Mayor’s proposed fiscal predictions is how much federal money will flow to the City to stabilize the economy and possibly reduce various budget cuts.  

Over the next few months the City Council will negotiate changes to the proposal with the Mayor.