The Official Blog of the Independent Community of Educators, a caucus of the United Federation of Teachers
Wednesday, May 02, 2018
CUOMO SAYS NYC SURPLUS IS $8 BILLION
Governor Andrew Cuomo recently announced that the NYC surplus is now $8 billion. The City denied the figure.
This is from City and State: At one point during Cuomo’s speech at an Association for a Better New York breakfast, his slideshow read “NYC must pay its legal obligation,” with graphics asserting that New York City has an $8 billion budget surplus while the state has a $4 billion budget deficit. How did Cuomo come up with the $8 billion number?
Asked to clarify the governor’s $8 billion figure, state budget division spokesman Morris Peters said it includes the $2.6 billion surplus for fiscal year 2018, a $4.25 billion surplus in the Retiree Health Benefit Trust Fund, $1 billion in general reserves in this year’s budget, and $250 million in the Capital Stabilization Reserve.
Peters pointed to a2017 report from the New York City comptroller’soffice that adds these same sources together to describe the city’s “budget cushion.”
“It doesn’t matter how many pockets they put it in, they’re still sitting on $8 billion,” Peters said. “We should all be so broke.”
FY 2018 Prepayment of FY 2019 Expenses ($2.6B to $3.7B).
I'm no CPA but to me prepayment looks like a fancy way of saying it is a surplus rolled over into next year's budget. That makes the surplus a cool $1.1 billion higher for this year than Cuomo said. Some of that money could have been used for reasonable raises for city workers. Since municipal labor contracts are due, the city will soon be crying extreme poverty. That is one thing we can bank on. I just thought they would do it sooner.
Mayor de Blasio wants NYC to be known as the "fairest big city in America." He certainly does not include the city workforce when he makes that claim. 10% salary increases over 7 years is what he gave city workers for his first round of labor settlements. UFT members are waiting until 2020 to get money we worked for from 2009-2011. He can afford to easily give us all the money now. The $1/2 billion cost would not put a dent in the budget.
The city has all of this money in its coffers as the city economy is doing better than ever, yet the Mayor offers city workers nothing.