COMPTROLLER STRINGER FINDS NEW YORK CITY’S FAIR SHARE OF STATE SURPLUS IS $2.2 BILLION
Actual State Aid in City’s Budget Declined by Billions from 2009-2014
In the lead-up to State budget negotiations, New York City Comptroller
Scott M. Stringer released an
analysis last week showing that New York City’s fair share of New York State’s
$5 billion budget surplus is $2.2 billion. The analysis also examined
State funding trends to New York City and quantified the dramatic decline
in State aid to the City between 2009 and 2014.
“New York City is the economic engine for the State, but in recent
years we have been shortchanged by Albany to the tune of billions,”
Comptroller Stringer said. “This year’s budget is the opportunity
to restore our fair share.”
New York City makes up 43.4 percent of the State’s population and
contributes a similar amount to the top two revenue sources for the State:
46 percent of the State’s Personal Income Tax revenue and 43 percent
of the State’s Sales Tax revenue. Based on these figures, Comptroller
Stringer’s analysis found that the City should receive at least
$2.2 billion of the $5 billion State budget surplus.
The analysis also showed that:
- The City lost out on an additional $2.8 billion in FY14 due to the decline in the share of the City’s budget that is supported with State Funds. The historical average of the State’s share of the City’s budget over a quarter century has been 18.8 percent; in FY14, that share declined to 15 percent.
- Measured another way, if State revenue in the City’s budget had grown at the same rate as the State Operating Funds budget from FY09-FY14, it would have meant an additional $3.1 billion for the City in FY14.
“New York City has helped the State weather many an economic downturn
in the past. Now that we’ve turned the corner, it is time to do
what’s fair. When Albany invests in the City’s infrastructure,
education and essential services, it benefits all of New York,”
Stringer said.
To read the full report, click
here.