Reports

The New York State Common Retirement Fund has a powerful, far-reaching impact on the economy of New York State.

This follow-up report expands the analysis of the previous report; updating annual local government financial data and contrasting that to the associated local financial infrastructure needs in the most recent New York State studies. It also draws upon a new series of interviews with local officials to assess how they are working to provide the best infrastructure possible to their residents.

The Comprehensive Annual Financial Report for the State of New York for the fiscal year ended March 31, 2014.

The State’s All Governmental Funds tax collections through the first quarter of the 2014-15 State Fiscal Year (SFY) were $1.3 billion higher than projected in this year’s Enacted Budget Financial Plan, primarily due to increased business tax and Personal Income Tax (PIT) collections.

Although total local sales tax collections have grown each quarter since the end of the 2008-2009 recession, the rate of this growth has shown a downward overall trend.

County-by-city data - pdf

On June 26, 2014, the City of New York submitted to the New York State Financial Control Board a revised financial plan for FY 2014, which ended on June 30, 2014, and a new four-year financial plan (the “June Plan”) for fiscal years 2015 through 2018. The June Plan incorporates the adopted budget for FY 2015 and other revisions since the Mayor released his executive budget.

The regional transit system operated by the Metropolitan Transportation Authority (MTA) has improved dramatically over the past three decades.

Like many other cities, Glens Falls has struggled in recent years to maintain services, avoid large tax increases and balance budgets. The City’s high debt service costs for infrastructure expenditures as well as its subsidization of the Civic Center continue to be a burden. By 2012, Glens Falls had drawn down its available general fund balance to $0.6 million, or 3.7 of percent of expenditures.

New York State ended State Fiscal Year (SFY) 2013-14 in its strongest financial condition since the Great Recession. Indications of the State’s improved fiscal footing included a $175 million deposit in the Rainy Day Fund, the first since 2008, and General Fund reserves of $2.2 billion, effectively the highest level since the end of SFY 2007-08.

On May 21, 2014, the City of New York revised its financial plan (the “May Plan”) to update its revenue and expenditure forecasts for fiscal years 2014 through 2018. The May Plan reflects the Mayor’s executive budget for FY 2015 and the recently ratified labor agreement with the United Federation of Teachers (UFT).

This report is the ninth in a series by the Office of the State Comptroller on the progress of the capital security program of the Metropolitan Transportation Authority (MTA).

Albany had no available general fund balance between 2002 and 2006. Subsequently, the City’s available balance grew to a high of $19.8 million in 2008 before declining in the wake of the 2007-09 recession. Standard and Poor’s Rating Services rates the City of Albany’s general obligation debt at AA-, at the low end of its second-highest rating category. The City has formally applied to the Governor’s Financial Restructuring Board for Local Governments for assistance and has been accepted by the Board.

The New York State Minority- and Women-Owned Business Enterprise (MWBE) Asset Management and Financial Institution Strategy (Chapter 171, Laws of 2010) was enacted to codify and replicate best practices for providing MWBEs that are asset managers, investment banks and financial and professional service firms with the opportunity to offer services to fiduciary-controlled entities established by New York State law.

In 2013-14, vendors were paid interest totaling $1,714,825 representing an increase of $837,466 above the prior year. 

Between 2007 and 2012, the City’s available fund balance increased by 82 percent, from $3.8 million to $7.0 million in 2012. In 2012, Moody’s warned that rising employee benefit costs could put upward pressure on expenditures. Also, the State cap on growth in the property tax levy could affect the City’s ability to continue to balance its budget by increasing the property tax.

In 1966, New York State voters approved an amendment to the New York State Constitution to authorize creation of the modern State Lottery. The Lottery now is an important contributor to State revenues, generating more than $3 billion last fiscal year.

Over the past decade, Brooklyn has expanded at a rapid pace by attracting new businesses and residents.

Often, the required reports that industrial development agencies (IDAs) submit to OSC and other agencies are incomplete and inconsistent. Recent audits by OSC have found a lack of documented cost-benefit analysis, lack of recapture clauses in many project agreements and insufficient tracking of projects and their incentives.

Although U.S. and New York State economic growth softened in State Fiscal Year (SFY) 2013-14, tax collections showed signs of real improvement.

The City of Plattsburgh has strong financial operations marked by operating surpluses in 2010 and 2011, modestly sized but growing and diverse tax base and healthy reserve levels. However, Plattsburgh’s high proportion of tax-exempt properties, weak socioeconomic measures due to a large student population and high debt burden are possible threats to the City’s financial condition.