“New York City released its Fiscal Year (FY) 2023 Executive Budget today, totaling $99.7 billion, allocating funds to newly announced agency initiatives and addressing a number of risks in the budget.
"The city’s short-term finances have improved dramatically from budget adoption and still has room to improve before the end of the year.
Despite unprecedented federal aid, the MTA is still faced with determining how it will close its budget gaps in the future. If riders do not return faster than the MTA projects, or if new sources of revenue are not found, rising debt payments could force the MTA to close future budget gaps through service cuts, greater than planned fare hikes, or delays to critical capital projects.
Despite unprecedented federal aid and better-than-expected state tax revenues, the Metropolitan Transportation Authority (MTA) continues to plan to use borrowing techniques that push difficult financial decisions into the future and could leave less money to pay for services, according to New York State Comptroller Thomas P. DiNapoli’s annual report on the MTA’s debt.
Recent data from the U.S. Bureau of Labor Statistics (BLS) indicates consumer prices grew by 6.1% in the New York City Metropolitan Area in March 2022 compared to the same month one year ago, driven by double-digit increases in the costs of energy and transportation. Despite lagging inflation growth nationally and in other large metro areas, NYC metro area price increases appear poised to outstrip earnings growth.
Accelerating consumer price increases beginning in the spring of 2021 have led to the highest inflation rate in 30 years in the New York City Metropolitan Area. Consumer spending habits have already shifted, and persistent inflation on essential household items, such as housing and food, will limit purchasing power and squeeze household budgets absent stronger wage growth.
The average bonus paid to employees in New York City’s securities industry for 2021 grew to $257,500, a 20% jump over the previous year’s record high. The estimated bonuses paid out on Wall Street are higher than the city’s most recent 15.7% growth projection, and should help the city exceed its expected revenue from income taxes.
The February Plan benefits from New York City’s continued economic resilience in 2021 and includes more proactive planning to fund budget risks and generate savings. The City is expecting to generate a surplus of $3.7 billion in fiscal year 2022 due to federal aid, better-than-projected tax revenues, and planned savings. The surplus could reach at least $4.5 billion if revenue and spending remain on their current tracks.
The average bonus paid to employees in New York City’s securities industry for 2021 grew to $257,500, a 20% jump over the previous year’s record high, according to annual estimates released today by New York State Comptroller Thomas P. DiNapoli. The estimated bonuses paid out on Wall Street are higher than the city’s most recent 15.7% growth projection, and should help the city exceed its expected revenue from income taxes.
New York City is expecting to generate a surplus of $3.7 billion in fiscal year (FY) 2022 due to federal aid, better-than-projected tax revenues, and planned savings, according to a report released today by State Comptroller Thomas P. DiNapoli on the city’s February financial plan. The surplus could reach at least $4.5 billion if revenue and spending remain on their current tracks, according to DiNapoli’s analysis.
The COVID-19 pandemic hit New York City particularly hard, causing massive job losses at major employers such as restaurants, hotels and retail stores. These dashboards follow a series of reports released over the past two years tracking economic data and the effect of the pandemic on these critical sectors and will help identify areas of weakness as well as positive developments.
