Comptroller’s FY 2019 Preliminary Budget Presentation · 2018-02-22 · New York City Comptroller Scott M. Stringer @NYCComptroller Mayor’s FY 2019 Preliminary Budget Contains

New York City Comptroller Scott M. Stringer @NYCComptroller

Comptroller’s FY 2019 Preliminary Budget

Presentation


Mayor’s FY 2019 Preliminary Budget Contains Laudable Initiatives

EDUCATION3-K expansion to

new districts (2020)

Anti-bullying initiatives

CORRECTIONImprove outcomes for

women in jails

Closure of George Motchan Detention Center

on Rikers Island

NYCHA$200 million to

begin work of heating system repairs


$2.2

$1.5

$1.7

$91.3

$94.0

$95.3

$87.4

$88.7

$93.5

$95.5

$97.0

$86

$88

$90

$92

$94

$96

$98

FY 2018 FY 2019 FY 2020 FY 2021 FY 2022

February 2018 Financial Plan($ in billions)

Expenditures

Revenues

+1.4%

+2.2%


$2,945

$2,462

$2,006

$2,584

$35

$1,755

$701

$96

$1,280

$376$832

$1,518

$514

$142

$1,596

$0

$1,000

$2,000

$3,000

$4,000

$5,000

FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 FY 2018

$2,838

$4,038

$4,700

$3,646$3,742

$4,180

$3,524

Accumulation of the Year-End Budget Surplus($ in millions)

Addition to Prior-Year Surplus Subtraction from Prior-Year Surplus


FY 2020 FY 2021 FY 2022

November Gap ($2,273) ($1,616) ($1,664)

Better Revenue Forecast $129 $181 $36

Citywide Savings Plan $339 $341 $296

New Spending & Other Adjustments ($380) ($374) ($413)

February Gap ($2,185) ($1,468) ($1,745)

Total Change in the Gap $88 $148 ($81)

Out-year Gaps Remain Just as Big ($ in millions)


19

88 8794

131125

86

73

4756

2316 16

0

20

40

60

80

100

120

140

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022

Annu

al C

hang

e in

Em

ploy

men

t, in

thou

sand

s

Economy and Job Growth Have Been StrongJob Growth Will Slow In Coming Years

702,000 new jobs since 2009


Declining City Cash Balances Are a Warning Sign($ in billions)

$0

$2

$4

$6

$8

$10

$12

$14

$16

Jul Aug Sep Oct Nov Dec Jan Feb

FY17 Cash Balances FY18 Cash Balances

$1.0 B

$5.4 B

$2.5 B


8.2%

2.0%

17.4%

6.4%

11.7%

9.0%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Perc

ent o

f Adj

uste

d Ex

pend

iture

sCity’s Reserve Cushion is Inadequate

$2.3B


Agency Contribution to Savings is Low

2.7%

4.2%

3.0%2.7%

1.7%2.1%

0.6%

1.3%1.5%

0.8%

0%

1%

2%

3%

4%

5%

May 2008 May 2009 May 2010 May 2011 May 2012 May 2013 May 2015 June 2016 June 2017 Feb. 2018

Savi

ngs

(PEG

) Pro

gram

as

Per

cent

of C

ity-F

unds

Spe

ndin

g

Average Agency Savings: 1.1%

Average Agency Savings: 2.7%


FY 2019: Agency Watch List

HOMELESSNESS DEPT. OF EDUCATION DEPT. OF CORRECTION


Agency Watch List: Homeless Services($ in millions)

$1,017 $1,070 $1,188$1,414

$1,707$1,902 $1,961$103 $105

$245

$420

$588$663 $661

51,770

56,955 57,504

59,435 59,543

61,029*

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 FY 2018 FY 2019

Shelter Prevention, Housing, Legal Services Individuals in Shelter


Agency Watch List: Dept. of Education

Central Administration staffing up 24% since 2012

Twice the rate of teaching staff growth



One-third of computer hardware unaccounted for

No follow-up to implement basic controls



$1 billion investment in high-speed broadband

Teachers report it doesn’t work



$2.7 billion in no-bid contracts


Agency Watch List: Dept. of Correction

13,850

9,500

$117,232

$270,876

441501

573 581 615 644

774

920

1,148

1,332

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017Avg. Daily Inmate Population Annual Cost per Inmate Fight/Assault Infractions per 1,000 ADP

The inmate population has fallen …But the cost per inmate has skyrocketed …And the number of violent incidents keeps climbing


Capital Commitment Plan FY 18-22($ in millions)

Education/CUNY, $14,546

Environmental Protection, $13,760

DOT & Mass Transit, $14,018 Housing & Economic Development, $11,723

Computer Equipment, $512

Citywide Equipment, $3,717

Admin. Of Justice, $5,333

Parks, $4,074

Hospitals, $3,050

Other City Operations, $8,883

$79.6 B


Capital Commitments Continue to Fall Well Short of Plan($ in billions)

$9.3 $8.5

$10.9

$0

$2

$4

$6

$8

$10

$12

$14

$16

$18

$20

FY 2015 FY 2016 FY 2017

Actual Commitments Authorized Commitments

65%57%

56%$14.2 $14.9

$19.2


Lack of Accountability in Capital Budget

Lack of AccountabilityEDC “Acquisition Fund”• $33.5 million appropriated• $0 spent

“Rockaways Infrastructure Improvements”• $20 million appropriated• $0 spent

Budget OverrunsNew Fire and Rescue (BK)• $10 million budgeted• $30 million spent

Rehab/Protective Coating Brooklyn Bridge Ramps• $509 million budgeted• $650 million spent


Documents

Comptroller’s FY 2019 Preliminary Budget Presentation · 2018-02-22 · New York City Comptroller Scott M. Stringer @NYCComptroller Mayor’s FY 2019 Preliminary Budget Contains