Reactions to the Mayor's Proposed Budget
May 2nd, 2008
Most of the reactions to Mayor Michael Bloomberg’s executive budget proposal so far hail its fiscal prudence, albeit some include caveats and others were outright hostile.
Comptroller William Thompson and the Citizen’s Budget Commission are both happy with what they heard, and are pleased that their recommendations are included in the proposal. Both called for reducing capital expenditures, which is money invested in long-term assets like buildings and transportation networks. The mayor addressed this by stretching the capital plan from 4 years to 5 years, which will reduce debt service.
The New York Times editorial board is also supportive. For one, they call the mayor’s plan to end the 7 percent property tax cut in fiscal year 2010 – which starts July 2009 – “politically brave.” The move will bring about $1 billion in taxes back into city coffers. Given the money at stake, the Times thinks the $400 annual rebate should also be put to rest.
But the New York Post’s editorial board disagrees. Although they also commend the mayor for holding the line on spending and using surpluses to pay off future debt, they don’t like the idea of ending the tax cut, which they refer to as a tax hike.
Education advocates, however, are steaming mad, and are launching a campaign to reverse spending cuts for city schools. Accusing the Bloomberg Administration of retreating on previous financial commitments, they are starting a campaign called “Keep the Promises!.” The Promises! coalition, which launched with a rally and a radio ad yesterday, includes the teachers union, the Campaign for Fiscal Equity, the Alliance for Quality Education, ACORN, and the New York City Coalition for Education Justice.
“The mayor rightly understood it was important to keep his $400 promise to homeowners and to roll some of the surplus as a cushion,” said Randi Weingarten, the president of the teachers union. “He should have given the same consideration to the importance of the 4-year promise the city made to our children. He has broken that promise, and we have five weeks to work with him and the City Council to reverse it.”
By Mike Muller on May 2, 2008, 12:52 pmIn category: Education, Public Finance | No Comments »

