Newsroom

November 25, 2020

NYC Anticipates $3.8B Budget Deficit Next Year; Pushing Off Bills Until 2022

The Jewish Voice

The state is under fire from good government groups who criticized the ploy, saying it is just delaying the inevitable by pushing off costs to the next budget in hopes of additional multi-billion dollar coronavirus aid from the feds. The plan depends on lawmakers making a deal for an enormous rescue package for cash-strapped cities and states throughout the country. Opponents warn that this can exacerbate future deficits. “Paying bills late does not save you money,” said Andrew Rein, the head of the Citizens Budget Commission. “We’re just going to have the same problem we have today, but instead we’re going to have it tomorrow.” Mayor de Blasio’s tenure will end after 2021, potentially leaving a budget mess for the next incoming mayor.
November 23, 2020

De Blasio warns of $4B gap for next fiscal year

Bond Buyer

The mayor’s plan falls short, according to Andrew Rein, president of the watchdog Citizens Budget Commission.

“New York City is in the midst of a fiscal crisis and should budget accordingly. This budget update does not meet the moment,” Rein said.

Future savings, he said, is less than one-half of 1% of city funded spending.

“For the city to be stable in the long run, it needs to restrain spending to a level that will be sustainable when the economy recovers and any federal aid is depleted. The mayor should be asking his commissioners for significant reductions that he can now include in the next preliminary budget.”
November 23, 2020

New Yorkers got $40B in stimulus funding, de Blasio says, calling for additional help

New York Daily News

The watchdog Citizens Budget Commission called for restrained spending and a commitment to “recurring” budget savings.



“We need to budget like we’re in a fiscal crisis and we’re not,” the group’s President Andrew Rein told the Daily News.



“This budget should have had a major major savings plan and it doesn’t,” he added. “We need to ensure the next budget does.”
November 21, 2020

How the MTA can dig out of this hole: Focus far more on personnel costs

New York Daily News

Other ways to save money could focus on maintenance costs. Figures from the federal Department of Transportation’s 2018 National Transit Database show that the NYC subway system spends four times as much per track-mile on maintenance as any other American subway system; maintenance on the commuter railroads, especially LIRR, is also inefficient. Research by the Citizens Budget Commission suggests that improving subway maintenance practices, as well as getting LIRR maintenance productivity up to just Metro-North levels, could save $1 billion annually.
November 19, 2020

NY City and MTA: Will they go down together?

Bond Buyer

While acknowledging the urgent need for federal aid, Andrew Rein, president of the watchdog Citizens Budget Commission, urged the MTA to use “all tools available.”



“The choices are difficult and may require a break with the great tradition of widely available 24/7 service in order to focus resources on delivering the core services the regional economy depends upon,” Rein said. The open question, he added, is whether the proposed service cuts could dampen regional economic recovery.
November 18, 2020

Marijuana won’t cure New York’s budget woes, watchdog warns

Crain's New York

The Citizens Budget Commission, a budget watchdog, is warning that even if marijuana can clear the political hurdles for approval next year, pot tax revenue is a long way off.



"It is a good sign for New York, overall, that Illinois could approve legalization through their legislature and get their program running this fast," said Patrick Orecki, a senior research associate at the CBC. "But the fact is that this stuff takes time."



Legalizing marijuana is just the first step. Agreeing on how to license, sell and tax it is much more complicated. The CBC noted in a report this week that Illinois is the fastest state to launch a retail marijuana market, approving a law for recreational pot in June 2019 and getting it to stores by the start of 2020. It is more common, however, to see a timeline like that of Massachusetts, where recreational marijuana was voted into law via referendum in November 2016, but did not reach stores until July 2018.