Mayor Zohran Mamdani will present a more than $124 billion budget proposal that doesn’t raid city reserves and takes a property tax hike off the table after he found more savings and revenue, according to people briefed on the matter.
His executive budget proposal, initially scheduled for May 1, was late due to the state budget delays.
And while that budget is still being worked out in Albany, Mamdani will present his spending plan later Tuesday.
It will be without an estimated $5.4 billion gap after finding other savings and revenue.
Earlier this year, Mamdani presented a dire budget picture, with an initial estimated budget gap of $12 billion, which was then re-adjusted to $7 billion a few weeks later.
He floated a property tax increase as a last-resort option to raise money to fill the gap, as Gov. Kathy Hochul continued to resist raising taxes.
Raising the property tax rate, which has not been done since Mayor Michael Bloomberg, is one of the few levers the mayor has to raise revenue. It was met with immediate backlash and was a non-starter because it was unlikely to pass in the council.
Gov. Hochul said Monday she had “been working very closely with the mayor and his budget team and his deputies to solve a problem that was not his making.”
“He inherited a pretty significant financial mess,” she said. After noting the help the state has given over the last few months, including for childcare, she said the state is “helping out with a number of other areas.”
Our nonprofit newsroom relies on donations from readers to sustain our local reporting and keep it free for all New Yorkers. Donate to THE CITY today.
The post $124 Billion Mamdani Budget Leaves City Reserves Intact appeared first on THE CITY – NYC News.
