New York state budget (2009-2010)
- 1 Fiscal Year 2010
- 2 Budget background
- 3 Accounting Principles
- 4 Budget transparency
- 5 Government tools
- 6 Independent transparency sites
- 7 Public employee salary information
- 8 Economic Stimulus Transparency
- 9 Budget Figures
- 10 See also
- 11 External links
- 12 References
Fiscal Year 2010
- See also: Archived New York state budgets
The FY2010 figures from the New York Division of the Budget show a $3.2 billion deficit and FY 2011 will have a $7 to$8 billion shortfall. The governor has estimated a $9 billion shortfall. Gov. Paterson advocates quick action from the New York State Legislature at a special session starting Nov. 10 on his proposed two-year, $5 billion Deficit Reduction Plan (DRP), which purports to close the current-year gap and cut the combined projected $10 billion deficit in half. DOB revisions from the July 2009 estimate of $2.1 billion deficit for the current fiscal year to $3.2 billion is mostly due to declining income tax collections and $106 million increase for projected spending. In total, year to date income tax collections for FY 2010 are $4.4 billion less, 22% than FY 2009. The "surcharge on high-income individuals" passed during the regular legislative session to help bridge New York's original $1.7 billion budget gap has not produced the anticipated $4 billion, instead 10% less at $3.6 billion.
|Gov. Paterson's Oct. 15, 2009 Deficit Reduction Plan||FY 2010||% of Plan|
|Across-the-board Local Assistance Cuts||$1.3 billion||44%|
|Across-the-board State Agency Cuts||$500 million||17%|
|Tax Amnesty||$250 million||8%|
|Battery Park City Authority Fund Transfer||$300 million||10%|
|Aqueduct VLT Payment||$200 million||7%|
|Medicaid Fraud||$150 million||5%|
|Additional Admin. Savings||$145 million||5%|
|RGGI ($90M)/EPF ($10M) Transfer||$100 million||3%|
|DASNY Transfer||$26 million||1%|
Through the end of the fiscal year the Financial Plan projected more than $1.7 billion would be transferred to the General Fund from dedicated State funds. In addition, at least $1.4 billion in temporary loans remained outstanding, $3.1 billion in General Fund spending off-loads were shifted to the HCRA funds and nearly $200 million in new debt was issued to replace pay-as-you-go capital spending.
- See also: New York state budget
The initial phases in creating each state budget begin long before the fiscal year to which it applies. Every summer, the Division of the Budget (DOB) sends a call letter to state agencies that sets out the Governor’s priorities for the year, anticipated fiscal constraints and a schedule for submitting budget requests. The DOB is responsible for analyzing agencies' requests and aiding the Governor in creating the final state budget.
Agencies usually submit their budget requests to the DOB by early fall. The DOB and State Comptroller must release a detailed estimate of anticipated income and expenses by November 5. The DOB evaluates the budget requests in light of trends in income and spending, assesses the state’s economic situation and presents their recommendations to the Governor.
By mid-January (or February 1st following a gubernatorial election year), the Governor must submit his budget plan to the legislature along with related appropriation, revenue and budget bills. Along with the Executive Budget, the Governor must submit the State’s Five-Year Financial Plan, Five-Year Capital Program and Financing Plan, and any financial information supporting the Executive Budget. The legislature then analyzes the Governor’s proposals, holds public hearings and works with the DOB in evaluating the proposed budget measures. Both houses of the legislature must agree on the income and spending appropriations in the budget bill and submit the amended budget to the Governor for his approval. The budget is then sent to the Governor for approval, and a final state budget is created for the upcoming fiscal year.
In approving the final state budget, the Governor may use a line-item veto to cancel out specific provisions without having to veto the bill in its entirety. The state legislature can override the Governor's veto only by a 2/3 vote by the members of each house.
The Office of the State Comptroller audits state agencies, public authorities, and all local governments in New York State, including New York City. The Comptroller's audit reports are published online. Thomas P. DiNapoli had been New York State Comptroller since February 2007. The State Comptroller is New York State's chief fiscal officer. The breadth and scope of its responsibilities are unique among the states. 
The Institute for Truth in Accounting (IFTA) rates New York “Tardy” in filing the state’s Comprehensive Annual Financial Report (CAFR) – The annual report of state and local governmental entities. IFTA rated 22 states timely, 22 states tardy, and 6 states as worst. IFTA does not consider New York's CAFRs, and those of the other states, to be accurate representations of the state’s financial condition because the Generally Accepted Accounting Principles (GAAP) basis does not include significant liabilities for the pension plans and for other post employment benefits, such as health care. New York's CAFRs are prepared and published online by the New York Office of the State Comptroller FY 2009's CAFR was completed and publicly posted timely.
New York government spending is partially transparent and currently has several transparency resources as listed below. The first two are government sponsored, while the third is sponsored by the Empire Center.
- www.openbooknewyork.com was created by State Comptroller Thomas DiNapoli
- Project Sunlight was created by State Attorney General Andrew Cuomo
- www.seethroughny.net was created by the Empire Center for New York State Policy
- See also: Evaluation of New York state website
The following table is helpful in evaluating the level of transparency provided by a state spending and transparency database:
|State Database||Searchability||Grants||Contracts||Line Item Expenditures||Dept/Agency Budgets||Public Employee Salary|
|Open Book New York|
Limitations and Suggestions for Improvements
Public employee salaries should be placed online, as should specific spending details and line-item expenditures.
The Times Herald-Record offers this analysis of public salaries in the Hudson Valley with a searchable database of payroll records.
A great resource is See Through NY, a new website offering "New Yorkers a clearer view of how their state and local tax dollars are spent."
Economic Stimulus Transparency
- The state received approximately $2 billion from the federal government under HR 1586, a $26 billion plan to give states money for Medicaid and education that the President signed into law on August 10, 2010. U.S. Sen. Charles Schumer said New York is to get $2 billion in Medicaid funding from Washington that was feared lost and over $600 million in new education aid to avoid teacher layoffs.
- New York received an estimated $11,798,038,219 from the American Recovery and Reinvestment Plan of 2009
- New York established an economic recovery website to show how legislators and government officials in New York are spending Federal funds.
General Fund 2009-10
|Category||FY2009 Amount in millions Actual||FY 2010 Amount in millions Estimated|
|Budget Stabilization Fund||0||0|
Fiscal 2010 Tax Collections Compared With Projections Used in Adopting Fiscal 2010 Budgets (Millions)
|Sales Tax Original Estimate||10,390|
|Sales Tax Current Estimate||10,005|
|Personal Income Tax Original Estimate||37,239|
|Personal Income Tax Current Estimate||34,380|
|Corporate Income Tax Estimate||5,495|
|Corporate Income Tax Estimate||5,688|
Cuts made to FY2010 budget after passage (in millions)
Changes Over 20 Years
In 20 years, the state budget had grown from to $48.9 billion to a projected $136.5 billion.
The State University of New York had grown by 14 percent over the last two decades, and the workforce of the state judiciary increased by 31.6 over that period.
- State Budget Solutions, New York
- 2010-11 Executive Budget
- Empire Center for New York State Policy
- Manhattan Institute for Policy Research
- Center on Budget and Policy Priorities,"Policy Points: Recession Still Causing Trouble for States," November 19, 2009
- Politics on the Hudson,"State Ends Year With Operating Deficit and Little In the Bank," December 31, 2009
- National Conference of State Legislatures, “State Budget Update: July 2009”
- New York Division of the Budget Press Release, "Governor Paterson Announces State Must Address $10 Billion Budget Deficit Over Next Two Years," October 30, 2009
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- Division of the Budget, Division of the Budget Review
- Division of the Budget, Legislative Action
- The New York Office of the State Comptroller Web site, retrieved November 2, 2009
- The Comptroller's audit reports
- Institute for Truth in Accounting, “The Truth About Balanced Budgets—A Fifty State Study,” Page 35
- New York Office of the State Comptroller Web site, retrieved November 2, 2009
- State of Indiana, “State Credit Ratings-as of June 24, 2009"
- See Through New York
- Businessweek "Cash-strapped NY, public schools may get windfalls" Aug. 11, 2010
- :: H.R. 1586
- Economic Recovery New York
- National Governors Association and National Association of State Budget Officers Fiscal Survey of States June 2010
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