MAYOR ADAMS RELEASES NOVEMBER 2024 FINANCIAL PLAN UPDATE WITH NEW INVESTMENTS IN PUBLIC SAFETY, AFFORDABILITY, AND QUALITY OF LIFE MADE POSSIBLE THROUGH ADMINISTRATION’S ONGOING STRONG FISCAL MANAGEMENT

 

Technical Plan Updates Revenue and Savings Since Budget Adoption, Makes Strategic Investments to Address Budget Cliffs Funded with Temporary Stimulus, Meet Underfunded Needs, and Support Priority Programs and Services 

New Investments Include Addition of 1,600 Police Officers, Funding for Cash Assistance Program, Support for New York City Public Schools, and Purchase of Thousands of New Sanitation Bins to Continue “Trash Revolution,” Among Other Initiatives 

Administration's Proactive Fiscal Management Has Driven Savings of $785 Million in Fiscal Year 2025 and $85 million in Fiscal Year 2026, With Asylum Seeker Cost Savings Reaching Nearly $500 Million Over Two Fiscal Years 

New York City Mayor Eric Adams today announced the release of the November 2024 Financial Plan Update with investments that continue to make New York City safer, more affordable, and more livable for working-class New Yorkers. The update marks the beginning of a new budget cycle in which New York City continues to practice the strong fiscal management that helped successfully navigate the city through the fiscal impact of funding a humanitarian crisis and having to close budget holes left by expiring short-term stimulus dollars that were used to support long-term critical programs under the previous administration. The plan update reflects the Adams administration’s ongoing commitment to strong fiscal management by achieving citywide savings and making targeted investments that will support working-class New Yorkers, meet underfunded needs, and invest in critical programs.

“From day one, our administration has put working-class New Yorkers first and have been working to make this city safer, more affordable, and more livable,” said Mayor Adams. “We have remained focused on strong fiscal management and achieving savings to make the best use of taxpayer dollars and balance the budget. Because of our smart and tough decisions early on, we are able to continue investing in working-class New Yorkers and their families, and today’s November plan update does just that. This plan reflects savings of almost $900 million over two fiscal years and over $200 million in additional tax revenue, signaling a strong New York City economy. We are proud to add an additional 1,600 police officers, which will increase our uniform force to nearly 34,000 officers to keep our communities safe. We are also helping working-class New Yorkers pay for necessities like housing, groceries, and bills by putting over $467 million in the cash assistance program and $115 million into our CityFHEPS rental assistance program to help families stay in their homes. We are funding school contract nurses, supporting core technology projects in public schools, and fully containerizing all Department of Parks and Recreation curbside trash locations with 9,000 lockable steel bins to continue our ‘Trash Revolution’ across the five boroughs, amongst other investments. Together, we will continue to build a city for working-class people that is safer, more prosperous, and more livable.”

“Today’s November plan update balances our steadfast commitment to strong fiscal management with our recognition of where targeted investments in public safety, affordability, and quality of life are particularly necessary and timely,” said First Deputy Mayor Maria Torres-Springer. “The citywide savings we are recognizing, as well as the incremental tax revenue we expect to see, allow us to make meaningful investments that further our administration’s agenda to support working people.”

Ongoing Strong Fiscal Management

The FY25 budget is now $115 billion, with gaps of $5.46 billion in FY 2026, $5.57 billion in FY 2027, and $6.34 billion in FY 2028, which are all slightly lower than at FY25 budget adoption due to reduced pension costs. Growth since budget adoption is primarily due to recognition of grant funds.

The plan update reflects $201 million in additional tax revenue in FY25, largely reflecting increased collections since the budget was adopted in July, signaling a strong New York City economy.

The administration has remained focused on achieving savings to make the best use of taxpayer dollars and balance the budget. This plan reflects citywide savings of $785 million in FY25 and $85 million in FY26, driven by asylum seeker cost savings of $436 million in FY25 and $59 million in FY26, primarily due to lower-than-expected number of asylum seekers entering the city's care since July 2024. This is in addition to savings the city has achieved over previous plans due to the administration’s efforts to help migrants take the next steps toward self-sufficiency and reducing household per-diem cost. The savings achieved in this Plan Update substantially offset agency expense changes over FY25 and FY26 that prioritize public safety, meet unfilled needs, and fund budget cliffs for critical programs.

FY25 Investment Highlights

Keeping Communities Safe

• Funding January and April 2025 NYPD Academy classes that will put 1,600 new officers on the streets by October 2025 and increase uniform force strength to nearly 34,000 officers ($140 million).
• Funding for staffing, equipment, and other needs to support operations at the Bellevue Outposted Therapeutic Housing Unit, a secure, clinical unit within a hospital that serves patients in custody who have serious health conditions and follows the jail-based therapeutic housing model, that is scheduled to open in early 2025 ($6.7 million).
• Expanding the New York City Sheriff’s “electronic ankle monitoring program” with funding for 51 new positions to help increase safety, while at the same time allowing carefully selected, screened, and monitored pre-trial detainees to return to their communities and jobs ($5.3 million).
• Reducing recidivism by justice-involved individuals, helping reintegration into the community, and improving jail safety by deepening support for New York City Department of Correction programming, including transition planning for people in custody, substance misuse education and support, supplemental education sessions, and therapeutic services ($4.7 million).
• Increasing staffing for the “Operation Padlock to Protect” cannabis enforcement program with funds directed to the Office of Administrative Trials and Hearings and the New York City Sheriff’s Office to help with administrative support due to increased task force inspections and closure of illegal cannabis shops ($1 million).

Making New York City More Affordable

• Adding funding to the cash assistance program to close a fiscal cliff and meet growing caseload needs in order to provide stability to a program that helps nearly 570,000 eligible children and adults meet their basic daily needs, such as paying for housing, utilities, and food ($467.6 million).
• Filling a budget hole in the City Fighting Homelessness and Eviction Prevention (CityFHEPS) rental assistance program that had been supported with short-term stimulus dollars in order to help prevent homelessness and keep vulnerable New Yorkers in their homes ($114.9 million).

• Closing the funding gap for the “Groceries to Go” program that helps eligible food insecure New Yorkers purchase groceries for delivery or pickup ($7.3 million).

Filling Gaps in the New York City Public School Budget Left by Expiring Stimulus Funds in an Effort to Protect Critical Programs

• Supporting critical New York City Public Schools technology resources to fund core needs that had previously been funded with temporary stimulus dollars ($80 million).
• Funding for school contract nurses that had been supported with temporary stimulus dollars ($65 million).

Improving Quality of Life by Keeping New York City Clean and Green

• Funding to continue Mayor Adams’ “Trash Revolution” with the purchase of approximately 5,000 tilt trucks for about 1,400 school buildings that allow for easy loading, transportation, and unloading of waste to help comply with containerization regulations ($4 million).
• Purchasing over 9,000 lockable steel bins to fully containerize all New York City Department of Parks and Recreation curbside trash locations ($1.85 million).

The plan update reflects updates to the FY25 Adopted Budget, which the administration balanced in the face of a record level $7.1 billion budget gap through strong fiscal management and remaining focused on savings and reducing asylum seeker spending needs. By managing its way to a stable fiscal position, the Adams administration was able to make record investments in early childhood education, public safety, and programs that maintain the health and quality-of-life of New Yorkers. These investments included holding school budgets harmless from mid-year funding adjustments, safeguarding more than $600 million in educational programs previously funded with short-term stimulus, funding police academy classes that put more officers on city streets to keep New Yorkers safe, and protecting libraries and cultural institutions.