WHAT YOU SHOULD KNOW By Senator Rev. Rubén Díaz - Second Avenue Subway

It is a Disgrace that Phase 1 of the Second Avenue Subway has Taken 50 Years and Cost us $5 Billion Dollars

  You should know that the Official Groundbreaking to mark the start of the Second Avenue Subway at 103rd Street and Second Avenue in Harlem took place on October 27, 1972.

On that day, the late New York State Governor Nelson Rockefeller and the late John V. Lindsey, New York City Mayor, announced the great news of building a Second Avenue Subway line. That was 50 years ago.

You should also know that New York’s Second Avenue Subway has cost close to $5 BILLION dollars, and I have said before, it has taken 50 years to construct just 1-1/2 miles of subway service.

The 3 subway stations set to open on January 1, 2017 in what is called the First Phase, will be located on Manhattan’s Upper East Side to include Second Avenue stations at 96th Street, 86th Street and 72nd Street, and an expansion to 63rd Street at Lexington Avenue. This will supposedly reduce travel time of 10 minutes for many riders on the Upper East Side.

Now, they say that on January 1, 2017 dignitaries including Governor Andrew Cuomo and Mayor Bill de Blasio will be popping champagne corks to celebrate the “unprecedented” push that will have met their deadline. Ha ha ha ha!

I, for one, will not be joining Governor Andrew Cuomo nor Mayor Bill de Blasio to open any bottles of champagne on January 1st to celebrate this boondoggle of finally ending Phase 1 of the Second Avenue Subway.

To me, it is a disgrace that it has taken more than 50 years of pouring billions of taxpayer dollars into a project that will benefit New York’s Silk Stocking District, while causing traffic nightmares and business closings for many small businesses in the area.

It is no wonder, whether you voted for him or not, that Donald Trump has caused us all to question our crisis in political leadership.

I am Senator Reverend Rubén Díaz, and this is what you should know.

EDITOR'S NOTE:

Senator Diaz it is 2016 not 2022. It has taken only 44 years not 50 years. I hope you do not expect to get matching funds for your campaign with math like this, as you will make the front page of the Bronx Voice my newspaper. 

With that in mind know that I and others will be going over your campaign financial disclosure statements.

Brian Coll, Former Correction Officer At Rikers Island, Convicted In Beating Death Of Inmate Ronald Spear and Statement by U.S. Attorney

   Preet Bharara, the United States Attorney for the Southern District of New York, announced today that BRIAN COLL, a former New York City Correction Officer, was convicted of causing the death of Ronald Spear, a pre-trial detainee at Rikers Island.  COLL, then a correction officer on Rikers Island, had been charged in a superseding indictment returned on November 17, 2016, with causing Mr. Spear’s death by repeatedly kicking him in the head while he was restrained and lying prone on the floor, in violation of his rights under the United States Constitution.  Mr. Spear died shortly after the attack.  COLL was arrested on a complaint on June 10, 2015, and has been in federal custody since that time.  COLL was convicted after a 10-day trial before U.S. District Judge Loretta A. Preska.

Manhattan U.S. Attorney Preet Bharara said:  “Today, a unanimous jury in Manhattan federal court affirmed that the protections of the U.S. Constitution extend into the walls of our prisons, including Rikers Island.  For his brutal and heartless beating of 52-year-old Ronald Spear, a sickly Rikers inmate, and his lies to cover it up, Brian Coll now stands convicted of serious federal crimes.  As the evidence at trial established, Coll killed Spear by repeatedly kicking him in the head as he lay restrained on the ground, telling him before he died not to forget who did this to him.  The FBI investigators and career prosecutors on this case did not forget.  And today, neither did the jury.”

According to the evidence introduced at trial: 

Rikers Island is a jail complex, located in the Bronx, New York, maintained by the New York City Department of Correction.  At the time of his death, Ronald Spear was a pretrial detainee incarcerated on Rikers Island in the North Infirmary Command, a facility housing detainees who, like Mr. Spear, have serious or chronic medical needs.  In the early morning hours of December 19, 2012, Mr. Spear left the housing area in the infirmary unit in an attempt to see the on-duty doctor but was stopped by COLL, who said that the doctor was not available to see him.  In an altercation that ensued, COLL punched Mr. Spear several times in the face and stomach, and Mr. Spear was then restrained by two other correction officers, Anthony Torres and Byron Taylor.  While Mr. Spear was lying prone on the ground and was still restrained, COLL repeatedly kicked Spear in the head, even after Torres attempted to shield the inmate’s head with his hand and shouted to COLL to stop.  After COLL stopped kicking Mr. Spear, COLL lifted Mr. Spear’s head up, told him to remember who had done this to him, and then dropped Spear’s head to the ground.  Mr. Spear was pronounced dead at the scene shortly after the assault.

Spear’s autopsy was conducted at the Bronx Office of the Chief Medical Examiner.  The autopsy revealed that Spear had at least three recent contusions on his skull, and that he had suffered a “brain bleed” caused by blunt force trauma to the head, consistent with Spear being kicked in the head while he was lying prone on the ground.  Mr. Spear suffered a cardiac arrhythmia as a result of the head trauma.  The assault by COLL was therefore, as the jury found, the cause of Spear’s death.

After Spear’s death, COLL, Taylor, Torres and others, covered up the true cause of Spear’s death by concocting a false story that turned Spear into the aggressor, falsely claiming that Spear had attacked COLL with a cane.  Specifically, COLL falsely claimed that Spear had attacked him with a cane, and Torres agreed to support this false version of events and further agreed not to not relay that COLL had repeatedly kicked Spear in the head.  Additionally, at the request of TAYLOR, COLL, TORRES, and an additional correction officer agreed to falsely claim that TAYLOR was not present for the incident.  Consistent with their agreement, the conspirators filed false use of force reports with the Department of Correction and lied repeatedly to Department of Correction supervisors, investigators, and to the Bronx District Attorney’s Office.

The conspirators propagated this false version of events after being advised by a Rikers captain to be consistent in the use of force reports the officers were required to submit following Spear’s death.   Additionally, when no cane was recovered from the crime scene – potentially calling into doubt COLL’s claim that Spear had attacked him with a cane – a Rikers captain simply directed a correction officer to take a cane from a supply area and to pass it off to investigators as the cane used in the incident.               

BRIAN COLL, 47, of Smithtown, New York, was convicted of one count of death resulting from deprivation of rights under color of law, which carries a maximum penalty of  life in prison or death, one count of conspiracy to obstruct justice, which carries a maximum penalty of 20 years in prison, one count of obstruction of justice, which carries a maximum penalty of 20 years in prison, one count of filing false forms, which carries a maximum penalty of 20 years in prison, and one count of conspiracy to file false forms, which carries a maximum sentence of five years in prison.  COLL is scheduled to be sentenced by Judge Preska on April 24, 2017.

Byron Taylor, 32, of Brentwood, New York, has pled guilty to one count of perjury for lying to a federal grand jury, which carries a maximum sentence of 5 years in prison, and one count of conspiracy to obstruct justice, which carries a maximum sentence of 20 years in prison.    

Anthony Torres, 50 of New Rochelle, New York, pled guilty to one count of conspiracy to obstruct justice and file false reports, which carries a maximum penalty of five years in prison, and one count of filing a false report, which carries a maximum sentence of 20 years in prison. 

The statutory maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendants would be determined by the judge.

Mr. Bharara praised the investigative work of the Federal Bureau of Investigation and the Criminal Investigators at the United States Attorney’s Office.  Mr. Bharara also thanked the New York City Department of Correction, Investigative Division, and the Bronx District Attorney’s Office for their assistance in the investigation.

Statement Of U.S. Attorney Preet Bharara On The Conviction Of Former Rikers Island Correction Officer Brian Coll

   “Today, a unanimous jury in Manhattan federal court affirmed that the protections of the U.S. Constitution extend into the walls of our prisons, including Rikers Island.  For his brutal and heartless beating of 52-year-old Ronald Spear, a sickly Rikers inmate, and his lies to cover it up, Brian Coll now stands convicted of serious federal crimes.  As the evidence at trial established, Coll killed Spear by repeatedly kicking him in the head as he lay restrained on the ground, telling him before he died not to forget who did this to him.  The FBI investigators and career prosecutors on this case did not forget.  And today, neither did the jury.”

Manhattan U.S. Attorney Announces Arrest Of Defendant Charged With Participation In Massive Hacks Into U.S. Financial Institutions

   Preet Bharara, the United States Attorney for the Southern District of New York, William F. Sweeney Jr., Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and David E. Beach, Special Agent in Charge of the U.S. Secret Service New York Field Office (“USSS”), announced that JOSHUA SAMUEL AARON, a/k/a “Mike Shields,” was arrested earlier today at John F. Kennedy International Airport.  AARON, along with defendant Gery Shalon, a/k/a “Garri Shalelashvili,” a/k/a “Gabriel,” a/k/a “Gabi,” a/k/a “Phillipe Mousset,” a/k/a “Christopher Engeham,” is charged with crimes arising out of Shalon’s and AARON’s orchestration of massive computer hacking crimes against U.S. financial institutions, brokerage firms, and financial news publishers, including the largest theft of customer data from a U.S. financial institution in history.  Shalon and AARON are charged with committing these crimes in furtherance of securities market manipulation schemes that Shalon and AARON perpetrated with defendant Ziv Orenstein, a/k/a “Aviv Stein,” a/k/a “John Avery.”  AARON will be presented this afternoon in Manhattan federal court before U.S. Magistrate Judge James C. Francis IV.  AARON is expected to appear before United States District Judge Laura Taylor Swain tomorrow at 10:30 a.m.  The charges against AARON, Shalon, and Orenstein were made public on November 10, 2015.  (To read the November 10, 2015, press release, click here.)

Manhattan U.S. Attorney Preet Bharara said: “Joshua Samuel Aaron allegedly worked to hack into the networks of dozens of American companies, ultimately leading to the largest theft of personal information from U.S. financial institutions ever.  For pursuing what we have called ‘hacking as a business model,’ and thanks to the efforts of the FBI and the U.S. Secret Service, Aaron will now join his co-defendants to face justice in a Manhattan federal courtroom.”

FBI Assistant Director William F. Sweeney Jr. said:  “Today, Josh Aaron was taken into the custody of the FBI to face charges filed against him more than a year and a half ago for his alleged role orchestrating a massive computer hack into U.S. financial institutions, brokerage firms, and financial news publishers and for his role in a multimillion-dollar stock manipulation scheme.”

U.S. Secret Service Special Agent in Charge David E. Beach said:  “The arrest of this alleged transnational cybercriminal illustrates the dedication of the Secret Service and reach of the U.S. Government in the disruption and dismantling of global criminal networks.  The precedent set by this successful United States deportation should serve as a warning to criminals that the Secret Service will relentlessly investigate, detect, and defend the Nation’s financial infrastructure both domestically and internationally.”

Shalon and Orenstein were arrested by Israeli authorities in July 2015, and were extradited from Israel in June 2016. 

AARON, 32, a U.S. citizen who had been residing in Moscow, Russia, is charged in a Superseding Indictment, S1 15 Cr. 333 (LTS), along with his co-defendants with the following offenses, which carry the maximum prison terms listed below.  The statutory maximum penalties are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.

Count	Defendants	Charge	Maximum Prison Term
One	SHALON and AARON	Conspiracy to commit computer hacking	5 years
Two	SHALON and AARON	Computer hacking	5 years
Three	SHALON and AARON	Computer hacking	5 years
Four	SHALON, AARON, and ORENSTEIN	Conspiracy to commit securities fraud	5 years
Five	SHALON, AARON, and ORENSTEIN	Conspiracy to commit wire fraud: Securities Market Manipulation Scheme	20 years
Six	SHALON, AARON, and ORENSTEIN	Securities fraud	20 years
Seven	SHALON, AARON, and ORENSTEIN
Eight	SHALON, AARON, and ORENSTEIN
Nine	SHALON, AARON, and ORENSTEIN
Ten	SHALON, AARON, and ORENSTEIN
Eleven	SHALON, AARON, and ORENSTEIN
Twelve	SHALON, AARON, and ORENSTEIN
Thirteen	SHALON, AARON, and ORENSTEIN	Wire fraud	20 years
Fourteen	SHALON, AARON, and ORENSTEIN	Conspiracy to commit identification document fraud	15 years
Fifteen	SHALON, AARON, and ORENSTEIN	Aggravated identity theft	Mandatory 2 years
Twenty-Two	SHALON, AARON, and ORENSTEIN	Conspiracy to commit money laundering: Securities Market Manipulation Scheme	20 years

Mr. Bharara praised the investigative work of the FBI and the United States Secret Service, and expressed his sincere gratitude to the Office of the State Attorney of the Israel Ministry of Justice’s Department of International Affairs and the Israel National Police, including its Cyber Unit - Lahav 433, for their support and assistance with the investigation.  He also thanked the Securities and Exchange Commission, Immigration and Customs Enforcement - Homeland Security Investigations, the Financial Industry Regulatory Authority, the National Credit Union Administration, the Office of International Affairs of the U.S. Department of Justice, and the Financial Services Information Sharing and Analysis Center, which significantly aided the investigation by facilitating information-sharing among the victim institutions.

The prosecution of this case is being overseen by the Office’s Complex Frauds and Cybercrime Unit.  Assistant U.S. Attorneys Eun Young Choi, Noah Solowiejczyk, and Sarah Lai are in charge of the prosecution.  Assistant U.S. Attorney Daniel Tracer of the Office’s Money Laundering and Asset Forfeiture Unit is in charge of the forfeiture aspects of the case.

The charges contained in the Superseding Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

A.G. Schneiderman Issues End Of Year Holiday Shopping Alert

Schneiderman: As New Yorkers Make Last Minute Holiday Purchases For Their Family And Friends, It Can Be Easy To Fall Prey To Bogus Deals Or Scams

  Attorney General Eric T. Schneiderman today issued tips for New Yorkers finishing up their holiday shopping.

“As New Yorkers start making final holiday purchases for their family and friends, it can be easy to fall prey to bogus deals or scams,” said Attorney General Schneiderman. “We want to ensure that consumers spend their money safely and wisely this holiday season, and following our tips will help protect against fraudsters and scammers.”

Attorney General Schneiderman issued the following tips for consumers shopping for the holidays: 

• Beware of misleading bargains and added fees: The “sale” price may have been marked up before it was marked down, nullifying the impact of the sale. Often, the touted “sale” price may, in fact, be significantly higher than the price for that same item later in the season. Delivery charges and/or other added costs such as assembly fees are often not reflected in the “sale price.” In many cases, hidden costs like these may negate the value of the sale.
   
• Compare warranty terms. Not all warranties are the same. Make sure you read the terms of any warranty to learn what protections you get and the duration of those protections. This could significantly affect that cost of an item over the long-run.
   
• Know the terms of a layaway plan. The law requires merchants to give a detailed description of the merchandise to be purchased on layaway plans, the total cost of the items, including all charges, the duration of the plan, the required payment schedule, the consequences of missing payments, the refund policy and the location, if other than the place of purchase, where the merchandise is being stored.
  
  
• Check return and refund policies. The law requires all merchants to post their refund policies. A store that fails to do so must give consumers 30 days to get a refund in the manner that the purchase was made. Be especially vigilant of “final sales” or “cash-only – final sale” notices, as you will have little or no recourse if the merchandise proves to be defective. Some stores will require the original packaging and charge a hefty restocking fee for returned items.
  
  
• Beware of restricted gift cards. Be sure to read the terms and conditions of gift cards before purchasing. It is illegal to deduct any fees for non-use within one year of purchase or to have an expiration date of less than five years from issuance. Use your card as soon as you can. If it later appears that your card has expired, or that fees have been deducted, contact the company that issued the card. It may still honor the card or withdraw the fees.
  
  
• Shop only on secure Internet connections: Do not conduct any transaction that involves personal, financial or credit card information while using an open and unsecured Wi-Fi connection. Be careful not to shop, conduct business, or send sensitive or personal information out on these networks because identity thieves often stake out open networks seeking victims. When entering payment information online you should verify that HTTPS is in your address bar to protect yourself from identity thieves and cyber criminals. URLs that begin with https:// instead of the standard http:// are secured by SSL, an internet security protocol.
  
  
• Do not be tricked by confusingly similar website and domain names: Pay particular attention to your retailer’s URL when shopping online. Scammers use variants of a known company’s Internet address to try and lure users into visiting fake websites. They often target users through email or social media.  Avoid clicking on links from email or social media sites.  Watch out for websites with URLs that differ slightly from those of legitimate online retailers, and also links that appear genuine but direct your browser to a completely different URL. To ensure safe shopping online type the URL of your desired retailer directly into your web browser — and watch for typos.
   
• Protect yourself by using credit cards: With the advent of point-of-sale malware and rampant data breaches, identity thieves are now more sophisticated and dangerous than ever. If you are going to make purchases online, you can best protect yourself from the risks of identity theft and fraud by using credit cards. Credit cards generally offer better purchase protection and fraud dispute resolution than other methods of payment.
  
  
• Be wary of too-good-to-be-true contests and prize promotions: Consumers should be suspicious of any email, messages, or posts on social networks promoting giveaways or contests that seem too good to be true, , free high-value gift cards, tablets, and smartphones. These “contests” are often scams designed to bilk consumers out of money and/or to collect consumers’ personal information for resale. Genuine sweepstakes and contests are commonplace on the Internet; however, you should avoid any contest or promotion that requires you to pay money or to perform any sort of financial transaction. Also, think twice before participating in promotions that require entrants to register with multiple third-party websites; often these are ploys to build marketing lists. Promotions that require users to provide more than simple contact information may even be phony or run by scammers who resell consumer information to collect referral fees!
  
  
• Read the fine print: Broadly worded promotional offers and advertisements often mislead consumers into paying full price for items they believed were on sale.  Consumers should carefully examine Internet deals by reading any and all fine print in the promotional materials, identifying the exact brand and model number on sale. Consumers should also avoid bait-and-switch advertisements or promotions that lure consumers with basement prices that are not guaranteed to be in stock. Fine print stating that quantities are limited is a tell-tale sign of this bait-and-switch tactic. 

A.G. Schneiderman Issues Consumer Alert After Second Yahoo Data Breach, Examines Circumstances Of Breach And Disclosure To Law Enforcement

Over 1 Billion Users Potentially Impacted

Schneiderman: I Urge All New Yorkers To Take Essential Steps To Increase Security Of Their Personal Information Online

   Attorney General Eric T. Schneiderman urged all New Yorker to take immediate steps to protect their personal information online, in the wake of Yahoo’s recent disclosure that a third party had breached its servers and accessed the personal data of over 1 billion users. This follows news of a 2014 breach of Yahoo’s servers which compromised the data of a reported 500 million users.

The Attorney General’s office is in touch with Yahoo, and is currently examining the circumstances of the breach and Yahoo’s disclosure of the breach to law enforcement.

“This latest breach of Yahoo’s servers is a stark reminder that big data hacks are increasingly becoming the new normal,” said Attorney General Schneiderman. “In light of that reality, I urge all New Yorkers to take essential steps to increase security of their personal information online and identify whether or not they’ve been the victim of identity theft.”

The data compromised includes email addresses, telephone numbers, dates of birth, hashed passwords (using MD5) and, in some cases, encrypted or unencrypted security questions and answers. The investigation indicates that the stolen information did not include passwords in clear text, payment card data, or bank account information. 

The Attorney General urges anyone with a Yahoo account  to change their passwords and security questions -- not only with Yahoo accounts, but for any other accounts which you use the same or similar information. The A.G. also recommends that consumers review all online accounts for suspicious activity; be cautious of any unsolicited communications that ask for personal information, including those that provide a hyperlink or attachment where you  are requested to click, or refer you to a web page asking for personal information. 

In light of the risks posed by data security breaches, individuals should remain vigilant and take action to protect themselves against breaches.

The Attorney General’s Office would also like to remind consumers about these common sense ways to protect themselves:

• Create strong passwords for online accounts and update them frequently. Use different passwords for different accounts, especially for websites where you have disseminated sensitive information, such as credit card or Social Security numbers. 
• Carefully monitor credit card and debit card statements each month. If you find any abnormal transactions, contact your bank or credit card agency immediately. 
• Do not write down or store passwords electronically. If you do, be extremely careful of where you store passwords. Be aware that any passwords stored electronically (such as in a word processing document or cell phone’s notepad) can be easily stolen and provide fraudsters with one-stop shopping for all your sensitive information. If you hand-write passwords, do not store them in plain sight. 
• Do not post any sensitive information on social media. Information such as birthdays, addresses, and phone numbers can be used by fraudsters to authenticate account information. Practice data minimization techniques. Don’t overshare.
• Use two-factor authentication. Take advantage of a websites offering of two-factor authentication, which uses a second piece of information besides username/password, that only the user would know, to authenticate the user prior to access to the account. 
• Always be aware of the current threat landscape. Stay up to date on media reports of data security breaches and consumer advisories.  

Under New York law, businesses with New York customers are required to inform customers and the Attorney General’s Office about security breaches that have placed personal information in jeopardy. The Attorney General’s Office investigates data breaches to determine if customers were properly notified of the breach and if the entity had appropriate safeguards in place to protect customers’ data.  The Attorney General recently proposed new legislation to make consumer information more secure.

BROOKLYN MAN INDICTED FOR ATTEMPTED MURDER OF NYPD OFFICERS

Gunfight At Midday On Election Day, A Half-Block From School Polling Place 

  Bronx District Attorney Darcel D. Clark today announced that a Brooklyn man has been charged with Attempted Murder and 11 other crimes for shooting at police who were responding to a robbery he and an accomplice had just committed. 

  District Attorney Clark said, “This defendant opened fire on a police officer and a sergeant who were responding to a victim’s cry for help. He fired seven rounds and they returned nine shots. Fortunately, there were no serious injuries, despite the gun battle taking place just a half-block away from a high school where people were voting on Election Day. Anyone who puts our police officers in jeopardy will face the fullest extent of the law.” 

   District Attorney Clark said that Zachary Irizarry, 19, of Bushwick Avenue, Brooklyn, has been charged with first and second-degree Attempted Murder, first, second and third-degree Robbery, second and fourth-degree Criminal Possession of a Weapon, first-degree Attempted Assault, first and second-degree Reckless Endangerment, first-degree Criminal Use of a Firearm, second-degree Obstructing Governmental Administration, Resisting Arrest, first degree Burglary, fifth-degree Attempted Criminal Possession of Marijuana, seventh-degree Criminal Possession of a Controlled Substance, and Unlawful Possession of Marijuana. He was arraigned today before Bronx Supreme Court Justice William Mogulescu. He was remanded and is due back on January 17, 2017.

   A second defendant, Jordan DeJesus of East 169th Street, the Bronx, was arraigned on the Robbery, Criminal Possession of a Weapon and Attempted Criminal Possession of Marijuana charges in the indictment on December 6, 2016. He was released on $25,000 bail. 

   According to the investigation, on November 8, 2016 at about 1 p.m. in front of 862 East 164th Street, a half-block from Bronx Regional High School on Rev. James A. Polite Avenue, NYPD Sergeant Michael Bletcher and Police Officer Juan Candelario saw a man run out of the building and heard him shout, “He’s got a gun.”

   Irizarry, who with DeJesus had allegedly just robbed the victim during a marijuana deal, fired several rounds at the officers, who were in plainclothes but had their police shields displayed. The officers fired nine rounds and Irizarry fled down the block. 

   The officers pursued him and he broke into a private house on 165th Street. Irizarry was arrested and his gun was recovered behind a washing machine in the house.

   The case is being prosecuted by Assistant District Attorneys Joseph Marciano and Kiran Rosenkilde of the Public Integrity Bureau, and Omer Wiczyk, Deputy Chief of the Public Integrity Bureau, under the supervision of Wanda Perez-Maldonado, Chief of the Public Integrity Bureau, and the overall supervision of Stuart Levy, Deputy Chief of the Investigations Division, and Jean T. Walsh, Chief of the Investigations Division. 

An indictment is an accusatory instrument and not proof of a defendant’s guilt.

Comptroller Stringer Releases Fiscal Year 2016 Popular Annual Financial Report

To boost transparency, report outlines City’s revenues, expenses, budgets, and capital projects in an easy-to-read format

  New York City Comptroller Scott M. Stringer released the Popular Annual Financial Report (PAFR) for Fiscal Year 2016, which breaks down for the public the City’s revenues, expenses, budget, and capital projects in 25 easy-to-understand pages of graphs, charts, and plain-language explanations.

“Transparency is more important than ever before. With $73.7 billion in spending just last year, there’s no doubt that our City’s finances are complex, but we believe in simplifying them for the public. New Yorkers deserve to know how their government works. We break down important information in a way that is accessible to everyone and I encourage all New Yorkers to take a look,” New York City Comptroller Scott M. Stringer said.

Last year’s PAFR – the City’s first – received the Government Finance Officers Association’s Award for Outstanding Achievement in Popular Annual Financial Reporting. The Fiscal Year 2016 PAFR has been submitted for the same award this year.

The majority of the data in the PAFR comes from the Comptroller’s Comprehensive Annual Financial Report, which is released every year on October 31st. This year’s PAFR highlights information including:

New York City Saw Sustained Job Gains

• The City added 98,100 private-sector jobs in FY16, a gain of 2.7 percent;
• Breaking a five-year trend, more than half of the new private-sector jobs were in mid- to high-wage sectors;
• All five boroughs had their lowest unemployment rates since FY08 – 4.5 percent in Manhattan, 4.6 percent in Queens, 5.3 percent in Staten Island, 5.4 percent in Brooklyn, and 7.2 percent in the Bronx;

Taxes and Revenue

• Overall, the City brought in more than $80 billion in revenues in FY16, split between program revenues – such as grants – and general revenues, like taxes.
• In FY16, New York City received $26 billion in grants and program revenues – about even with the previous year. The largest associated revenues were for education programs, which received nearly $12 billion, and social services, which brought in almost $5 billion.
• Another $55 billion came in through general revenues, an increase of $395 million from the previous year. Sources included $23 billion in real estate taxes, $11.5 billion in personal income taxes, and $8.5 billion in sales and use taxes.
• In the last year, 42 percent of tax revenues came from real estate taxes, compared to 21 percent from personal income tax, 16 percent from sales and use tax, and 19 percent from other taxes.

Expenses Grew

• In FY16, the City spent $73.7 billion from its general fund – an increase of roughly $3.5 billion from FY15.
• The largest share of resources was dedicated to education, at $22 billion.

Capital Project Commitments Decreased

• Capital commitments totaled $8.5 billion, about $800 million less than in FY15.
• This drop in capital commitments was led by the Department of Environmental Protection, which saw a decrease of $513 million, and the Department of Education, which had a decrease of $380 million.
• Still, roughly one-third of the FY16 capital budget – $2.5 billion – was dedicated to the Department of Education. The Department of Environmental Protection was next with $1.6 billion, or 19 percent, followed by the Department of Transportation at $1.2 billion, or 14 percent.

Peer-City Comparisons

• In 2014 – the most recent comparison available – New York City had 58.3 million tourists, outpacing Chicago, which had 52.75 million, and Philadelphia, which welcomed 39.7 million.
• New York City boasts more than 39,000 acres of parkland, compared to roughly 12,500 in Chicago and 11,000 in Philadelphia.

Each city provides different types and levels of service for its residents. In FY16, New York City spent over $10,000 per resident, while Philadelphia spent about $4,000 and Chicago spent $2,600.

Comptroller Scott M. Stringer Releases Analysis of the City’s Financial Plan

Comptroller’s analysis shows outyear gaps exceeding $3 billion in Fiscal Years 2018, 2019, and 2020

  A new report on the City’s November Plan released by New York City Comptroller Scott M. Stringer today forecasts modest economic growth at the national and City levels for the next several quarters. The report indicates that revenues could fall short of projections while expenditures will likely exceed estimates in each year of the Financial Plan. The Comptroller is required by the City Charter to submit the report.

The analysis identifies risks ranging from $585 million to $1.02 billion over the Plan period – from the current year (FY 2017) through FY 2020 – resulting in outyear gaps of more than $3 billion. With major shifts in federal fiscal and economic policies looming, significant uncertainties weigh on the forecast.

Among the key findings:

Tax Collections

• Non-property tax revenues were revised downward in the Mayor’s November Plan to reflect shortfalls in collections through the first three months of FY 2017, relative to the June Plan.
• The Comptroller’s Office forecast extends this trend into the remainder of the year and beyond, lowering anticipated tax revenues by a further $180 million in FY 2017, and $288 million in FY 2018.
• Total City tax revenues during the first ten months of 2016 fell 1.0 percent from the same period a year ago.

City Spending and Saving

• Despite the decrease in forecasted tax revenues, the total FY 2017 budget of $83.46 billion is $1.34 billion more than the Adopted Budget, due primarily to higher federal and state reimbursements for Hurricane Sandy and other programs.
• The November Plan lays out modest City-funds agency spending increases of $131 million.
• The Plan includes a Citywide Savings Program that totals $691 million in the current Fiscal Year and $1.7 billion over the four years of the Plan. The FY 2017 savings from the Citywide Savings Program enable the City to compensate for the decrease in revenue estimates, offset agency spending increases, and generate a budget surplus of $439 million to prepay FY 2018 debt service.
• Much of these savings are based on spending re-estimates, including accruals savings and aligning estimates to reflect year-to-date spending – adjustments that are part of the budget modification during the course of the Fiscal Year, even in the absence of a Citywide Savings Program.
• Only four percent of the FY 2017 savings is derived from proposed efficiency and productivity initiatives, such as more efficient use of the City’s vehicle fleet. Because most of the efficiency and productivity initiatives have recurring savings, they account for about 12 percent of the total recurring savings over the Plan period.
• The Comptroller’s forecast anticipates lower revenues as well as a number of likely spending needs not recognized in the November Plan, including higher overtime spending, additional assistance to New York Health + Hospitals, and increased spending on homeless shelters to maintain the current level of support.

Higher Outyear Gaps

• Consequently, the Comptroller has identified net risks of $585 million in FY 2017, $1.02 billion in FY 2018, $908 million in FY 2019, and $722 million in FY 2020. These risks would result in gaps of $585 million in FY 2017, $3.26 billion in FY 2018, $3.80 billion in FY 2019, and $3.10 billion in FY 2020.
• With $1 billion in the General Reserve and $500 million in the Capital Stabilization Reserve, the danger of a shortfall in FY 2017 is remote.
• However, the risks in the outyears are significant. Even with the use of available Plan reserves, including the $1 billion General Reserve and the $500 million Capital Stabilization Reserve, the City could still face a budget gap of as much as $2.3 billion for FY 2018, rising to over $3 billion in the latter half of the financial plan.

“There is a high degree of uncertainty about our economy in the future. We may see cuts from Washington that would likely fall most heavily on the most vulnerable New Yorkers. With potential long-term deficits looming, it is critical that we prepare now. We urge City Hall to take meaningful steps in the Preliminary Budget to prepare for the challenges ahead,” Comptroller Scott M. Stringer said.

It is more than likely that the Comptroller’s Office’s view of the economic and fiscal outlook for the City will change when President-elect Trump assumes office next year. Corresponding changes in policy may affect this forecast.