Tag Archives: police expenditures

DeBlasio’s Last New York City Budget: He Predicts Even More Inequality and Gentrification, or Else NYC is Toast, Because Those Cashing in And Moving Out Will Take More Off the Top No Matter What

Mayor Bill DeBlasio released his last budget recently, and it assumes that pre-pandemic trends will continue.  The rich will continue to get richer and the stock market bubble will continue to inflate, thanks to the federal government doing whatever it takes, regardless of the long-term cost, to prevent asset prices from going down.  Despite higher and higher taxes, the rich will stay in New York City and just keep paying.  So will hundreds of thousands of young adults, who will continue to live in less and less space for higher and higher rents and accept higher taxes, fees and fares and diminished public services, including crowding and unreliable service on the subways no elected official is in charge of.  More and more economic activity and educated workers will be concentrated in New York City compared with the suburbs, and in metro New York compared with the rest of the country.

All this will offset the extent to which DeBlasio’s (and all the other NY politicians) public union and contractor supporters will continue to get richer and richer, compared with other workers.   Other workers whose lower pay will keep the cost of living down for public workers and retirees, as the overall inflation rate remains below the long-term trend.  Based on these assumptions, the total city budget will grow more slowly than the total personal income of NYC residents over the long term.  Even if the average New Yorker continues to become worse off, because there will be more and more working adults.

But if that is what has happened, and will continue to happen, then why have NY’s state and local taxes been increased, over and over, and risen as a percent of personal income?  Instead of falling.  Why are debts continually increasing, and with interest payments rising as a share of city residents’ personal income despite rock bottom interest rates (also assumed to be permanent)?   Instead of debts being paid down.  Why does the Mayor plan to hand early retirement deals to city workers age 55 and over yet again, to “prevent layoffs,” after having already agreed to no-layoff guarantees? And why, in this Mayoral campaign, is no one asking questions about any of this – in the place with the highest state and local tax burden in the country, where the media is full of claims that we deserve even less in return because we aren’t paying enough – notably by the police and teachers?

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Uniformed Services: Census of Governments Data

Over the past 20 years there has been an ongoing debate about the high cost of welfare, social services and Medicaid (for the non-elderly) in New York, occasional complaints about the cost of special education in the city’s schools, and objections to spending on and allegedly low productivity of the Metropolitan Transportation Authority. Since these services are funded by a mixture of federal money, state money and user fees, however, as well as local taxes, their impact on the high tax burden imposed by the City of New York is less than press reporting would have one believe.

What is more expensive, far more expensive, for city taxpayers is the cost of the so-called uniformed services – the Police Department, Fire Department, Department of Corrections, and Department of Sanitation. According to the NYC Office of Management and Budget, these agencies cost city taxpayers $16.3 billion in FY 2012, compared with $10 billion for health and welfare spending, $14 billion for public education, and $7.6 billion for most other agencies. And yet New Yorkers are faced with demands for even more money for the uniformed services, and threats if it isn’t received. So how did New York’s spending on the uniformed services compare with other places, according to the latest comparable data available?

Note this is an obsolete post, and a new one is available based on data from the 2017 Census of Governments, rather than 2012.


Continuing with the older post as originally written.

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