A prominent budget watchdog organization warned state leaders on Monday to commit find savings in the budget or face a risky prospect of future fiscal complications.
The warning from the Citizens Budget Commission came paired with a lament from the organization that lawmakers and Gov. Kathy Hochul are yet to reach an agreement on a budget plan amid a largely secretive, backroom process.
"While many important issues are being addressed, delays and lack of time for public and legislative review diminish public accountability and New Yorkers’ confidence that their government can fulfill its obligations well," said Andrew Rein, the group's president.
Much of the focus at the state Capitol has centered around potential criminal justice law changes, including measures that would expand the circumstances in which cash bail is required. But Rein is concerned the lesser-watched aspects of the budget -- recurring expenses without the necessary revenues to back them up -- could be "risky business" for the future.
"Any additional recurring spending should be offset by savings elsewhere and not by reducing the amount the executive budget smartly allocated to reserves or by opening budget gaps that will require future service cuts or economically damaging tax increases," he said. "Maintaining reserve deposits proposed by the governor will help protect future New Yorkers from the next recession or emergency."
Hochul had initially proposed a $216 billion spending plan with much of the boosted spending driven by revenue from tax hikes on upper income people as well as federal pandemic relief money. The budget was expected to pass last Friday, the start of the state's fiscal year.
Lawmakers and Hochul on Monday agreed to a temporary stopgap budget bill that will fund the state through Thursday in order to give them more time to negotiate the unresolved measures in the budget.