ALBANY — Whereas Gov. Cuomo has touted that his price range plan would cap state spending at 2% for an eighth straight 12 months, a fiscal watchdog group says it is truly going up twice that charge.
The non-partisan Residents Finances Fee (CBC) stated Cuomo for the second straight 12 months used fiscal gimmicks to offer the looks that the state’s progress in state taxpayer supported spending can be decrease than it’s.
The CBC says $2.eight billion in prices shifts, reclassification of spending, and delaying of funds all account for Cuomo’s declare of protecting the state spending hike at 1.9% in 2018-19.
However when adjusting for the fee shifts, the price range would truly improve state taxpayer supported spending by four.1%, the CBC says.
“Governor Cuomo’s dedication to take care of fiscal self-discipline is commendable, however utilizing accounting maneuvers to stick to a 2% cap misleads in regards to the true progress charge and misrepresents which areas of the state price range are rising,” stated Dave Friedfel, CBC’s director of state research.
The fee’s evaluation, which is ready to be launched Tuesday, discovered the most important value shift is a change in how a $1.5 billion MTA mobility tax is accounted for.
The tax would stay the identical. However as a substitute of first going to the state, which then disperses it to the MTA, Cuomo would have it go on to the transportation authority, which means it could now not be on the state ledger.
The evaluation additionally outlines one other $1.three billion in fiscal maneuvers, together with the prepayment from the present price range of $340 million in debt funds due within the subsequent fiscal 12 months.
“Because the legislators take into account the FY2019 Government Finances they need to be conscious that spending progress is twice as a lot as marketed,” the evaluation says.
Cuomo price range spokesman Morris Peters countered that “it’s an unequivocal undeniable fact that Governor Cuomo has constrained State spending progress extra successfully than any earlier administration.”
“Whereas self-proclaimed good authorities teams contrive changes to get to the next quantity, we’ll follow a completely clear monetary plan displaying spending progress at traditionally low ranges for an eighth consecutive 12 months,” Peters stated.
A Cuomo administration aide accused the CBC of being “selective in what it chooses to rely.”
He stated prepayments happen yearly. Excluding the prepayments alone would drop the CBC’s calculated progress to three.four%, he stated.
He additionally stated the proposed change on the mobility tax would truly improve what the MTA receives by $60 million.