What you should know
Over the weekend, New York City Mayor Eric Adams announced several measures to stabilize the finances of the city that has been under economic strain as it bears the brunt of the costs of the humanitarian crisis. of asylum seekers. Since the beginning of the asylum seeker crisis, New York City has opened more than 200 emergency shelters for the more than 110,000 immigrants who have arrived in the five boroughs seeking refuge. Additionally, Mayor Adams on Saturday directed all agencies to implement a 5% reduction in city-funded spending in each year of the financial plan through a Program to Close the Gap (PEG) as part of the upcoming November plan. , preliminary budget and executive budget.
NEW YORK — Over the weekend, New York City Mayor Eric Adams announced several measures to stabilize the finances of the city that has been under economic strain by having to bear the brunt of the costs. of the humanitarian crisis of asylum seekers. This at a time when revenue growth is slowing and COVID-19 stimulus funds are coming to an end.
Since the beginning of the asylum seeker crisis, New York City has opened more than 200 emergency shelters for the more than 110,000 immigrants who have arrived in the five boroughs seeking refuge.
This comes as approximately 10,000 asylum seekers still arrive each month, the city estimates this growing crisis will cost taxpayers $12 billion over three fiscal years, an amount that will continue to grow without federal and state intervention and support. In an effort to maintain the city’s fiscal strength, the Adams administration seeks to reduce housing and other costs by transitioning migrants out of the shelter system and humanitarian aid and emergency response centers to more cost-effective shelters. , in addition to looking closely at other ways to reduce the costs of caring for asylum seekers.
Additionally, on Saturday the mayor ordered all agencies to implement a 5% reduction in city-funded spending in each year of the financial plan through a Program to Close the Gap (PEG) as part of the upcoming November plan, preliminary budget and executive budget. The administration will seek to minimize disruption to programs and services and there will be no layoffs.
“Right now, we are asking all of our agencies to submit a plan to reduce city-funded spending in each year of our financial plan, but the die is not yet cast. If we can get the substantial support we need from our partners federal and state, we can avoid these funding reductions. We need Washington and Albany to finally do their part by paying their fair share and coming up with a decompression strategy that reduces the pressure on New York City, so we are not forced to manage this crisis almost entirely alone,” said Mayor Eric Adams.
The administration will also take additional steps to control spending and promote budget savings that will be announced in the near future. However, Mayor Adams has been clear that these costs can affect all city services.
“Since the large influx of asylum seekers into our city began last spring, we have warned New Yorkers that all city services could be affected by this crisis if we do not receive the support we need. Add in the costs of a national crisis that has fallen on New York City with dwindling COVID-19 funds and slower revenue growth, and our city’s financial future may be at risk if we do not act.” added Mayor Adams. “Our city continues to receive approximately 10,000 asylum seekers each month and, as we established last month, we anticipate spending $12 billion through the end of fiscal year 2025 if circumstances do not change. While our compassion is limitless, our resources are not.”
Last month, Mayor Adams released an updated forecast of asylum-seeker costs, showing that the asylum-seeker population has grown faster than previously anticipated and that, without additional state and federal support, the crisis could cost the city more than $12 billion over three fiscal years. This figure represents nearly triple the city’s previous estimate of $3.9 billion over two fiscal years, which was funded in the city’s financial plan. This means that without additional state and federal support, the city will need to add another $7 billion to the financial plan over this year and next to meet rapidly expanding needs.
If Albany and Washington, DC provide significant and timely financial support and reduce pressure on New York City, and if the city recognizes better-than-expected revenue, the Adams administration will reassess the need for substantial cuts to city-funded spending .
2023-09-11 15:07:43
#NYC #agencies #cut #expenses #cover #costs #immigration #crisis
