Adams Administration asking all NYC agencies to slash budgets

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Wednesday, April 5, 2023
Adams Administration asks all NYC agencies to slash budgets
The Adams administration is ordering all New York City agencies to cut their budgets. Sonia Rincon has the story.

NEW YORK (WABC) -- The Adams administration is ordering all New York City agencies to cut their budgets.

City agencies have been told to cut their budgets by 4% for the coming fiscal year, starting in July. The Education Department and City University of New York only must identify 3% in cuts.

The agencies have 10 days to detail their cuts, according to a letter to agency heads from budget director Jacques Jiha obtained by Eyewitness News.

The mayor has been warning for months that the additional costs of services provided to asylum seekers would touch affect agency.

Additionally, the City is in the process of renegotiating multiple labor contracts, which is further stressing city resources.

The mayor has warned of unpopular cuts, in a year of major labor contract negotiations with city employees, who all need cost of living increases. On Wednesday he announced the second major new contract agreement -- this one with the largest police union.

"They've been working a long time without a contract, and have more than earned the benefits in that have been agreed upon by the city and the PBA," said Police Commissioner Keechant Sewell.

Adams said the contract falls in line with the recovery of the city.

Saying everything in the city is tied to public safety, the mayor announced a $5.5 billion, eight-year contract with retroactive raises from 2017, amounting to a 25% pay hike for the 24,000 officers of the PBA.

Its president credits the mayor's 22 years with the NYPD.

"Taking all that he knew from being in that world, to being in this world, allowed the folks here to have real conversations," PBA President Patrick Lynch said.

Former Chief of detectives and ABC News contributor Robert Boyce says with pay for officers now going as high as $131,000, it will help recruit and retain.

"That's a fair wage in today's market, we don't want to lose officers to smaller departments in the surrounding area, which is happening," Boyce said.

In a statement, Jonah Allon, a spokesman for the mayor, said agencies must make the cuts without laying off employees or minimizing impacts on city services.

'We are facing a slowdown in city tax revenue growth and what is predicted by financial experts to be a weakening of the nation's economy," Allon said.

The city's teacher's union president points to state and city comptroller revenue forecasts that aren't all that bleak.

"All I know is the state's sending us more money for education and putting the highest percentage ever into our schools, and the city for two straight years now is dropping its funding for our school system," said UFT President Michael Mulgrew.

The teacher's union is understandably concerned about its own ongoing contract negotiations and those 3% cuts at the DOE being felt in schools, so the budget battle will continue in the city council, as will contract negotiations with several unions.

Additionally, the state budget is late which is increasing the amount of uncertainty.

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