New York City faces challenges beyond its recent labor agreement with the United Federation of Teachers, state Comptroller Thomas DiNapoli said.
They include labor agreements with 152 other municipal unions, obtaining anticipated health insurance savings and closing future budget gaps, DiNapoli said in a
According to DiNapoli, the nine-year teachers' deal removes the largest budgetary uncertainty.
"The agreement between Mayor [Bill de Blasio] and the United Federation of Teachers lifts a cloud that has hung over the city's finances for years," he said. "While New York City's economy continues to grow at a solid pace, the city should continue to replenish reserves and begin taking steps to narrow the budget gaps in the coming years."
The city's financial plan forecasts a surplus of $1.6 billion in fiscal 2014, which will be used to help balance the $73.9 billion 2015 budget, and out-year budget gaps of $2.6 billion, $1.9 billion and $3.1 billion in fiscal 2016 through 2018, respectively.
DiNapoli said that while these gaps exceed city projections from February, they are significantly smaller than the historical average over the past 34 years when measured as a share of city revenue.
