DiNapoli: Local Governments Feeling A Fiscal Squeeze

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Many local governments are struggling to keep up with growing costs as revenues decline, a report Friday from Comptroller Thomas DiNapoli said.

From 2006 through 2011, expenditures for the state’s nearly 4,000 local governments grew by 17.4 percent, while revenues increased 15 percent, the report said.

The disparity has meant that local governments have burned through reserves and cut programs and staff to balance their books, he said.

“For the past five years, the financial trends in our municipalities and school districts have become of heightened concern,” said DiNapoli in a statement.

Local governments have long warned about their troubled fiscal picture. Counties, cities and towns said that unfunded state-mandated programs and stagnant revenue from property and sales taxes are crippling them.

Expenses for the 57 counties outside New York City will outpace revenue by $4 billion over the next decade, the state Association of Counties estimated in an October report. The group, along with other local leaders, has called for mandate relief from the state Legislature and Gov. Andrew Cuomo.

“The negative outlook expressed by the state’s chief auditor ought to be of serious concern to state leaders,” said Stephen Acquario, the group’s executive director.
“NYSAC, on behalf of the state’s 62 counties, again calls upon the state to provide immediate and measurable mandate relief to avoid a local fiscal cliff.”

DiNapoli announced in September he would launch in January an early warning fiscal stress monitoring system to help local governments identify their fiscal risks.

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4 Comments

  1. More proof why New York Needs FRACKING and all the good paying jobs that go with it.

    Approve Fracking and lets start creating those good paying jobs and the added revenue we need.

    Before there was the “Oracle of Delphi” there was Count Vampire J. Machiavelli

    VJ Machiavelli
    http://www.VJMachiavelli.blogspot.com
    Power to the People who “VOTE”

  2. Need more than a fiscal stress monitor in mt v, need someone outside to step in and take over the cities money. Time for outside auditors. Time to get rid of davis (again!!!!). time to throw out the dinosaurs on the city council. time to find what the comptrollers hiding. time to find out whose pockets being lined on state level.

  3. Thanks to Washington and Albany and local leftist leaderships, there will eventually be no NY suburbia, only little Detroits surrounding larger Detroits with the teachers’ unions and the police and fire unions purchasing bankrupt villages via bankruptcy proceedings.

  4. So the lousy mt vernon budget passes all of sudden. guess they don’t want anyone coming in to find out where the moneys is and where its going. or maybe the great gov is getting something for himself out of it too.