En esta noticia
Mayor Zohran Mamdani presented the executive budget for fiscal year 2027: $124.7 billion that fully closes the deficit inherited from the previous administration without increasing property taxes or reducing social services. New York City is once again spending less than it takes in.
The $12 billion deficit was described by Comptroller Mark Levine as the largest fiscal gap since the Great Recession. To close it, Mamdani combined a mandatory savings program across all municipal agencies, new state revenue, and an unprecedented tax on luxury second homes.
How does he plan to close the deficit without affecting New Yorkers’ wallets?
The plan has three pillars. First, every municipal agency will have to identify and eliminate unnecessary spending, and the government will not cover vacant positions in the public sector. With those two measures, the city projects savings of $1.77 billion over two years.
Second, New York will apply, for the first time, a tax on those who own a luxury second home in the city without living in it. Properties valued at more than $5 million will pay between 0.5% and 4% annually, which would generate $500 million per year.
Third, Governor Kathy Hochul committed nearly $8 billion in state aid over two years, a key contribution to balancing the books.
How would this budget protect immigrants?
The plan more than doubles funding for immigrant legal aid, with a projected investment of $32.9 million. That money would be used to help families facing deportation proceedings access a free lawyer before appearing in federal court.
In addition to legal aid, the budget includes other investments that would directly benefit immigrant communities:
- Community safety: $40.9 million for an office dedicated to protecting vulnerable neighborhoods
- Hate crime prevention: $26 million annually for an office specialized in that type of crime
What other services would be protected?
The budget would not cut the social programs most used by low-income families. The main investments include:
- Free childcare for two-year-old children for the first time in New York’s history: $1.2 billion together with the state
- Childcare vouchers for low-income families: $33 million
- Promise NYC expanded, the program that guarantees affordable childcare for immigrant families
- Housing: more than $22 billion over five years, including $5.6 billion to repair and rehabilitate public housing
The City Council has until June 30 to approve the final budget.