The 1st lesson of Economics 101 is the rule of scarcity: An economy is faces with limited resources but unlimited wants and needs for these resources. But what happens when you have someone each year taking more and more of your resources? This is the dilemma New York City faces again.
The worst kept secret in state and city relations is we have given billions more to the State coffers than we receive back. We have essentially bailed out the entire state year after year. But now that we are in a recession and New York City is facing the brunt it, Albany has decided that there’s no better time to take more from us. In Governor Paterson’s latest budget, there are more than $700 million dollars in cuts for New York City.
Yesterday, Mayor Bloomberg gave his preliminary budget for Fiscal Year 2011 (July 1st, 2010 to June 30th, 2011). It was a sobering account of what New Yorkers must face given the hurting economy and Albany’s shameless practice of taking more and more from the city.
Here are only some of the cuts New Yorkers will have to face:
- Proposed New York City Budget would be $63.6 billion.
- Teachers would receive a 2% raise on the first 70K of their salary (instead of the 4% original agreed on) or would 2,500 teachers would be laid off.
- Four pools will be closed and “pool season” is shortened by 2 weeks.
- A 24-hr Drop-In Homeless Center would be closed.
- 20 fire companies would be eliminated.
- 32 more schools would be without nurses
- The staff at the Administration for Children’s Services would need to take on greater caseloads.
- 934 layoffs would need to take place and more than 3,300 jobs lost through attrition would not be replaced (police, fire, sanitation and corrections would be exempt)