Republicans and Democrats agree that NY continues to approach a “fiscal cliff”
A weekly COLUMN by NY State Senator Tom O’Mara,
Turns out, I’m not the only one raising alarms about the out-of-control, reckless spending that has become the hallmark of New York State government under all-Democrat, one-party control since 2019.
Turns out, I’m not the only one left believing that this year’s final state budget, totaling an astonishing $277 billion, was forced through and enacted under a process that’s broken and that leaves most legislators and especially the public at large still not knowing everything that’s in it.
Turns out, I’m not the only one warning that spending under all-Democrat control in this state since fiscal year 2018-2019 has increased by 65%, over $108 billion. That’s twice the rate of inflation and it shows no signs of stopping.
In other words, don’t just take my word for it.
New York State Comptroller Thomas DiNapoli had this to say last week upon releasing a report on the newly enacted, 2026-27 state budget and financial plan, “While state spending has increased to fund critical programs, most notably healthcare, education and childcare, total reserves have remained flat, which could put these investments at risk in the future. Major national and international developments risk affecting New York’s economy, with downstream impacts on tax revenues and fiscal stability.”
From the comptroller’s latest analysis: “(NYS Division of Budget) projects cumulative outyear budget gaps have increased since January and are now projected to total $31.7 billion (by 2030). Despite this growth, no increases were made to the State’s total reserves. In fact, the State is anticipating drawing down $1.3 billion in General Fund balance by the end of SFY 2027 to help balance the budget. Growing out-year budget gaps combined with stagnant reserves could put essential State investments at risk in the future…These risks highlight the importance of bolstering the State’s rainy-day reserves whenever feasible and addressing the State’s structural budget imbalance.”
The comptroller also set his sights on state debt, for which taxpayers are also on the hook, and which is projected to soar by 64% over the next five years, rising from $60.3 billion to $98.8 billion.
You can read the comptroller’s full analysis and report on the Office of the State Comptroller’s website at: https://www.osc.ny.gov/press/releases/2026/07/dinapoli-releases-report-sfy-2027-enacted-state-budget-and-financial-plan
Another prominent fiscal watchdog, the Citizens Budget Commission (CBC), has issued a similar critique of New York’s spending, fiscal practices, and escalating debt.
According to the CBC, “What’s crystal clear is that despite very strong revenues, the State squandered the opportunity to stabilize its fiscal future. It kept its rainy-day reserves virtually flat, even amid mixed economic currents. It layered billions of dollars of spending on top of a base it already could not sustain… Over the past decade, State spending has grown $40.6 billion higher than inflation.”
The CBC also weighed in on a concern that I repeatedly stressed throughout debates on the Senate floor during this year’s budget adoption process: That the process keeps the public, as well as individual lawmakers, in the dark on what’s being negotiated behind closed doors by the governor and legislative leaders, with no opportunity to provide badly needed input on these spending decisions that impact, more than anything else coming out of Albany, the lives of everyday New Yorkers.
From the CBC, “While publishing the financial plan two weeks after the budget was enacted is an improvement over the usual 30 days, it still fails the test of providing New Yorkers a clear picture of how their money is being spent when the decisions are being made. We continue to urge the Governor to release basic fiscal plan tables alongside the enacted budget—both because the people deserve them, and because they will help lawmakers make smart, future-looking decisions.”
I’ll say it again: There’s been nothing smart about New York State’s fiscal practices under one-party control. It has left taxpayers facing a fiscal cliff.
There’s been nothing ‘future-looking’ coming out of Albany. Except that the future isn’t looking so bright.
This fiscal recklessness jeopardizes the future of individual New Yorkers and their families, as well as the future strength of this state as a whole. It ignores the economic and fiscal storm clouds on the horizon.
