deblasio-cropped DeBlasio: “NYC is making targeted investments to strengthen the economy, ensure we stay on course.”

NEW YORK CITY—Mayor Bill de Blasio has presented the preliminary budget for Fiscal Year 2018 and it comes in at $84.67 billion. Several corners of the industry weighed in on the figure.

The budget, according to the Mayor’s office, “maintains reserves at unprecedented highs and continues to build on the Citywide Savings Program with another $1.1 billion in savings and a goal of $500 million more in the FY18 Executive Budget. It makes targeted investments, such as $571 million in capital funds to ensure a state of good repair on our bridges through FY25.

“New York City is making targeted investments to strengthen the economy, ensure we stay on course and benefit New Yorkers across the five boroughs. Capital investments help drive the city’s impressive record on jobs, as well.  We are also forecasting some improvement in tax revenue growth in FY18. While tax revenue is expected to slow to 2.4 percent in FY17, we anticipate modest improvement to 3.9 percent in FY18.”

“The General Reserve is at $1 billion in FY18 and every year of the financial plan, compared to the traditional $300 million; the Retiree Health Benefits Trust Fund is at $4 billion, $3.3 billion the result of this Administration; the Capital Stabilization Reserve that was established under this Administration in FY16 has been modified to include $250 million in every year of the four-year plan, compared to the one-time $500 million previously established.

“The Administration is also managing out-year gaps and continuing to find savings across City government. As of the Preliminary Budget, agency and debt savings will reduce expenses by $1.1 billion in FY17-18. This is in addition to the $1 billion found in the FY17 November Plan and with more to come in the Executive Budget this spring.”

The New York Building Congress felt emboldened by the budget. “Mayor de Blasio’s preliminary budget ensures the basic building blocks of a thriving economy and enhances the quality of life for residents across the five boroughs, bringing better schools, more affordable housing, and improved safety measures,” says Carlo A. Scissura, president and CEO. “The strategic investments in infrastructure, including the completion of all aspects of the third water tunnel, repair of city bridges, and repaving of roads, will have incredible long-term impacts. We look forward to working with the Mayor and his team to implement his bold vision for the future of New York City.”

However, real estate industry veteran and Mayoral candidate Paul Massey expressed disapproval . “No amount of public spending can compensate for a mayor with poor management skills and a complete lack of vision. This mayor pours the people’s money down the drain like it’s wastewater, then asks for more of it.”

Continues Massey, president of investment sales at Cushman & Wakefield. “Mayor de Blasio is spending at record levels, yet homelessness grows worse by the day; our schools continue to fail, and our infrastructure crumbles. The only ones really profiting from the multi-billion-dollar increases over the past three years are Bill de Blasio’s pay-to-play political cronies, now under federal and state corruption investigation—the Park Avenue lawyers being paid 10 million bucks to defend the Mayor in those cases—and the luxury hotel owners housing homeless families because shelters are too dangerous and not enough affordable housing has come online. This is a failed mayoralty and money isn’t going to fix it.”