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Joint Statement By Mayor Bill de Blasio And Comptroller Scott M. Stringer On Accounting Treatment Of The City's Labor Reserve

May 12, 2014

“The Executive Budget includes funding for labor reserves associated with the recently agreed upon United Federation of Teachers contract. The accounting treatment for some aspects of expenditures associated with the agreement is subject to varying opinions by expert accountants. In order to ensure that the city’s financial accounting reflects a preferred approach, the Mayor and Comptroller have agreed that certain expenses now shown over the four-year plan will be presented as Fiscal Year 2014 costs.

“This adjustment has no impact on the total cost of the agreement, since the majority of these expenses were already shown in the plan, but it does affect the timing of the booking of these expenses. Under the revised approach, to be reflected at budget adoption this June, payments that would be made to those UFT members who may retire after July 1, 2014 will be shown as Fiscal Year 2014 expenses, rather than being shown in the year in which they were expected to retire.”

At 3 p.m., members of the administration and the Comptroller’s Office will hold a background briefing via tele-conference for interested reporters. Please RSVP to pressoffice@cityhall.nyc.gov for call-in information.

Media Contact

Amy Spitalnick, spitalnicka@omb.nyc.gov
(212) 788-2958

Media Contact

Eric Sumberg, esumberg@comptroller.nyc.gov
(212) 669-3535