|Contact:||Sunny Mindel/Curt Ritter (212) 788-2958|
Mayor Rudolph W. Giuliani today announced an agreement with City Council Speaker Peter Vallone and City Council Members to adopt a $37.6 billion Fiscal Year 2001 (FY01) budget. The budget cuts taxes by $418 million to continue the stimulation of record private sector job growth and economic development; increases spending in targeted areas while reducing spending year-to-year by 3.1%; and provides funds to reduce the City's out-year gaps.
"I want to thank Speaker Vallone and the City Council for achieving this budget accord," said Mayor Giuliani. "The Speaker's leadership during budget negotiations has allowed the City to develop another fiscally disciplined budget, which over the last six years has turned New York City around.
"As I proposed in the Executive Budget, this adopted budget will invest additional revenues to reduce out-year gaps and increase spending for education, public safety and quality of life initiatives while keeping City spending under the rate of inflation," the Mayor continued. "Today New York City is a better place to live. Our City's economy is stronger than it has been in decades. Our streets are safer and cleaner than they have been in a generation, and in 1999 New York City had its strongest private sector job growth in more than 40 years. And with its welfare rolls cut nearly in half since 1995, New Yorkers are more optimistic about the future of their City than they have been in many years.
"This budget reflects our commitment to improving the quality of life for all New Yorkers. It's an investment in the City's fiscal health that will benefit all New Yorkers," the Mayor concluded.
AGENCY BUDGET HIGHLIGHTS
This budget demonstrates the City's commitment to continuing to improve the quality of life for all New Yorkers. Among the investments the Administration will make to ensure that New York City becomes an even better place to live, work and visit are:
Administration for Children's Services
Department for the Aging
Department of Health
Department of Homeless Services
Department of Mental Health
Taxi and Limousine Commission
Youth and Community Development
Board Of Education
This budget will continue to meet the educational needs of New York City's children by providing the Board of Education (BOE) $11 billion in funding - its largest level ever.
School Capital Initiative
Public Health Funding for Non-Public Schools
TAX REDUCTION PROGRAM
Since 1994, the Mayor has reduced taxes by $2.4 billion -- more than any administration in the history of the City. This Budget proposes a substantial new tax reduction program valued at $418 million in FY01, which will bring the Administration's tax reductions to more than $3.6 billion by 2004. The Mayor and City Council have agreed to a tax package that will include:
The program builds on the successful incentive plan for Lower Manhattan and targets Brooklyn's downtown and Fulton Ferry areas, Long Island City and the Fordham Road area of the Bronx as well as EDC's recently named High-Tech Districts (Brooklyn: Bush Technical Technology Campus, Silicon Harbor-Red Hook, Broadbend-DUMBO, Brooklyn Navy Yard; Manhattan: Upper Manhattan Technology District, 125th Street; Staten Island: Silicon Triangle, St. George; Queens: Long Island City High Technology; and the Bronx: The Bronx Smart District, South Bronx)
Industrial and manufacturing tenants can qualify for abatements of real property taxes and enhancements to the Industrial and Commercial Incentive Program (ICIP) as well as an increase in the Relocation Employment Assistance Program (REAP), which was established in 1987 to encourage firms south of 96th Street in Manhattan to expand their businesses in other parts of the City. The credit will be increased from $1,000 to $3,000 per employee for qualified firms and can be claimed for 12 years.
Additional capital resources have been made available to the following