Press Mention

From 'The sky is falling!' to 'No worries': How a state deficit goes away

The Buffalo News

April 07, 2018

When officials in late fall started to put all the pieces of a new state budget together for Gov. Andrew M. Cuomo to present in January, the gloomy talk started coming out of the Capitol’s first floor where his budget staff is based.

The state, officials warned, faced a looming $4.4 billion deficit. Put in perspective, that’s almost what is spent each year on New York’s sprawling judiciary and prisons systems.

In the final budget enacted March 31, officials say the deficit was completely wiped out.

David Friedfel, director of state studies at the Citizens Budget Commission, a private group that monitors state financial matters, noted the see-saw effect on the deficit number as various spending and revenue-raising actions took place during budget talks.

The deficit was reduced, he noted, also by the state banking on $577 million in legal monetary settlements with companies on various matters. Some of that went to the general fund, some went to New York City to help with its declining subway system.

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