CBC’s new blog unpacking the FY 2024 Executive NYPD Budget, Not Undercover: The NYC Fiscal Year 2024 Executive Budget for the NYPD, finds that the $10.8 billion allocated to the NYPD for fiscal year 2024 (including the agency operating budget and centrally allocated costs) is likely $1.6 billion less than is needed to fund recent collective bargaining agreements and overtime, which once again is significantly underbudgeted given past spending.

CBC also finds:

• The City-funded NYPD budget stays flat between fiscal years 2023 and 2024, with a $225 million decline in the agency operating budget offset by a $226 million increase in centrally allocated fringe benefit, debts service and other costs; 
• The budget understates spending in fiscal year 2023 and beyond because it does not yet include the costs of the recently ratified collective bargaining agreement with the Police Benevolent Association (PBA) and underbudgets overtime costs;
  • In the adopted budget, the City will transfer funds from the central labor reserve to cover the PBA contract costs, including substantial retroactive payments covering fiscal years 2018 to 2023 of approximately $2.3 billion—$1.4 billion for wages and $900 million for fringe benefits and pensions; and
  • The NYPD’s fiscal year 2023 overtime budget is currently $250 million below projected spending. CBC projects the NYPD will spend $817 million on overtime this year, 80 percent higher than the adopted budget;
• CBC projects the fiscal year 2024 budget is short about $1.6 billion;
  • The PBA agreement is estimated to cost $900 million in fiscal year 2024, with $550 million for wages and $350 million for fringe benefits and pensions;
  • Extending that pattern to the remaining uniformed force would cost approximately $300 million in fiscal year 2024; and
  • The fiscal year 2024 overtime budget is $452 million, likely around $350 million too low based on spending in recent years; however, this may be understated as the increase in wages will further drive-up overtime spending unless there is a reduction in overtime hours worked;
• The NYPD's Executive Budget Program to Eliminate the Gap (PEG) is 3.7 percent of City-funded spending, slightly below the City’s requested 4 percent target. The three largest initiatives are:
  • $100 million annually from re-estimated spending on uniformed personnel compensation;
  • $39 million annually in fiscal years 2024 to 2026 from a delay in hiring uniformed personnel; and
  • $30 million additional annual revenue from an increase in parking summons issued;
• Due to the hiring delay, the number of on-board uniformed staff is expected to stay at 34,000 in fiscal year 2024, gradually increasing to the authorized level of 35,001 by fiscal year 2027.