On Tuesday, State Comptroller Tom DiNapoli released his annual review of the state’s financial plan. He said that the state’s short-term fiscal outlook is good, but that the state continues to use “one-shots and temporary fixes” instead of long-term structural changes.
The Comptroller’s analysis finds:
“There’s no doubt New York is in a better budget position now than it was a short time ago. While the state is in a reasonably good cash position right now, some of that is a result of temporary measures.”
He also noted that the state’s Enacted Budget Financial Plan shows a $2 billion budget shortfall in the state’s 2014-15 fiscal year, and projects even larger deficits in 2015-16 and 2016-17.
We’ve argued in the past that the state needs to better manage its limited tax revenues. Reducing spending is the obvious first step, and avoiding the use of “one shot” revenue sources is another good option.
We agree with the Comptroller’s assessment – the state is in a much better place than it was just a few years ago. But we still have much, much more work to do in order to reach true fiscal stability in terms of state government. And then can we talk about actually reducing our tax burden…