New York Faces $2.3 Billion Budget Shortfall

The announcement came after Cuomo announced a $175 billion spending proposal for 2020 last month.

The Washington Free Beacon reports:

New York faces a $2.3 billion shortfall in revenue after December and January witnessed a steep drop in income tax collections, Gov. Andrew Cuomo (D.) and state Comptroller Tom DiNapoli announced on Monday. The announcement came after Cuomo announced a $175 billion spending proposal for 2020 last month.

Cuomo blamed the loss of revenue on the federal government, the Times Union reports. The governor suggested the rollback of the state and local tax deduction, known as SALT, contributed to the shortfall and was part of an effort to punish Democratic "high-tax" states.

...

DiNapoli also pointed to reports of people leaving the state and volatility on Wall Street as factors contributing to the shortfall.

Long Island-based economic analyst Marty Cantor disagreed with Cuomo's explanation for the deficit.

"The problems here are caused by the governor and his administration," Cantor said. "It's too expensive to live on Long Island and in New York state. Taxes are too high, people are leaving. It has nothing to do with Trump."

New York has the second highest combined state and local tax rate for high-income earners, and nearly half of the state's income tax revenue comes from the top 1 percent.

DiNapoli and Cuomo did not say if they would increase taxes to address the shortfall.

Previously: 

1 year, 10 months ago

Governors in Iowa, North Dakota and Alabama join GOP colleagues in banning TikTok for state employees

The Republican governors of three more states have joined the growing number of GOP governors who are banning TikTok among state government employees amid security concerns about the Chinese-owned social media platform

1 year, 10 months ago

Arizona Governor Creates Shipping Container Border Wall

Arizona Governor Doug Ducey has had hundreds of double-stacked shipping containers topped with razor wire placed on the state’s border with Mexico

1 year, 11 months ago

Stacey Abrams’s Georgia Nonprofit Could Face Criminal Investigations for Unlicensed Fundraising

New Georgia Project's charity license has lapsed in at least nine states

1 year, 11 months ago

Biden says ‘more important things’ than border visit, despite 59 trips to Delaware, 8 stops for ice cream

Biden has yet to visit southern border despite historic crisis under his watch

1 year, 11 months ago

Governor Kristi Noem delivers annual Budget Address, says the state can afford grocery tax cut

In about thirty minutes of remarks, Governor Kristi Noem laid out her administration would like to see nearly $2.2 billion spent over the course of the next fiscal year and a half.

1 year, 11 months ago

‘A Clear And Present Danger To Its Users:’ South Carolina Gov. Bans State Employees From Using TikTok Amid National Security Concerns

South Carolina became the second state in the union Monday to permanently ban state employees’ electronic devices from using TikTok amid federal officials sounding the alarm that the Chinese-based social media app threatens national security