Council plan identifies $6.15 billion in newly available resources to reverse destabilizing budget decisions, address underbudgeted liabilities, protect against fiscal cliff, and boost reserves

City Hall, NY – New York City Council Speaker Adrienne Adams, Finance Committee Chair Justin Brannan, Deputy Speaker Diana Ayala, and Council Members unveiled the Council’s Fiscal Year 2025 Preliminary Budget Response that proposes a balanced and responsible budget to provide stability for the city. The response identifies $6.15 billion in newly available resources through Fiscal Year 2025 to help reverse recent budget decisions that have been destabilizing, address underbudgeting in the Mayor’s Preliminary Budget, account for expiring federal stimulus funds, and strengthen the city’s budget reserves and surplus.

The Council’s budget outlines $1.63 billion for the restoration of funding for 3-K, public schools, and support for students, as well as cultural institutions, libraries (including 7-day service), parks, sanitation services, and other key services cut by the Administration. It targets investments of $1.32 billion in capital funding for affordable housing, over $225 million for mental health services, nearly $60 million for programs that reduce recidivism, and other programs that address major challenges in the city but have been insufficiently funded. At the same time, the Council budget sets aside nearly half ($3 billion) of the additional resources to protect against risks from underbudgeted costs in the mayor’s proposed budget and dedicates $500 million to the Rainy Day Fund reserves, while leaving an over $1 billion surplus to address other fiscal issues.

The full Fiscal Year 2025 Preliminary Budget Response is available here.

“The City has the resources to protect essential investments into New Yorkers while safeguarding our fiscal health, and prioritizing both goals is the path to a safer, healthier, and more stable city,” said Speaker Adrienne Adams. “The Council’s FY25 Preliminary Budget Response presents a balanced, thoughtful approach that responsibly prioritizes the greatest needs of our city and constituents. The Council’s proposed investments in housing, 3K, Pre-K, and our schools, proven mental health solutions, programs to reduce recidivism, cultural institutions, libraries, and other vital services are the pathway to improving our city’s stability. Throughout this year’s budget process and beyond, the Council will continue to champion the needs of all New Yorkers to chart a path towards stability, health, and success for our city.”

“Against all odds, New York City’s post-COVID economy has proven to be durable and resilient,” said Council Member Justin Brannan, Chair of the Committee on Finance. “We maintain that the Administration’s blunt cuts were never necessary in the first place, and we will be fighting for and expecting to see full restorations across the board from 3K to CUNY, our libraries, cultural organizations, and everything in between. Hardworking New Yorkers deserve nothing less. The priorities outlined in our budget response today were born from weeks of preliminary oversight hearings, hours upon hours of budget team meetings, and in consultation with all 51 members. Everything in this budget response is something the Council believes is worth fighting for.”

The balanced approach in the Council’s Preliminary Budget Response recognizes the risks to the budget from expiring federal stimulus dollars and the City remaining in the nascent stages of economic recovery. The $6.15 billion in available resources identified allows for both the reversal of the Administration’s most harmful cuts to key programs and services, while setting aside significant resources to offset impending risks. The source of these additional funds is the $3.35 billion in greater tax revenues estimated by the Council for Fiscal Years 2024 and 2025 than recognized by the Mayor’s Office of Management and Budget, combined with $2.25 billion in potential underspending and $550 million of in-year reserves.

The proposals in the Council’s budget response reflect the City’s needs and New Yorkers’ priorities. The response calls for investment in specific programs and priorities that will help ensure that the city continues to support all New Yorkers. These include:

  • Laying A Strong Foundation of Housing for New Yorkers and Families – $1.32 Billion in Capital Funding and $56.7 Million in Expense Funding
  • Prioritizing Continued Access to Education and Learning – $483.1 Million in Capital Funding and $860 Million in Expense Funding
  • Advancing A Healthy and Safe City – $4.2 Million in Capital Funding and $125.8 Million in Expense Funding
  • Enhancing Institutional Pillars of NYC – $200 Million in Capital Funding and $222.7 Million in Expense Funding
  • Strengthening Opportunity and Services – $451.5 Million in Capital Funding and $361.7 Million in Expense Funding

Laying A Strong Foundation of Housing for New Yorkers and Families – Capital Funding: $1.32 Billion and Expense Funding: $56.7 Million

  • Investing in Affordable Housing – The Council calls upon the Administration to increase capital spending on affordable housing by $3.66 billion over the next five years, including a $732 million annual increase in capital funding for affordable housing and homeownership.
  • Prioritizing Maintenance Repairs for NYCHA – The Council also urges the Administration to increase capital commitments for NYCHA by $584 million in FY25 to address critical maintenance repairs.

Prioritizing Continued Access to Education and Learning – Capital Funding: $483.1 Million and Expense Funding: $860 Million

  • Replacing Expiring Federal Stimulus Funds – The Council calls for approximately $550 million in city funding to replace expiring federal COVID stimulus funds that have supported vital school and student support programs, like community schools, pre-school special education, restorative justice, mental health services, and support for students living in temporary housing.
  • Supporting Early Childhood Education – The Council calls for $361 million for early childhood education, including $170 million to restore cuts to 3-K, $96 million to replace expiring federal stimulus funds for preschool special education, $60 million to provide additional extended day, extended year seats, $25 million for Promise NYC, and $10 million in new funding for 3-K marketing and outreach.
  • Restoring School Food Programs– The Council calls for an additional $60 million for the school food program, including $17 million to restore cafeteria staff headcounts to pre-pandemic levels and at least $3 million to fund nutrition committees in schools.
  • Placing a Certified Arts Teacher in Every School – The Council calls on the Administration to enhance and baseline the budget for arts education by $38 million, which would allow for a certified arts teacher to be placed in every remaining school that currently does not have one.
  • Supporting Learning to Work – The Council calls for $33 million in funding to support the Learning to Work program and continue reengaging older youth in completing their high school education and matching them with workforce opportunities. 
  • Restoring CUNY Funding – The Council calls on the Administration to restore $40 million in cuts to CUNY’s budget that were initiated in the Mayor’s November and Preliminary Plans. The Council also calls for over $25 million in restorations and enhancements to several CUNY related programs, like CUNY Reconnect, ACE and ASAP.

Advancing a Healthy and Safe City – Capital Funding: $4.2 Million and Expense Funding: $125.8 Million

  • Restoring and Enhancing Recidivism Reduction Programs – The Council calls on the Administration to reverse cuts to the Mayor’s Office of Criminal Justice (MOCJ) by restoring $27.8 million in Fiscal 2025 for Alternatives to Incarceration ($6.7M), supervised release ($13M) and re-entry ($8M) programming that is essential to public safety and reducing recidivism. Additionally, the Council calls on the Administration to provide nearly $9M in additional funding for mental health courts and diversion programs for District Attorneys, along with an additional $7 million to increase the Forensic Assertive Community Treatment (FACT) team budget by nearly 50 percent.
  • Investing in Housing for Justice Involved Individuals – The Council calls on the Administration to allocate an additional $6.4 million for Justice Involved Supportive Housing to fulfill the City’s previous commitment to provide 500 supportive housing units for individuals leaving Rikers.
  • Expanding Victim Services – The Council calls for a baselined $7.2 million to triple the current funding for trauma recovery centers that support underserved victims of crime and help stop cycles of violence. The Council also urges the Administration to increase baseline funding for housing stability microgrants for domestic violence impacted individuals with an additional $4.8 million, bringing the baseline funding up to $6 million starting in Fiscal 2025.
  • Investing in Postpartum Care Services – The Council calls on the Administration to allocate $5 million to each H+H hospital for a maternal health-focused psychologist, an additional $5 million in the Nurse Family Partnership program, and $500,000 in the Fiscal 2025 Budget to enhance the Maternal and Child Health Services initiative and increase the scope of services.

Enhancing Institutional Pillars of NYC – Capital Funding: $200 Million and Expense Funding: $222.7 Million

  • Restoring and Baselining Cultural Funding – The Council calls $55.5 million to restore and baseline the $40 million allocated in FY24 for the Department of Cultural Affairs and restore the $15.5M that was cut in the November and January PEGs. 
  • Restoring Funding and Baselining Library Funding – The Council proposes to restore 7-day service at the city’s library systems by allocating an additional $58.3 million which would cover the $22.1 million November cut to their budgets, FY24’s one-time funding of $20.5 million and the Council’s discretionary funding subsidy of $15.7 million.  
  • Restoring the Parks Dept. Headcount and Services – As part of the November and Preliminary Plan PEGs, several critical Parks Department neighborhood services were reduced alongside their budgeted headcount. The Council calls for $59.7 million to fully restore these cuts and provide additional programming to advance the health and safety of New Yorkers, such as access to swim lessons and programs.
  • Restoring Sanitation and Community Composting Cuts – The Council calls on the Administration to provide baseline funding of $22 million annually to maintain the same level of litter basket service in each district throughout the five boroughs. Additionally, the Council urges the Administration to support community composting by fully restoring and baselining $7.1 million for these programs and extending GrowNYC’s contract.

Strengthening Opportunity and Services – Capital Funding: $451.5 Million and Expense Funding: $361.7 Million

  • Restoring Funding for Shelter and Services for Homeless Youth – The Council calls for the Administration to fully restore and baseline $36.2 million to reinstate homeless shelter providers’ contract levels from cuts in the Fiscal Year 2024 budget. Additionally, the City should invest in restoring and enhancing services for runaway and homeless youth with an investment of more than $14 million for housing and peer navigators, as well as shelter beds.
  • Supporting Older Adult Services – The Council calls on the Administration to restore the nearly $16 million in PEGs for older adult centers. Additionally, the Council’s Response invests in increasing the baseline funding by $12.7 million annually for home delivered meals.
  • Restoring and Investing in IDNYC and Language Access Services – The Council calls on the City to restore the PEG savings for the IDNYC program that were included in the Fiscal 2023 Executive Plan for the IDNYC program, which totaled $3.4 million in Fiscal 2025 and $5.1 million in Fiscal 2026 and in the outyears. Additionally, the Council urges the Administration to restore and baseline $8.7 million for language services, starting in Fiscal 2025, and expanding these services. And the Council calls on the Administration to restore funding and allocate an additional $50 million for immigration legal services to enhance the program to meet the growing needs for these services.
  • Investing in Services for Low-Income New Yorkers – The Council calls for an additional $54.2 million to expand eligibility for Fair Fares to City residents with incomes up to 200 percent of FPL to provide affordable transit for more low-income individuals. Additionally, the Council urges the Administration to provide $5 million in new funding to support anti-poverty guaranteed income programs, and an additional $10 million to restore and baseline DYCD-funded adult literacy programs in Fiscal 2025.

“The Council’s response makes clear the investments that we must make so that all New Yorkers can afford to live and work in the city they love,” said Deputy Speaker Diana Ayala. “We want our families to stay in the city, and all New Yorkers to be equipped with the resources to pursue opportunity. To achieve this, we must make the right investments into New Yorkers, our city’s services and the pillars of our society – libraries, cultural institutions, and parks. This budget is an opportunity for our city to confront its challenges, and we cannot afford to fail our most vulnerable New Yorkers.”

“By crafting a balanced and responsible budget, the City Council exemplifies its unwavering commitment to the well-being and stability of our community through our Preliminary Budget Response,” said Majority Leader Amanda Farías. “This preliminary response underscores our dedication to prudent financial management, ensuring that every dollar is allocated wisely to uphold essential services and foster growth. Together, we stand firm in our resolve to navigate challenges effectively, safeguarding the prosperity and resilience of our beloved city.”

“Now more than ever, New Yorkers are demanding greater public safety on our streets and in our communities and affordability to access our transit system,” said Majority Whip Selvena N. Brooks-Powers. “This is why this Council has centered funding of critical resources such as increasing the income eligibility for Fair Fares and restoration of $3 million for Vision Zero education. The Council did not stop there, recognizing every corner of our city deserves access to strong healthcare, even some of the most geographically isolated corners like Far Rockaway. Calling for a new level 1 or 2 trauma facility will finally bring the Southeast Queens community into current times, where we’re seeing rapid population growth. I am proud this Council has laid out a budget focused on uplifting all New Yorkers and represents all of our best interest.”

“The City Council Preliminary Budget Response is prioritizing the vital investments we need in arts organizations, cultural institutions, and our public libraries – all of which are the heartbeat of New York City,” said Council Member Carlina Rivera. “Fully funding these institutions is essential for economic growth, the well-being of our communities, and provide a return on investment of over 99:1. At its most basic level, our response to cuts made in the past year is a clear call to restore funding for programs and services that enrich the lives of New Yorkers everywhere. I’m proud to join Speaker Adrienne Adams, Deputy Speaker Diana Ayala, and Finance Chair Justin Brannan in calling for a balanced budget that invests in every neighborhood.”

“The City Council has proposed a budget that is not only fiscally prudent but continues to fund programs and services that are critical to our working-class families and immigrant communities,” said Council Member Sandra Ung. “As we continue to move forward in our negotiations with City Hall, I am confident that we can strike a balance between ensuring New York City can meet its future responsibilities while continuing to support our shared priorities in the present. I want to thank Speaker Adrienne Adams for her steadfast leadership in fighting for the needs of everyday New Yorkers.”

“I thank the Speaker and the Finance staff of the City Council for presenting a budget that focuses on the needs of all New Yorkers, especially those who need extra assistance or deserve programs that enable them to raise a family in our city,” said Council Member Gale A. Brewer. “As Chair of the Committee on Oversight and Investigations, I am especially pleased that the agencies that have the responsibility of oversight – the Department of Investigation, the Civilian Complaint Review Board, and the Board of Correction – are included in the Preliminary Budget Response with the funding that they need to do their jobs. I also thank my colleagues for supporting more funding for food pantries, cultural institutions and programs, affordable housing, as well as many other initiatives.”

“With our preliminary budget response, we have outlined a longstanding vision, at the heart of which lies NYC Council’s core values of promoting inclusiveness and acceptance for all our constituents,” said Council Member Eric Dinowitz. “From fully funding CUNY schools, libraries, and public schools, to striving to make housing affordable, our mission of service to the community is clear. As Chair of the Higher Education Committee, I am especially proud that this vision is made clear within our school systems. Our students and children represent the next generations of our city, and it is our duty to ensure they grow up into a culture of diversity and solidarity. The budget nurtures this culture through initiatives that promote inclusiveness and address bias in both our public schools and college campuses.”

“New Yorkers deserve a budget that supports working families with great schools and preschool programs, with clean parks and open libraries, and with investments in our communities, not cuts to critical services,” said Council Member Shekar Krishnan. “I’m proud to stand with the City Council and Speaker Adams to tell the Mayor that we need a budget that works for the people of New York City, and not against them.”

“In this critical period, it is imperative that our focus must remain steadfast on strengthening our healthcare infrastructure and ensuring equitable access to quality care for all New Yorkers,” said Council Member Mercedes Narcisse. “We must advocate and support crucial initiatives such as maternal health psychologists, and funding for full-time school-based nurses. The Council’s budget response reflects this commitment, advocating for investments that strengthen our hospitals, safeguarding the well-being of our communities and providing equitable access to care.”

“As the City continues to recover from the COVID-19 pandemic, the Council’s Preliminary Budget response represents a robust investment in our City’s healthcare system by supporting increased access to public health programs in underserved areas, investing resources to increase the life expectancy of all New Yorkers and improve health outcomes, focus efforts on diabetes and other chronic  disease prevention,  and committing to a healthcare infrastructure that is accessible, affordable and equitable,” said Council Member Lynn Schulman. “Today’s response addresses the historic lack of preventive and primary care services, which were exacerbated by the COVID-19 pandemic, resulting in tragic illness and needless deaths.”

“This budget has seen significant cuts to essential services and it projects a dire view of the finances of our City, which many feel is unwarranted,” said Council Member Nantasha Williams. “The City Council is ready to make tough decisions through the lens of realism, not pessimism, about the continuing recovery of our City. We should not undermine our safety net due to the possibility of rough times ahead.”

“Despite the real economic pressures our city faces, Speaker Adams has not once wavered in her promise to fight for a budget that protects vital services from sweeping cuts and elevates the needs of our hard-working families over everything,” said Council Member Shaun Abreu. “I am proud to stand with her today to follow through on this promise. We cannot rollback the progress we have made on 3-K expansion, library services, housing security, sanitation, composting, and other critical resources that New Yorkers rely on.”

“In our pursuit of a city that uplifts every New Yorker, it’s imperative we rally behind a budget that allocates resources with justice and equity at its heart,” said Council Member Erik Bottcher. “The proposed budget response by the Council marks a crucial step forward in ensuring we do not turn our backs on the most vulnerable in our city. We must also meet our commitments to addressing the housing crisis, and the Council’s proposed investment would generate and preserve thousands of affordable housing units. Let’s commit to a budget that looks out for all New Yorkers, because no one should be left behind in the city we love and serve.”

“We applaud the Council for designating the Progressive Caucus’s campaign to invest $2B in affordable home ownership and tenant protections as a top priority for the FY25 Budget,” said Council Members Shahana Hanif, Sandy Nurse, Carmen De La Rosa, and Jennifer Gutiérrez, who lead the Council’s Progressive Caucus. “We encourage this Administration to take up the request and do everything in the City’s power to confront the housing and affordability crisis.”

“I stand with Speaker Adams and my fellow City Council colleagues in advocating for a responsible budget that prioritizes the needs of working-class New Yorkers while striving for a city that is truly equitable and inclusive for all. Collaboration is critical in our commitment to a sustainable future for New York City, and I am excited to work with my colleagues and the administration to prioritize new initiatives in the Council’s FY25 budget response,” said Council Member Farah N. Louis. “I look forward to advocating for the restoration of our library systems, funding for our cultural institutions, expanding access to comprehensive mental health services through the Mental Health Continuum, and prioritizing Maternal and Child Health Services in all communities. Our City’s infrastructure is also at stake in this budget, and I will ensure I fight for the impactful initiatives such as funding for kitchens in older adult centers, flood mitigation and restoration equipment to manage the impact of storms on our homeowners, and increasing investments in affordable housing and homeownership opportunities through the Neighborhood Pillars and Open Door, all contributing to the economic and cultural stability and viability of all New Yorkers in my district and citywide.”

“Despite some restorations, there are cuts to critical programs that will be devastating to communities if unaddressed,” said Council Member Julie Menin. “I thank Speaker Adams and the Council’s leadership team for laying a clear path forward for the City. This preliminary budget response ensures the priorities of New Yorkers are centered.”

“I am proud to stand with my colleagues in advocating for a budget that prioritizes equity in this city,” said Council Member Yusef Salaam. “It addresses our level of investment in the creation of more affordable housing and essential services such as mental health care.”