IBO RELEASES FIRST USER-FRIENDLY REVIEW OF CITY'S CAPITAL BUDGET
$25 BILLION PLAN WOULD FUND BROAD ARRAY OF CITY INFRASTRUCTURE NEEDS
The Independent Budget Office (IBO) today released its Analysis of the Mayor's Executive Budget Capital Plan for 2001-2004, the first comprehensive, user-friendly report on the city's capital spending plan. The report reviews the proposed $24.9 billion spending plan, which lays out the city's capital budget priorities for the next four fiscal years.
"The city has great capital needs and dedicates a tremendous amount of resources to address them," said Ronnie Lowenstein, IBO Deputy Director. "We have produced this report in an effort to demystify the capital budget for the general public."
Among the report's highlights are:
- The plan would increase capital commitments nearly 40%. The proposed four-year plan would increase capital commitments by 38.7 percent over the projected 1997-2000 total. Despite this increase, the plan falls fall far short of the needs identified by the City Comptroller in his 1998 report, Dilemma of the Millenium.
- Spending would be concentrated in 3 major areas. Spending for environmental protection, education, and transportation would account for two-thirds of proposed capital spending, or $16.7 billion over the 4 years.
- The FY 2000 capital plan defers spending. Planned capital spending for the current fiscal year has been revised downward by 18 percent. A number of large projects have been deferred until future years, including upgrades to several wastewater treatment plants, transportation projects, funds for development of a new facility for the New York Stock Exchange, the Bronx Criminal Court, and the back-up 911 call center in lower Manhattan. In contrast, planned spending has increased for education, supportive housing, and the Queens Hospital Center, among other projects.
- The FY 2000 capital plan includes $600 million in City Council and Borough President allocations. The report shows how these funds are distributed by function. Most are devoted to cultural institutions parks, branch libraries, and economic development projects.
- Two major initiatives are funded by multiple agencies. The report provides consolidated information on the plans for Lincoln Center and Staten Island Stadium.
The IBO is an independent city agency whose mission is to provide non-partisan budgetary, economic and policy analysis for the residents of New York City, and to increase New Yorkers' understanding of and participation in the budget process.
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