NYCC PV CH CHA 170525 102048
Channel: NYC Council Videos (unofficial)
Date: 2017-05-28

See https://drive.google.com/file/d/0B4kVXCx5C8SNbUR0ZnZINHVjQW8/view?usp=sharing

Introduction and Overview

On May 25, 2017, the New York City Council (Council) will conclude its public hearings on the Fiscal
2018 Executive Budget proposed by Mayor Bill de Blasio. This hearing will offer the members of the
Council a final opportunity to publicly scrutinize the budgetary priorities and fiscal planning of the
de Blasio Administration. The Director of the Office of Management and Budget (OMB), Dean
Fuleihan, will testify for a second time before the Council regarding the Executive Budget, Capital
Plan and Ten-Year Capital Strategy. Director Fuleihan first testified at the Committee on Finance's
hearing on May 4, 2017, and the Committee focused its review on the City's budget structure, capital
planning, savings and the City's reserves, as well as the Council's and the Administration's
programmatic priorities. The Council also highlighted the continuing threat to essential programs
and services posed by President Donald Trump and the federal government. Following this hearing,
twenty-seven Council Committees heard approximately 100 hours of testimony from over thirty
agencies regarding their operations and priorities, including the extent to which they were addressed
in the Fiscal 2018 Executive Budget.

The Council expressed its vision and priorities for New York City's budget in its Response to the
Preliminary Fiscal 2018 Budget, released on April 3, 2017. The Response's 63 recommendations
focused on strengthening our communities in uncertain times. The Council advocated for a budget
that recognized the risks posed by the new situation in Washington through budgeting responsibly
and prudently, while also protecting and investing in those New Yorkers whose well-being is
threatened by the policies of the President and Congress.

The Mayor incorporated several Council recommendations in the Executive Budget, including
providing air conditioners in all public school classrooms, scuttling a proposal to construct a new jail
facility on Rikers Island, enhancing support for immigrant services, repairing facades at 150 New
York City Housing Authority buildings, funding the construction and renovation of animal care
centers, reducing excess capital appropriations, and supporting Administrative for Children's
Services Child Protection Supervisors and improving the preventive services referral process.

Despite the inclusion of these items, the Council does not believe the Executive Budget as it currently
stands properly reflects both the Mayor and the Council's vision for the budget. Council Members
articulated numerous concerns throughout the Executive Budget hearings about inefficient capital
planning, lack of budgetary transparency, and the omission of funding for key proposals. Several
Commissioners testified about programs and priorities that they would like to have funded in the
Fiscal 2018 Adopted Budget. The Council's final hearing on the Fiscal 2018 Executive Budget will
stress those areas from which the Council seeks improvement and greater transparency as it
negotiates the final budget.

One of the Council's primary issues continues to be the need to reform the City's capital planning and
management process. The Capital Commitment Plan for Fiscal 2017-2021 continues the longstanding
misalignment of planned capital commitments and agencies' ability to execute capital projects. Year
after year, the City's actual commitments fall far below the level of planned commitments. Therefore,
unspent capital funds are rolled into the subsequent fiscal year. This limits transparency and reduces
the ability to exercise effective oversight over these projects. While the Council sought a more
accurate planning timeline in the Executive Capital Commitment Plan, the Administration instead
added $4.6 billion in planned commitments to the Fiscal 2018 Executive Plan. Throughout the
Executive Budget hearings, many agencies were unable to explain how they would implement
planned capital projects. Furthermore, Council Members continued to express frustration about the
slow pace and cost overruns of capital projects administered by agencies such as the Department of
Design and Construction and the Department of Parks and Recreation.