Today, Mayor Zohran Mamdani released the Fiscal Year (FY) 2027 Preliminary Budget, outlining the scope of a fiscal crisis inherited from the prior Administration and presenting two clear paths forward: raise revenue from the wealthiest New Yorkers and most profitable corporations and end the drain of City resources to the State — or balance the budget on the backs of working and middle class New Yorkers.

“There are two paths to bridge the city’s inherited budget gap. The first path is the most sustainable and fairest: raising taxes on the wealthiest and corporations, and ending the drain by fixing the imbalance between what the City provides the State and what we receive in return,” said Mayor Zohran Mamdani. “If we do not go down the first path, the City will be forced to go down a second, more harmful path of property taxes and raiding our reserves — weakening our long-term fiscal footing and placing the onus for resolving this crisis on the backs of working and middle-class New Yorkers. We do not want to have to turn to such drastic measures to balance our budget. But, faced with no other choice, we will be forced to.”

Upon taking office, the Mamdani Administration identified a pattern of underbudgeted essential services, including rental assistance, shelter operations and special education — that widened projected gaps stated in the November 2025 Financial Plan Update to roughly $12 billion across FY 2026 and FY 2027. To restore transparency and stability, the Mamdani Administration launched aggressive new savings initiatives, maximized the use of in-year reserves and incorporated updated revenues. Through Executive Order 12, Mayor Mamdani is requiring every city agency to designate a Chief Savings Officer (CSO) to identify recurring efficiencies. These savings initiatives are projected to save $1.77 billion across the two fiscal…