Like many states across the country, New York is struggling with a serious budget shortfall driven by declining revenues. Last week, Governor Paterson presented the legislature with a Deficit Reduction Plan to close what is now estimated to be a $3.1 billion gap in the current State Budget.
In his plan, the Governor laid out the many difficult choices that will have to be carefully considered during these challenging economic times. The proposal includes across-the-board reductions to local spending, education aid, health and social service programs, funding for municipalities, transportation and higher education. Now is the time for everyone in the Legislature to set aside their political differences and work with the Executive to improve upon the package and bring new ideas to the table.
Since the Governor released his plan, members of the Assembly have held a series of meetings to review the proposal and assess its projected impact on state services and local organizations who rely on state funding. Yesterday the Assembly Ways and Means Committee held a public hearing in Albany where legislators heard testimony from thirty-five organizations on a variety of issues pertaining to the Executive’s Deficit Reduction Proposal. Another hearing is scheduled to be held tomorrow in Syracuse.
As we move forward, there will have to be agreement upon difficult but necessary spending decisions that will impact all areas of the state. As this plan develops it is critical that no single part of our society to bear an unfair portion of the burden. In particular, we must guard against provisions would shift expenses onto property taxpayers, cripple essential services or threaten the quality of our health care or education systems.
I share the Governor's view that we have to scale back and take decisive measures in recognition of the fiscal realities of the state. I look forward to working with him and my colleagues to put in a place a plan that brings about responsible fiscal reform.
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