New York State Legislators Pass $132.5 Billion Budget

The State Legislature passed the budget for the 2012 fiscal year early this morning, marking the first on-time passage in five years. In a statement announcing the news, Governor Andrew M. Cuomo called the $132.5 budget "transformational," saying it "includes historic reforms that redesign state government, create efficiencies through consolidation, cap spending increases for education and Medicaid, and transform the future budgeting process."

The final agreement closes a $10 billion deficit with big cuts to education and healthcare but no new taxes. According to news reports so far, it also :

• Eliminates 3,700 prison beds;
• Limits Medicaid growth to 4%;
• Calls for the layoff of 9,800 state employees unless public employee unions concede $450 million in savings; and
• Reduces school aid by $1.3 billion, or 6 percent

We are working to analyze the budget's impact on criminal justice, drug and alcohol, and HIV/AIDS programs, and will provide updates when we know more.

More information:

• Video From the Governor
• Albany Finishes Rare On-Time Budget (The New York Times)
• NY legislature passes $132 billion budget, no new taxes (Reuters)
• After Budget, Cuomo Praises Legislators: 'They performed admirably' (New York Observer)
• How New York's budget has grown since 1982 (USA Today)

Visit NYS Budget Central to see our positions and advocacy work on the 2011-2012 budget.