Well....it's a start:

Quote:

I think it is clear that we have a deficit problem that is going to hurt this country dramatically and unless we do something about it is a cloud on the horizon. It doesn’t mean America is going to go to zero… But I think if you take a look at Europe and other places and it shows you when you live above your means – It’s different than the city, the deficits we project are aspirational deficits, in the end we balance our budgets, the federal government does not.

http://blogs.reuters.com/macroscope/2012....

Hizz******* Bloomberg wrote..

It’s different than the city, the deficits we project are aspirational deficits, in the end we balance our budgets, the federal government does not.

Do You mean to say that NYC has NOT borrowed any money for any purpose during your term as Mayor?

Do You mean to say that ALL NYC Public Pension Funds are 100% fully funded at present?

I think You are a lying sack of ****, Mike.

P.S. How would You like ME to decide how much air travel or golf was prudent for You to be allowed to enjoy, You prick?

A start? A start would be an actual budget. Once we have one, then we can work on a balanced one.

Balanced budget is an instant (recognized) depression.

Won't happen.

The US needs to have disgusting people like Bloomberg STFU

As a NYer, hearing him say this scares me.
It sounds very much like he wants to buy another term as Mayor.

Last time I visited your city and walked through your subway system I thought I was trapped in a urinal. Fix that, Bloomberg. In fact, get your best and brighest together to form a Stupid...er....Super Committee to oust the indigent illegal foreigners so you can lower the taxes on your citizens needed to pay for it all. Last I heard a pack of Camels cost $11/pack in NYC. You've got a lot of damn nerve throwing stones.

Sandor wrote..

Balanced budget is an instant (recognized) depression.

Won't happen.

The inflation of food prices beyond the ability of average people to buy enough to avoid starvation is an instant revolution.

Geez...you guys. With all the hysteria about the "evils of austerity" it is nice to hear someone of influence call for fiscal sanity.

When Bloomberg is ready to having Other People decree how much of whatever it is Bloomberg likes to do with his time/money/body -then and ONLY then- We can have a conversation...

I think Mike should only legally be allowed to suck two cocks a day -for his and the public's 'good' of course.

The NYC metro area has a GDP of about 1.3 Trillion dollars.

1 New York-Northern New Jersey-Long Island, NY- 1,215.9 1,242.1 1,217.4 1,282.6
2 Los Angeles-Long Beach-Santa Ana, CA 731.6 747.0 716.4 737.9
3 Chicago-Joliet-Naperville, IL-IN-WI 522.1 525.3 517.3 531.4
4 Washington-Arlington-Alexandria, DC-VAMD-WV 384.3 400.0 409.6 426.1

The above numbers are in billions and are for the yrs 2007- 2010

http://www.usmayors.org/metroeconomies/2....

Since NYC is at the heart of its metro area and holds the biggest business district (Manhattan) lets give NYC 2/3rds of its area GDP for a 5 boro GDP of about 860 billion dollars.

NYC debt is about 75 Billion

http://newyork.cbslocal.com/2011/11/13/n....

75bil debt/860 bil GDP = debt/GDP ratio of about 9%.

Lets throw in the 120 bil or so of accumulated unfunded pension liabilities.

http://www.empirecenter.org/Special-Repo....

If this amount were paid and added to the above debt numbers we get about 200bil debt/860 bil GDP of about 23%. STILL BETTER THAN THE FED GOV'S 100% DEBT/GDP RATIO!

NYC has had to balance its budget by law ever since the 1970's fiscal crisis. The city can borrow, but they can't borrow like the Fed Gov can. As we can see, restricting gov't borrowing is a GOOD THING!

Bloomberg's NYC is in better fiscal shape than Obama's Fed Gov't.

What's the NYC total tax take per year?

(PS: It's not GDP that matters, it's debt compared against tax revenue. After all you don't pay the debt with GDP, you pay it with the taxes.)

Karl, NYC had a deficit prediction of something 4.6 bil for FY 2011 (which ends in July 2012, out of budget of around 65 Bil) but that doesn't mean they will end the yr in the hole. The city has surpluses some yrs and deficits other yrs. From what I gather when the city has a deficit it MUST close that deficit the following yr or the State takes over their finances.

Here is the link to the Financial Control Board that oversees NYC's Finances and has the power to take-over the city's finances.

http://www.fcb.state.ny.us/

Quote:

The New York State Financial Control Board was created by the State legislature in September 1975 pursuant to the New York State Financial Emergency Act of The City of New York (the "Act"). The Act gives the Control Board powers and responsibilities of review and oversight with respect to the financial management of the New York City government and certain related public authorities. Among other things the Act requires the City to prepare and submit a "rolling" four-year financial plan to the Control Board prior to the beginning of each City fiscal year and, to modify the plan as necessary from time to time to conform with standards set forth in the Act. Prior to July 1, 1986 all financial plans, financial plan modifications, and borrowings, together with certain contracts, were subject to the approval of the Control Board prior to implementation. However, on June 30, 1986 the Control Board determined and ordered that the control period terminate, at which time the Board's approval powers sunset.

During sunset, the Control Board must review the four-year financial plan at least quarterly, and must notify the City if a plan or modification to the financial plan does not conform to the Act's standards. In addition, the Control Board must make a determination annually whether a new control period, under which the suspended powers are reimposed, should be declared. The Control Board must reimpose a control period if:

the City fails to pay debt service on any of its obligations when due or payable;
the City incurs an operating deficit of more than $100 million during a fiscal year;
the City issues notes in violation of the Act;
the City violates any provision of the Act which violation substantially impairs the ability to repay its notes or bonds or its ability to adopt or adhere to a balanced budget, or
the State and City comptrollers cannot make the joint certification, described above, on the basis of existing facts.

This determination is usually made in July.

As with anything we could debate the pros, cons, strengths and weaknesses of this FCB, but my point is that IMO it would be a huge step forward if the clowns in DC had to answer to something like this.

So I guess I don't get an answer to my question.

You won't get an answer until July when the books close on Fiscal Year 2011. But if the 4.6 bil deficit is right, then that means roughly NYC pulled in about 60 bil in taxes and spent about 65 bil. And if you read the FCB info that means that the city will have to make cuts/increase revenue to get it's budget balanced going forward.

Now if only the Feds had to operate like that....

So if you had:

$60,000 in income.
$65,000 in current-year spending (that is, you spend more than you make and retire nothing.)

$75,000 in credit-card bills (currently-due debt)

and

$120,000 of additional debt due over the next 20 years

What would the available line on your credit card be?

(Hint: the word you're looking for is "goose")

`and ends in egg

When NYC almost went bankrupt in the 70's they eventually borrowed on 30 year bonds. When the bonds came due in 2002/2003? I remember reading in the NY Times how the city decided to roll over the bonds for another 30 years because the rates were so low.

As always borrow and push it off to future generations to pay.

Also note that NY has many Authorities that also borrow and push off till tomorrow like the MTA. When you add it all up it's quite a bit of money.

They jacked up the tolls last year (my bridge to New Jersey went from $8 to $12 in one increase) and they will go up every year for four more years.
This is to pay for the Freedom Tower.
Think those tolls will ever go down? Nope.

Sandor win's the thread.

I watched Bloomberg's budget address last Thursday. All the "surplus money" NYC had is gone, except for about 100 million dollars. A rounding error in terms of the overall budget. The "real fun" begins next year. We've got a 3 billion dollar project deficit for the 2014 budget, and a 3.7 billion deficit for 2015.

I can't wait to see the leeches scream and shout once their programs start to get cut.

Property taxes will rise first.

Quote:

The inflation of food prices beyond the ability of average people to buy enough to avoid starvation is an instant revolution.

No, that's anything but instant. Prices rise incrementally. Rice & beans are cheap. Plus TPTB can avoid revolutionary tendencies by feeding people via EBT.

-Uwe-

That will not work when the consumer is 70 percent of the economy.

Karl, I was comparing debt to GDP, but your Debt to Revenue comparison is also fair and helpful. One point I'd like to add is that NYC's 75 Bil in debt is not 'credit card' like debt, but is in the form of bonds issued for Capital Projects, so in that regards the debt is more like a traditional mortgage with a fixed rate and a fixed schedule of payments due. But it is still debt so.....

If NYC pulls in 60 bil in tax revenue this yr their debt to revenue ratio is 125%. The Feds pulled in 2.3 trillion in taxes and the National Debt is 15 Trillion for a Debt to Revenue ratio of 650%.

And if you throw in the estimated pension liability of 120 Bil. you get total debt of about 200 Bil, so debt to revenue would then be 330%, still half of the Fed's 650% debt to revenue, and that would be a one shot payment with additional payments made as necessary, probably 10 bil a yr or less.

Further, NYC's 5 bil projected deficit is about 8% of it's 60 bil in projected revenue; the Feds pulled in 2.3 Tril in raxes and spent 3.6 Tril for a deficit of 56%.



http://www.taxpolicycenter.org/taxfacts/....

I'm not a Bloomberg supporter, but Bloomberg's NYC is in better fiscal shape than the Federal Govt.