State Senate Passes Halfhearted Attempt at Solving Deficit Problems


Earlier today, before the ongoing debate over gay marriage began, the State Assembly and then the State Senate passed a $2.7 billion deficit-reduction plan that largely relies on one-off savings and revenue generators while protecting funding for schools. “Hold on,” you may be asking. “Isn’t the budget deficit $3.2 billion, and maybe as high as $4 billion? And isn’t $2.7 billion less than both of those numbers?” Yes! Which is why Governor Paterson, though he’ll sign the bill, will also be reducing payments of state aid to local municipalities on his own to make up the difference, a decision critics claim is unconstitutional. No, this is not over.

Paterson On The DRP » [Daily Politics/NYDN]
State pols stick $700M finger in budget dike [NYP]