De Blasio, City Council Shake On $89 Billion Budget For 2019

NEW YORK, NY — Mayor Bill de Blasio and the New York City Council announced a handshake deal to fund the city government for the fiscal year 2019 that includes money for Fair Fares — a program that will subsidize MetroCards for low-income New Yorkers — and increases the city's reserves.

The budget deal was announced Monday night by de Blasio and City Council Speaker Corey Johnson and will cost an estimated $89.15 billion, city officials said. The deal was the first negotiated by Johnson in his first year as council speaker.

"Today marks an important milestone as we take bold steps to continue creating the fairest big city in America. With our colleagues in the City Council, we have come to a historic agreement to reduce the cost of MetroCards for hardworking New Yorkers struggling to afford their city, reaffirming our commitment to making New York City fair," de Blasio said Monday.

The marquee item on the budget is a planned $106 million in funding for Fare Fairs, city officials said. Through the Fair Fares program an estimated 800,000 New Yorkers living at or below the poverty line will be eligible for half-price MetroCards, city officials said. Also eligible for the program are the 12,000 veterans currently enrolled in New York City Colleges.

"We are creating a new approach to fighting poverty with our Fair Fares program, which could save $700 a year for eligible New Yorkers in desperate need of a break," Johnson said in a statement. "Now that New York City has joined the Fair Fares movement, it is my hope that its success here leads other cities across the country to follow suit."

Johnson cited an op-ed written in the Daily News as inspiration for pushing for the Fair Fares program in the upcoming year's budget. The op-ed, titled "Please, Mr. Mayor, fund Fair Fares," was written by Shani Rahman. Rahman wrote about the embarrassment of having to rely on strangers to swipe her into the subway just to take her 3-year-old daughter Monique to school in the mornings. The council originally sought $212 million for the program.

Mayor de Blasio said the program was "undoubtedly the most passionate priority" during budget negotiations and that he remains in favor of a millionaire's tax to help subsidize the program.

In addition to funding brand-new programs such as Fair Fares, the 2019 budget will also bulk up the city's reserves and increase funding for existing programs. The new budget accounts for a $125 million increase in the city's general reserve, an increase of $125 million and a $100 million increase in the in Retiree Health Benefits Trust Fund.

3-K For All, one of de Blasio's most-touted initiatives, will also see considerable expansion. The program will be extended to 14,000 seats in 12 districts in the next two years with a total investment of $201 million by Fiscal Year 2022, city officials said.

The new budget also pledges more than $200 million for heating upgrades at New York City Housing Authority buildings $150 million in capital investments to make schools more accessible to disabled students and $125 million for Fair Student Funding — a program that gives schools direct control over funding for educational programs — city officials said.

The budget deal announced Monday will need to be passed by the City Council and signed into law by de Blasio by a July 1 deadline.

Photo by William Alatriste/New York City Council