Work from E.J. McMahon

Proposed Tax Hike Would Destroy Jobs by E.J. McMahon |  | NY Torch

A majority of City Council members has called on the council leadership to back a city income tax surcharge of up to 55 percent on high-income New Yorkers. This $1.23 billion tax increase would have a devastating impact on the city's economy, leading to the loss of another 48,000 jobs, according to the Manhattan Institute’s tax policy analysis model. It would boost the combined state and city income tax rate to a maximum of 12.5 percent—nearly double the next-highest rate in any neighboring state. [Read_more]

A Killer of a Living Wage by E.J. McMahon |  | New York Posts

As if New York's economy wasn't already stressed enough, there's a renewed push in the City Council for a local "living wage" law that could hinder the city's economic renewal while reducing job opportunities for the very people it is supposed to help. [Read_more]

It’s Still ‘Borrow and Spend’ in New York by E.J. McMahon |  | Newsday

The two New Yorks - city and state - were the nation's twin towers of public indebtedness long before the tragic events of Sept. 11 placed extraordinary new strains on their budgets. [Read_more]

Bloomberg Budget Goes Easy on Headcount by E.J. McMahon |  | NY Torch

Mayor Bloomberg's preliminary budget was surprisingly easy on city employees, even though personal service costs comprise more than half of the total budget. His proposed workforce reduction of 5,000 to 7,000 positions out of a total workforce of 306,000—20% higher than was previously reported—is many fewer than the number Mayor Giuliani proposed to cut in 1993 when he faced a similar budget gap. [Read_more]

Bloomberg’s Misplaced (Compassionate) Side by E.J. McMahon |  | Gotham Gazette

One welcome change in Mayor Michael Bloomberg's preliminary budget is a more accurate count of New York City's enormous municipal workforce. It turns out there are even more city employees than anyone previously thought -- ironically underscoring just how little Mayor Bloomberg is initially proposing in the way of agency workforce reductions, despite all the talk of budgetary "pain." [Read_more]

Mike’s Dangerous Budget Temptation by E.J. McMahon |  | New York Posts

Will city leaders use 9/11 as an excuse to saddle future taxpayers with debt to close part of next year's $4 billion budget gap? [Read_more]

Pataki’s Smaller Gov’t by E.J. McMahon |  | New York Posts

Much of Gov. Pataki's proposed state budget (his costly expansion of health care, in particular) is a far cry from the leaner, cleaner fiscal plans of his first term. But in at least one crucial respect, New York's revenue shortfall has prompted a welcome return to his budgetary roots: For the first time in seven years, the governor is launching a concerted effort to reduce the size of the state work force. [Read_more]

Sizing up the State Payroll by E.J. McMahon |  | NY Torch

By eliminating 5,000 state government jobs through attrition and early retirement incentives, Governor George Pataki’s proposed 2002–03 budget would return the total executive branch headcount to its lowest point in nearly two decades and ultimately save about $275 million a year, according to an analysis of quarterly full-time employee (FTE) estimates from the state comptroller’s office. Not counting the prospective job cuts, taxpayers are now saving $676 million annually as a result of the net reduction in the state workforce over the past seven years. [Read_more]

Ever Upwards: Real Spending Growth Under Pataki and Cuomo by E.J. McMahon |  | NY Torch

As another budget cycle begins, Governor Pataki is once again citing his record of spending restraint. Adjusted for inflation, however, the rate of state spending growth actually has been higher in Governor Pataki's first two terms than it was in Mario Cuomo's last two terms. [Read_more]

The Tax Whose Time Has Gone by E.J. McMahon |  | NY Torch

New York City’s post-9/11 fiscal problems are prompting fresh calls in some quarters for reinstating the city’s commuter tax, which could generate as much as $500 million, to help close a projected budget gap of at least $3.6 billion. But the usual arguments for the tax just don’t stand up to scrutiny. [Read_more]

Threatened Tax Surcharge Hike Would Cost City 10,700 Jobs by E.J. McMahon |  | NY Torch

Reimposing the full 14 percent surcharge on New York City’s resident income tax will cost New York’s battered economy 10,700 badly needed private sector jobs, according to the Manhattan Institute’s tax policy simulation model. As a result, our model indicates the revenue gain from a restored surcharge will be about $30 million less than has been projected. [Read_more]

City Won’t Bleed From Bloomberg’s Ax by E.J. McMahon |  | Newsday

Overshadowed by his predecessor for most of an all-too-brief transition period, Michael Bloomberg has emerged into the mayoral spotlight with an impressive early show of fiscal leadership. [Read_more]

It’s the Spending by E.J. McMahon |  | New York Posts

One of first things Mayor Bloomberg needs to do is to disabuse himself of the notion that the city's budget gap is mainly "a revenue problem," as he put it soon after the election.

Yes, revenue projections have fallen sharply in the wake of the World Trade Center attack. But the city faced a budget gap even pre-9/11 - and the fundamental reason is spending. [Read_more]

Wrong Time for a Commuter Tax by E.J. McMahon |  | New York Posts

New York City's severe post-9/11 fiscal crunch has prompted fresh calls in some quarters for reinstating the city's commuter tax, which could generate as much as $500 million, to help close a projected budget gap of $3.5 billion. [Read_more]

Mike Must Bite Bullet On Income Tax Hike by E.J. McMahon |  | New York Daily News

Just before the attack on the World Trade Center, Mike Bloomberg said he couldn't "prudently promise" not to raise city taxes, "because you can't see the future." [Read_more]

Bush’s Tax Cut: The Best Boost for N.Y. by E.J. McMahon |  | New York Posts

Some members of New York's congressional delegation seem obsessed with worry that President Bush won't deliver every penny of the $20 billion in disaster relief he promised to the city in the wake of Sept. 11. [Read_more]

They Don’t Get It by E.J. McMahon |  | New York Posts

Will the next mayor restore New York's battered, post-9/11 economy? The candidates' recovery plans don't inspire much confidence.

Most of Mark Green's answers come out of the 1930s. And while Michael Bloomberg seems to have learned a few lessons from the '90s, he's still reluctant to embrace the most growth-oriented elements of the Giuliani philosophy. [Read_more]

City Power: Don’t Gamble on State Budget Fixes by E.J. McMahon |  | Newsday

New York State's decision to roll the dice on more Indian casinos, video gaming and Powerball is ultimately expected to pump another $1 billion into the state treasury annually, but the inevitable court challenge may delay that payoff for several years. In the meantime, the state clearly faces a very real downturn in its economy and revenues. [Read_more]

A Blast to N.Y.’s Budget by E.J. McMahon |  | New York Post

The horrific attack on the World Trade Center will deal a severe blow to New York's economy and government revenues for some time. In one day, the city was plunged into its worst fiscal crisis since 1990 - which, if mismanaged, may yet become as bad as the brush with bankruptcy in the mid-1970s. [Read_more]

Pataki Power Play: Gov Should Call Lawmakers’ Budget Bluff by E.J. McMahon |  | New York Posts

In their latest ploy to drag Gov. George Pataki to the budget bargaining table, New York state legislative leaders are preparing a baseline spending plan that pointedly excludes hundreds of millions of dollars for the governor's own pet programs. [Read_more]

Turning The Page by E.J. McMahon |  | New York Post

Giuliani took office declaring that city government was too big and taxes were too high. His first two budgets cut the headcount of city employees and reduced spending, setting the stage for both tax cuts and a series of surpluses. [Read_more]

Worse City Budget News Ahead by E.J. McMahon |  | New York Post

It’s official: According to Mayor Giuliani's latest fiscal plan, the next mayor will face a budget gap of $2.7 billion - which, if it actually materializes, will be $400 million more than the one Giuliani inherited from David Dinkins. [Read_more]

Rudy’s Tax Cuts Don’t Go Far Enough by E.J. McMahon |  | New York Post

When Mayor Giuliani formally unveils his eighth and final city budget today, advocates of more expansive city spending are sure to attack his proposed tax cuts. Ironically, Giuliani will be accused of cutting taxes too much - when, if anything, he hasn't cut them nearly enough. [Read_more]

A Risky Precedent by E.J. McMahon |  | New York Post

The best that can be said of New York City's just-negotiated tentative contract with its principal public-employee union, District Council 37, is that it will expire relatively soon, in June 2002. Meanwhile, the agreement sets a costly precedent at a time when the city's budget picture is dimming. [Read_more]

W.’s Gift to New York City by E.J. McMahon |  | City Journal

New York's top congressional Democrats have given President Bush's ambitious plan for an across-the board tax cut a chilly reception. Senator Hillary Clinton warned that it "could derail the nation's economy and give New Yorkers higher interest rates and more unemployment." [Read_more]

A Risky Debt ‘Reform’ by E.J. McMahon |  | New York Post

In his budget message last month, Gov. Pataki called for constitutional reforms to control New York state's debt and ban non-voter-approved "back-door borrowing." But at the same time he quietly proposed a new form of back-door debt -- potentially the most significant change in the state's borrowing practices in decades. [Read_more]

The Blunders of ’66 by E.J. McMahon |  | New York Post

Thirty-five years ago this week, New Yorkers awoke on a cold New Year's Day to find the city's bus and subway system at a standstill. The costly, two-week transit strike, which began the morning John V. Lindsay took office as mayor, inevitably was recalled among the low points of his tenure when he died last month. [Read_more]

A ‘Ladder’ to Sky-High School Taxes by E.J. McMahon |  | New York Post

The New York State Board of Regents this month celebrated the season of giving by calling on Gov. Pataki and the Legislature to giftwrap another $1.45 billion in state aid to public schools next year -- an 11 percent hike on top of this year's record $1.16 billion increase, which brought total school aid to $13.6 billion. [Read_more]

What Bush Should Have Said About Tax Cuts by E.J. McMahon |  | The Wall Street Journal

The question posed by Lisa Key near the end of Tuesday night's presidential campaign debate amounted to a high, hard one for Al Gore and a slow, hanging curve ball right down the middle of the plate for George W. Bush. Mr. Gore twisted and ducked; Mr. Bush checked his swing and fouled it into the dirt. [Read_more]