Keep Calm and Carry On
At midnight tonight, a bevy of steep spending cuts will hit the federal government unless Congress and the White House agree to an alternative deficit-cutting proposal. Although the national media has been relentlessly focused on this deadline, Mayor Michael Bloomberg said it will only affect New York City if the so-called “sequestration” continues for a significant length of time.
“It depends on how long,” Mr. Bloomberg said on his weekly WOR radio show with John Gambling. “If it lasts a few weeks, no. If it does, yeah. We get 10 or 12 percent of our budget from the federal government, not all of that is going to be cut back, but there would be effects–not good effects. But in the context of, ‘Is anything going to change tomorrow? Are we going to run out of money tomorrow?’ I’m sure I’ll get that question at the [next] press conference. No.”
Let's Make a Deal
Three members of New York City’s congressional delegation have signed on to a letter vowing not to back any White House bargain to avoid the $85 billion in automatic budget cuts known as the sequester that includes cuts to Social Security and Medicare. Both parties have been at an impasse over the cuts with Democrats favoring debt reduction through tax increases and Republicans wanting spending cuts. President Barack Obama has repeatedly expressed a desire to make a deal ahead of the March 1 deadline that includes both tax increases and proposals to reduce the costs of social programs. Now, Congressmen Jerry Nadler, Jose Serrano and Nydia Velazquez have all signed the pledge promising not to back any deal including the compromises being called for by the White House.
“Social Security, Medicare, and Medicaid are the great bedrocks of our middle class society and, together, constitute an essential safety net for millions of Americans,” Mr. Nadler said. “I will fight like hell against any deficit plan that cuts these programs or fails to address our immediate jobs problem. It is unconscionable for Republicans to ask those who can least afford it – seniors, kids, our most vulnerable families – to sacrifice even more and shoulder a disproportionate burden. I do not support anydeal that cuts Social Security, Medicare or Medicaid benefits.”
In order to keep the city’s fiscal house in order in the aftermath of Hurricane Sandy, Mayor Michael Bloomberg unveiled new cuts and streams of revenue over the weekend. Among the changes, school-lunch fees will increase from $1.50 to $2.50, while city libraries will see their funding axed to the tune of $8.3 million. Asked about it during a press conference today in the hard-hit Howard Beach neighborhood in Queens, Mr. Bloomberg defended the budgetary measures.
“It’s easy to say, ‘I don’t like A, B and C,’” he argued. “Well, what things would they like us to raise taxes [on]? The issue here is that we’re trying to find some balance so that everybody shares a little bit in the pain, everybody contributes; we’re all in this together. And do it such that people can afford [it]. It’s not asking a lot to go, in this day in age, from one price to another if it’s a relatively small price. But if a large number of people do it, it contributes significant revenues.”