Ruth Walters was one of three presenters to offer details on the recently enacted 2018-19 budget. At the May meeting of the New York State Forum corporate members, Walters outlined the following details:
• The All Funds budget is $163.3 billion, while the State Operating Budget (that part of the budget paid for by state taxpayers) is $100.1 billion. Once again, Governor Cuomo held state operating funds to under a 2% rate of growth.
• Approximately 56% of the budget is made up of two areas of state spending — Medicaid and state funding for education.
• Two proposals were enacted to help mitigate the impact of changes made on the federal level that capped state and local tax deductions. The new programs — an Employer Compensation Expense Program and the creation of a state and local charitable funds — will need to be approved by the IRS before they can become effective.
• Two new taxes also were proposed by the Governor and approved by the Legislature. The first proposal taxes manufacturers and distributors of opiods. The second imposes a new $2.75 tax on ridesharing in New York City
• Several of Governor Cuomo’s proposals reforming the state’s procurement process and expanding New York’s program for Minority and Women Business Enterprises (MWBE) were not approved by the Legislature. However, the MWBE statute, which was scheduled to sunset at the end of this year, was extended through December 2019.
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