DIVISION OF THE BUDGET
KATHY HOCHUL, GOVERNOR
ROBERT F. MUJICA JR., DIRECTOR
November 11, 2022
Division of the Budget Issues Mid-Year Update to Enacted Budget Financial Plan
- Latest Projections Consistent with Prior Plan Update
- FY23 Still Projected to End in Surplus
- Compared to First Quarter Update, Disbursements Slightly Down, Receipts Slightly Up, General Fund Cash Balance Up, and Out-Year Gaps Slightly Smaller
The Division of the Budget has issued the mid-year update to the New York State Enacted Budget Financial Plan. The update shows projections consistent with the prior update, with the State still projected to end FY23 with a surplus and a record-high general fund cash balance. The document is available on the DOB website here.
Compared to the first quarterly plan update issued in August, the mid-year update projects FY 2023 disbursements (spending) slightly down, receipts (revenue) slightly up, the general fund cash balance slightly up, and future budget gaps unchanged or smaller than previously projected.
“This update to the State’s financial plan reinforces what was known from the prior one – global and national economic headwinds will have an impact in every state of the country, but New York is prepared with fiscally responsible budgeting that puts record-level deposits and balances into our reserves,” said Budget Director Robert F. Mujica, Jr.
The plan update highlights the uncertainty of the current global and national affairs as making local state projections particularly challenging at this time, noting that “The Financial Plan is subject to economic, social, financial, political, public health, and environmental risks and uncertainties, many of which are outside the ability of the State to predict or control. As with the prior plan update in August, the COVID-19 pandemic, the war in Ukraine and other geopolitical uncertainties, and actions by the Federal Reserve are cited as examples of elevated risks for the fiscal outlook of the State.
The plan update also highlights the security provided by Governor Hochul’s record investments into the State’s reserve funds. According to the plan update issued today, reserves in FY 2025 are projected to exceed the multi-year projected budget gaps by roughly $6.5 billion.