Home The Firm Our Practice Our Professionals News K&S Blog Clients Resources Contact
Home | K&S Blog | NEW YORK STATE FINANCES
NEW YORK STATE FINANCES

08/06/2008


The staggering budget shortfalls reported by the New York State government, headed by David Patterson, are cause for serious concern in the business community. I have reported several times on our dysfunctional New York State Legislature. CRAINS NEW YORK BUSINESS is very effective in highlighting just how bad our State Legislature actually is.

How could the Legislature pass a budget that increases spending by 5% one month before they discovered that the NYS deficit is 6.4 billion dollars for the 2008 fiscal year? What were they thinking? Their 5% increase accounts for a few Billion of the current deficit. Don’t our legislative leaders read the newspapers
?

The inability of New York State to anticipate or address the 26 billion dollar collective deficit over the next three years will produce the following developments:

  • New York State will seek to seriously increase taxes for anybody who makes over $200,000 (what Albany considers “rich”).

  • There will be serious cutbacks in all types of state services.

  • Commercial real estate will be adversely affected once the large Wall Street powerhouses attempt to make up some of the 133 billion dollars in losses that were reported during the last several months.

  • New York City will lose a substantial amount of State funding.


CRAINS NEW YORK BUSINESS , in the article entitled “One Hundred Thirty Three Billion Humble Pie,” breaks down the huge losses experienced by the Wall Street titans. I believe that this recession, although having some more strength to it, will probably end sometime in mid-2009. We are still doing reasonably well despite all of the negatives, such as extremely high oil prices, general inflation, risky unemployment, and weakening import-export ratios.

The end of any particular recession is usually marked by widespread concern that the bad times will never end. That seems to be the case now since the negative media barrage coverage continues unabated.

Please contact me at EdKlein@kleinsolomon.com if you have any comments. --Edward E. Klein

 

SUBCONTRACT MAY NOT CONTAIN CONDITIONS PRECEDENT MORE STRINGENT THAN STATE FINANCE LAW § 137 01/11/2014
By: Brian J. Markowitz
More Info

CONTRACTOR CANNOT ENFORCE MECHANIC’S LIEN AGAINST LANDLORD’S INTEREST IN THE PROPERTY FOR WORK PERFORMED AT THE DIRECTION OF THE TENANT 01/06/2014
By: Brian J. Markowitz
More Info

K L E I N   &   S O L O M O N,  LLP

© Klein & Solomon, LLP
Attorney advertising notice . Search . Contact . Site Map . Web Site Disclaimer and Notice
Stretch Ink