New York Mayor Bill de Blasio and the City Council reached a $85.2 billion budget agreement late Friday that would increase spending while adding to the city's reserves.
The budget for fiscal year 2018, which begins July 1, is set to be about $3 billion higher than this year's adopted budget of $82.12 billion. It is also some $340 million more than the mayor's executive budget proposal released earlier this year. City officials said the increase was needed to add services for seniors and expand a summer jobs program for young people.
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"This budget is aimed at addressing the economic realities of everyday New Yorkers," Mr. de Blasio, a Democrat, said in a statement late Friday. "Life in this city is too hard for too many, but with this budget it is our goal to alleviate some of those pressures."
City Council Speaker Melissa Mark-Viverito, also a Democrat, said the agreement "truly works for the people."
The budget adds $1.2 billion to the general reserve fund, something the mayor has said is necessary to safeguard the city in the event of a downturn. Some budget experts have cautioned the city's spending is too high when compared with its reserves and its pension obligations.
The City Council is expected to vote on the budget later this month.
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(END) Dow Jones Newswires
June 02, 2017 22:09 ET (02:09 GMT)