Mayor Zohran Mamdani is poised to introduce a groundbreaking $122 billion budget this Tuesday, driven by a proposed increase in property taxes for New Yorkers, sources have revealed to The Post.
This preliminary budget, which surpasses the current year’s by over $6 billion, also suggests significantly depleting the city’s $10 billion rainy day fund, leaving it nearly empty, according to insiders.
One informed source commented, “This is insanity. Property taxes haven’t been raised since the aftermath of 9/11.”
The insider, familiar with the fiscal plans for 2027, expressed concerns over the strategy to exhaust New York City’s savings, labeling it a “major red flag” that could negatively impact the city’s bond rating and borrowing capabilities.
Mayor Mamdani is expected to officially present his spending blueprint Tuesday afternoon, following discussions with key local leaders, including City Council Speaker Julie Menin, as they prepare for budget negotiations.
Interestingly, this announcement follows closely on the heels of Governor Kathy Hochul’s decision to allocate an additional $1.5 billion to aid the city, amidst Mayor Mamdani’s ongoing appeals to increase taxes on affluent New Yorkers.
The Democratic socialist mayor has sounded the alarm about the cityâs financial health, saying the budget is $7 billion underwater.
Mamdani had put the deficit at $12 billion just three weeks ago, before the administration counted massive tax revenues, mostly from Wall Street bonuses, which came in 24% higher than last year.
He used the gap to call on Hochul and the state Legislature to add another 2% tax on New Yorkers making more than $1 million.
Hochul has shot down the idea of boosting the personal income tax.
