This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

NY Budget Deal Details Draw Critics From Business

The independent Citizens Budget Commission on Thursday called the latest three-year extension a "short-sighted, politically expedient deal."

The extension "continues the state's reliance on a small number of high earners and reduces New York's competitiveness," stated the CBC's analysis called "A Disappointing Tax Deal."

The CBC said the leaders are extending a "temporary" tax increase that was created to address a fiscal crisis in 2009, but now using it for "poorly targeted tax relief." The CBC says that sends the wrong message to wealthy New Yorkers who the state has long depended for most of its tax revenues.

Without the ill-advised tax extension in the budget deal, "the money is not there to spend on newly created rebate and credit program," the CBC said.

The commission, however, credits the budget deal for keeping the spending increase under 2 percent and for being on track to approving a spending plan on time â¿¿ by April 1 â¿¿ for the third straight year.

"Two years ago, our state was facing significant challenges, with constant spending and tax increases chasing businesses and people from our state and scandals making our government a joke," Cuomo said Thursday. "Today's agreement shows New York is on the move and is rising once again."

Some advocates for the poor also had a chance to review the centerpiece of the budget deal, an increase in the minimum wage to $9 that would be spread over three years without automatic increases tied to inflation. The $7.25-an-hour wage would rise to $8 in January, $8.75 a year later and cap at $9 a year after that.

"Eight dollars is morally unacceptable," said Mark Dunlea of the Hunger Action Network. He called a $9 wage "pathetically low."

"Lawmakers continue to force the lowest income workers to work for sub-poverty wages," Dunlea said.

2 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,024.06 +183.54 1.03%
S&P 500 2,108.29 +22.78 1.09%
NASDAQ 5,005.3910 +63.9670 1.29%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs