New York City’s budget gaps may reach as high as $10 billion in FY 2027 and grow to $13.6 billion by FY 2029, based on risks including slowing economic growth, rising costs and the restructuring of the funding relationship between the federal government, states and their localities. Mindful of the current economic trajectory and what is transpiring in Washington, the City must make balanced and sustainable fiscal choices this year to manage its substantial operational needs and encourage employment and business growth.

New York City Health + Hospitals will see pressure on key sources of revenue as Medicaid and low-income patients that rely on federal support lose health insurance, while reimbursement rates for health care programs are cut by Washington, making it harder for the largest public health system in the country to reach its financial goals.

New York City has cut fuel use and emissions across its municipal vehicle fleet of about 30,100 vehicles, but the average vehicle age is now the highest since 2012, and aging emergency and service vehicles are increasingly sidelined for repairs. In fiscal year 2025, the city spent $415 million on fuel and fleet repair, and over $400 million in capital funding for new vehicle acquisitions.

The Metropolitan Transportation Authority (MTA) pays for its operating budget from a wide variety of sources, but the decline in paid ridership since the pandemic and economic changes have contributed to significant shifts in those streams of income.

The securities industry earned $30.4 billion in the first half of 2025, a faster pace than last year, when full year profits totaled $49.9 billion, the fourth-highest level on record. Wall Street’s profits could top $60 billion in 2025 if current trends continue. Tax collections related to the industry continue to be strong, growing by over 35 percent in 2024 compared to 2023, and are likely to exceed forecasts given the strength in the industry in 2025.