Creating Long-Term Fiscal Health

Abstract

This chapter analyzes Mayor Michael Bloomberg's financing strategies and tracks how they changed over time, growing in understanding on how the city could be structured financially for its long-term fiscal health. It discusses Bloomberg's ideas about urban finance that matured as he gained experience in raising and spending New York City's resources, even while dealing with major fiscal crises. It also refers to Bloomberg's limitations on his powers as compared to those of the governor and the federal government, noting that his insufficient power was relative to that of entrenched labor unions. The chapter emphasizes Bloomberg's impressive achievement of balancing the budget while he held the reins of government after the 9/11 attack, the 2008 recession, and Hurricane Sandy. It describes the first set of strategies Bloomberg adopted before the 2008 recession and the second set after it.