Budget blues underplayed by Blaz: study

Findings from the city’s Independent Budget Office paint an even starker financial future than projections from Mayor de Blasio, who has warned first responders and other municipal workers could face furloughs or layoffs without a huge federal bailout.

Hizzoner underfunded numerous agencies and faces an extraordinary fiscal crisis because of the coronavirus pandemic, according to a “pessimistic” new analysis released Monday.

The city will see $9.5 billion in combined tax revenue shortfalls this fiscal year and next, the budget office predicts, far more than the $7.4 billion the de Blasio administration estimated in April.

The city has already spent nearly $1.7 billion responding to coronavirus.

And the office projects next fiscal year’s budget will balloon to $90.3 billion by the time it’s adopted in June — more than the $89.3 billion executive spending plan de Blasio proposed last month.

This is because, the budget office said, the de Blasio administration underfunded homeless services, public assistance, education, small business services, campaign finance and elections, sanitation, parks and uniformed overtime.

The Homeless Services Department will need an additional $60 million in city funds this year, $187 million in 2021 and $188 million annually after that, according to the analysis. Public assistance will cost $49 million more in 2021 than is estimated by de Blasio’s office, and an extra $61 million annually between 2022 and 2024.

An extra $10 million will have to be added to the Education Department this year, according to the budget office, and $50 million more is needed in 2021. The Small Business Services Department is underfunded by $45 million in 2021, the analysis says.