New York State's debt is projected to increase by 42% or $26 billion over the next five years, according to New York State Comptroller Thomas DiNapoli.
Through systems to circumvent the restricted use of state debt, New York has one of the highest levels of debt in the nation, the comptroller's office stated in a press release. The State Fiscal Year (SFY) 2021-2022 debt stands at almost $62 billion but is expected to reach closer to $88 billion in SFY 2026-2027. Policy and fiscal weaknesses have allowed the state debt to grow to "troubling levels," the release states.
“New York state has a history of misusing borrowing to pay for short-term needs while a backlog of long-term infrastructure projects languishes,” DiNapoli said via the press release. “Caps and other restrictions on debt set in statute have not worked to rein in our debt or stop inappropriate borrowing practices. New York needs comprehensive and binding debt reform to ensure more affordable borrowing levels, more responsible debt decisions, and greater accountability to the public.”
The comptroller is touting a new report that offers a "roadmap" to state debt reform that will protect New York's "fiscal health."
"Restoring prudent debt practices is an essential component for improving the long-term sustainability of New York state’s fiscal health," the press release stated.