FY22 Adopted Budget Analysis

New York City, NY – On June 30th, the City adopted the largest budget in its history at $98.7 billion dollars. After an unprecedented, tumultuous year and deep cuts to programming in the previous year’s budget, the FY22 budget aims to bring recovery to the city through five core goals:

1. Finishing the fight against Covid-19

2. Building on strong reserves

3. Boosting economic growth in every neighborhood

4. Delivering an academic and emotional recovery for every student

5. Keeping all communities safe

These goals were supported in large part by approximately $14 billion in federal stimulus funding that will be coming into the city for the next two years. It is critical that recurring programs that have been funded using these dollars will continue to be supported after stimulus funding expires. Therefore, FPWA will be tracking these funds over the coming years to ensure continuity in services for the communities served by our network of nonprofit human service providers.

FY22 Priorities Included:

Funding for Early Childcare and Education/Youth Services:

  • $10 million for approximately 1,000 new full-day family childcare slots for infants & toddlers.
  • $17.5 million to convert over 2,000 school-day/school-year slots for 3- and 4-year-old children to full-day/year-round slots.
  • $17.5 million to expand center-based infant toddler capacity by approximately 700 slots.
  • An increase in rates for community-based Summer Rising providers to $1,700 per student for elementary programs and $925 per student for middle school programs.

Funding for Aging Services:

  • $16.6 million in new funding for home-delivered meals ($13.6 million for weekday meals and $3 million for weekend and holiday meals).
  • Restoration of all discretionary funding to pre-pandemic levels.

Funding for the Nonprofit Human Services Sector:

  • $48 million for a 3% Cost of Living Adjustment (COLA) for essential human services workers
  • Full funding of the Indirect Cost Rate initiative.

Funding for FPWA Budget Priorities in the FY22 Adopted Budget:

Early Childcare and Education/Youth Services:

  • $24 million increase in funding for Summer Rising.

Aging Services:

  • All discretionary funding restored to FY20 levels or higher by more than $4.8 million.
  • No increase in DFTA funding for home-delivered meals.

Human Services Sector:

  • $60 million for the Indirect Cost Rates initiative. This is the first investment in the $120 million promised in the executive budget to fully fund the initiative over two years.
  • One-time $24 million bonus of human services workers in recognition of their work.
  • No COLA.

Other Notable Human Services Investments:

Community Care Plan:

  • $39.4 million to fund the first year of the Community Care Plan which will invest significant funding in senior centers, NORCs, and other community-based services for older adults. It will support 25 new senior centers in communities of color as well as services for senior adults living in their homes.

Alternatives to Incarceration:

  • Almost $14.5 million for programs which provide individuals involved in the criminal justice system with alternatives to pre-trial detention, jail, or prison. The programs include community service and substance abuse counseling, as well as short-term and long-term housing, job placement, and vocational training.

AAPI Community Support Initiative:

  • $4 million for the creation of the AAPI Community Support initiative aimed at providing direct services, mental health supports, youth programs, and racial literacy for Asian American community members in light of violence against the AAPI community.

While we are happy to see these investments in the human services sector and the services most utilized by our communities, we also acknowledge that there is more work to be done. The Fiscal Year 2022 Adopted Budget takes several important steps to support New Yorkers’ recovery from the Covid-19 pandemic and the economic and social injustice it has wrought. We applaud the City’s efforts to bring about recovery for us all, yet we will not forget the lingering issues that remain in need of address. The following weeks and months can either ensure that New York City recovers more equitably and stronger than before, or it has the potential to deepen and further entrench the inequities laid bare by this pandemic. FPWA is committed to continuing the fight for equity for all and looks forward to your ongoing partnership in that endeavor.

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