Bill de Blasio

Trump's budget proposal: How much could New York City lose?

President Donald Trump has proposed steep federal budget cuts. New York City stands to lose between $535 million and $760 million.* The potential hit amounts to, at most, 1.3 percent of total city revenue. That’s the portion of the budget where lawmakers will look to compensate for the loss of federal funding because the city can generally spend the revenue it raises as it pleases. By contrast, federal and state grants typically must be used for specific purposes.

RELATED: Threat of federal funding cuts dominates NYC budget talks

The White House has proposed eliminating or reduced funding for:

The Community Development Block Grant program

... which in the coming fiscal year would fund nearly 30% of the city Department of Housing Preservation and Development.

What's the most at stake?
Low estimate: $151 million (according to the Mayor's Office) – High estimate: $240 million (according to the IBO and the City Comptroller)

The HOME Investment Partnership

... which helps low-income residents secure affordable housing.

What's at stake?
$10 million (Mayor's Office, City Comptroller) – $12 million (Mayor's Office, IBO, City Comptroller)

The Low Income Home Energy Assistance Program

... which City Hall said helps some 700,000 households heat their homes during the winter.

What's at stake?
$23 million (IBO) – $40 million (Mayor's Office)

Homeland security funding

... which the NYPD commissioner said is used for counterterrorism efforts, such as the city's intelligence analyst program, radiological and chemical protection equipment, active shooter training and bomb squad training and equipment.

What's at stake?
$190 million (Mayor's Office)

Title II-A funding

... which the city has used to conduct training for educators.

What's at stake?
$100 million (Mayor's Office) – $106 million (IBO)

The 21st Century Community Learning Centers Program

... which the New York City Schools commissioner said has been used for after-school programs.

What's at stake?
$20 million (IBO) – $43 million (Mayor's Office)

The Community Service Block Grant program

... which has supported city social services agencies.

What's at stake?
$30.8 million (Mayor's Office) – $32 million (IBO)

U.S. Department of Health and Human Services funding

... which the mayor's office said funds city lead poisoning and chronic disease prevention work, the public health laboratory and emergency preparedness.

What's at stake?
Might be safe (IBO) – $42 million (Mayor's Office)

U.S. Department of Justice grants

... which City Hall said has financed equipment for the police crime lab, ballistic helmets and vests for police officers, efforts to reduce the DNA testing backlog and more.

What's at stake?
$10.5 million (IBO, City Comptroller) – $52.7 million (Mayor's Office)


$535.3 million, or less than 1% of the city-funded budget – $757.7 million, or 1.3% of the city-funded budget

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More potential cuts

The impact of Trump’s plan could extend beyond the city’s operating budget. The president has proposed curbing funding the city directs to its capital plan, which funds physical construction projects rather than day-to-day expenses. Other targeted funding streams may impact the New York City Housing Authority and Section 8 housing vouchers given to New Yorkers. Although at the onset these particular proposals may not leave a clear footprint in the operating budget, they could compel the city to dip into its operations money.


The New York City Housing Authority is a separate government entity, and therefore, has its own budget. The federal budget proposal threatens to cut $150 million in operating expenses and $220 million in capital funding, according to City Hall.


The New York City comptroller’s office and mayor’s office said they were concerned about potential reductions to the Section 8 housing program. The city Department of Housing Preservation and Development receives about $459 million annually in Section 8 rental housing assistance, which is directed to private landlords on behalf of nearly 40,000 low-income households, City Hall said. NYCHA receives nearly $1 billion annually in Section 8 grant funds, which provide housing vouchers for 86,000 households, City Hall said. The comptroller’s office said about 12,000 to 15,000 voucher holders may be at risk.


About $38 million from the HOME Investment Partnership Program gets directed to the city Department of Housing Preservation and Development’s capital budget, according to the administration.


The White House has proposed eliminating the Transportation Investment Generating Economic Recovery grants, which the city has used for a variety of capital projects tied to Vision Zero, an initiative aimed at ending traffic injuries and deaths. City Hall said if grants are clawed back, $25 million in Vision Zero initiatives could be at risk. The IBO said the move does not threaten any current Vision Zero projects. But the administration argued future projects it may want to pursue could be jeopardized.


The president has proposed cutting Small Starts and New Starts grants, which City Hall said could impair the second phase of its plans to implement select bus service and reduce congestion on Woodhaven Boulevard. The administration said it is working “in good faith” with the Federal Transit Administration to advance a $97 million application for the project. Several other capital projects in the metro area could be threatened, including the expansion of the Second Avenue subway and the Gateway tunnel, a trans-Hudson River project spanning New York and New Jersey. These projects are expected to be funded and overseen by non-city entities, according to the IBO.

*City & State used federal funding loss estimates from New York City Mayor Bill de Blasio’s office, New York City Comptroller Scott Stringer’s office and the New York City Independent Budget Office. The city has a tendency to underestimate how much federal revenue it will receive when drafting its annual budget each summer, the IBO said. As additional funds come in, the city typically adjusts the federal funding numbers midbudget. In an effort to gauge how much the proposed cuts would nip into to the city’s full, midyear budget, City & State looked at how much federal funding streams are expected to bring in during the current fiscal year or how much, on average, the targeted federal funding streams have brought in during recent years. If those estimates were not available, we included how much money the city expected to receive during the coming fiscal year.

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