Mayor Mamdani’s Executive Budget Proposal: A Positive Step Forward

New York, NY – Nonprofit New York issued the following statement in response to the Mayor’s FY 2027 Executive Budget:

“Nonprofit New York applauds Mayor Mamdani for successfully navigating a looming budget deficit without resorting to austerity measures targeting critical services. This Executive Budget shifts the City’s relationship with nonprofits from ‘crisis management’ toward partnership, specifically in housing and public safety. However, the sector's ultimate health will depend on whether the administration can solve the ‘back-office’ crisis of payment delays and whether the state-level tax assumptions actually materialize to fill the deficit.”

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Nonprofit New York also highlighted other issues in the Executive Budget:

NPNY celebrates:

●Baselining critical programs like Summer Rising and Every Child and Family is Known, which provide stability and long-term planning to providers.

●Increasing community-led hate crime prevention initiatives to $23 million.

●The creation of a city-backed insurance program that will reduce overhead for affordable housing providers.

●$40 million allocation for a 2% across the board wage increase for Early Childhood CBOs.

NPNY notes several areas of concern:

●Procurement Reform: While the budget funds programs, it does not yet fully resolve the systemic issues of late payments. The stability promised in the budget remains theoretical unless the city takes immediate action to address these issues. A $124 billion budget is only as strong as its ability to pay its bills. NPNY urges the City Council to include a 'Prompt Payment' penalty that protects nonprofit reserves from City administrative delays.

●Wage Equity: A 2% raise for one segment of the workforce is a down payment, not a solution. NPNY calls for a citywide Nonprofit COLA that matches inflation.

●Efficiency as a Budget Tool: ‘Trimming software and vendor’ contracts must not become a back-door way to reduce indirect cost support that keeps our community centers’ lights on.

The FY 2027 Executive Budget creates a strong foundation, but nonprofits seek a deeper commitment to stability. As the New York City Council prepares a response to the Mayor’s budget proposal, NPNY emphasizes key priorities that require attention to ensure the nonprofit sector can continue providing the critical services to New Yorkers.

About Nonprofit New York

Nonprofit New York is the only sectorwide intermediary in New York City. We champion and strengthen nonprofits through advocacy, capacity building, convening, and research to cultivate a unified, just, and powerful sector. Our work is grounded in a comprehensive nine-area nonprofit management framework, supporting organizations from foundational competencies to advanced strategic leadership and high performance. Learn more at https://www.nonprofitnewyork.org.

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