Savings Initiatives

The Enacted Budget contained a set of health care, local aid, and operational reforms that will provide over $2.0 billion in savings in both 2007-08 and 2008-09.

Health Care

The 2007-08 savings plan includes the first step in a multi-year plan to reform the State’s health care system. Savings are projected to total more than $1 billion in the aggregate. The plan reduces the growth in reimbursement rates paid to most providers, strengthens statewide anti-fraud activities; reduces prescription drugs costs; and enhances management of high-cost beneficiaries. The following table itemizes the savings from these initiatives. See more on Health Care savings …

Other Savings

Outside of health care, other enacted savings include reducing certain State aid to New York City, instituting strict controls on spending by State agencies, enhancing savings opportunities in the State’s debt management, and maximizing Federal aid. See more on Other savings …

Revenue Loophole Closers

State tax law currently contains a number of loopholes that enable certain taxpayers to shelter income in unintended ways. The Executive Budget proposed the elimination of a number of such loopholes, some of which are included in the Enacted Budget as summarized on the following table. See more on Revenue Loophole Closers …

NOTE: The information on this page is taken from the 2007-2008 Financial Plan.