The New York City Council on June 10, 2026 released an updated June 2026 economic and tax revenue forecast that projects nearly $2 billion in additional tax revenue across fiscal years 2026–27; Council leadership said a “considerable amount” of any upside should be set aside for the city’s rainy day fund while also funding priorities like NYC Kids RISE, Fair Fares, parks staffing, and consumer-and-worker-protection enforcement, but the Council did not announce a firm split and said final allocations will be decided during ongoing budget negotiations. Source: https://youtu.be/ZzUrYU2yKPI&t=31
# What’s happening
– City Council released an updated June 2026 tax revenue forecast showing nearly $2 billion upside. Source: https://youtu.be/ZzUrYU2yKPI&t=31
– Council leadership wants a “considerable amount” of the upside put into the rainy day fund. Source: https://youtu.be/ZzUrYU2yKPI&t=1111
– The Council did not specify a dollar split; final decisions are pending budget negotiations. Source: https://youtu.be/ZzUrYU2yKPI&t=1111
# Why it matters
– All New Yorkers who use city services are affected by budget allocations and reserves. Source: https://youtu.be/ZzUrYU2yKPI&t=126
– Using revenue for reserves or programs changes funding for schools, parks, transit discounts, and social services. Source: https://youtu.be/ZzUrYU2yKPI&t=302
# Key details
– Forecast release: June 10, 2026 press conference where Council leadership unveiled the updated forecast. Source: https://youtu.be/ZzUrYU2yKPI&t=31
– Dollar amount: Council projects nearly $2.0 billion in additional tax revenue for FY2026–FY2027 combined. Source: https://youtu.be/ZzUrYU2yKPI&t=302
– Council priorities named for possible spending: NYC Kids RISE (universal college savings), Fair Fares expansion, parks staffing, consumer-and-worker-protection funding. Source: https://youtu.be/ZzUrYU2yKPI&t=126
– Specific agency ask: Council is calling for $32 million to support the Department of Consumer and Worker Protection baseline capacity. Source: https://youtu.be/ZzUrYU2yKPI&t=220
– Council position on reserves: leadership urged adding to the rainy day fund but gave no fixed deposit amount. Source: https://youtu.be/ZzUrYU2yKPI&t=1111
City Council leadership released an updated June 2026 tax revenue forecast showing nearly $2 billion more tax revenue for fiscal years 2026 and 2027 combined. Source: https://youtu.be/ZzUrYU2yKPI&t=31
**New York City Council**
– Role or jurisdiction: City legislative body that reviews and adopts the city budget.
– Action taken or responsibility: Released the June 2026 economic and tax revenue forecast.
– Relevant numbers or dates: Forecast released June 10, 2026; projects nearly $2.0 billion upside for FY2026–FY2027. Source: https://youtu.be/ZzUrYU2yKPI&t=31
Speaker Julie Menin and Council Finance leadership said the Council intends to use some of the forecasted revenue to fund priorities and to bolster reserves, but they did not specify a firm allocation between the rainy day fund and program spending. Source: https://youtu.be/ZzUrYU2yKPI&t=31
**Julie Menin**
– Role or jurisdiction: Speaker of the New York City Council.
– Action taken or responsibility: Announced the Council’s June 2026 forecast and outlined high‑level priorities for any revenue upside.
– Relevant numbers or dates: Remarks delivered at June 10, 2026 press conference. Source: https://youtu.be/ZzUrYU2yKPI&t=31
Council leadership said they will reserve a “considerable amount” for the rainy day fund because tapping reserves now could raise the city’s future borrowing costs and risk credit downgrades. Source: https://youtu.be/ZzUrYU2yKPI&t=1111
**Linda Lee**
– Role or jurisdiction: Council Finance Chair.
– Action taken or responsibility: Presented the Council Finance Division’s updated revenue analysis.
– Relevant numbers or dates: Stated the Council projects nearly $2 billion in additional tax revenue across FY2026–FY2027. Source: https://youtu.be/ZzUrYU2yKPI&t=302
The Council named specific program areas it wants to protect or expand if funds are available, including NYC Kids RISE (a universal college savings program), Fair Fares transit discounts, park staffing to keep parks safe and clean, and increased baseline funding for the Department of Consumer and Worker Protection. Source: https://youtu.be/ZzUrYU2yKPI&t=126; https://youtu.be/ZzUrYU2yKPI&t=220
Council spokespeople explained they are not announcing a fixed split now because the allocations are part of the formal budget adoption negotiations occurring in June 2026. Source: https://youtu.be/ZzUrYU2yKPI&t=1111
The Council’s press conference referenced the financial risk of drawing down reserves and cited analysis showing that raiding the rainy day fund could raise borrowing costs and invite credit‑rating pressure. Source: https://youtu.be/ZzUrYU2yKPI&t=1111
**Mark Levine (Controller)**
– Role or jurisdiction: New York City Comptroller (city fiscal oversight office).
– Action taken or responsibility: At the June 9 Finance Committee hearing, the Controller proposed formal rainy‑day rules including targets, deposit formulas, and narrow withdrawal criteria.
– Relevant numbers or dates: Recommended a 16% tax‑revenue target with a 10% floor; said a formula would have added roughly $854 million to reserves under current conditions. Source (Controller testimony, earlier hearing): https://youtu.be/KFSfiB4j_yY&t=15623 and https://youtu.be/KFSfiB4j_yY&t=16091
In earlier Council budget hearings on June 9, 2026, the City Controller recommended enshrining rules for the rainy day fund via a charter amendment, including a target reserve equal to 16% of annual tax revenues, a 10% minimum floor, a deposit formula when revenues exceed trend, and narrow withdrawal criteria that could include recession, catastrophe, or major AI disruption. The Controller said adhering to such a formula would have added about $854 million to reserves this year. Source (earlier hearing, June 9, 2026): https://youtu.be/KFSfiB4j_yY&t=15623 and https://youtu.be/KFSfiB4j_yY&t=16091
Council leadership said they are “reviewing” the Controller’s proposed ballot or charter changes and will determine whether to support such measures during the budget process. Source (press conference): https://youtu.be/ZzUrYU2yKPI&t=1111
No precise dollar allocation or formal rule from the Council was announced at the June 10 press conference; leadership repeatedly said final amounts will be set during the June 2026 budget negotiations when revenue collections and agency baselines are reconciled. Source: https://youtu.be/ZzUrYU2yKPI&t=1111
Next steps: the Council and the administration will continue negotiations in June 2026 to reconcile forecasts, review agency baselines and identified savings, and decide how much of any validated upside goes into reserves versus program investments. Source (press conference and Finance Committee hearing): https://youtu.be/ZzUrYU2yKPI&t=31 and https://youtu.be/KFSfiB4j_yY
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