“The first bill before me today is Introductory Number 492, sponsored at my request by Council Members Weprin and Comrie.  This legislation, which implements State authorization to increase the City’s personal income tax, is necessary to close budget gaps in fiscal year 2004, and in subsequent fiscal years. This legislation is temporary; it applies only in taxable years 2003, 2004 and 2005.  The increase declines after the first year.  Even with this legislation, the top tax rate remains below the top tax rate in New York City from 1991 to 1998.  The increase imposed by this legislation is progressive; the burden of the increase falls on those taxpayers most able to afford the increase.

“Large budget gaps have forced us to make difficult choices.  Those difficult choices have involved striking the right balance between tax increases, which enable us to carry out essential City services, and service cuts, which, if not made, would require us to find additional sources of revenue.  I, with the help of the City Council, have made the choices that I think serve the City best.”