The political mindset and spending money they don’t have

Take a look at this combination of actions as explained in a recent news report. We have skyrocketing costs in one area, a new union contract that adds to future deficits, projected cost savings in health benefits, but no one knows how nor are they guaranteed, good news claims that budget deficits are okay because they are below the averages from prior administrations and at the same time taking $300 million in state aid, not to deal with pension costs, but to provide “free” prekindergarten to four year olds.

Only among politicians and the narrow focused, short-sighted people who elect them does this make sense. One can understand why a federal government can justify deficit spending under certain conditions, perhaps even a state for short periods, but a city and on an ongoing basis❓ We have short memories and never learn our lesson. Under what definition does all this add up to fiscal prudence?

[Full Definition of PRUDENCE 1. the ability to govern and discipline oneself by the use of reason, 2. sagacity or shrewdness in the management of affairs 3. skill and good judgment in the use of resources, 4. caution or circumspection as to danger or risk]. Under Mr. de Blasio’s definition every American burdened by debt and living above his means while applying for a new credit card is prudent.

Facing skyrocketing pension and health care costs, the New York City Council was slated Thursday morning to adopt a $75 billion budget for the fiscal year that begins next week, on July 1. …

Pension and health care costs have contributed to steep increases in the cost of running the nation’s largest city, raising concerns among some elected officials and budget watchdogs that more must be done to contain expenses…

“We feel great about this budget and our commitment to fiscal prudence,” Mr. de Blasio said…

Mr. de Blasio’s aides noted that the spending increase in the budget includes what they called an unprecedented level of education aid from the state, most notably $300 million to fund the mayor’s plan to provide free, full day prekindergarten for every four-year-old citywide…

While the labor settlement that Mr. de Blasio reached this spring with the teachers union significantly increased future-year budget deficits, his aides said these gaps are below historical averages from prior administrations. The adopted budget also includes about $500 million more in projected revenue than the current fiscal year…

This spring, Mr. de Blasio reached an agreement with the Municipal Labor Committee, an umbrella group of city unions, that is expected to generate $3.4 billion in health-care savings. While the precise details on how the city will reduce health-care costs remain fuzzy, the mayor and his top budget officials say the agreement marks a major step in the right direction…

City Comptroller Scott Stringer said in an email via his spokesman that his office’s projections show the increases in city spending are “certainly manageable.” But he recommended the administration identify efficiencies and target areas for costs savings. Excerpts from Pensions, Health Care Boost Budget, Greater New York section, Wall Street Journal, June 26, 2014